Skoda is in good financial health, investing heavily in electromobility and digitalization and intends to expand into new markets, representatives of the Czech manufacturer said during the annual press conference 2023, summing up the financial results of last year.
2022 has been a very challenging year for the automotive industry. In addition to ongoing supply chain difficulties, especially in the semiconductor sector, the situation has been exacerbated by Russia’s invasion of Ukraine. Despite the problems, Skoda delivered 731,300 vehicles to customers last year, up 16.7% on last year. less than in 2021. Octavia (141,100 units) remained the best-selling model of the brand, Kamiq (96,300) and Kodiaq (94,500) SUVs also performed well. There was a lot of demand for Fabia and Enyaq iV cars.
Financial results, minus profit
In 2022, Skoda increased its revenue (year-on-year) by 18.5 percent. to 21 billion euros (2021: 17.7 billion euros). The manufacturer managed to generate an operating profit of 628 million euros, but it is clearly lower than in 2021 (1.083 billion euros). This decline is attributed to the significant financial burden caused by the war in Ukraine and the subsequent suspension of business activities in Russia. The negative consequences associated with working in Russia are estimated by the manufacturer at almost 700 million euros. However, according to representatives of the manufacturer, despite the current problems, Skoda is still in good financial condition and continues to actively invest, including in electromobility and digitalization.
Czech electromobility
One of the pillars of the future brand will be the development of electromobility. In May last year, the company launched the production of batteries for vehicles based on MEB platforms in Mladá Boleslav, and this year it will increase production capacity to 1,500 battery modules per day. By 2026, Skoda plans to launch new vehicles that will expand its portfolio of electric vehicles in various segments, from small and compact models to seven-seater models.
New markets are tempting
Skoda is also constantly trying to strengthen its presence in foreign markets. In India, car deliveries more than doubled last year (up 127.7% year-over-year). Now the manufacturer wants to enter the markets of Southeast Asia. This year, Skoda intends to enter the strategically important Vietnamese market, which should pave the way for growth in other ASEAN markets. Another region where the company sees growth potential is the Middle East.
Source: Wprost
I am Jason Root. I work in the news website industry and mostly cover the automobile industry. I have also written for Daily News Hack. My work revolves around new car models, prices, and features. In addition, I often write about used cars and tips for buying them. My articles are meant to be helpful for those who are in the market for a new or used car.
