Jaguar Land Rover today reported increased wholesale volumes for the third quarter of FY23 (three-month period to December 31, 2022), reflecting a gradual improvement in chip supplies.
Wholesale volumes were 79,591 units in the period (excluding the Chery Jaguar Land Rover China joint venture), up 5.7% compared to the prior quarter ending September 30, 2022, and 15.0% compared to the same quarter a year ago. Compared to the prior quarter, wholesale volumes were higher in North America (+17%), the UK (+13%), and overseas (+10%) and lower in China (-13%) and Europe (-3%). Volumes in China were impacted by COVID.
The production ramp up of New Range Rover and New Range Rover Sport continued with 27,456 units wholesaled in the quarter, up from 13,537 in Q2.
Retail sales for the third quarter were 84,827 units, up 5.9% compared to the same quarter a year ago and 3.7% lower than the prior quarter ending September 30, 2022, reflecting timing between retail and wholesale.
The company continues to see strong demand for its vehicles. As at 31 December 2022, the total order book increased to 215,000 client orders, up around 10,000 orders from 30 September 2022. Demand for the New Range Rover, New Range Rover Sport and Defender remain strong and represent 74% of the order book.
Jaguar Land Rover expects to report unaudited results for the third quarter ending December 31, 2022, on January 25, 2023. On a preliminary basis, free cash flow is likely to be over £400 million positive in the quarter. In December 2022, the company completed a renewal of its undrawn revolving credit facility with 23 banks at £1.45 billion, with the maturity date extended from March 2024 to April 2026.