Jaguar Land Rover Automotive, the UK’s largest car manufacturer, has reported a 23% increase in quarterly revenues and improvement in pre-tax profits for the three months to 30 September, 2016.
Second quarter revenues rose to GBP6bn, compared with GBP4.8bn (US$5.94bn) in the same period of fiscal 2016. Pre-tax profits reached GBP280m, compared to a GBP157m loss in the prior year, reflecting increased product demand, favourable foreign exchange and commodity revaluation and the non-recurrence of an exceptional charge for the Tianjin explosion last year.
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Sales at Jaguar surged by 84% driven by encouraging orders for the new F-PACE SUV and XE and XF saloons, alongside the new long wheelbase XF in China. Land Rover sales rose by 15% amid continuing strong demand for the Discovery Sport and Range Rover Evoque.
Dr Ralf Speth, Jaguar Land Rover chief executive officer, said: “These results are testament to the global appeal of our latest models. The F-PACE in particular is proving a major success for Jaguar and our Land Rover models continue to lead the market in premium off-road performance and capability.
“We expect our new products to drive solid profitable, sustainable growth across major markets for Jaguar Land Rover in the period ahead.”
Of the group’s largest markets, sales were up by 49% in China, 39% in North America, 28% in the UK and by 31% in mainland Europe.
Earnings before interest, tax, depreciation and amortisation increased to GBP615m this quarter from GBP589m in the second quarter of fiscal year 2016.
These improved figures coincide with a continued product development and global expansion programme at Jaguar Land Rover including a new manufacturing plant in Slovakia. The company is investing GBP3.5bn annually to widen and renew its model range, reflected by the Jaguar F-Pace and Range Rover Evoque Convertible, as well as recent launches of the all-new Land Rover Discovery and Jaguar XF long wheelbase saloon in China.
