Volvo ALL-TIME profit and revenue in 2021 – XC40, XC60 and XC90 take 70% of sales

Despite the ‘Covid and Chips’ issues, Volvo had its strongest financial year in 2021 with record revenue and record profitability.

We hear endless stories about car makers’ struggle to deliver cars and make profits in the wake of ‘Covid and Chips’. But no one seems to have told Volvo times are tough.

Despite all the problems facing car makers at the moment, Volvo managed to deliver their best-ever revenue and profits in 2021, with revenues of £22.3 billion and operating income of £940 million.

The profits come on the back of sales of 698,693, with the XC60 taking 215,635, the XC40 201,307 and the XC90 108,231, adding up to over 70 per cent of Volvos total, with the saloon and estate cars making up the difference.

All this has been achieved despite a downturn in production in Q4 due to the ‘C&C’ issues – down 20 per cent on 2020 – but Volvo says demand and orders are strong, and profits and revenue figures have been helped by prioritising the production of high-margin cars.

Håkan Samuelsson, outgoing Volvo boss, said:

2021 was a year to be proud of for Volvo Cars. Despite persistent component supply shortages in the auto industry, we increased market share globally and delivered all-time high revenue and profitability.

Despite the drop in Q4, Volvo saw Recharge models account for 34 per cent of volume (6 per cent of which was BEVs), with Volvo predicting they will continue to grow and have increased capacity for Recharge models to 150,000 per annum.