Jaguar Land Rover losses improve as production ramps up of new Range Rover models
British firm made a loss of £173m in the three months to September.
Jaguar Land Rover recorded a pre-tax loss of £173m in the second quarter of the 2022 financial year, though the result was better than expected.
The brand was boosted by production ramping up for its two most profitable models – the new Range Rover and Range Rover Sport – and was a stark improvement on the £302m lost in the third quarter of 2021.
Revenue was up to £5.2bn in the quarter, up 36 per cent year-on-year, with a wholesale volume of 75,307 recorded between July and September – a 17.6 per cent improvement and 4.9 per cent up on the prior quarter.
Jaguar Land Rover ramped up production of its new Range Rover and Range Rover Sport in the period, with these models accounting for 13,537 units in the quarter – up from the 5,790 made between April and June.
The brand recorded 88,121 retail sales in the third quarter, with the most growth coming from China where sales were 38 per cent higher, though European volumes were down seven per cent.
Thierry Bollore, chief executive officer of Jaguar Land Rover, said: “We delivered a stronger financial performance in the second quarter as production of our new Range Rover and Range Rover Sport ramped up, improving revenue, margins and cash flow, despite continuing semiconductor constraints.
“Demand for our most profitable and desired vehicles remains strong and we expect to continue to improve our performance in the second half of the year, as new agreements with semiconductor partners take effect, enabling us to build and deliver more vehicles to our clients.”
The brand added that ‘demand for Jaguar Land Rover Products remains very strong’, with the two firms now having 205,000 pending orders. The firm’s three most profitable models – the Range Rover, Range Rover Sport and Defender – account for over 70 per cent of these orders.
