Jul 26, 2008

Lamborghini sets record profit as industry struggles

The world may be feeling the pinch of a weak U.S. economy, the automobile industry perhaps keenest of all, but Lamborghini has found a niche that’s impervious to the pain. The Italian supercar company has returned record results for both sales and profits over the first half of 2008.

Strong sales figures brought revenues up by nearly 10% over 2007 to $434.5 million. That left a profit of $54.8 million, up over 32% from last year. In fact, that figure is equivalent to 74% of the firm’s profit for the entire 2007 fiscal year.

All of this business is borne on the back of just 1,309 vehicles sold, though that’s an increase of 71 cars, or nearly 6%, over 2007. The powerhouse driving the increase: the Middle East, up 40% as the U.S. and Europe held steady, reports Automotive News. Record high fuel prices are driving good times and extravagant spending in at least part of the world, it appears.

Lamborghini CEO Stephan Winkelmann was reserved despite the strong performance, saying, “”There is no brand that is immune to financial crisis, but we always produce less than demand. We are conservative in our forecast.”

Sales for the second half of 2008 look to be at least as strong for Lamborghini, especially as the newly redesigned Gallardo LP560-4 has just started arriving in dealerships. For more on the LP560-4.

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