KUALA LUMPUR: Perodua has allocated RM1.06 billion for investment in 2020, with the majority of the investment has been earmarked for the improvement of its factory and production lines, according to its president and CEO Datuk Zainal Abidin Ahmad.
“Some RM500 million of the investments will be for Perodua’s factory and production line improvement, this includes the possibility of a future model development,” he told he told the media at Perodua’s 2019 Performance Review today.
Aside from that, Zainal stated that some RM180-200 million will also be invested into its factory as part of its usual improvement, involving the modernisation of its factory and Industry 4.0 implementation.
Meanwhile, some RM200 million will be channelled into sales and service related improvement and RM150 million for the research and development division, which will focus on the completion of its 5km test track.
With regard to the potential restructuring of excise duties, Zainal said the group is still evaluating the impact.
“Rest assured, for the next few months, there will be no impact to our customers as we will not increase our price. At this moment, we are trying to minimise the impact as much as possible, we don’t want to pass the impact to our customers,” he said.
Finance Minister Lim Guan Eng said today the government has not reached any agreement on the excise duties.
For 2020, Perodua is targeting to achieve sales of 240,000 units after a record high of 240,341 units in 2019, a 5.8% improvement from 227,243 units recorded in 2018. It is also looking to retain its market share of 40%.
“As of now, demand for Myvi remained very strong with a sales target of 183,000 units, while target for Bezza is 54,000 units.”
Perodua also aims to achieve a production volume of 254,000 units this year versus 244,000 units in 2019.
Its local parts and components segment’s revenue is expected to come in at RM6 billion against RM5.4 billion in the previous year.
By the end of this year, Zainal said, Perodua is expecting its stock level to stabilise at 0.5-0.7 per month across all models.
