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Thanks to Porsche and Audi, VW’s earnings have surpassed pre-pandemic levels

Frankfurt, Germany — Thursday, the German car industry showed stronger results. Volkswagen Revenues and profit margins were above pre-pandemic levels, and the company raised its profit outlook this year despite the ongoing shortage of key electronic components that plagued the industry as a whole.

Volkswagen lowered its forecast for delivery to customers as it raised its full-year profit outlook, warning that a shortage of semiconductor components would continue to impact its business.

Revenues follow strong margins and profits announced last week by competitors Daimler Mercedes-Benz. Germany’s export and China-focused automotive industry benefits from the recovery of the major global automotive market and the continued demand for its specialty, highly profitable premium vehicles. BMW I will report the earnings on August 3rd.

The Volkswagen Group’s revenue was driven by its luxury brands. Porsche When AudiIn both cases, the number of vehicles sold in the first half was the highest ever, and the profit margin was double digits.strong Secondhand car The business helped boost the profits of the company’s financial services division.

Volkswagen’s cash is currently € 35 billion ($ 41.5 billion) and can be invested in areas driving change in the industry, such as battery-powered automotive, software and digitally driven services.

“We are maintaining a high pace, both operational and strategic,” CEO Herbert Diess said in a statement.

Wolfsburg-based Volkswagen raised operating profit by 8.8% and raised its annual profit outlook by 0.5 points to 6.0% -7.5%.

Operating income was € 11.4 billion, compared with a loss of € 0.8% in the first half of last year.When the pandemic led to the closure of the factory and was closed dealer.. However, revenues also exceeded the equivalent figure of € 10 billion from the first half of 2019. Revenue increased 35% from the first half of last year to € 129.7 billion, also above 2019 figures.

Thanks to Porsche and Audi, VW’s earnings have surpassed pre-pandemic levels

Source link Thanks to Porsche and Audi, VW’s earnings have surpassed pre-pandemic levels

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