Proton has said it made a loss in the three months to the end of December on weaker vehicle sales and higher material costs.
Proton said it posted a loss of MYR74.7 million in its fiscal third quarter compared with a net profit of MYR10.3 million a year earlier. Nine-months net profit came to MYR21.1 million against a loss of MYR32.9 million previously.
Proton said the third-quarter results were affected by the financial and economic crisis and the depletion of volume in its main markets.
The carmaker said that “this trend is expected to continue into calendar year 2009 reflecting slower economic growth and unfavorable consumer sentiment.”
During the third quarter, the national carmaker said its domestic sales volume fell by 15% against the second quarter, while the higher foreign currency exchange rates, particularly the Japanese yen and the U.S. dollar resulted in higher raw material and component cost.
“The Malaysian automotive industry is expected to face increasingly challenging conditions due to the ongoing global financial and economic crisis,” Proton said.
Proton also said it plans to intensify its efforts to strengthen the distribution network and increase its domestic market share by investing in product refreshers and new models.
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See also: MALAYSIA: Proton delivers second quarter profit boost
