UMW Holdings is expecting sales of Toyota vehicles to be lower this year amid strong competition, while Perodua – of which it owns 38% – will see an uptick in sales in 2015, according to a Bernama report

“We have revised downwards our sales target for Toyota vehicles this year from about 103,000 units sold in 2014. This year, we expect our Toyota sales at around 90,000 units,” said chairman Tan Sri Asmat Kamaludin after the group’s annual general meeting.

He added that UMW is looking to diversify its revenue streams in the current financial year to reduce its dependency on its automotive business, which contributed around 80% to its total revenue in the previous financial year, driven by Perodua’s strong sales.

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“If the automotive business continues to do well, we don’t want to reduce anything, in fact we want to grow the automotive business. But if you rely only on one sector and that sector goes through a difficult time, you’ll have nothing to go back to.”

“We are currently in talks with several partners on the diversification plan and will make the announcement at the appropriate time,” Asmat said, adding that it will either expand its four current businesses – automotive, equipment, oil and gas, as well as manufacturing and engineering – or venture into new segments.