Ten years may not seem like a long time ago. But think back and you'll realize the latest smartphone at the time was Apple’s iPhone 4. In the automotive segment, 2010 was also the year that Chinese automaker acquired the Swedish brand Volvo from Ford.
That means it's been 10 years since Volvo and Geely started their relationship. To commemorate the occasion, Geely has released a short video showcasing the growth of both automakers in the last ten years. No doubt that the two have helped each other grow to the success they are today. More importantly, without the help of Geely, Volvo might not have survived at all.
Prior to Geely's acquisition of the brand, Volvo reported an operating profit of negative 5.19 billion SEK (599 million USD) in 2009. Within the same period, they only sold 335,000 units as well. The low sales numbers weren't just seen in 2009, but also in the years prior. Thanks to an injection of 1.2 billion USD from the acquisition, the company is still around today. They also managed to turn things around in just 10 years.
In 2019, the Swedish automaker posted an operating profit of 14.3 billion SEK (1.65 billion USD). More importantly, sales have also doubled to over 700,000 units in the same period. This is thanks to the refocused product lineup along with the introduction of a new scalable vehicle platform that underpins most Geely and Volvo models today. More recently, they even launched the Polestar performance brand.
It wasn’t just Volvo that benefited from the deal. Since Geely’s acquisition of Volvo, the Chinese automaker grew a lot bigger as well. Geely sold nearly 1.4 million vehicles in 2019 alone. They also expanded their R&D network with various design and development centers around the world. More importantly, they also acquired various other brands after Volvo including Lotus and Proton.
If those aren’t enough, Geely ranked 243 in the Fortune 500. In fact, the company has been in the Fortune 500 for nine years now. Since they first entered in 2012, Geely has risen over 200 places.
2020 may be a tough year for the world, especially the automotive sector. Despite that, Geely and Volvo are optimistic that their growth will continue. In fact, they hope to be one of the top 10 global automakers in the years to come. Imagine if Geely didn't take a risk at acquiring Volvo ten years ago, would they be where they are right now? Better yet, would Volvo still be around?