Hotai Hits Record Revenue of NT$146.6 B. in 2013

Hotai Motor Co. Ltd., Taiwanese agent of Toyota and Lexus and a long-time leading car dealer by market share on the island, recently announced consolidated revenue of NT$146.6 billion (US$4.89 billion) in 2013, up 6.17% from the previous year and a record high in company history, also targeting a new high in revenue of NT$160 billion (US$5.33 billion) in 2014.

At his company's year-end party, chairman Huang Nan-guang pointed out that new-car sales are expected to continue increasing on the island in 2014, in both the passenger-car and commercial-vehicle segments, which will drive sales to new highs.

Huang attributed Hotai's smooth sales in 2013 to recovering purchase willingness in the second half of last year, which enabled both Toyota and Lexus to achieve their annual sales goals. Last year, sales of Lexus  outstripped 10,000 units in Taiwan, with Toyota sold higher-than-past proportions of  higher-unit-price models, enabling Hotai to hit the record revenue.

Hotai's new-car sales totaled 127,220 units in 2013, excluding heavy-duty and 3.49-ton commercial vehicles, a new record volume since 2005, for market share of 33.6%, enabling Hotai to maintain its lead as car dealer in Taiwan for the 12th consecutive year in 2013.

Despite economic uncertainties ahead, Hotai said, it is still confident in continued strong demand for new cars on the island. The auto vendor also urged the government to provide incentives, such as cash-for-replacement purchases to further elevate consumer confidence.

In the first three quarters of 2013, Hotai registered cumulative earnings per share (EPS) of NT$10.49 (US$0.35), with third-quarter earnings increasing 7% year-on-year (YoY), turning its first-three-quarters earning into positive growth.

Thanks to the launch of the Toyota Altis sedan in late third quarter of 2013, Hotai's sales saw significant growth in the fourth quarter of last year. Industry sources said that Hotai's 2013 EPS is expected to surpass the company's previous record high of NT$13.76 (US$0.46) reached in 2011.