Irizar highlights Mexico as a future growth market

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Irizar has said that its Spanish headquarters in Ormaiztegi, along with its headquarters in Mexico, are the group’s new engines for growth, as it released new financial figures.

Irizar Ormaiztegi’s turnover is again 50% of the group’s overall revenue. It said the key is in consolidation of its growth strategy for its own products, integral coaches, which saw a 25% increase in production of coaches.

Irizar said the Spanish intercity coach market is growing again, reaching historic numbers and recuperating, in the last three years, from the negative numbers of the last five. Irizar has a 40% market share in Spain.

The company also highlighted its entry into the UK market, and the good performance of the integral i6 mode, along with the start of the deliveries of the first integral coaches in Mexico.

Turnover for Irizar’s factories abroad is expected to be 30% of this year´s total, with the firm’s subsidiaries providing the remaining 20%.

The company said Brazil was continuing to struggle, but its Mexico plant had manufactured 1,000 coaches and is one of the best future markets for the group.

In Morocco, the group reached a record turnover through both coach operators in the country itself and Irizar Ormaiztegi with the manufacture of Irizar Century vehicles for European markets.

In 2016, Irizar Emobility was created, the group´s electromobility company. Located in Gipuzkoa, in the municipality of Aduna, its production plant is expected to start running in May of this year.

For the next financial year, Irizar forecasts further growth in manufacturing of integral coaches, with the parent factory continuing to provide 50% of the group´s manufacturing. The company also has high expectations for its new hybrid vehicles and continues to develop variants.

The company has forecast Ormaiztegi to provide 30% of integral coach production, with production in Mexico surpassing the 10% and expected to reach more than 100 units.

In 2017, Irizar said it will focus on the development of its electromobility product range and the manufacturing of prototypes. It will also launch a 12m version of the electric Irizar i2e.