Jaguar Land Rover finishes year with record sales and revenue

At the same time its pre-tax profits for the financial year to the end of March were £1.6bn, up three per cent on the previous year.

Sales were boosted by the hugely popular new Jaguar F-Pace as the company launched its new Land Rover Discover and the Range Rover Velar. Over the 12 months JLR sold a record 604,009 cars – a 16 per cent jump.

The West Midlands-based luxury car maker, with its rapidly growing engine plant on the i54 site on the edge of Wolverhampton, said it had finished the year with a strong fourth quarter.

Boss Ralf Speth said: "These solid results demonstrate the appeal of our products and our ability to deliver strong, profitable and sustainable growth.

"We are continuing to invest significantly in new models and innovation, as shown by the new Land Rover Discovery, the forthcoming Range Rover Velar and all-electric Jaguar I-Pace, reinforcing our commitment to new technologies and providing new and compelling customer experiences.”

A boost for JLR came with a 32 per cent hike in sales in its key Chinese market. There was also strong growth in America, the UK and Europe.

Profits were helped by £151 million recovered from insurance payouts following the 2015 Tianjin port explosion in China. But the company also spent heavily on marketing and on investing in new and existing factories, as well as on developing new cars.

Investment spending hit £3.4bn during the year, including the £1bn new factory in Slovakia and the work on JLR's UK factories. The Wolverhampton engine plant has doubled in size to 2 million sq ft. It now employs 1,400 people with more jobs on the way.

The company says it plans to spend another £4bn this year on new cars, technology, research and its factories. It has just secured planning permission for a major new development facility at its headquarters in Whitley, near Coventry.

Kenneth Gregor, JLR's chief financial officer, added: “We remain committed to our ambitious growth plans despite seasonal variations in demand and global economic challenges. We remain focused on maintaining our financial discipline and plan to fund future investment from operating cash.

“Jaguar Land Rover is pleased to end the fiscal year on a strong note, despite the geopolitical and volatile economic environment."