New Vehicle Sales Dip in April

NEW vehicle sales dropped in April, Simonis Storm Securities (SSS) said on Friday.

“Figures for April indicate the first dip in vehicle sales’ upward momentum, but numbers remain well above the 12 month trailing average. The 10,9% drop in sales month on month was a result of a drop in sales of passenger and light commercial vehicles. Annualised growth figures remain positive at 34,6%,” SSS said in a report.

SSS said annualised sales show that passenger and light commercial vehicles have grown by 27,8% and 40, 5% respectively.

Passenger vehicle sales were the highest in April recording 805 units sold. The light commercial vehicles followed suit with sales recorded at 777 units.

SSS further said the main vehicle makes that outperformed were Toyota and Volkswagen,which recorded sales of 618 and 251 units respectively.

It said on an annual basis, sales in these categories have increased by 39,5% and 25,5%. The report said, 73 Toyota Hilux units and 49 Toyota Etios units were sold in April.

Within the line of luxury vehicles, the Mercedes G class was the month’s top pick valued at over N$2 million followed by the Audi A7 Sportback valued at N$1,5 million.

In terms of volumes sold, the Toyota land cruiser and the L-R Range Rover sport were the popular brands each valued between N$1 million and N$1,3 million.

SSS said said vehicles sales during April amounted to trade worth N$547 million in total value.

“In context the nominal value of trade equates to 0,4% of Namibia’s GDP. This comes at a period when the intrinsic value of vehicles is increasing year on year by about 10,5% showing that sentiment for economic growth based on consumption remains positive,” the report said.

SSS said with government purchases masked within the dealer channel it is more intuitive to look at the breakdown of sales between dealer and rentals. Rental sales have increased from 44 units to 76 units.

“We expect the numbers to edge over 150 units over the next few months in light of the upcoming high tourist season. Dealer units have declined by 12% from 1808 units to 158 units,” the report said.

Passenger vehicle sales dropped from 930 units in March to 805 units in April.

Simonis said on a monthly basis the sales decreased by 13% and the year on year numbers show that sales increased by 40,5%.

Passenger vehicle sales remain a good indicator in monitoring the level of consumption within the industry, the report said.

In terms of high volumes and substantial value (higher than N$ 500 000) associated, the Toyota Fortuner leads the pack with 19 units sold at an estimated N$9,7 million, it said.

Source : The Namibian