Opel/Vauxhall has set itself an ambitious target of becoming profitable this year, despite poor fourth quarter results.

Europe continues to remain a challenging environment for the manufacturer, with the loss contrasting starkly with parent GM posting extremely healthy profit numbers last week.

“People focus on Q4, that we continued to lose money in OpelVauxhall,” said CEO Nick Reilly today (1 March) at the Geneva show. “People’s memories are very short. Just over a year ago, we were going to embark on one of the most difficult restructuring [plans].

“We were predicting [a] loss of around US$3bn and the need for US$4.5bn. We ended up losing US$1.8bn – so a lot better and our funding requirements are a lot lower.”

The Opel chief was bullish about this year’s performance prediction maintaining the manufacturer would return to the black during 2011.

“We will get profitable,” he said, adding: “In fact, I have set an internal target of getting to profit this year, which will be one year ahead of time.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Reilly outlined a series of product initiatives that would drive Opel/Vauxhall in 2011, highlighting the arrival of the Ampera [Europe’s version of the Chevy Volt] in October or November, whose introduction has already generated 3,000 letters of intent from fleet operators and customers.

“[Around] 850 private customers have put down a deposit and that is even before the car has been seen on the road,” he said. “We are encouraged by that even though it is a relatively expensive car.

The Opel CEO also cited market share increases across Europe – apart from Germany – that had given cause for optimism, while Vauxhall continued to power ahead.

“I was told this morning that Vauxhall was number one in passenger cars in February, which is the second  time in three months,” he said.

But despite wielding the axe over Opel’s Antwerp, Belgium, site at the end of last year, Reilly acknowledged there was still some fat to cut.

“We did close Antwerp and did lose people in the UK, Spain and Germany, but we still have some [cutting] to finish off, which is more reduction in Germany,” he said.