Jaguar Land Rover posts £3.6 billion loss for 2018

Jaguar Land Rover has reported a £3.6 billion (RM19.2 billion) loss for 2018, the largest in its history. The losses were largely due to a one-off £3.1 billion (RM16.47 billion) write-down in the value of its investments in property and machinery, which were worth far less than previously thought, according to news reports.

Excluding that, the company made a pre-tax loss of £358 million (RM1.9 billion), with revenue declining by £1.6 billion (RM8.5 billion) year-on-year to £24.2 billion (RM128.6 billion), largely due to slowing sales in China. Sales in that market dipped by 5.8% year-on-year to 578,915 units, offsetting gains made in the UK and US markets, where sales rose by 8.4% and 8.1% respectively. The automaker has also struggled to cope with falling demand for its diesel-based offerings.

The company however registered a return to profitability in the final quarter of the financial year, recording £120 million (RM637 million) in pre-tax profit. This was after it forked out £149 million (RM791.4 million) in redundancy costs when it laid off part of its workforce. It was previously reported that the company had plans to cut up to 5,000 jobs this year.

In April, the automaker ran two scheduled production pauses at its car and engine plants in Liverpool, Birmingham and Wolverhampton, the first from April 8-12 and the other on April 15-23, as part of a contingency plan against a Brexit disruption.

The company, which was acquired by Tata Motors in 2008, has also been the subject of widespread rumours that it would be sold. In this case, PSA Groupe was reported to be in advanced talks with Tata to acquire JLR, but both parties have refuted these claims, denying such a deal was on the table.

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Anthony Lim

Anthony Lim believes that nothing is better than a good smoke and a car with character, with good handling aspects being top of the prize heap. Having spent more than a decade and a half with an English tabloid daily never being able to grasp the meaning of brevity or being succinct, he wags his tail furiously at the idea of waffling - in greater detail - about cars and all their intrinsic peculiarities here.

 

Comments

  • Rm20B loss in 1 year? Orz! Time to sell it to China where they know gud brands and quickly buy it up. Those celup Jepunis, they let it to rot.

    Like or Dislike: Thumb up 4 Thumb down 0
  • Shamsual Annuar on May 21, 2019 at 8:11 pm

    This is why Jaguar and Land Rover breakdown rates, quality and reliability is the worst.

    Such a bad name JLR has. Quality issues. So many complaints. And yet, Range Rover selling here RM1 million

    Like or Dislike: Thumb up 2 Thumb down 0
  • jinggo on May 21, 2019 at 8:31 pm

    So, the British are incompetent?

    Like or Dislike: Thumb up 10 Thumb down 0
    • The reliability of JLR products got worse after takeover by Tata. Land Rover almost always rank last in reliability surveys.

      Like or Dislike: Thumb up 2 Thumb down 0
    • panjang on May 22, 2019 at 10:47 pm

      Just in case u just woke up from a long sleep, they are no longer British.

      Something not right in the management…dozens of people is earning too much. Despite the decline in China, look at the sales figure. UK and US showed increase. How can there be no profit?

      Like or Dislike: Thumb up 1 Thumb down 0
      • alldisc on May 23, 2019 at 11:50 am

        The engineering team, design and R&D and assembly plants are all British. Tata only pours in money

        Like or Dislike: Thumb up 2 Thumb down 1
        • When it comes to car ownership even it is owned by TATA made in UK , Non Buyers still make stupid comments like it is owned by Indian and hence, it is made in India.

          Just like Toyota made in Thailand, they will say made in japan even though made in Thailand. See how stupid Japanese car owner fans are ever wanting some cheap face value publicity knowing it is not true!!

          Like or Dislike: Thumb up 1 Thumb down 0
  • pengguna ploton kecewa on May 22, 2019 at 2:37 am

    wahh..just close shop already. teh tarik 3 times a day how can make money

    Like or Dislike: Thumb up 6 Thumb down 0
  • passion on May 23, 2019 at 10:01 am

    yup close it down!

    Like or Dislike: Thumb up 3 Thumb down 1
  • vVivi Zurianti on May 23, 2019 at 10:52 am

    Good marque but….

    Like or Dislike: Thumb up 1 Thumb down 0
  • Mario and Bros on May 23, 2019 at 1:49 pm

    That’s really pityful for JLR. Few years ago, Many people buy Jaguar and Land Rover. But right now, JLR Sales is going down as we already know It is because Current Land Rover Design looks ugly. Although, some consumers also said that JLR also have many recalls, I guess if I’m not mistaken. If JLR come up with proper design and reduces problematic for JLR, many people will buy it and will able to enjoy for longer time in driving JLR

    Like or Dislike: Thumb up 6 Thumb down 0
 

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