[Global Network Comprehensive Report] According to the Volvo Car official announced on February 7, Volvo Car Corporation reported operating profit of 24.2 billion Swedish kronor (about 10.4 billion yuan) in 2018, an increase of 0.9% compared with 2017.
Net income grew strongly by 21% to SEK 252.7 billion (approximately RMB 184.4 billion), benefiting from the company’s highest annual sales volume of 642,300 units, an increase of 12.4% over 2017. However, the operating profit margin for the whole year was 5.6%, lower than the previous 6.7%.
Håkan Samuelsson, President and CEO of Volvo Cars, stated: “This achievement is in line with our expectations, but it does not fully meet our long-term ambitions. Income growth and sales in 2018 are healthy, but profitability is subject to tariffs and multiple The impact of external factors such as increased market price competition.”
He also said: “For 2019, we expect sales growth, we will continue to benefit from strong product plans and enhanced capabilities, but must be realistic, and realize that to continue to bear the pressure to profit.”
Operating profit for the fourth quarter was SEK 4.5 billion (approximately RMB 3.3 billion), an increase of 25% year-on-year. Net income in the fourth quarter increased by 20% to 73 billion Swedish kronor (about 53.3 billion yuan), retail sales increased by 7.3%, and sales reached 169,700. Operating profit margin for the period was 6.2%, higher than the previous 5.9%.
Post time: Feb-13-2019