Mexican Media Brands
Volvo Car Swings to a Loss
Zhejiang Geely Holding Group's Volvo Car unit reported a net loss of 480 million kronor ($74 million) for the fiscal year ended March 31 compared with a profit of 1 billion kronor ($157 million) the year before.
#economics
Share
Zhejiang Geely Holding Group's Volvo Car unit reported a net loss of 480 million kronor ($74 million) for the fiscal year ended March 31 compared with a profit of 1 billion kronor ($157 million) the year before.
Volvo notes that it spent heavily on developing new vehicles and engines last year, even as the European car market contracted.
Operating income plunged to 18 million kronor ($3 million) from 2 billion kronor ($308 billion) a year earlier.
Revenue was nearly flat at 125 billion kronor ($19.2 billion). Vehicle sales fell 6% to 422,000 units as volume dropped 10% to 227,000 vehicles in Europe and 11% to 42,000 units in China.
For the current fiscal year, Volvo predicts that its operating results will again be about break-even. The company doesn't expect to break even on a net basis for another year or two.
RELATED CONTENT
-
Fuel Economy Gains in July
What you’re looking at here is a sales-weighted fuel economy chart (the numbers in the white boxes represent miles per gallon) that was put together by two diligent researchers, Michael Sivak and Brandon Schoettle, of the University of Michigan Transportation Research Institute.
-
GM: The Drive to Profitability, Part 1
General Motors released rather impressive numbers for 2015.
-
On Global EV Sales, Lean and the Supply Chain & Dealing With Snow
The distribution of EVs and potential implications, why lean still matters even with supply chain issues, where there are the most industrial robots, a potential coming shortage that isn’t a microprocessor, mapping tech and obscured signs, and a look at the future