Hyundai Asia Resources, Inc. (HARI) reported a 17.4% growth in October or 2,856 units sold versus the previous month.
The company sold 27,618 units in the first ten months of the year, a 6% dip compared to the 29,407 units sold over the same period in 2018. Despite the drop, HARI remains optimistic that it can sustain its momentum in the last two months with seasonal consumer spending, benign inflation, and lower interest rates.
“While we don’t compete in some segments of the market (e.g. pick-ups), our volumes remain strong, underpinned by the quality of our vehicles and our focus on excellent after-sales services. Our models per segment remain competitive and this bodes well for the Hyundai brand in the Philippines,” HARI President and CEO Ma. Fe Perez-Agudo said.
For the month of October versus September, Light Commercial Vehicle (LCV) sales grew by 22.7% to 1,359 units sold fueled by the Hyundai Kona (subcompact SUV) and Hyundai H-100 (Light Truck), which are the best-selling models in their respective segments. Year-to-date October 2019, LCV sales grew by 1.5% with 12,331 units sold. The multi-awarded Kona’s combination of bold design, performance, and safety features has made it a hit with Filipino car buyers. The H-100, meanwhile, has become a reliable workhorse for business owners.
Month-on-month, Passenger Car (PC) sales grew by 13.7% to 1,457 units with increased sales from the Hyundai Reina (PC A-segment) and the Hyundai Accent (PC B-segment). The Reina, which was only launched in February of this year, is now at 2nd place in its segment in terms of sales. The Hyundai Accent remains the volume driver for the company as YTD-October PC sales hit only 14,560 units reflecting an industry-wide decrease in this sector as consumer preferences were skewed towards larger vehicles.
While HARI’s CV sales dropped by nearly 7% in October, sales in the first ten months of the year were robust posting an 86.6% increase equivalent to 727 units sold. Hyundai Buses (e.g. Hyundai County) spearheaded this growth. The company expects even higher sales with the roll-off of its first Class 2 Modern Jeepney recently. Mated to the Hyundai HD50S platform, Hyundai’s Class 2 Modern Jeepney features roof-mounted air conditioning, AFCS, Wi-Fi, GPS tracking, CCTV cameras, 7-inch monitor, and speed limiter. It can accommodate 22 seated passengers + 1 driver as well as 8 to 10 standing commuters.
“With DOTr’s support and high demand from transport cooperatives, our Modern Jeepneys will contribute to our growth over the medium-term. We are excited to give Filipino commuters the new King of the Road,” Ms. Agudo said.
“Combined with the acceleration of the government’s infrastructure projects, our CV business is poised to expand and provide fresh avenues of growth,” Ms. Agudo ended.