On April 2, 2020, JMC published its Q1 performance, with net profit of 69 million RMB, a YOY increase of 174.2%. The substantial growth at special times displayed a rare growth trend in the industry.
Hard-earned Substantial Profit Growth
In the first quarter this year, the auto industry was greatly impacted by the COVID pandemic. China Automobile Association predicted that the production and sales volume of domestic auto industry in the first quarter shall decrease by around 45%, and 25% in the first half year. However, we saw the healthy growth of JMC.
At the key moment of pandemic fighting, JMC ambulance won the honor of “Ambulance No.1 for pandemic fighting”. In this February, the production of JMC Ford brand commercial vehicles reached 2,586 units, with YOY increase of 59.73%, the sales volume was 2,155 units, with YOY growth of 56.73%. In March, the production of Ford brand commercial vehicles was 5,071 units, with YOY growth of 9.55%, the sales volume was up to 5,664 units, with YOY increase of 13.44%. In February, the market share of light commercial vehicles reached 19.3%, among which the light bus market share was as high as 50%, with 100% market share in 53 cities. The market share of light truck went up by 4.1% and Pickup 3.2%.
The rare growth seems to be unbelievable, but actually the clue was already there last year.
In 2019, the sales volume was 290,058 units, with YOY growth of 1.75%. The operation margin, overall profit and net profit enjoys YOY growth of 44.22%, 164.84% and 60.96% respectively. The net profit last year reached 148 million RMB.
JMC Progress
In 2019, JMC confirmed the strategy of “Becoming Leader in Light Commercial Vehicle and Provider of Value Ford Products”. JMC accelerated the launch of Stage VI products, including new Transit Business model, high-end Yuhu Pickup, Teshun EV, Yuhu EV, Ford Territory and Territory EV, etc. JMC also explored several overseas markets, such as South America, the Philippines and Vietnam, etc.
In 2020, JMC continued its three projects: “wolf plan” with customers as the orientation and the first-class marketing system; digital business and software development capability; innovative cooperation with partners for more profit.
During the pandemic, JMC responded at the first time and became the key auto manufacturer of medical materials. JMC negative pressure ambulances made great contribution to the pandemic fighting. With leading technology, advanced health concept and quality customer service, JMC owns a strong group of “health” products with ambulances as the key. JMC health products shall gain continuous recognition from the customers with deepened health concept of people.
All the innovative actions brought obvious achievements in this first quarter. JMC achieved substantial profit growth in the adverse environment, which showed its innovative vitality and impetuous competitiveness.
SOURCE: JMC
