Hot on the heels of its posher big brother, the all-new Range Rover Sport was recently launched to much acclaim, with commentators praising the sleek styling and decidedly plush innards. Jaguar Land Rover is hoping it will draw monied customers into the showroom and steal much-needed sales away from equally tempting rivals. Despite a massive boom in demand for expensive luxury vehicles, JLR has had to contend with plummeting sales.

For the year ending 31 March 2022, the automaker saw retail sales plummet by 14%, to 376,381. Wholesales dropped further still (by 15%) to 294,182. Overall, company revenue saw a 7% year-on-year reduction, to £18.3 billion (approximately $22.4 billion). Like the rest of the automotive industry, the British automaker has had to face struggles relating to the chip shortage and, more recently, the ongoing crisis in Ukraine.

JLR has said it expects the semiconductor shortage to "continue through the next fiscal year with gradual improvements." While the brand has suspended sales in Russia, the company has said that the country and neighboring Ukraine account for approximately 2.5% of global sales. What's more, the carmaker also sources parts from the aforementioned countries but has said it's "too early to say how future commodity supply and pricing could be impacted."

Still, Jaguar Land Rover has a positive outlook for the future; strong demand has led to record-high orders that the company is yet to fulfill. Demand for the new Range Rover sits at 46,000, while orders for the fabled Defender sit at 41,000. This is only set to grow with the advent of the new Sport.

Due to the reinstatement of COVID-19 related lockdowns in China and the RR Sport production changeover, the brand is expecting limited volume improvements in the first quarter, which may result in negative EBIT (earnings before interest and tax) and cash flows.

"The environment remains difficult in light of the global chip shortage and other challenges," said CEO Thierry Bollore. "However, I'm encouraged by the continuing strong customer demand for our products, highlighted by a record order book." Another promising figure for the company's future is the strong uptick in electrified sales. Full-year sales for electric, plug-in hybrid, and mild-hybrid vehicles increased to 66% from the previous year's 51%.

"We are rapidly progressing our plans for a new generation of electric vehicles with our all-electric Jaguar strategy and BEV-first EMA platform for new Land Rover products," added Bollore. For the brand's sake, we're hoping the new financial year brings about fewer challenges for the company as it prepares to deliver myriad new vehicles to impatient customers, should the current industry hurdles subside.