French car maker PSA Peugeot Citroen has reported a net profit of €1.13 billion for last year following two years of losses.
'We are pleased to announce a substantial recovery in profitability in 2010 for all our businesses,' chairman Philippe Varin said in a statement.
Revenues grew by 15.8% to just over €56 billion, driven by the success of new models, scrappage schemes in several countries, and growth in China which took sales to a record 3.6 million vehicles.
The company's Chinese joint venture Dongfeng Peugeot Citroen Automobile contributed €159m to net profits.
'Whilst 2011 is likely to remain challenging in European markets, our global development should continue with the second joint venture in China and our project to enter the Indian market,' said Varin. The company said plans to enter the Indian market were under way.
While the European market is expected to remain flat in 2011, the company said it expected the market in China to grow by 10%, with 4% growth in Latin America and 15% in Russia.
The company plans to repay in February and April the remaining €2 billion of the €3 billion loan it received from the French state during the economic crisis. It repaid €1 billion in September.
