Lotus Reports £2 million Profit

Even though the global economic crisis has reduced sales, shares and demand for most car models around the world, Lotus today touted a profit of 2 million pounds (that's approximately $3.1 million) in the last financial year. Sure, this period does not include the beginning of the global recession but it still represents an impressive turnaround after a loss of 5 million pounds reported in the previous year.

But even so, Lotus managed to gain remarkable sales by “improving its efficiency, careful cost cutting, steady sports car sales and increased 3rd party engineering consultancy sales,” according to a report published by PistonHeads citing Lotus officials.

“These results are a tremendous turnaround achievement for Lotus. I would like to thank all Lotus staff for their exceptional dedication and hard work to ensure the effective turn-around of the business,” Mike Kimberley, chief executive for Lotus Group International Ltd and Group Lotus plc said according to the aforementioned source.

“We are also tracking our strategic five year plan which enables Lotus to deliver an exciting new range of vehicles, develop and sell new advanced technologies through our extensive global operations and engineering client base and ultimately put Lotus on a greener and firmer footing and a consistently profitable commercial basis for the future.”

Lotus increased investments in R&D centers and new technologies by 95 percent in the previous financial year, PistonHeads added, with planned upgrades for current models and new product development prepared for next years. However, most people are still waiting for the financial results including the global recession sales when most carmakers were forced to cut jobs and reduce production due to a continuously decreasing market demand.