Volvo Cars announced plans on Oct. 23 to eliminate approximately 2,500 more positions worldwide after its third quarter revenue in China nearly halved and the Swedish automaker swung to a steep operating loss.
Shares of the company, which is controlled by China’s Zhejiang Geely Holding Group, plunged 24.2 percent on the Stockholm stock exchange on Oct. 23, closing at 10.70 Swedish kronor (about $1.08) after touching a record low during trading.
Volvo reported an operating loss of 5.6 billion Swedish kronor (about $563 million) for the July–September quarter, compared with a profit of 6.4 billion kronor (about $644 million) a year earlier. Global revenue fell 23 percent to 66.9 billion kronor (about $6.73 billion), while free cash outflow more than doubled, from 4.3 billion kronor (about $432 million) to 8.9 billion kronor (about $895 million)….