- Turnaround One Year Ahead of Schedule
- Operating Profit 44 Million Euros
- Profit after Tax 170 Million Euros
- Expenditure for Research & Development and Investments up 24 per cent
Spanish brand SEAT recorded an operating profit of 44 million Euros in 2007, according to Spanish accounting standards. The result represents an improvement of 136 million Euros on 2006. At the same time, profit after tax was 170 million Euros, which represents an improvement of 218.8 million Euros on 2006.
Operating income was 5,971 million Euros, 1.5 per cent up on 2006 (5,880 million Euros). Expenditure on Research & Development, investments in new products, improved processes and product-related facilities increased to 504 million Euros, 24.4 per cent up on 2006 (405 million Euros).
At its headquarters in Martorell the CEO of SEAT, Erich Schmitt, commented on the company’s performance saying: “SEAT’s workforce and management has worked hard to reach the financial turnaround one year ahead of schedule. It provides the necessary basis for the future of SEAT. We are focusing on sporty and well designed cars that are environmentally sound, and built in a highly precise fashion.”
In 2007 the Spanish car manufacturer increased its deliveries to customers by 0.4 per cent to 431,000 (2006: 429,400). Best performing markets were the United Kingdom (+5.8%) and France (+5.1%) as well as the new markets of Central and Eastern Europe (+27.3%). Development was particularly outstanding in Poland (+70.6%). The most popular SEAT models were the Leon and the Ibiza.
With regard to SEAT’s future strategy and projects Mr Schmitt underlined: “Our strategy for the next ten years aims at selling more than 800,000 cars per year, gaining a return on investment of 15 per cent, gaining leadership in design and quality in our model segments and becoming Spain’s most attractive employer.”
For the near future he announced a new supermini model to be launched in 2008 as well as an upper medium segment saloon and estate, to be launched in 2009.
Mr Schmitt said of the prospects for this year: “In 2008 SEAT will continue to strictly follow the SEAT Excellence Program and will thereby increase its sales volume and further improve its operating profit.”Published 27 March 2008