Hinopak financial results show major turnaround

Hinopak financial results announced on May 16, 2011 indicate a major turnaround in its performance. The company shows a profit before tax of Rs 40.49 million in 2010-2011, compared to last year loss of Rs 130.42 million before tax. These results are unexpectedly very encouraging in the current dwindling economic conditions of the country, a press release issued on Saturday said.
Adverse Japanese Yen to Pak Rs/US dollar parity and flood devastation etc did create adverse affect on overall market. As per PAMA, market shows a decline of 23% market in 2010-2011 as compared to 2009-10. In the given tough environment, Hinopak has shown great strength and character by introducing new models of trucks and buses in shape of Dutro Jr. and GB buses. Dutro Jr. is a major success in the automotive industry, as customers from different segment are selecting Dutro Jr to meet their transport requirements especially in the city limits.
Shahab Anwar, DGM Sales and Business Development in his statement said that, overall automotive industry is passing through a difficult time especially after earthquake coupled with Tsunami in Japan in the month of March 2011 badly affected the supply chain management of different OEMs in Japan. The different vendors located in directly Tsunami hit area has resulted in revising downward the production schedules ultimately creating delays in shipment of CKD from different OEMs in Japan to vehicle assemblers throughout the world. However, Hino Motors Japan has made special arrangements to improve CKD shipment, which would definitely help Hinopak Motors to cope with market demand in short span of time.
Shahab said that government of Pakistan few years back had taken a strategic move to support the commercial vehicles assemblers by applying zero rated sales tax so that the modernisation of trucking industry can be expedited to cope with the challenges of modern transportation requirements. The huge outlay on motorways couple with new and state-of-the-art vehicles can meet the transportation need from Karachi/Gawadar in the south to Khyber Pukhtonkhwa and beyond in the North.-PR