On August 2, 2010, Zhejiang Geely Holding (ZGH) closed the deal that saw it acquire Volvo Cars from Ford, with the Swedish carmaker currently parked under the Geely Auto umbrella. Since then, both companies have been hard at work collaborating and expanding their product portfolios, which has proven to be rather fruitful endeavour.
This year marks the 10th anniversary of that deal, and to mark the occasion, the Chinese company has released a video detailing – through numbers – how both companies have improved from the start of the relationship up until the present day.
First up, revenues. In 2009, Volvo Cars registered 95.7 billion Swedish krona (SEK) in revenue, while Geely Auto managed just 14.069 billion Chinese yuan (CNY). Fast forward several years and both companies breaches the 100-billion mark, with Volvo notching up SEK274.12 billion and Geely recorded CNY106.6 billion.
Looking at net profits, post-Ford Volvo experienced a SEK5.19 billion loss in 2009, while Geely earned a net amount of CNY1.319 billion. As of 2019, Volvo is now in the green with a net profit of SEK14.3 billion, while Geely grew ten-fold to CNY12.674 billion in 2018.
The encouraging financial results are backed by increasing sales on both sides, with Volvo shifting 705,000 units last year compared to just 335,000 units in 2009. Geely’s sales growth is even more impressive, as it sold just 327,000 units in 2009, but has consistently broke the one-million mark for the last three years, with the most recent being 1.362 million units in 2019.
Looking at the Fortune Global 500, which is an annual ranking of the top 500 corporations worldwide as measured by revenue, ZGH first entered the list in 2012 and was placed 475th at the time. As of last year, the company is now ranked 220th.
New products are key to these sales figures, and Geely has managed to expand the number of research and development (R&D) centres it operates from just the one in China in 2009, to a total of 10 in 2020. This includes one in Malaysia, which was formed together with Proton.
The result of all that R&D work has also seen the creation of four vehicle platforms that underpin most models made by Geely and Volvo, including the B-segment Modular Architecture (BMA), Pure-electric Modular Architecture (PMA), Compact Modular Architecture (CMA) and Scalable Product Architecture (SPA).
Of course, Volvo isn’t the only one to be touched by Geely, as the group also owns stakes in several other companies over the years, including Geometry, smart, Polestar, the London Electric Vehicle Company (LEVC), Lotus, Lynk & Co and Proton. It also dabbles in other ground and sky mobility companies like Terrafugia, Volocopter, CaoCao, StarRides, as well as low-orbit satellites via Geespace.
That’s quite a resume, but there are no plans to slow down, as Geely is hopeful to be among the top 10 automobile companies in the world moving forward. Given the current momentum, that goal certainly holds promise.
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Because they are only insignificant to you?
Because their sales volume and technologies are many folds more than Malaysia made Milo tin Perodua . Only in Malaysia , cheap new cars Like Perodua top the sales chart while expensive premium cars are not in.top three. Why ?
Why the Milo Tin Perodua gets so.much attention in.Malaysia but not outside Malaysia. Why?
Proton is so insignificant amongst geely family even lotus and newbie geometry are more obvious in the chart. If produa is milo tin then poton is a soda can..
And yet Geely values Proton input so much so they even used Proton inspired elements for their historically significant and very special edition (https://paultan.org/2020/08/10/special-edition-geely-boyue-gets-proton-x70s-infinite-weave-grille-in-china-to-mark-million-unit-milestone/)
So tell me, did Toyota used Perodua contributions for their special cars?
Well daihatsu (which is owned by toyota) did rebadged the myvi for brunei and indonesian market.
So yes. Perodua did contribute significantly to its technical partner and not just a mere front grill.
Until the day when geely confidently rebadge proton cars for other markets, u should continue to stay in the cave.
Because the car is basically a reskinned Daihatsu so they are basically rebadging their own car. There is nothing technical that Perodua contributed to Daihatsu nor Toyota. If you’d consider that as contributions, then Proton did even more as they had supplied Tg Malim built Inspira to Mitsu for their Lancer model.
In the event of an accident between a Proton car and Perodua car, the first one to masuk Longkang and be a Crushed soda can will be the Milo Tin Perodua ..
Even though there is freedom of speech but people like you better GET LOSS.
Don’t know the math ? Geely and Volvo have climbed the ladder of success by entering the fortune, it was 475 ranked in fortune and in 2019 it was ranked 220 in fortune.
And you think yourself significant enough to ask that question? How ironic.
If within 10 years Proton can achieve such rate of growth, those naysayers will have to eat both their shoes. Wahahaha!
Proton should have some face and build their own success instead of claiming geely’s as theirs. What proton have achieved under geely is just proper management which by right is something that any company should do. Proton was much better during mitsubishi era compare to now. If geely did any better then im sure the title of these article would be “geely and proton x year partnership by the numbers”.
Err where did Proton claim Geely’s glory here? Point that out. You sounded like a blind hatetroll which from your past comments, I suspect you’re just that.
U should read the previous article. Proton is so keen to highlight that its success on the x70 and its RHD conversion. Ironically enough, it was done in china. Im sure proton shipped its whole army of engineers to china for that purpose because the brilliant chinese engineers for some reason too dumb to do a RHD conversion.
Done in China by Proton engineers, do read the article in the entirety. Furthering on that, they went further on development with localisation for CKD version. Again all are explained in this article. These are Proton’s hardwork and effort, and no way you can take that away from them. It is not a matter if the Chinese engineers weren’t able or not. The fact is Geely gave Proton the chance and freedom to execute it.
Done in China ≠ done by China
Nonsense , when Proton was in collaboration with Mitsubishi then, All the continental cars except the japanese cars were Tax like Hell !
Proton did not benefit much from mitsubishi except rebadging .. Furthermore, those Proton rebadged Mitsubishi were rather outdated and cannot export overseas ( due to Mitsubishi restrictions).
Under Geely, New nice looking models and affordable pricing with latest tech had win back Malaysia car buyer hearts once again.
So Proton under Geely is doing much better than with Mitsubishi
Hahaha, are you for real?
You are so so proud because the grille design is used?
Are you being sarcastic?
Ahahaha,… aib tu tutup sikit.
You know, there’s ignorance and then there’s you taking the cake, running away, and eating it whole by yourself.