Jetcon Corporation has moved to broaden its vehicle offering following a strong first-quarter performance.
The Junior Market-listed auto trader posted net profit of $60.1 million for the three months ended March 2026, up from $9.1 million a year earlier, as revenues more than doubled to $418.3 million.
Executive Chairman Andrew Jackson, in the report to shareholders, said the company entered the year with strong momentum, noting, “Jetcon Corporation has started 2026 with a bang, with yet another quarter of revenues and profit as the new- car dealership continuing to deliver strong results,” Jackson said.
The performance reflects both stronger demand and improved supply dynamics. Management indicated that earlier constraints on vehicle availability, which had tempered sales volumes, have now eased. “Despite the surge in revenues, sales of motor vehicles were restrained by supply constraints. We are pleased to advise that this situation is now under control, with adequate supply of vehicles in stocks,” Jackson said.
Speaking to the Financial Gleaner, Jackson said being hamstrung by slow used-car sales and supply constraints on new cars are distant memories.
“We’ve pulled out of the used cars, so they’re not dragging us down any more, and new-car sales are increasing, the market has accepted them. We’ve solved one of the problems that we have had regarding inventory. We had a logistics problem, we’re pretty much over those now, and so it’s full speed ahead,” Jackson said.
Revenue growth, margin expansion
The topline expansion was driven largely by BAIC-branded vehicles sales, and ancillary streams such as its solar energy business.
Cost of sales climbed in tandem with higher volumes, rising to $319.9 million from $159.4 million. However, the increase was proportionately lower than revenue growth, enabling gross profit to surge to $98.3 million, nearly three times the prior-year level.
Gross margin improved to some 23 per cent from 18 per cent, reflecting better pricing power and product mix as the company leans further into new vehicles.
Jackson said the company is planning to increase the range of cars it carries to five. Jetcon presently sells the BAIC X55, the most popular brand, competing squarely with the Toyota Rav 4, Suzuki Vitara and the Honda CRV. It also sells the smaller X35 to compete with the Hyundai Creta, Corolla Cross or the Kia Sonnett. Also, the BJ30 and BJ40 which competes against larger SUVs.
One more brand will be added to the line-up by summer. The Arcfox, Alpha T1 is on its way to Jetcon’s showroom. Jackson said Jetcon is jumping back on to electric cars, given the increased fuel prices. Jetcon previously sold the Nissan Leaf when it was involved in used-car sales.
“Since the fuel crisis, we have seen an increase in inquiries for electric cars, and when you look at other markets, electric car sales have been going up so, we think that it is time to jump back into that,” Jackson said.
With the increased business, operating expenses rose at Jetcon, particularly selling and marketing costs, which increased to support demand generation in an increasingly competitive market. Even so, operating leverage held, lifting profit before tax to $61.2 million, up more than fivefold year-on-year.
Inventory build supports expansion
A key feature of the quarter was a deliberate expansion in inventory, which rose to roughly $463 million, reflecting management’s strategy to avoid the stock shortages that previously constrained growth.
The buildout, funded partly through short-term borrowings, also drove higher finance costs, but management appears willing to absorb this in exchange for improved sales continuity.
The stronger stock position is now enabling Jetcon to widen its product range, a move that aligns with rising consumer acceptance of Chinese-manufactured vehicles and the company’s exclusive distributorship of BAIC models.
Strategic momentum builds
Jetcon’s first-quarter performance builds on a broader turnaround in 2025, when the company returned to profitability after exiting the used-car segment and pivoting to new vehicles.
