Brazil: Rise in value of the real affects Marcopolo’s international business

26 February 2008

Sao Paulo, Brazil, 26 Feb – Brazilian vehicle body manufacturer Marcopolo ended 2007 with net profit of 132 million reais, which was a year on year rise of 9.5 percent, and turnover of 2.129 billion reais, the company said in a statement.

Despite growth in turnover (21.6 percent), sales in foreign markets were affected by the valuation of Brazil’s currency, and the company exported fewer vehicle bodies, obtained less revenue and was forced to lower its margins.

The company’s global production in 2007 was 17,807 units as compared with 14,824 units in 2006.

In 2007, the company’s foreign factories produced 3,866 units as compared with 4,249 units the previous year.

Marcopolo is currently Latin America’s largest bodywork manufacturer and has factories in Brazil, Portugal, South Africa, Mexico and Colombia.

The Portuguese unit of the company, located in the city of Coimbra, has a production capacity of 230 bus units per year, and its production is exported to Spain, Greece, France, Britain and the Netherlands. (macauhub)