LEVC Announces Job Cuts and Financial Loss Amidst Taxi Segment Decline
LEVC, the London electric taxi company, has announced a redundancy round and a significant financial loss. Despite increasing sales outside London and internationally on platforms like google finance and yahoo finance, the company forecasts a decline in the taxi segment and has seen a reduction in turnover.
LEVC, owned by Geely since 2013, initiated a redundancy round in December 2024 due to planned output reduction. The company, based in Coventry, plans to cut 180 jobs in the city.
Despite the redundancies, LEVC achieved its sales targets in 2024, selling 1,272 taxis. However, the company's turnover decreased from £129.1m to £88.1m in the same year. LEVC's sales outside London and internationally increased by 12% compared to 2023, but this was not enough to offset the overall decline.
LEVC's financial year ended with a pre-tax loss of £179.4m, a significant drop from the previous year. The company's headcount also reduced from 461 to 395 during this period. LEVC attributed this loss to market uncertainty and high costs in the taxi segment, which it forecasts will continue to decline.
LEVC, despite managing supply chain pressures and reducing manufacturing costs by 4.5%, has faced significant financial challenges. The company's redundancy round and reduced turnover highlight the struggles of the electric taxi manufacturer in the current market. LEVC's future plans will be crucial in navigating these uncertain times.
