A slump in Chinese sales has been blamed for a huge £3.6 billion annual loss for Jaguar Land Rover.
The news comes one year after the company announced a £400 million profit, but bosses at the Coventry based car maker are confident more recent figures reflect that the company is bouncing back from some tough times.
The company was in the news earlier this month amidst strong rumours that the company was being sold to Peugeot, and the warning signs for the record losses were sign-posted at the start of the year when the luxury car maker announced that it was cutting 4,500 jobs.
Global sales have dropped by 5.3 per cent, despite sales increasing in two of their biggest markets, the UK and North America. But the company is positive that good news is around the corner, JLR are at the forefront of autonomous and electric vehicle evolution and their I-Pace EV has won a host of awards globally.
“Jaguar Land Rover has been one of the first companies in its sector to address the multiple headwinds simultaneously sweeping the automotive industry,” said Land Rover’s Chief Executive, Dr Ralf Speth.
"We are taking concerted action to reduce complexity and to transform our business through cost and cash flow improvements.
"The company has returned to profitability in the fourth quarter and already delivered £1.25 billion of efficiencies and savings.”
He added: "Jaguar Land Rover is focused on the future as we overcome the structural and cyclical issues that impacted our results in the past financial year.
"We will go forward as a transformed company that is leaner and fitter, building on the sustained investment of recent years in new products and the autonomous, connected, electric and shared technologies that will drive future demand.”