Infrastructure

Home page

Infrastructure

AvtoVAZ posts 3.6 bln rbl net profit in 2010 after loss

10 May 2011 14:12 (UTC +04:00)

Baku - APA-Economics. Russia’s largest car maker AvtoVAZ made a 3.6 billion rumbles ($130.43 million) net profit to IFRS in 2010 following a 49.2 billion roubles loss in 2009, the company said in a statement on Tuesday, RIA Novosti reported.

"The positive financial result was formed thanks to AvtoVAZ’s profit to Russian Accounting Standards (RAS) of 2.1 billion roubles, an 800 million roubles loss from activities of consolidated subsidiaries and income from adjustments in accordance with IFRS amounting to 2.3 billion roubles," the firm said.

Revenue soared 57.5% to 137.6 billion roubles in 2010 on the back of increased demand, including a state-sponsored "cash-for-clunkers" program launched last March.

Gross margin amounted to 12.2 percent.

Costs from suspension of a production line plummeted 1,360 percent on the previous year to 600 million roubles.

"In 2010, AvtoVAZ stabilized operations of the main production line, which cut dead time costs significantly thanks to increased demand for the group’s production," AvtoVAZ said.