SsangYong Motor Co., part of India's Mahindra Group, announced on Feb. 7 that the company sold 135,235 units at home and abroad in 2019, posting a revenue of 3,623.9 billion won, an operating loss of 281.9 billion won, and a net loss of 341.4 billion won.
Despite strong domestic sales, the company's loss expanded due to a decrease in revenue caused by sluggish exports, increase in depreciation and amortization costs due to higher investment, as well as increase in sales allowance amid fiercer competition.
Its domestic sales exceeded 100,000 units for four consecutive years thanks to the launch of new models such as the brand-new Korando. However, its global sales declined by 5.6 percent on year and revenue declined by 2.2 percent due to the decrease in exports.
SsangYong posted an operating loss of 281.9 billion won and a net loss of 341.4 billion won in 2019 due to decreased revenues caused by sluggish sales, increased depreciation costs caused by new car launches, and increased operating costs caused by intense competition.
SsangYong’s labor and management have joined forces in order to strengthen the company’s competitiveness, and are pushing forward by making preemptive self-salvaging efforts such as an additional management turnaround plan at the end of last year.
Yea Byung-tae, CEO of SsangYong Motor, commented, “Despite the market downturn and intense competition, we met our annual domestic sales goal of 100,000 units for four consecutive years in 2019. This year, we plan to concentrate all our competencies and energies not only to meet the sales goal but also to enhance our competitiveness by improving the fundamental structure of our business and realizing global cooperation plans in preparation for future business.”