Jaguar Land Rover profits boost thanks to China sales recovery
Jaguar Land Rover saw a growth in both profits and sales in its latest figures thanks to boost in the lucrative market in China.
Sales had slumped in the previous figures released in January but the luxury car maker has been buoyed by an upturn in fortunes.
In its third quarter saw pre-tax profits of £318 million compared to a £273m loss in the same three-month period in 2018.
Revenues rose 2.8 per cent year-on-year to £6.4 billion as sales in China grew 24.3 per cent.
Total retail sales were down 2.3 per cent overall for JLR, which has its engine manufacturing centre at the i54 to the north of Wolverhampton.
It came as JLR chief executive Sir Ralf Speth has revealed plans to step down in September.
Strong demand drives growth
There was strong demand for the new Range Rover Evoque with global sales up 30 per cent in the quarter.
The refreshed Land Rover Discovery Sport also rose 9.2 per cent and sales of the Range Rover Sport and Land Rover Discovery also grew year-on-year.
Profits were helped by lower operating costs thanks to cost-cutting work from its Project Charge turnaround programme and a favourable foreign exchange.
Mr Speth said: "In the third quarter Jaguar Land Rover sustained year-on-year revenue and profit growth as we continued to transform our business.
"Conditions in the automotive industry remain challenging but we are encouraged by the recovery in our China business and the success of the new Range Rover Evoque.
"Our proactive and decisive actions are creating a more robust, resilient business, transforming today for tomorrow."
Project Charge helped cut costs by £154m in the quarter.
JLR is the UK’s largest automotive manufacturer employing 40,000 people. In 2019 it sold 557,706 vehicles in 127 countries.
