Škoda Auto: Sturdy earnings in 2023 show 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 automobiles to clients final yr (+18.5%). With 81,700 models offered, the Enyaq recorded the best share development amongst all fashions (+52.1%), making it one of many top-selling BEVs in lots of European markets. By coming 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 trade.

“With our outcomes for 2023, now we have 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 around the globe for his or her continued efforts. They’re those who’ve made this potential beneath demanding circumstances and in a quickly altering surroundings. We’re conscious that this result’s only a snapshot because the competitors retains rising whereas the worldwide markets and shopper confidence will stay risky. But this strong basis and the strategic measures are essential for us to proceed to make the mandatory investments in our future. Immediately we’re presenting the following 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 identical 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 might even have been as excessive as 7.5 per cent. This impressively proves: Our Subsequent Degree Effectivity+ program is working, and the measures taken are having the specified impact. From this place of energy, we’re persevering with to speculate vital 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 automobiles 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. Now we have additionally made progress in different key strategic areas: By our Škoda X Innovation Hub, now we have constantly continued to digitalise the shopper journey across the automobile because of the combination of providers reminiscent of Pay to Park or Pay to Gasoline. And now we have taken the suitable steps to win over new clients to our model: Our latest entry into the essential development market of Vietnam is strengthening our model within the ASEAN area. Moreover, after establishing the strategic collaboration with our native associate 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, sturdy outcomes

In 2023, Škoda Auto efficiently delivered 866,800 automobiles to clients, an 18.5% improve over the earlier yr. The all-electric Enyaq recorded by far essentially the most substantial development amongst all Škoda fashions at 52.1% YoY. Financially, the Škoda Auto Group reviews 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 surroundings, geopolitical uncertainties, rising materials and commodity costs and lowering buying energy. The automotive producer will use this sturdy basis to make vital 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⁾ Includes manufacturing within the Škoda Auto Group, excluding manufacturing at associate meeting vegetation in China, Slovakia and Germany, however together with different Group manufacturers reminiscent of SEAT, VW and AUDI; automobile manufacturing excluding half/full kits.
⁴⁾ Includes Škoda Auto Group gross sales to distribution firms, together with different Group manufacturers together with SEAT, VW, Audi, Porsche and Lamborghini; automobile 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 have 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 consists of purely battery-electric automobiles, 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 have been joined by the newest 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 inside 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 fast growth and integration of customer-focused improvements into Škoda’s automobiles. This consists of the in-car implementation of the AI-based chatbot ChatGPT, together with introducing digital providers reminiscent of 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 spend money on 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 constantly increasing its world 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 provides promising development 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 regionally in Kostanay.

Škoda Auto’s 2023 sustainability achievements

In 2023, Škoda made tangible progress in direction of attaining its bold sustainability objectives. 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 most important 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 services, Škoda Auto managed to scale back its environmental footprint by 56.4% in 2023 relative to 2010 throughout 5 key sustainability metrics: water utilization, power consumption, CO2 emissions, waste manufacturing, and risky substance emissions. The corporate stays targeted on minimising the ecological influence of its operations alongside your complete worth chain and is actively selling round economic system ideas. By 2030, Škoda Auto goals to realize 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 section. The Elroq can be Škoda’s first electrical mannequin to embody the Fashionable Stable design language, additional enhancing the outside design of its EV vary. Moreover, the lately previewed sub-compact SUV, the Škoda Epiq, provides 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 about to open up the strategically essential section of electrical sub-compact SUVs. To be able 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