Škoda Auto: Sturdy earnings in 2023 exhibit strong enterprise mannequin inside ongoing transformation

The Škoda Auto Group1) achieved a file income of €26.5 billion in 2023 (2022: €21.0 billion; +26.2%). The corporate considerably elevated its working revenue by 182.3% in comparison with the earlier yr to €1.8 billion (2022: €628 million euros). The Czech carmaker additionally improved its return on gross sales (RoS) to six.7% (2022: 3%). Globally, Škoda Auto delivered 866,800 autos to clients final yr (+18.5%). With 81,700 items offered, the Enyaq recorded the best proportion progress amongst all fashions (+52.1%), making it one of many top-selling BEVs in lots of European markets. By getting into the Vietnamese and Kazakh markets, the Czech automotive producer continued to implement its internationalisation technique. As well as, Škoda can also be resolutely implementing its plans within the areas of digitalisation and electrification: The corporate is dedicated to investing billions of euros in e-mobility within the coming years. These strategic investments, coupled with the corporate’s strong monetary efficiency, are important for making certain its long-term success within the quickly evolving automotive business.

“With our outcomes for 2023, we’ve as soon as once more demonstrated the resilience of our enterprise mannequin and nice flexibility. Our technique proves efficient and our numerous mannequin portfolio, which mixes the perfect of each worlds, continues to ring a bell with our clients. I sincerely thank all Škodians in addition to our retailers and companions world wide for his or her continued efforts. They’re those who’ve made this doable underneath demanding circumstances and in a quickly altering setting. We’re conscious that this result’s only a snapshot because the competitors retains rising whereas the worldwide markets and client confidence will stay risky. But this strong basis and the strategic measures are essential for us to proceed to make the required investments in our future. At this time we’re presenting the subsequent essential step on this regard: The design examine of our new all-electric metropolis SUV crossover Škoda Epiq, which can be formally unveiled in 2025 with a price ticket of round 25,000 euros, making e-mobility much more inexpensive.”

Klaus Zellmer, Škoda Auto CEO

“In 2023, we achieved the best income in our firm’s historical past; at 26.5 billion euros, a 26.2% improve over the earlier yr. On the similar time, we greater than doubled our return on gross sales to six.7 per cent – with out the particular results from the discontinuation of our actions in Russia, it could even have been as excessive as 7.5 per cent. This impressively proves: Our Subsequent Stage Effectivity+ program is working, and the measures taken are having the specified impact. From this place of energy, we’re persevering with to take a position important quantities in our ongoing transformation in direction of e-mobility and digitalisation regardless of market fluctuations and geopolitical uncertainties.”

Holger Peters, Škoda Auto Board Member for Finance, IT and Authorized Affairs

“We achieved nice gross sales numbers in 2023 with the Enyaq securing fourth place amongst all battery-electric autos throughout Europe. In Germany, our most essential single market, it took third place and in our home Czech market in addition to in Slovakia, it even was the top-selling electrical mannequin. We’ve got additionally made progress in different key strategic areas: Via our Škoda X Innovation Hub, we’ve persistently continued to digitalise the client journey across the car because of the combination of providers similar to Pay to Park or Pay to Gasoline. And we’ve taken the best steps to win over new clients to our model: Our latest entry into the essential progress market of Vietnam is strengthening our model within the ASEAN area. Moreover, after establishing the strategic collaboration with our native accomplice in Kazakhstan we’re able to re-enter this promising market this yr.”

Martin Jahn, Škoda Auto Board Member for Gross sales and Advertising and marketing

Elevated deliveries, robust outcomes

In 2023, Škoda Auto efficiently delivered 866,800 autos to clients, an 18.5% improve over the earlier yr. The all-electric Enyaq recorded by far essentially the most substantial progress amongst all Škoda fashions at 52.1% YoY. Financially, the Škoda Auto Group experiences a file income of €26.5 billion in 2023 (2022: €21.0 billion; +26.2%). The corporate considerably elevated its working revenue by 182.3% over the earlier yr to €1.8 billion (2022: €628 million). The RoS additionally improved to six.7% (2022: 3%). Škoda Auto achieved these outcomes in opposition to the backdrop of a difficult market setting, geopolitical uncertainties, rising materials and commodity costs and reducing buying energy. The automotive producer will use this robust basis to make important investments in its future.

