MALAYSIA: Proton returns to profit

By just-auto.com editorial team | 30 November 2007

Proton Holdings said Friday it returned to profit in the July-September quarter, helped by higher car sales and operational improvement, AP reported.

The company reported net profit of 3.5 million ringgit (US$1 million) for the fiscal second quarter compared with a loss of 250.3 million ringgit in the same period of the previous year.
Proton posted a loss of 46.8 million ringgit ($14 million) in the previous quarter.

The report of better earnings comes after the government last week said it has stopped talking with Volkswagen AG and General Motors Corp. about strategic tie-ups with Proton.

Proton said in a statement that the Malaysian automotive environment is expected to remain "challenging" due to industry-related factors such as strict financing terms. But it expects an "encouraging" market response for its new Persona model to boost its market share.

Proton's market share grew to 33.1 percent in the current quarter from 26.5 percent in the preceding quarter, it added.