Why is this important
Revenue fell by 12.8% (from 40.6 to 35.4 trillion) due to car shortages and limited production. However, profit decreased by only 3.6% due to cost optimization (-12.1%). The third quarter turned out to be a record (1.3 trillion for 3 months versus 1.4 trillion for 6 months) due to the launch of the new Cobalt and high demand. Taxes — 573 billion — contribution to the state budget.
What happened
- Net profit for 9 months — 2.655 trillion (-3.6%);
- Revenue — 35.4 trillion (-12.8%);
- III quarter — 1.3 trillion in profit (almost half of the year);
- Production costs decreased by 12.1%;
- Taxes — 573 billion.
Quarterly
- First half of the year (January-June): 1.4 trillion in profit.
- III quarter (July-September): 1.3 trillion — almost the same amount for 3 months as for 6.
- The reason: the launch of the updated Cobalt MCM in October caused a surge in demand, with pre-orders starting at the end of the third quarter.
Revenue decline
- 35.4 trillion against 40.6 trillion: a decrease of 5.2 trillion (-12.8%).
- Reasons:
- Car shortage (demand exceeds supply);
- Limited production (300+ thousand cars per year, demand 500+);
- Delayed component deliveries.
Cost optimization
Production costs decreased by 12.1%, mitigating the decline in profits:
- Localization of components (less than imports);
- Logistics optimization;
- Reduction of costs per unit of output.
Taxes
573 billion soums ($47.7 million) for 9 months — contribution to the state budget. Main taxes: profit tax, VAT, excise taxes.
Context
- UzAuto Motors: a state-owned company dominating the market (70-80% of sales). Manufactures Chevrolet, Changan, plans BYD.
- Shortage: demand exceeds supply by 2-3 times. 100 thousand new Cobalt cars sold out in 2.5 hours — an indicator of excitement.
- III quarter — record: 1.3 trillion for 3 months versus 1.4 trillion for 6. It’s related to the launch of the new Cobalt and pre-orders.
- Optimization: A 12.1% decrease in expenses compensated for the decline in revenue, keeping the profit at 2.655 trillion (-3.6%).
