Latest News

Dow Jones Newswires: Volkswagen profit dips but confirms full-year forecasts

0

Volkswagen AG
VOW,
-1.31%

said Thursday that earnings dropped in the second quarter, but backed its full-year targets.

The German auto maker said after tax profit came in at 3.91 billion euros ($3.99 billion), compared with EUR5.04 billion in the same period year-prior. Operating profit before special items fell 28% to EUR4.74 billion and the corresponding return on sales fell to 6.8% from 9.7%, as it booked around EUR2.4 billion in negative fair value effects mainly related to raw material hedging.

“Before these book value losses, the underlying performance even improved over a good 1Q 2022,” it said.

Quarterly revenue rose 3.3% to EUR69.54 billion.

For the full year, Volkswagen continues to expect revenue to be 8% to 13% higher than in the previous year and operating return on sales of between 7.0% to 8.5%.

“The Group expects the product mix to normalize in 2H as the semi-conductor situation improves in combination with a strong order book,” said the car maker, adding that a “noticeable recovery of the monthly sales towards the end of 2Q additionally bodes well for H2 sales.”

Write to Kim Richters at kim.richters@wsj.com

Dow Jones Newswires: Barclays profits slide as higher operating costs bite

Previous article

: Home prices are being slashed in these 10 cities as real-estate market cools

Next article

You may also like

Comments

Leave a reply

Your email address will not be published.

More in Latest News