Sri Lanka Ashok Leyland unit eyes light commercial vehicles
EconomyNext – Lanka Ashok Leyland aims to sell more light commercial vehicles and has embarked on an aggressive expansion strategy to widen its distribution network with new showrooms across the island this year.
“Our hope is to make inroads into the light commercial vehicle segment,” Umesh Gautam, Chief Executive of Lanka Ashok Leyland said.
The firm offers the Dost, Partner and Mitr buses to augment any volatility in demand for its higher tier products in the heavy commercial and passenger transport segment, he said.
The firm, a unit of India’s Ashok Leyland, will continue the “aggressive expansion strategy” it has begun despite any political uncertainty in 2015, he told shareholders in the annual report.
“The company is aiming to seek customers by opening new showrooms in key interior population centres across the island namely in the South and the North East while several key distributor agreements are being signed to further expand our reach.”
Gautam said the company believes that the country’s core economic fundamentals will support its expansion in the medium to long term.
Lanka Ashok Leyland, which imports fully built buses, trucks, truck chassis and spares, doubled net profit to 332 million rupees in the 2014-15 financial year from the year before, supported by lower interest costs.
(Colombo/July 10, 2015)