Half a year has passed, although there is still a long way to go to stop the loss of Shenlong Automobile, its work effect of "increasing revenue and reducing expenditure" is gradually emerging.
As we all know, the cost and cash flow pressure caused by idle production capacity and serious redundancy of personnel are a big problem in front of Shenlong Automobile.
In May of this year, Shenlong Automobile Co., Ltd. announced the decision of all employees to "compete for posts" at an internal cadre meeting. At that time, some media reported that this decision of Shenlong Automobile might "lay off" 30% of the company's nearly 5,000 front-line employees.
In addition to personnel optimization, Shenlong Automobile also dealt with idle production capacity accordingly. For example, the Management Committee of Wuhan Economic Development Zone plans to collect and store the land of No.1 Plant of Shenlong Automobile to help it deal with idle production capacity, which means that the production structure of Shenlong Automobile will be greatly optimized, which is conducive to reducing losses.
In fact, Zhang Zutong, member of the Standing Committee of the Party Committee and deputy general manager of Dongfeng Motor Group Co., Ltd., who took office as the chairman of Shenlong in March this year, has already begun to plan the overall revival of Shenlong, and it has also begun to improve.
Although DPCA resumed work on March 25th, since April, the terminal delivery volume of DPCA has achieved positive growth.
By May, the marketing of Shenlong Automobile will begin to change from goal-driven to demand-driven, and the bundling of outlet charging target and delivery incentive will be cancelled, so as to realize the activation of following outlets and increase the sales of single stores.
From this, we can see that behind the loss reduction of 48.3% in the first half of the year, it is actually the result of a series of "self-help measures" in the first half of the year.
However, Shenlong's road to self-redemption is still full of challenges and variables.
According to the previously released "Meta Plan", its sales volume in the "solid yuan" stage (2020-202 1) will be increased to 250,000 vehicles, and the breakeven point will be further lowered to 65.438+0.5 million vehicles, so as to restore the system capacity and realize stable profit.
The data shows that the cumulative sales volume of DPCA from June to June was 23,000 vehicles, down 665,438+0.66% year-on-year. This situation is obviously a great challenge to the "Guyuan" stage that has passed 1/4.
At the same time, PSA Group's performance during the period of 65,438+0-June in 2020 announced at the end of July showed that the sales volume of PSA Group in China market was 34,276, down 42% year-on-year, while the sales volume in China market only accounted for 3.3% of its global sales. Therefore, the legal system has almost become "marginal" in the China market.
At present, Shenlong's determination to turn the tide has not changed. At the Chengdu Auto Show earlier, Shenlong Automobile also repeatedly expressed its next ambition for the new energy vehicle market in China.
It is reported that in the second half of 2020, PSA will launch Peugeot 4008 plug-in hybrid version and Citroen Tianyi C5? Aircross plug-in hybrid version, Peugeot 508L plug-in hybrid version and other new energy vehicles.
At the same time, Shenlong also said that it is urgent to formulate an action plan on the basis of existing products, channels and resources, and quickly put it in place to quickly enhance brand competitiveness and enhance the confidence of dealers and consumers.
Kung fu is angry
Judging from a series of low-key self-help measures such as personnel adjustment, personnel optimization and factory sale, Shenlong Automobile seems to be coming out of the trough. However, factors such as weak product strength and insufficient consumer awareness are still a key to hinder the revival of Shenlong in China.
It is worth noting that Shenlong has previously indicated that it is already planning to introduce the Opel brand into China. Will this be a new starting point for dragons or a new burden? It takes time to observe.
This article comes from car home, the author of the car manufacturer, and does not represent car home's position.