The automotive giant, Jaguar Land Rover, has reported a profit of £1.1bn for the first six months of its year to the end of September 2024. However, whilst profits are up, sales are staling with revenue remaining at £13.7bn.The company has stated that this is due to a temporary aluminium supply constraint. In the 12 months to March 2024, JLR revenues for the year were £29.0 billion, up 27.1% year‑on‑year, reflecting higher wholesales and a successful product mix. Production levels of Range Rover and Range Rover Sport have significantly increased over the year with the addition of a second MLA body shop at Solihull.
JLR sprang back into life in 2023, after struggling during the semi-conductor shortage. In the full-year 2023, JLR car sales worldwide increased by 27% with the Defender and Range Rover the global top-selling models and 420,084 new cars delivered worldwide. JLR recorded its highest quarterly profit in six years in the final 3 months of 2023, which was partly due to a record period for Range Rover sales.
JLR has vehicle plants in China, Brazil, India, Austria, and Slovakia, as well as seven technology hubs across the globe. In the UK it has two design and engineering sites, three vehicle manufacturing facilities, an engine manufacturing centre, and a battery assembly centre. The Castle Bromwich site in the Midlands will be the first plant in the UK to manufacture premium electric vehicles. At the end of 2024, JLR retendered its major UK line feed logistics contract, which saw DHL lose out to rival bidders – it will exit the deal next April.
JLR has pledged to inject £15bn over the next half-decade into ramping up EV production, as part of the Reimagine Strategy, led by the Range Rover and Defender brands, which have sustained global demand. JLR expects 70% of its sales will be battery electric in 2027, compared with the ZEV mandate target of 38%. The carmaker currently only sells only one zero-emission vehicle, the Jaguar I-Pace. Its first electric Range Rover will start deliveries soon (but an exact date hasn’t been released) with pre-orders from the end of 2025.
In FY24, JLR further expanded its skills base by opening a further 950 electrification roles in engineering. More than 20,000 JLR colleagues and partners have been trained in electrification and digital skills as part of JLR’s Future Skills Programme. Future Skills training is being led by the JLR Learning Academy which invests around £20m a year to train JLR employees and partners. Looking forward, JLR will be training at least a further 15,000 employees across manufacturing, engineering and workshops as part of the programme.
Source: Ti Insight
Author: Julia Swales
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