Beijing (ZXZC)- The commercial vehicle manufacturing joint venture between Dongfeng Motor and Nissan, Dongfeng Automobile Co., Ltd. (DFAC) witnessed a significant plummet in its third-quarter performance due to the industry-wide depression, the company said in its latest financial report.

Commercial vehicle lineup; photo credit: DFAC

During the first three quarters this year, DFAC saw a 20.72% year-on-year increase in revenue, to RMB12.202 billion ($1.905 billion). Net profit attributable to shareholders amounted to RMB514 million ($80.25 million), up 4.84% from a year ago, but down 4.57% after non-recurring deductions to RMB486 million ($75.88 million). 

In the third quarter alone, the company’s net profit plummeted 95.1% versus the previous year, to RMB9.62 million ($1.5 million).

The automaker attributed the profit decrease to the industry depression, the decline in sales, the surge in raw material prices, to be specific. Moreover, the company also pointed out that the decline in its joint venture’s revenue was one of the reasons leading to its poor performance in the third quarter.

In September, DFAC sold 14,082 vehicles, decreasing 8% from a year ago. The cumulative sales volume of DFAC was 143,114 vehicles for the first nine months this year, rising 13.31% year on year.