Thursday, July 24, 2014
Isuzu Philippines Reports 11.7 Percent Growth in 6 Months of 2014
Isuzu Philippines Corporation (IPC) powers past the midway mark of 2014 with a strong 11.7% growth pace compared to its results during the same January-to-June period in 2013. Isuzu’s performance comes side-by-side with the Philippine automotive industry’s record-setting rate of a 15.5% increase in year-on-year deliveries of commercial vehicles.
The reports from the Chamber of Automotive Manufacturers of the Philippines, Inc. and Truck Manufacturers’ Association, Inc. state that the domestic market continues to appreciate the value-for-money qualities of Isuzu models as IPC delivered 6,429 vehicles in the first six months of the year compared to the 5,757 vehicles it sold during the same period in the previous year. The rise in IPC’s tally reflects the local market’s increase in sales of commercial vehicles, which reached 68,467 while the entire auto industry sold 108,957 units.
The figures also show that IPC’s consistent sales streak this year is powered by the Isuzu D-MAX, whose unmatched capabilities on- and off-road have resulted in customers purchasing 1,998 units of the pickup. The tally is a phenomenal 91.7% spike from the 1,042 units sold during the same months in 2013.
The D-MAX’s steady growth month after month since its launch in September 2013 has offset the slowdown in the movement of the Isuzu Crosswind and Alterra, leading IPC’s total sales of light commercial vehicles to a positive 9.0%, or 5,018 units delivered.
Bolstering IPC’s position in the local market—the company is ranked third in the commercial vehicle segment in the first half of 2014—are sales of the Isuzu’s NHR and NKR Category III trucks, which reached 1,010 units, a 25.6% increase. Sales of Isuzu’s Category IV trucks also rose 10.2% and those of heavy-duty trucks jumped 255.6%.
In June, the D-MAX held the momentum it set in May with sales reaching 355 units, following the 351-unit tally in the previous month. As a result, sales of IPC’s light commercial vehicles remained almost flat with a 0.9% dip. However, the movement of the company’s Category III trucks sped up 26.5% and Category IV trucks by 19.1%. This allowed IPC to grow 3.3% in June versus May’s total, or 1,156 units in June compared to 1,119 vehicles in the month prior.
IPC’s growth in June comes against the results posted by the country’s commercial vehicle segment, which saw a 6.1% decline in June. The segment closed June with 11,372 units sold versus its 12,110-unit total in May.
“The recent credit upgrade that the Philippines received should have a significant effect in local consumer spending, which would positively impact vehicle sales in the country,” IPC President Nobuo Izumina said. “The almost 25% growth in vehicle sales in the first half of 2014 should further build momentum. We at Isuzu Philippines also expect continued growth, owing largely to the unwavering trust that Filipinos have placed on Isuzu’s reliable, durable and fuel-efficient models. Definitely, these are vehicles built for long-term use.”
Besides the country’s healthy economy and positive consumer outlook, IPC’s optimism also rests on a re-fleeting program of the Land Transportation Franchising and Regulatory Board, which seeks to discard old and unsafe vehicles in favor of new units. The move is seen to spur further growth in sales of commercial vehicles, a segment where IPC is one of the country’s top producers.