(Tue 11 Nov 08)

The first year of the Lotus Five Year Plan has gone very well, according to financial results just posted for the year ended 31 March 2008.

Despite a reduction in turnover, and a near-doubling of R&D investment, Lotus has converted a £4.9 million loss from 2007 into profits of just over £2 million. This is partly due to increased sales - not of the new mid-engined 2+2 Evora (pictured above), which is still in development, but of the 2-Eleven track car and three new cars based on the mid-sized Elise/Exige platform. Lotus has also begun to sell cars in South Korea, Thailand and Estonia for the first time.

Lotus Engineering, the high-tech consultancy business, has expanded, and now has new departments specialising in biofuels and hybrid or electric vehicles. The US side of Engineering has achieved record profits, while the Malaysian arm has returned to profitability.

"These results are a tremendous turnaround achievement for Lotus," says Chief Executive Mike Kimberley. "I would like to thank all Lotus staff for their exceptional dedication and hard work to ensure the effective turn-around of the business.

"We are also tracking our strategic five year plan which enables Lotus to deliver an exciting new range of vehicles, develop and sell new advanced technologies through our extensive global operations and engineering client base and ultimately put Lotus on a greener and firmer footing and a consistently profitable commercial basis for the future."