Skoda Readies 30-Model Product Offensive

Volkswagen AG’s Skoda unit plans to launch 30 new models by 2023, one-third of which will have all-electric or hybrid powertrains.

The plan moves up the timing of the 10 electrified models, which the carmaker previously said would launch by 2025. Six of these models will be plug-in hybrids, while the other four will be EVs.

The rollout begins this year with the Superb plug-in hybrid and Citigo electric city car. A production version of the Vision iV electric crossover, which was unveiled earlier this month at the Geneva auto show, is due next year.

Among the traditionally powered vehicles scheduled for updates are the recently introduced Scala hatchback and Kamiq SUV. A heavily revamped version of the high-volume Octavia small car is due later this year.

Skoda sold 1.2 million vehicles last year, up 4% from 2017. More than one-fourth of this year’s volume came from China, which is the brand’s largest single market.

Skoda’s revenues also climbed 4% last year to a record €17.3 billion ($19.6 billion). But operating profits fell 15% to €1.4 billion ($1.6 billion), due to hefty capital investments in manufacturing facilities and product development. Spending on r&d nearly doubled. As a result, Skoda’s profit margin fell to 8% from 9.7% in 2017.