Jaguar Land Rover has posted record annual profits of more than £1bn, capping a remarkable turnaround for one of Britain's most iconic manufacturers.
The company reported that pre-tax profits had risen to £1.1bn in the year to March 31, up from £15m last year. The increase has been driven by a huge rise in Jaguar and Land Rover sales particularly in China and other emerging markets.
“Jaguar Land Rover is now a strong, profitable and innovative competitor in the premium car industry,” said Carl-Peter Forster, chief executive of JLR’s parent company Tata Motors.
JLR employs 17,000 staff in the UK but is looking to take on at least another 1,000, with Tata investing £1bn a year to expand production and develop new models.
Indian based Tata bought JLR from Ford in 2008 for £1.1bn, but initially suffered heavy losses as the recession struck. However, it has overseen investment in new vehicles and facilities, including the Range Rover Evoque and Jaguar XJ, which have helped to drive growth.
This helped JLR sales rise 26% in the year from 193,982 to 243,621, including 190,628 Land Rovers. Sales in China rose by 43% to 29,600. In financial terms, this meant JLR sales rose 51% from £6.6bn to £9.9bn, with the company aided by favourable foreign exchange rates.