Dongfeng Group's shares in 2019 decreased by 3.3% year-on-year due to decline in car sales

According to news on March 31, Dongfeng Group Co., Ltd. (00489.HK) issued an announcement saying that the Group's annual revenue in 2019 was 101.087 billion yuan (the same applies hereinafter), a year-on-year decrease of 3.3%. Gross profit was 13.491 billion yuan, a year-on-year increase of 0.56%. Profit attributable to equity holders of the parent company was 12,858 million yuan, a decrease of 0.93% year-on-year. Basic earnings per share are 149.23 cents, and a final dividend of 0.25 yuan (USD $0) per share is proposed.

The announcement shows that in 2019, Dongfeng Motor Group sold approximately 2.932 million vehicles, a year-on-year decrease of approximately 3.9%. Accounting by analogical ratio, the Group's annual sales revenue was approximately RMB254.041 billion, an increase of approximately 0.7% year-on-year, of which passenger vehicle business sales revenue was approximately RMB167.967 billion, a decrease of approximately 4.5% year-on-year; commercial vehicle sales revenue was approximately RMB804.33 Billion, a year-on-year increase of about 10.2%.

In addition, the decrease in revenue during the year was mainly due to the decrease in sales revenue of Dongfeng Peugeot Citroen Automobile Sales Co., Ltd.

Dongfeng Group said that the new crown epidemic broke out in China at the beginning of 2020. Due to the rapid development of the new crown epidemic, Chinese auto companies, especially those in Hubei Province, where the epidemic broke out, failed to resume work in time. As a company headquartered in Hubei Province, Dongfeng Group has a number of production The operation of the unit has suffered a huge impact. With the new crown epidemic being better controlled in China, the company will promote the full-scale resumption of production in low-risk areas and the orderly resumption of work in mid-risk areas under the premise of the prevention and control of the epidemic. Production and high-risk areas should continue to focus their efforts on epidemic prevention and control, develop ideas, and actively prepare for work and production in order to quickly recover losses after the epidemic is over, and strive to catch up with the annual operating goals set at the beginning of the year.