The automotive, agriculture and heavy equipment-distributor RMA Cambodia has posted an after-tax profit of $11.83 million in the first quarter of 2022 a slight decrease from $12.14 million over the same period last year as inventory concerns grow.
The company posted a $38.6 million 2021 net profit in 2021 an increase of 62% compared to $23.8 million in 2020 and a 72% increase from $22.3 million in 2019. To read more about RMA Cambodia’s 2021 annual results click here.
Inventory concerns hit the market
In the company’s quarterly report RMAC Chairman Kevin Whitcraft said the company has accomplished solid sales performance. However, compared to 2021 sales of vehicles have reduced somewhat on the back of limited inventory.
“The is resulting from a combination of the temporary impact of new governmental regulation enforcing the importation of EURO4 compatible vehicles-only starting 01st January 2022 and global logistic challenges,” he said.
“RMAC’s pipeline of orders from end-customer remains at high levels demonstrating the loyal customer base and excellent product line up in the RMA Group portfolio,” he added.
The company reported $105.75 million in revenue for the quarter a slight decrease from $118.66 million over the same period.
The report added that there is a global shortage of some key components such as micro-chip, and the automobile industry is obviously impacted.
“Certain products or models, depending on the origin of the products and the severity of the impact of Covid, have been more challenging to source. RMAC is monitoring closely its sourcing pipeline for each division but may face some product shortages in the following quarters,” the report stated.
Key quarterly events
The Chairman’s statement added that RMAC has been very active with the organization of multiple VIP trips and Provincial entertaining roadshows to gain greater proximity with customers. “We are looking forward to the launch of the new Ford Ranger WildTrack, Ranger Raptor and Everest in the second half of the year,” he said.
“The Jaguar Land Rover division also generated strong excitement amongst our customers after showcasing the New Discovery model 2022 and the Jaguar F-Pace official launch,” he added.
In addition, the company has now introduced a new brand Changan the well-established Chinese brand that makes high-quality & innovative SUVs well adapted to the Cambodian market. The company has also invested in two new showrooms and workshop facilities (Pursat & Kampong Thom) for our agricultural and heavy-equipment divisions.