Record profits for Volvo Cars in 2017
Swedish car maker Volvo Cars, owned by Chinese Geely, has made a record operational profit in 2017 of 1,4 billion euro, 27,7% better than the year before and with a profit margin of 6,7% (+0,6%) . Net profits of the group rose with 34% to 800 million euro, turnover with 17% to 21,1 billion euro.
800.000 cars by 2020
“Last year was the fourth consecutive year of growth for Volvo Cars”, CEO Hakan Samuelsson said. The car maker sold 571.000 cars, 7% more than in record year 2016. This year Volvo Cars expects to grow further. It wants to sell 800.000 cars by 2020.
Only hybrid and electric
Volvo announced in July 2017 that it will no longer produce cars with a combustion engine only from 2019 on. Meaning it will only produce hybrids and electric cars. The Swedish group was the first car manufacturer focusing on electrification of its entire fleet in the near future.
Geely buying AB Volvo
Volvo Cars was sold by Ford in 2011 to Chinese car maker Geely, that gave the Swedish company an autonomy it didn’t have before to develop its model range. End of December Geely also became major shareholder of AB Volvo (Volvo Trucks, Mack, Renault Trucks and Volvo Penta), buying it from the Swedish Cevian Capital fund for 2,7 billion euro.