Volvo Cars sold 31,760 cars in April, down 43.8 per cent compared with the same month last year, as demand in Europe and the US continued to be affected by the coronavirus pandemic. China, meanwhile, returned to growth in April as showroom traffic began to return to normal levels.
In the January to April period, Volvo Cars global sales reached 163,649 cars, down 24.9 per cent compared with the same period last year.
The share of Volvo Cars’ Recharge line-up of chargeable Volvo models doubled in the first four months, from 7 per cent to 14 per cent, compared with the same period last year. Recharge is the overarching brandname for all chargeable Volvo models with a fully electric or plug-in hybrid powertrain.
China sales in April reached 14,724 cars, up 20.8 per cent as compared with the same month last year. In the first four months of the year sales declined by 15.6 percent, compared with the same period last year.
US sales in April stood at 3,866 cars, down 53.8 percent per cent, compared with the same month last year. A majority of states in the country have now implemented stay-at-home orders which have led to a significant drop in showroom traffic. Between January and April, US sales declined by 23.3 per cent to 23,351 cars, compared with the same period last year.
Volvo Cars’ sales in Europe reached 9,283 cars in April, down 66.8 per cent versus the same month last year. In the the first four months of the year, sales declined by 30.3 per cent year-on-year.
The European sales performance was significantly impacted in April due to restriced movement in several key markets including Germany, the UK, France, Italy and Belgium.
In April, the XC60 mid-size SUV was the top selling model for the company, followed by the compact XC40 SUV and the large XC90 SUV. During the month, SUVs accounted for 66.3 per cent of the company’s total sales, up from 62.4 per cent in same month last year.
A detailed break-up of regional sales is given below:
|
April |
January-April |
|||||
|
2019 |
2020 |
Change |
2019 |
2020 |
Change |
|
|
Europe |
27,963 |
9,283 |
-66.8% |
114,483 |
79,793 |
-30.3% |
|
China |
12,192 |
14,724 |
20.8% |
42,078 |
35,504 |
-15.6% |
|
US |
8,367 |
3,866 |
-53.8% |
30,425 |
23,351 |
-23.3% |
|
Other |
8,013 |
3,887 |
-51.5% |
30,869 |
25,001 |
-19.0% |
|
Total |
56,535 |
31,760 |
-43.8% |
217,855 |
163,649 |
-24.9% |
During the first four months, the XC60 was the company’s top selling model with total sales of 47,838 cars (2019: 62,804 cars), followed by the XC40 with 39,976 cars (2019: 39,704 cars) and the XC90 with 22,752 cars (2019: 30,027 cars).
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Volvo Car Group in 2019
For the 2019 financial year, Volvo Car Group recorded an operating profit of 14.3 BSEK (14.2 BSEK in 2018). Revenue over the period amounted to 274.1 BSEK (252.7 BSEK). For the full year 2019, global sales reached a record 705,452 (642,253) cars, an increase of 9.8 per cent versus 2018. The results underline the comprehensive transformation of Volvo Cars’ finances and operations in recent years, positioning the company for its next growth phase.
About Volvo Car Group
Volvo Cars was founded in 1927. Today, it is one of the most well-known and respected premium car brands in the world with sales of 705,452 cars in 2019 in about 100 countries. Volvo Cars has been under the ownership of the Zhejiang Geely Holding since 2010.
In 2019, Volvo Cars employed on average approximately 41,500 (41,500) full-time employees. Volvo Cars head office, product development, marketing and administration functions are mainly located in Gothenburg, Sweden. Volvo Cars head office for APAC is located in Shanghai. The company’s main car production plants are located in Gothenburg (Sweden), Ghent (Belgium), South Carolina (US), Chengdu and Daqing (China), while engines are manufactured in Skövde (Sweden) and Zhangjiakou (China) and body components in Olofström (Sweden).
Under its new company purpose, Volvo Cars aims to provide customers with the Freedom to Move in a personal, sustainable and safe way. This purpose is reflected into a number of business ambitions: for example, by the middle of this decade it aims for half of its global sales to be fully electric cars and to establish five million direct consumer relationships. Volvo Cars is also committed to an ongoing reduction of its carbon footprint, with the ambition to be a climate-neutral company by 2040.
