Jaguar Land Rover Group Posts Third-Quarter Profit
Thanks to aggressive cost cutting and the introduction of new models, Jaguar Land Rover managed to post an operating profit in the third quarter of 2009.
Parent firm Tata Motors reported the British brands made an operating profit of £41.3 million ($67.4 million) in the third quarter, compared to the same period last year, when the company posted a loss of £34 million ($55.8 million). In total the British brands significantly cut the net loss from £240 million ($393.8 million) to £60 million ($98.5 million).
Apart from North America, sales of Jaguar and Land Rover vehicles rose worldwide, greatly aiding the brands. Total sales volume increased 23 percent to 44,300 vehicles for the third quarter. Sales in England alone jumped 34 percent to 14,400 vehicles. 3400 vehicles were sold in China, which represented a 2.1-percent gain.
While Jaguar Land Rover has already reduced its operating costs significantly, the company has additional cost-cutting moves up its sleeves. The company recently announced it will close one of its West Midlands, England factories (either Solihull or Castle Bromwich) by 2015, and outsource some vehicle production.