Volvo logs $176.5 million in operating profits in first half 2014

Article by Christian A., on August 22, 2014

Volvo Cars managed to reverse its first-half loss from 2013 by posting SEK1.21 billion ($176.5 million) in operating profit in the same period this year. Volvo logged SEK577 million in losses in the first half of last year, but for the same period this year, increasing sales in China and gains in Europe allowed it to more than offset its weakness in the United States.

A lack of new models in the United States has caused Volvo to drop it sales in the country to 61,233 cars in 2013. Volvo saw its retail sales surged thanks to a double-digit growth in China as well as an 8-percent jump in sales in Western Europe, with the United Kingdom and Germany providing strong boosts.

Volvo, however, saw a slump in sales in Russia, whose economic growth is affected by sanctions imposed by western countries over its involvement in the Ukraine crisis.

The carmaker also grew its first-half revenue from SEK56.4 billion in 2013 to SEK64.8 billion this year. Volvo chief executive Hakan Samuelsson said in a statement that the carmaker’s first-half result is both “solid and encouraging."

He disclosed that Volvo posted a 9-percent jump in vehicle sales in the first seven months of 2014, and expects sales to grow "close to 10 percent" for the full year.

Samuelsson told Reuters that since Volvo grew at almost 10 percent in the first half, he expects the gains to continue at that level for the full year 2014. He said that Volvo will continue to grow faster than the Chinese market, “if at a slightly slower pace.” He quipped Volvo would be able to top 80,000 in car sales in China in 2014. [source: Volvo]

Topics: volvo, profit

If you liked the article, share on:

Comments

Recommended

The next generation Volvo XC60 will be soon on its way to dealerships and customers as the Swedish carmaker has already commenced production of the mid-sized sports utility vehicle at...
by - April 30, 2017
In September 27, 2016, Porsche initially filed for a patent that is the “Unique Active Rear Diffuser”. And earlier this week, on April 27, 2017, the United States Patent and...
by - April 29, 2017
The Insurance Institute for Highway Safety (IIHS) has given its Top Safety Pick+ award to the redesigned version of the 2017 Kia Cadenza. This was a result of excellent a...
by - April 29, 2017
It’s pretty neat if you possess something of an extraordinary breed like, say, the Pagani Huayra. There are after all just a total of 100 units ever been built by...
by - April 28, 2017
If you’ve ever visited an arcade, chances are you have already seen a Logitech G920 wheel. If that doesn’t ring a bell, it’s the steering wheel that you use when...
by - April 28, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries