Volvo announces record profits for 2017 and signs mega deal with Uber

Sport360 staff 16:59 15/02/2018
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  • SUV line-up: The Volvo fleet

    Volvo Cars, has reported a 27.7% increase in operating profit in 2017, a company record $1.746 billion compared to $1.367 billion in 2016, thanks to global sales of 571,577 cars.

    The results underline the transformation of Volvo’s finances and operations in recent years, positioning the company for its next growth phase. Global sales rose 7% during the year, underpinned by a 25.8% increase in China, Volvo Cars’ largest individual market.

    For Middle Eastern markets, despite sales across all manufacturers in the premium segment dropping by 12%, Volvo Cars retained its position with 1,196 vehicles sold across the region. The XC60 became Volvo Cars’ best-selling model followed by XC90. These two models represented 63% of Volvo Cars sales.

    All new: Volvo XC40

    All new: Volvo XC40

    With order numbers from Europe and the Asia-Pacific region indicating that the XC40 is very well received, its arrival in the Middle East is expected to further boost Volvo Cars’ sales in the region. Traditionally a market with a strong appetite for the premium compact and premium SUV segments. Jesus Fernandez de Mesa, Managing Director of Importers EMEA said, “The XC40, our first ever small premium SUV completes our global SUV line-up and takes the brand into a new direction.”

    2017 was an important year for Volvo Cars, as the company launched new models, developed partnerships in important areas and unveiled a global electrification strategy.

    The firm also launched the new XC60 and the company’s first-ever compact SUV – the XC40. The XC40 launch also coincided with the introduction of a new model of car access via the company’s brand new ‘Care by Volvo’ premium subscription service.

    In July, the firm announced it would place electrification at the core of its future business, stating that every car it launches from 2019 will have an electric motor. In a further commitment to electrification it launched Polestar, a new stand-alone electrified car brand fully consolidated within the Volvo Car Group. Volvo also signed a framework agreement with ride-hailing company Uber to sell it tens of thousands of autonomous driving compatible base cars between 2019 and 2021.

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