Third quarter Loss for the Volvocars Corporation but full year expects to be profitableThursday, 20 October 2011
Volvo made a loss of Skr763 million during the third quarter. The company explains the red figures with seasonal variations. CEO Stefan Jacoby describes the outlook for the remainder of 2011 as positive.
Geely owned Volvo Car Corporation has reported profits for the year. But that trend was broken in the third quarter. The loss of Skr763 million, compared with a profit of Skr748 million for the third quarter last year, explains the company with seasonal fluctuations, currency effects and investments in new technology.
AdvertisementTurnover increased by Skr1.5 billion to Skr26.9 billion. The number of sales increased by 27.7 percent to 103,119 cars during the past quarter.
Sales in China are still strong and the growth rate of 67.8 percent compared to 2010. In the Nordic region, sales increased by 23.6 percent and in North America with 19.9 percent.
"In light of the turmoil in financial markets, consumer confidence in an uncertain factor. While I am very pleased with the positive sales trend and the strength of our brand. This means that the outlook for 2011 remains positive, "said CEO Stefan Jacoby in a statement.
During the first nine months of the year Volvo Car Corporation made a profit of Skr477 million and the company expects a profit for the full year. So far this year, Volvo Cars sold 333,865 cars, up 22.5 percent compared with last year.
By Scancomark.se Team
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