Homepage
PR Newswire
11 hours ago
Over the past six years, Tan Chong Motor Holdings has seen a steady decline in revenue, with 2024 revenue falling to about half of what it was in 2019.
• Demand for its core Nissan brand weakened amid intensifying competition in Malaysia and a limited pipeline of new, competitive models.
• Once-promising regional markets such as Myanmar and Vietnam were impacted by political instability and regulatory challenges, prompting a pullback in operations.
• The COVID-19 pandemic and subsequent global supply chain disruptions affected both sales and production.
• Tan Chong focused on cost containment and right-sizing in the face of these demand challenges also constrained growth and delayed a top-line recovery.
As a result, the Group recorded consecutive losses from 2020 through 2024, accompanied by a decline in its share price. Nevertheless, Tan Chong is currently undergoing a turnaround.
A successful recovery will depend on a product-led strategy, stronger positioning in the commercial vehicle and electric vehicle segments, and more strategic use of its substantial asset base.
Importantly, Tan Chong remains financially sound. With a strong asset base, manageable debt, and adequate liquidity, the Group is well-positioned to weather short-term headwinds and has the runway to deliver on its turnaround plans.
• Demand for its core Nissan brand weakened amid intensifying competition in Malaysia and a limited pipeline of new, competitive models.
• Once-promising regional markets such as Myanmar and Vietnam were impacted by political instability and regulatory challenges, prompting a pullback in operations.
• The COVID-19 pandemic and subsequent global supply chain disruptions affected both sales and production.
• Tan Chong focused on cost containment and right-sizing in the face of these demand challenges also constrained growth and delayed a top-line recovery.
As a result, the Group recorded consecutive losses from 2020 through 2024, accompanied by a decline in its share price. Nevertheless, Tan Chong is currently undergoing a turnaround.
A successful recovery will depend on a product-led strategy, stronger positioning in the commercial vehicle and electric vehicle segments, and more strategic use of its substantial asset base.
Importantly, Tan Chong remains financially sound. With a strong asset base, manageable debt, and adequate liquidity, the Group is well-positioned to weather short-term headwinds and has the runway to deliver on its turnaround plans.