Volvo’s multibillion turnaround appears to be paying off
Volvo reported it took in about $775 million in operating profit in 2015 — a more than threefold increase over what the Swedish automaker did in 2014.
Robust sales in Europe and the US set Volvo up for its profit boost, The Wall Street Journal reported. Volvo says revenue jumped 19 per cent over 2014, from $16.3 billion to about $19.4 billion.
Volvo’s 2015 sales in the US rose 24%, overall.
Much of that is due to Volvo’s multibillion turnaround funded by Chinese automaker, Geely Holding Group. The company paid nearly $2 billion for Volvo in 2010, at a time when Volvo was struggling on every front to stay alive.
Volvo had been on the brink of extinction for nearly a decade at the time. 2010 was also the company’s worst-ever sales year in the US, having moved only 54,000 vehicles that year.