Škoda Auto Group¹⁾ – Key figures from January to December 2023²⁾

¹⁾ Škoda Auto Group contains Škoda Auto a.s, Škoda Auto Slovensko s.r.o., Škoda Auto Deutschland GmbH, Škoda Auto Volkswagen India Pvt. Ltd. and till Might 2023, the Group additionally included OOO Volkswagen Group Rus, the monetary outcomes of that are included till then.
²⁾ Proportion deviations are calculated from non-rounded figures.
³⁾ Contains manufacturing within the Škoda Auto Group, excluding manufacturing at accomplice meeting vegetation in China, Slovakia and Germany, however together with different Group manufacturers similar to SEAT, VW and AUDI; car manufacturing excluding half/full kits.
⁴⁾ Contains Škoda Auto Group gross sales to distribution firms, together with different Group manufacturers together with SEAT, VW, Audi, Porsche and Lamborghini; car gross sales excluding half/full kits.
⁵⁾ In Might 2023, the Volkswagen Group accomplished the sale of its belongings in OOO Volkswagen Group Rus to OOO Artwork-Finance, supported by the Russian Seller Avilon.

Engaging, comprehensively up to date mannequin portfolio

These monetary achievements had been pushed by Škoda’s modernised line-up, providing clients essentially the most in depth vary of fashions and powertrains within the model’s historical past. This contains purely battery-electric autos, plug-in and mild-hybrid drivetrains, in addition to extremely environment friendly combustion engines. Over the previous yr, Škoda has comprehensively upgraded its mannequin portfolio: The refreshed compact fashions Scala and Kamiq had been joined by the most recent generations of Škoda’s flagship fashions, the Kodiaq and Very good, constructing on the success of their predecessors. As well as, the manufacturing of the Very good has been relocated from Kvasiny to the Volkswagen model’s plant in Bratislava. It’s now produced alongside the Volkswagen Passat, delivering appreciable synergy results throughout the Model Group Core.

Additional specializing in digitalisation and buyer centricity in 2023

Attaining future success within the core automotive sector rests on software program growth. In 2023, establishing the Prague-based innovation hub, Škoda X, marked a decisive step in direction of the speedy growth and integration of customer-focused improvements into Škoda’s autos. This contains the in-car implementation of the AI-based chatbot ChatGPT, together with introducing digital providers similar to Pay to Park, Pay to Gasoline, and the Digital Certificates, amongst different options. The Czech automaker is firmly dedicated to persevering with its journey in digitalisation and put money into digital providers, connectivity options, and superior machine studying applied sciences over the approaching years.

Efficiently implementing Škoda Auto’s internationalisation technique

Along with steady investments in key strategic areas, Škoda is persistently increasing its international footprint into dynamic market areas to make sure long-term success. In 2023, Škoda Auto entered the Vietnamese market, strategically main the best way for the Model Group Core. The market presents promising progress alternatives and serves as a gateway to the dynamic ASEAN area. Moreover, Škoda Auto has introduced its return to Kazakhstan, the place the model will supply the Kodiaq, Kamiq, Karoq and Octavia fashions, assembled domestically in Kostanay.

Škoda Auto’s 2023 sustainability achievements

In 2023, Škoda made tangible progress in direction of attaining its bold sustainability targets. In February 2023, Škoda commissioned a photovoltaic system at its Pune plant able to producing as much as 26.6 GWh of electrical energy yearly, thereby assembly as much as 30% of the positioning’s electrical energy wants. Furthermore, in autumn 2023, Škoda put in a rooftop photo voltaic system at its essential plant in Mladá Boleslav. This generates greater than two gigawatt hours (GWh) of emission-free electrical energy per yr throughout an space of over 10,000 m2. As well as, the heating plant operated by ŠKO–ENERGO introduced transitioning from coal to 100% biomass. At its Czech amenities, Škoda Auto managed to cut back its environmental footprint by 56.4% in 2023 relative to 2010 throughout 5 key sustainability metrics: water utilization, vitality consumption, CO2 emissions, waste manufacturing, and risky substance emissions. The corporate stays targeted on minimising the ecological impression of its operations alongside all the worth chain and is actively selling round financial system rules. By 2030, Škoda Auto goals to attain carbon neutrality in any respect its manufacturing websites within the Czech Republic and India.

Škoda’s strategic EV rollout: Introducing the Elroq and Škoda Epiq

With the extremely anticipated world premiere of the Škoda Elroq later this yr, Škoda is accelerating its daring mannequin marketing campaign that features the launch of six electrical fashions within the coming years. With this step, the Czech automotive producer can be increasing its electrical portfolio into the essential compact SUV phase. The Elroq can be Škoda’s first electrical mannequin to embody the Trendy Strong design language, additional enhancing the outside design of its EV vary. Moreover, the not too long ago previewed sub-compact SUV, the Škoda Epiq, presents a primary glimpse of Škoda’s method to entry-level BEVs. Slated for launch in 2025 and priced attractively at round €25,000, the Škoda Epiq is ready to open up the strategically essential phase of electrical sub-compact SUVs. With a purpose to press forward with the transformation towards electrical mobility, the corporate is dedicated to investing billions of euros in e-mobility within the coming years.

SOURCE: Škoda