(Adds comments on exit from Russia, 2023 outlook, details)
PRAGUE, March 16 (Reuters) - Czech carmaker Skoda Auto,
part of the Volkswagen Group , is in the final stages
of quitting Russia after taking an almost 700 million euros
($742 million) hit from the impact of Moscow's war in Ukraine,
its CEO said on Thursday.
Skoda, the leader of a Czech car sector that is the backbone
of the country's industrial output, has seen its Russian
operation hit hard by the disruptions caused by the war and by
Western sanctions imposed on Russia.
The carmaker said on Thursday its net profit dropped 11.7%
to 489 million euros in 2022, affected also by a steep rise in
material prices and global supply chain bottlenecks.
Skoda's deliveries in Russia plummeted to 18,300 cars in
2022 from 90,400 in 2021, when the country was Skoda's
second-largest market.
"The talks (on the sale) are in the final stages, but I
can't give you details until they are agreed by all parties,"
Chief Executive Klaus Zellmer told an annual press conference
streamed online.
He said Skoda aimed to replace lost Russian production at
its other plants around the globe.
Volkswagen brand chief executive Thomas Schaefer made
similar comments on Thursday.
On prospects for this year, Skoda board member for sales,
Martin Jahn, said production and sales should exceed last year,
when global deliveries dropped to 731,300 cars.
This should be helped in part by Skoda's upcoming entry into
the Vietnamese market, where it will start selling its cars in
the second quarter. Jahn estimated the initial potential at
30,000 cars.
Skoda will also take over strategic management of
Volkswagen's expansion in South East Asia.
($1 = 0.9430 euros)
(Reporting by Robert Muller
Editing by Mark Potter)
robert.muller.thomsonreuters.com@reuters.net))
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