Jetcon Appointed Sole Distributor for BAIC Passenger Vehicles

• Jetcon Corporation Ltd was recently appointed sole distributor for (Beijing Automotive Industry Company) BAIC passenger vehicles in Jamaica.
• BAIC stands as one of China's largest automobile manufacturers. Established in 1958, it specializes in a range of vehicles including passenger, commercial, and military. BAIC encompasses various brands like Foton, Beijing, Senova, and Arcfox. It has formed partnerships with Mercedes-Benz and Hyundai to produce vehicles for the Chinese market. As a company listed on the Shanghai Stock Exchange, BAIC extends its export reach to over 80 countries.
• This partnership includes marketing, vehicle sales, servicing and parts supply, officially marking the Company’s foray into the New Car Industry.
• In 2023, Jetcon commenced the importation of BAIC vehicles, aiming to make a mark on the new car market. The used car market has suffered due to higher interest rates, in contrast to the lower rates banks provide for new car purchases. This has had a significant adverse impact on the company's revenue.
• With this exclusive dealership with BAIC, Jetcon projects that by 2025, new car sales will represent the bulk of its revenue. Management also believes that the company will be able to supply more cost-efficient new cars in Jamaica and the Caribbean and give customers real value for money.
• Jetcon Corporation Limited ended Q2 2024 at a net loss of $6.1Mn compared with a $3.5Mn loss for the same period of 2023. This can be attributed to a 67% falloff in revenues to $110Mn as used car sales fell and an increase in Finance Charges. A significant portion of these finance charges stems from the solar division due to financing undertaken for inventory procurement.

(Sources: JSE, Jetcon 2023 Annual Report and Jetcon Q2 Interim Results)