Proton Expands Operations, Revenue Beyond Auto Ecosystem

Proton Holdings Bhd has diversified its operations and revenue stream by pursuing opportunities within the automotive ecosystem and beyond, with revenue increasing exponentially "from below RM1 million in 2021 to 19 times that at the end of 2023."

In a statement, the national carmaker stated that Proton Global Services (PGS), a wholly owned subsidiary of Proton Edar, is leading the effort.

“Established in 2021 with just one food and beverage and merchandise outlet, PGS has expanded its scope of operations to now encompass six key areas, namely lifestyle, engineering, training, new energy, logistics, and R3 Motorsports.

“For Proton buyers and fans, the most visible areas of business are the lifestyle and R3 Motorsports divisions,” the statement said.

The lifestyle division manages Proton Café and sells Proton merchandise, while the R3 Motorsports division develops performance variants and oversees Proton's racing activities, according to the statement.

Proton said the new energy division will focus on introducing renewable energy to improve the company's environmental, social, and governance ratings, as well as selling energy-efficient products.

“Initiatives undertaken include the sale and installation of solar photovoltaic cells to Proton dealers and vendors and collaborating with partners to build a proof-on-concept for mobile electric vehicle charging,” it said.

PGS chief executive officer Lee Yeet Chuan said PGS’ retail business leverages Malaysians’ enthusiasm for Proton.

“With so much history behind the company, we have an opportunity to build closer ties with Proton owners while offering them premium products and services,” he said.

Meanwhile, Proton Edar CEO Roslan Abdullah stated that the car manufacturer benefited from PGS.

“From a costing point of view, the company is now able to better control operational costs while PGS retail operations allow us to leverage the strength of our dealer network and brand image and maximise revenue opportunities from sales of merchandise, food and beverages, and high-performance lubricants.

“Plans are in place to expand the use of renewable clean energy for Proton and our vendors while work is currently ongoing between PGS and its engineering partners to develop energy storage and charging solutions critical for future Proton models. In the future, the company sees PGS contributing consistently to Proton's bottom line through initiatives to support training for workers in the automotive industry and a growing logistics presence, he added.