Jaguar Land Rover announces profits in excess of £1bn

JAGUAR Land Rover has announced record profits in excess of £1bn backed by strong sales in markets such as China.

The firm’s owner, India’s Tata Motors said revenues for the full year 2010-11 rose to £9.906bn with a profit after tax of £1.043bn.

The figures are in line with those predicted earlier in the week but are conformation of the massive growth enjoyed by the company in the past 12 months.

In a statement, Tata said: “Sales volumes improved to 243,621 as compared to 193,982 in the previous year, on the back of improved market conditions, better market mix with strong growth in China, continued strong response to product introduction including the all new XJ and Land Rover models and favourable exchange rates.”

Such has been the growth that earlier this month, JLR successfully completed the issue of seven year and 10 year bonds, together aggregating £1bn.

Although UK sales continue to decline, the firm is selling vehicles in markets such as China and India as never before and is currently working hard to meet demand.

It has implemented a Land Rover assembly operation in India and is planning to enter into a joint venture with a China-based manufacturer as quickly as possible so it can meet demand there.

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