Volvo Cars announced its Q1 2022 financial report today, with revenue reaching SEK 74.3 billion (approximately RMB 50 billion), a YoY increase of 8\% from SEK 68.6 billion (approximately RMB 46.2 billion) in the same period last year. Q1 operating profit was SEK 6 billion, with an operating profit margin of 8.1\%.
RECHARGE models accounted for 34\% of Volvo Cars’ total sales in Q1, with pure electric vehicle (EV) sales accounting for 8\%, a historical high for Volvo Cars.
In the face of the tight global automotive supply chain, Volvo Cars’ global total sales in Q1 reached 148,295 units. Volvo Cars expects supply chain issues to improve in the latter half of this year, and anticipates sales to maintain a YoY growth trend in 2022 compared to 2021.
In Q1 this year, RECHARGE models accounted for 34\% of total sales, with pure EVs accounting for 8\%, doubling from the previous two quarters. Volvo Cars will increase the annual production capacity of pure EVs to 150,000 units after this summer, further increasing the proportion of pure EVs in total sales. Volvo Cars stated that the electrification transformation in 2022 will continue to accelerate.
Volvo Cars now has a full electrification product portfolio, consisting of 48V mild-hybrid, plug-in hybrid, and pure EVs, and has launched a brand-new RECHARGE product series. In September 2020, the first Volvo Cars pure EV, the XC40 RECHARGE, debuted at the Beijing Auto Show, opening for pre-orders, and was officially launched at the Guangzhou Auto Show on November 20.
Jim Rowan, CEO and President of Volvo Cars, stated:
We have always had a clear strategic direction, with a very clear business focus: to become the fastest transforming, most consumer-oriented luxury EV brand in the industry, while reducing carbon emissions has always been the direction in which we aim to progress. To achieve our grand strategic goals, we will accelerate product development, strengthen the resilience of our supply chain, and expedite our digital software development capabilities.
This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.