At the announcement of the Proton-Geely deal, officials from Zhejiang Geely were present to provide the media with a little insight into the company’s background. Here’s a bit of trivia to start: the company was founded in 1986 as a refrigerator maker.
In terms of financials, Geely’s revenue has continuously grown over the years, from US$23 billion in 2011, to US$25.7 billion in 2014 and US$30.4 billion in 2016. The company was listed as a Fortune 500 company in 2016 (410th place), which also represents its fifth consecutive year it appeared on the acclaimed list by Fortune Magazine.
Furthermore, Geely’s share price on the Hong Kong Stock Exchange (0175.HK) has increased from HK$2.56 on May 23, 2012 to nearly five times that amount, HK$12.38 on April 23, 2017. As for May 19, 2017, Geely’s share price stands at HK$11.20, with a market capitalisation of HK$99.88 billion.
Geely’s growing sales volume is a strong factor for its good financials, where in 2016, the company managed to sell 765,851 vehicles, a 50% year-on-year increase. For 2017, the company’s sales target is set at one million units, while in the coming years, that number will balloon to 2.2 million vehicles yearly.
As most of you are aware, Volvo is also part of the Geely umbrella, after being fully acquired back in 2010. With strong support from Geely, Volvo has managed to develop many new models like the XC90, S90 and XC60. This has also helped boost Volvo’s sales volume from 335,000 in 2009, to 534,000 in 2016.
The technologies and platforms developed by Volvo and Geely will help both companies expand or improve their current product line-up, as Geely has demonstrated with its new MPV concept.
Geely has also acquired or introduced other brands to its portfolio with the likes of Lynk & Co as well as the London Taxi Company (formerly owned by Manganese Bronze Holdings). With several R&D centres as well as design studios in various countries, it appears Geely will have no shortage of resources at its disposal.
The Chinese company currently has 65,000 employees in its workforce, led by its founder Li Shu Fu, who has over 30 years of experience in the investment and management of the automobile manufacturing business in China. Here’s what the automaker has in terms of models for its domestic market.
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