Volvo Car Group reports a 62 percent rise in third quarter earnings

Volvo Car Group has reported a significant rise in operating profits for the third quarter, mainly driven by robust sales in major markets of both lifecycle models and new models. The bestselling cars in the quarter were two lifecycle cars, the XC60 SUV and V40 hatchback, with sales of 38,000 and 23,000 respectively, closely followed by the new XC90 SUV with sales of 22,000. Sales of the XC90 hit 66,000 for the first nine months of the year.

Highlights for 3rd Quarter of 2016

  • Operating profit of SEK 2,067m compared to SEK 1,276m in the same period last year
  • Year-on-Year increase in revenue to SEK 41.1bn from SEK 36bn previously
  • Operating margin rose to 5% from 3.5% in the corresponding period last year.

Healthy sales and high profitability has also raised its profit outlook for the full year. Speaking at a press event Håkan Samuelsson, president and chief executive said, “With nine months of the year completed, I can state with confidence that Volvo Cars is on track for another record year in terms of sales and that operating profit for the year is expected to improve substantially.”

Volvo, a brand known for its rock-solid cars worldwide has also entrenched its position as a leader in autonomous driving by forging alliances with Uber and Autoliv.

Volvo Cars is the first car maker to work with Uber to develop base cars to provide driverless ride hailing services. “It is highly significant that of all the car companies in the world, Uber joined forces with Volvo Cars,” said Mr Samuelsson.

The Swedish luxury car maker established its presence in India in 2007 and currently has dealerships in West Delhi, Gurgaon, Ahmedabad, Surat, Mumbai, Chandigarh, Coimbatore, Hyderabad, Chennai, Bangalore, Kochi, Vishakhapatnam, Vijayawada and Kolkata, expanding further to Indore, Lucknow and Jaipur through the year 2016.

‘Designed Around You’ is the brands translation of going an extra mile to understand customers better. This human-centric approach enables Volvo Cars to know the pulse of the customers and gauge what they desire in a product. With this thought the brand places the customer at the heart of its design. Every Volvo car boasts of cutting-edge technology with engineering that is executed around human values.