/ nearly 6,500 million euros
/ Earnings after tax totalled -149 million euros
/ SEAT generated EBITDA of 221 million and operating cash-flow increased by 70%
/ First time since 2007 investments fully covered by operating cash-flow
/ Over 2,600 million investment and R&D expenses over the past five years
/ Martorell factory recorded the highest production volume since 2007
Martorell, 26/03/2014. – SEAT is improving despite the economic downturn. With a major
upswing in sales demand and production, SEAT closed 2013 with the highest revenue in its
history having posted a turnover of 6,473 million euros, or 6.3% more than the previous year. . . .
“2013 was a difficult and demanding year, but SEAT proved its potential by joining the
ranks of the fastest growing brands in Europe and set sales and production records for the
past years” highlighted SEAT President Jürgen Stackmann during the presentation of the
Fierce market competition in Western Europe (SEAT’s largest trading region), driven by the
challenging economic difficulties in the region, resulted in diminished revenue per unit, one
of the key factors of an operating result -217 million euros in 2013 compared to -134 million
in the previous year*. The operating result was also affected by higher personnel and
restructuring costs and an increase in amortizations due to the launch of new models.
SEAT has made enormous investment efforts over the past five years in order to guarantee its
future, amounting to over 2,600 million euros for investments and R&D expenses. Earnings
after tax totalled -149 million euros compared to -30 million the previous year.
The company’s EBITDA (earnings before interest, tax, depreciation and amortization)
improved by 73% to a total of 221 million euros, and operating cash-flow went up by 70% to
358 million euros. For the first time since 2007, investments were fully covered by operating
cash-flow. Holger Kintscher, Vice-President for Finance and Organization, stressed that
“SEAT has carried out an important streamlining of the balance sheet that consolidates its
financial position. The company has considerably increased its ability to self-finance
investments and has also improved the quality of its operating business”.
Quality and efficiency
With more than 102,000 units delivered worldwide (+44.4%), the Leon holds the key to
explaining SEAT’s positive sales performance in 2013, as overall brand sales reached
355,000 units, with an increase of 10.6%. Its 5-door version, which was the model sold all year, became the brand’s best-selling model in several markets (Germany, United Kingdom,
France, Italy and Turkey, amongst others). SEAT took advantage of the crisis to reduce its
dependence upon the domestic market and expand internationally, exporting 83% of its
output last year compared to 75% in 2009.
Together with the Leon, the Ibiza and Altea ranges and the second complete year of
production of the Audi Q3 gave SEAT its highest production volume in the Martorell facilities
since 2007, with an output of more than 390,000 units (+3.4%). On the 20th anniversary of
its inauguration, the Martorell factory was elevated with the prestigious Automotive Lean
Production award for the efficiency of its production processes.
The quality of SEAT’s processes and products gained widespread international recognition,
which further boosted the company’s brand image. Three SEAT models (Leon, Ibiza and
Alhambra) were distinguished with several awards in many countries, particularly Car of the
Year in the United Kingdom and Car of the Year in Spain for the Leon.
Employment and sustainability
Social engagement and a commitment to sustainability were a major focus for SEAT in 2013.
The company remained one of Spain’s leading industrial employers and in contrast to the
domestic labour market, SEAT has emerged from the worst stage of the crisis with the net
creation of more than 1,000 jobs, rising from 10,369 employees in 2009 to 11,458 last year.
SEAT’s commitment to training – to which some 13 million euros annually are devoted – and
especially to the dual vocational training programme carried out at the company’s
Apprentice School, continues to trigger huge interest among thousands of young people
who see the company as a great opportunity to achieve personal and professional fulfilment.
The inauguration of SEAT al Sol, the car industry’s largest solar energy plant, has become
SEAT’s emblem of environmental commitment, which is also passed on to its products.
Thanks to the company’s Ecomotive range of products, 60% of the vehicles sold by SEAT all
over the world emit less than 120 g/km of CO2, a figure that increases to 80% in the Spanish
market. At the same time, the company is working on initiatives to boost the use of
compressed natural gas (CNG) in the car industry, a fuel that is cleaner, safer and more
affordable. SEAT currently offers two CNG-powered models, the Leon TGI and the Mii Ecofuel,
the model with the lowest consumption and emissions figures in the history of SEAT with 79
In 2014, the range of SEAT vehicles will continue to expand mostly around the Leon family.
After unveiling the Leon Cupra at the Geneva Motor Show, the fastest and most powerful car
in the history of SEAT, the next newcomer before this summer will be the Leon ST 4Drive (with
all-drive traction) followed by the Leon X-Perience, a family-sized crossover version, by the
end of the year.
SEAT’s best-selling Ibiza, and one of the company’s cornerstones that has remained a sales
leader in Spain since 2001, will see its range expanded in a month with a special version to
commemorate the model’s 30th anniversary. This summer sales will begin of the Mii by
MANGO, the urban car also presented in Geneva that has been created in collaboration with
the fashion brand based in Barcelona.
The company kicked off 2014 with a growth in sales, especially of the Leon. In January and
February 2014, Leon registrations increased by 46% compared to the same period in 2013
and 18,700 units were sold globally. Furthermore, over 20,000 orders have already been
placed for the family-style Leon ST since production began in the final quarter of 2013.
“Economic difficulties persist in our business environment and we are facing several
challenges, both as a sector and as a company. But SEAT has a stronger financial basis than
before and a clear strategy for the future that builds on the success of the Leon formula,
which is the basis that defines our models and the brand” summed up SEAT President