Chinese automaker Geely Automobile Holdings announced Wednesday it has more than doubled its profit in the first half, registering its strongest growth for eight years, thanks in particular to the success of the models designed with its Swedish affiliate Volvo.

The group, formerly known for its imitations and the poor quality of its vehicles, has gradually developed into a real automaker capable of claiming to compete with the big names of the sector.
Volvo's vehicles, such as the GC9 sedan and the SUV Boyue, are among the best-selling vehicles in China, the world's largest car market.

"Since the beginning of 2017, the group's performance has exceeded management's initial expectations despite a generally less buoyant market in China over the same period," Geely said in a Hong Kong stock exchange announcement.
Net profit was 4.34 billion yuan (552 million euros), up from 1.91 billion yuan a year earlier, an increase of 128 percent. However, the Group chose not to pay an interim dividend.

Sales jumped 89% over the January-July period and last month, Geely raised its target for 2017 sales to 1.1 million vehicles by 10%, compared with 766,000 vehicles last year.
Zhejiang Geely Holding Group, which controls the Geely Automobile builder based in Hong Kong and owns Volvo Car Group as well as the builder of London black taxi cabs, took in May a 49.9% stake in the Malaysian manufacturer Proton in difficulty.

The Chinese group noted that the business environment in its former key export markets such as Eastern Europe and the Middle East had remained weak.
In its next phase of expansion, Geely plans to launch a third brand, Lynk & Co., in 2018 in developed markets, particularly in Europe and the United States

The group also wants to rely more on the technologies developed by Volvo, including small turbocharged gasoline engines in the Geely brand cars.
 

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