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Jaguar Land Rover has clocked its strongest full-year revenue in a decade because the UK luxury-car maker contends with the influence of US tariffs and the implementation of a controversial overhaul of its most famous model.
Pre-tax revenue for the 12 months to March 31 elevated 15 per cent to £2.5bn, the corporate stated on Tuesday, on flat revenues of £29bn. Revenue earlier than tax and distinctive objects within the closing quarter was £875mn, up from £661mn 12 months on 12 months. It additionally achieved its goal to develop into internet money optimistic, with £278mn.
The sturdy set of outcomes come regardless of a widely derided brand redesign for Jaguar that was unveiled in November to deal with flagging gross sales. The corporate dropped the model’s huge cat brand as a part of its rebranding and its advertising and marketing marketing campaign featured an advert with no vehicles.
Chief govt Adrian Mardell stated: “JLR has ended the 12 months with sturdy annual and quarterly earnings, together with delivering our tenth consecutive worthwhile quarter and our internet debt zero goal.”
Nonetheless, the corporate adopted another carmakers together with Stellantis and Mercedes-Benz in holding again on issuing forecasts for the approaching 12 months. JLR stated it was assessing the influence of “international challenges” and would offer an replace at an investor day on June 16.
The outcomes observe the UK’s trade deal with the US final week. The settlement secured concessions for British carmakers, together with a discount within the US’s import tariff to 10 per cent from the preliminary 27.5 per cent imposed by President Donald Trump final month.
The Coventry-based firm stated it will “proceed to interact with the UK authorities on the element of the commerce deal”. In an earnings name, Mardell stated he welcomed the UK authorities’s pledge to again the auto sector “to the hilt” within the face of US tariffs and the next settlement that brings “better certainty” for the sector. Nonetheless, he added the corporate was nonetheless “ready for affirmation of the efficient date” that the deal could be carried out.
The commerce deal — introduced as Prime Minister Sir Keir Starmer visited a JLR manufacturing unit — introduced relief for the UK’s wider auto industry, which sends roughly one in six of all shipped vehicles to the US, the biggest marketplace for the UK’s luxurious automotive manufacturers.
The Tata Motors-owned group, which additionally produces the Vary Rover and Land Rover Defender fashions, had paused in April shipments of vehicles to the US for one month because it sought to work out a longer-term response to the tariffs. The corporate generates nearly 1 / 4 of its gross sales within the US however has no native manufacturing functionality within the nation. Mardell stated on Tuesday the corporate had “no plans to construct vehicles within the US at this cut-off date”.
JLR — which is aiming to make its provide chain and operations internet zero by 2039 — will subsequent 12 months relaunch Jaguar as an all-electric and extremely high-end model, promoting the majority of its automobiles for greater than £100,000. Within the interim, Jaguar has stopped promoting new vehicles within the UK and ceased manufacturing of most of its petrol fashions.
Gross sales of its plug-in hybrid fashions over the one-year interval rose 21.7 per cent, JLR stated, as shoppers undertake hybrid fashions as a bridge to completely electrical.
The corporate stated it welcomed the federal government’s adjustments to the zero emissions automobile (ZEV) mandate final month, which can enhance flexibility for producers on the sale of hybrid fashions earlier than they’re phased out in 2035.
In its outcomes on Tuesday, JLR stated greater than 32,000 folks had “expressed curiosity” in Jaguar’s forthcoming electrical GT mannequin. The corporate additionally stated there was a ready record of 62,000 for its electrical Vary Rover.
The corporate expects funding spend to stay at £18bn over a five-year interval, funded by operational money flows.
