Lotus posts £594m loss for 2023 ahead of EV sales growth

Lotus delivered fewer than 7000 cars and posted a net loss of $750 million (£594m) in 2023 but says it remains on track to achieve its ambitious transformation objectives over the coming years.

In its first earnings report since going public in February, the company said it is making "steady progress" towards the aims of its Vision80 business strategy – under which it plans to crack 150,000 annual sales a year by 2028.

Last year, Lotus sold 6970 cars (for revenues of $679m), which is a record for the brand but still less than 5% of the volumes it plans to be achieving in just four years' time. 

The company said deliveries increased by 110% in the final quarter of 2023 following the launch of the Lotus Eletre SUV, which accounted for 63% of its total yearly volumes, suggesting potentially much higher volumes are possible in 2024.

The Lotus Emira sports car made up around a third of Lotus's global deliveries last year, but that proportion will rapidly diminish as the firm's more mainstream-focused electric cars start to come on stream at its dedicated EV factory in Wuhan, China.  

The brand's second electric car, the Emeya saloon, is now on sale in China and is expected to begin European deliveries in the third quarter of this year. It also plans to launch the Eletre in various new markets this year, including the US, and expects to boost its sales to 26,000 units as a result.

In addition, the brand predicts an increase in its gross profit margins from 15% to between 17% and 19% in 2024. 

A Porsche Macan-sized electric SUV codenamed Type 134 is due on sale in 2025 and expected to have a dramatic impact on global sales. 

Lotus Technology boss Qingfeng Feng said: "We are pleased with the early progress and promising results achieved in 2023, with increasing deliveries reflecting the strength of our brand and ramping production.

“We look forward to further accelerating our growth in the year ahead and remain dedicated to creating long-term value for our customers and investors as we continue to execute our Vision80 strategy, building on our luxury brand equity and advanced technology advantages.”