Mitsubishi will launch 11 new cars by 2020 in a bid to turn its fortunes around after recording a £1.06 billion loss in 2016.
The brand, which is now part of the Renault-Nissan-Mitsubishi Alliance following its acquisition last year, has created the ‘Drive for Growth’ plan with the objective of making investment more efficient.
It will up spending on assets by 60% in fiscal year 2019, alongside a 50% boost in research and development investment. At the same time, production costs will decline by 1.3% per year.
This shift in spending aims to ramp up global sales to 1.3 million vehicles. Mitsubishi wants revenue to reach 2.5 trillion yen (£16.7bn) by the start of the next decade.
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Company CEO Osamu Masuko said: “'Drive for Growth' is a new roadmap for Mitsubishi Motors. We will rebuild trust in our company as our highest priority, successfully launch new vehicles and achieve a V-shaped financial recovery.
“These will be the foundations for our future sustainable growth, which will involve increased capital expenditure and product development spending.”
The Renault-Nissan-Mitsubishi Alliance is officially the world’s largest car maker, overtaking the Volkswagen Group earlier this year. The alliance sold 9.96 million vehicles across 200 markets in 2016.
The company launched an Alliance 2022 plan with the announcement of £8.9bn worth of investment, through which 12 electric cars and 40 autonomous-capable cars and ‘robo-vehicles’ will be created.
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11 new cars by 2020
This is worse than Fords new cars claim rubbish. 11 models in 38 months is one every 4 months. Complete and utter BS.
I wish them well, well on the way to jobcentre!
Hilarious
V shaped recovery. Sounds like a load of senior management tosh. So spend and invest to drive future growth. Yep, it's called business. Most of us in business get it, it's 101. The trick is to do it when you are making profits to jump from one revenue curve to the next when sales mature on existing products.
It's v shaped at Mitsubishi as they kept trying to flog rubbish outdated products (see shogun for evidence) while the market had moved on, relying on a couple of average PHEVs to hold them up financially. Hence the down bit of the v. The v will be deeper because of their approach. Lucky investors.
@ spanner
I am afraid you have a wrong impression Spanner.
The Shogun virtually sells itself......so there is still a market for 'outdated' 4x4's as you call them - to do a job of work!
The L200 and Outlanders have excellent sales results....so Mitsubishi isnt quite in such a dire position as you suggest.
They also have some very committed dealerships.
Suggest you do some homework before you spout inaccurate opinion.
BTW, I am not a Mitsubishi employee....before you make another assumption!
Sales, thought I'd bring some states to the table
Calm down. Mitsubihi global sales went down from 1.2m in 2015 to 1.1m in 2016.
289
have you ever owned one? I suspect not. I have. I had a late registered shogun 5dr, owned it for 4 years, the one with the later 3.2 engine. I also currently have a classic 1987 Pajero as a project, which is another story, but shows that I don't have any issues with mitsu.
Back to the shogun. Rattly engine (god awful 4 pot diesel ), appalling dynamics, ancient technology inside, yes good offroad ( I had to drag out a friend's Range Rover which I enjoyed a lot), good tow vehicle. Very expensive for what it is, bit crap at high speed, not without charm. But in Isolation I never noticed the short comings of the ancient design.
I loved my shogun right up until the point I drove a disco. Which was infinitely nicer to drive, smooth, both ride and engine, just as practical. Then the disco 4 just took it away, so far ahead of the mitsu. Oh and before you bang on about reliability, neither of my LRs Have ever let me down. The shogun seized its starter motor in a coop car park, leaving me needing a tow truck to the local mitsu garage.
There is utterly no other reason to buy one unless you live near a mitsu dealer, well there wasn't while the disco 3&4 existed. Now however...
so mr 286, please be aware that people can have well judged opinions, sometimes based on ownership experiences. Oh, and I don't work for LR, before you jump to any other conclusions.