Daily News Egypt

VW logs near-record quarterly group profit - Daily News Egypt

Advertising Area

Advertising Area

VW logs near-record quarterly group profit

Scandal-hit German carmaker Volkswagen has reported one of its highest-ever quarterly earnings. The solid result came on the back of substantial cost cuts and despite a decline in overall vehicle sales.Volkswagen announced Wednesday its bottom-line profit climbed by 43.9 percent to 3.4 billion euros ($3.7 billion) in the first quarter.

The 12-brand group’s operating profit jumped by 40 percent to 4.37 billion euros from 3.13 billion a year earlier, seeing VW join rivals Daimler and BMW, which had also reported better-than-expected quarterly results.

The company’s revenues for the same period increased by 10 percent to 56.2 billion euros, despite a slight decline in vehicle sales.

Restructuring in progress

Results were helped by a series of cost-saving measures at VW’s troubled core division, providing a sign that long-overdue cuts were beginning to materialize as the Wolfsburg-based automaker pushed to overcome its emissions-cheating scandal.

Executives on Wednesday confirmed an earlier outlook for the whole of 2017, sticking to its target of a near-4-percent increase in revenues.

“Challenges will arise, though, particularly from the economic situation, intense competition in the market, exchange rate volatility and the diesel issue,” the carmaker said in a statement.

hg/jd (Reuters, dpa)

Topics: Volkswagen VW

Advertising Area

Advertising Area

Breaking News

No current breaking news

Daily News Egypt Android App Available for free download on Google play
Daily News Egypt Ios App Available for free download on APP Store
Social Media Auto Publish Powered By : XYZScripts.com