OREANDA-NEWS. AvtoVAZ has announced financial results for 2014 by RAS standards. The confirmed by audit the amount of revenue of AvtoVAZ was 189.4 billion Rubles, which is more by 8.1% than in 2013 (175.2 billion Rubles). The net loss of AvtoVAZ was 25.4 billion Rubles, while operating loss decreased to 5.7 billion Rubles. The negative operating margin was 3.0%.

As it was noted, the size of the loss was caused by the following non-operating factors: the cost from foreign exchange differences on foreign currency liabilities, creation of reserves for impairment of financial investments, investments and other assets, the effect from the cancellation of the deal for sale of the share of VMZ.

"On the financial results there were affected mainly non-operating factors. It is important that the operating loss reflects the difficult economic conditions, in which Russia is now. However, I am pleased that we have improved the key performance indicators. During the year we have doubled the production of cars per employee, decided many important issues and improved significantly quality indicators ", - said the president, Bo Andersson.

"AvtoVAZ is certainly a key enterprise for the automotive industry of the country. Despite the difficult economic situation, AvtoVAZ showed the revenue growth in 2014, and it still intends to increase its share in the domestic market to 20%, to reach the level of the operating profit of 6% and to provide a positive free cash flow. The main focus in 2015 will be on the production of new car models demanded by the market, due to which the carmaker will increase sales, "- said the head of state corporation "Rostech", Mr. Chemezov.

According to Bo Andersson, the successful implementation of the cost reduction program has helped to reduce the operating loss in 2014 to 7.2 billion Rubles. "The program of improvement of the enterprise brings results. We cannot predict how the market will be, but we are a customer-oriented company with increased production rates on the eve of the launch of models Lada Vesta and Lada XRAY this year, AvtoVAZ plans to enter the operating profit for the year 2015 ", - said Bo Andersson. AvtoVAZ president stressed that the results of 2014 has not amended in the development plan of the enterprise.