Volvo Cars returns to profitability in 2013

Volvo Car Corp Chief Executive Hakan Samuelsson said on 13 January 2014 the Swedish automaker returned to profitability in the year just ended after fixing its business in China and making cost cuts.volvo-xc60-06

“Our target was to break even… but I can declare already today that… we are back in the black, which is extremely positive,” Samuelsson said in an interview on the sidelines of the Detroit auto show.

Samuelsson was referring to operating profit, Volvo officials said.

Volvo is expected to announce its financial results for the year in March. For the first half of 2013, the company posted an operating loss of 577 million SEK ($88.71 million), according to a company spokesman.

Samuelsson attributed the turnaround to Volvo’s successful restructuring of its distribution network in China, which led to a 46 percent boost last year in volume in that country to 61,146 vehicles, as well as to an overhauling of its cost structure globally.

Source: China Daily

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