Volkswagen Group annals strong business opening in a initial 9 months

The Volkswagen Group reported a strong opening in a initial 9 months of 2014, notwithstanding a ongoing capricious marketplace environment. After 3 quarters, sales income was adult usually somewhat year-on-year during EUR 147.7 billion (EUR 145.7 billion), being negatively impacted by sell rate effects in a initial half of a year in particular. Operating distinction grew by 10 percent to EUR 9.4 billion (EUR 8.6 billion) notwithstanding steadfastly formidable horizon conditions. The handling lapse on sales rose to 6.4 percent (5.9 percent). The Group’s handling distinction and sales income bar a activities of a Chinese corner ventures, that are accounted for in a financial outcome regulating a equity process and are therefore not enclosed in combined handling profit. The share of handling distinction attributable to a Chinese corner ventures in a initial 9 months was EUR 3.9 billion
(EUR 3.5 billion).

The Volkswagen Group’s distinction before taxation amounted to EUR 11.5 billion (EUR 9.4 billion). The lapse on sales before taxation rose to 7.8 percent (6.5 percent) in a duration from Jan to September. Profit after taxation was EUR 8.7 billion (EUR 6.7 billion). “We have incited in a plain opening in a year to date. However, we contingency continue to concentration on laying a foundations now that will capacitate us to respond to a vital technological and mercantile hurdles confronting a automotive industry. To grasp this, we have successfully launched a “Future Tracks” program, that aims to sustainably boost a efficiency, coherence and profitability, and make Volkswagen fit for a future”, pronounced Prof. Dr. Martin Winterkorn, Chairman of a Board of Management of Volkswagen Aktiengesellschaft, in Wolfsburg on Thursday. The Volkswagen Group also reliable a opinion for full-year 2014.

Global direct for newcomer cars continued to arise in a march of a year, despite during a somewhat slower pace; however, a markets sundry from segment to region. The primary enlargement drivers were a Asia-Pacific region, North America, Western Europe and Central Europe. In South America and Eastern Europe, new newcomer automobile registrations were most reduce than in a prior-year period. “We design that a markets will continue to see churned trends in a residue of a year. This sourroundings is dominated by domestic and mercantile doubt and final limit coherence and financial strength on a part. Our trained cost and investment management, as good as a continual alleviation of a processes – underpinned by a Group far-reaching destiny and potency orientated module “Future Tracks” – will sojourn core elements of a Strategy 2018 so that we can grasp a long-term profitability targets and vital goals”, pronounced CFO Hans Dieter Pötsch.

High net liquidity in a Automotive Division

Net liquidity in a Automotive Division amounted to EUR 16.8 billion during a finish of Sep (December 31, 2013: EUR 16.9 billion). Investments in property, plant and equipment, investment skill and unsubstantial resources (capex) in a Automotive Division remained probably unvaried during EUR 6.5 billion (EUR 6.4 billion). The Volkswagen Group confirmed a trained proceed to investment with a ratio of capex to sales income in a Automotive Division of 5.0 percent (5.0 percent). Investments were done essentially in prolongation comforts and in a models to be launched in 2014 and 2015, as good as in a ecological concentration of a indication range.

Brands and business fields

The Volkswagen Passenger Cars code available an handling distinction of EUR 1.7 billion (EUR 2.1 billion) in a initial 9 months of 2014. Operating distinction was negatively impacted by reduce volumes, disastrous sell rate effects in a initial half of a year and aloft upfront expenditures for new technologies, while reduce element costs and improvements in a brew had a certain effect. It should be remarkable that this figure does not embody a Chinese corner ventures. The handling domain reached 2.3 percent (2.9 percent) in a stating period. The Volkswagen Passenger Cars code has launched an potency module in sequence to strech a aim handling lapse on sales of over 6 percent by no after than 2018.

Audi’s handling distinction was adult somewhat on a prior year, during EUR 3.8 billion (EUR 3.7 billion). Earnings enlargement was carried by increasing volumes and reduce element costs, while high upfront investments in new products and technologies, as good as in a enlargement of a general prolongation network, had an inauspicious effect. The handling domain was 9.7 percent (10.1 percent).

ŠKODA generated an handling distinction of EUR 651 million (EUR 371 million) in a initial 9 months of 2014, significantly surpassing a prior-year figure interjection to volume and mix-related factors. The handling domain was 7.4 percent (5.0 percent).

SEAT’s handling detriment narrowed to EUR 82 million (EUR 93 million) on a behind of certain effects from volumes, brew and element costs.

Bentley’s handling distinction climbed year-on-year to EUR 125 million (EUR 98 million), and a handling domain was 9.9 percent (9.2 percent).

Porsche available an handling distinction of EUR 1.9 billion (EUR 1.9 billion) and an handling domain of 15.7 percent (18.2 percent). Higher volumes had a certain outcome on gain while increasing growth costs and aloft bound costs had an inauspicious impact.

Operating distinction during Volkswagen Commercial Vehicles rose to EUR 378 million (EUR 342 million). The handling domain was 5.4 percent (4.9 percent).

Scania posted an handling distinction of EUR 700 million (EUR 691 million) and an handling domain of 9.3 percent (9.4 percent). MAN generated an handling distinction of EUR 304 million (EUR 47 million) and an handling lapse on sales of 3.0 percent (0.4 percent).

Volkswagen Financial Services available an handling distinction of EUR 1.2 billion in a initial 9 months of 2014, adult on a prior year (EUR 1.1 billion). The multiplication sealed 3.6 million new financing, leasing and service/insurance contracts worldwide (+ 18.0 percent).

Winterkorn: “We are in a position to strech a 10 million deliveries symbol this year.”

The Volkswagen Group will continue to press forward with a new product beginning opposite all brands in a remaining months of 2014, modernizing and expanding a charity by introducing appealing new vehicles. Volkswagen is awaiting a assuage boost in deliveries to business in mercantile year 2014. “We are in a position to strech a 10 million deliveries symbol this year”, pronounced Winterkorn. Challenges for a Group will come from a formidable marketplace sourroundings and extreme competition, as good as seductiveness rate and sell rate sensitivity and fluctuations in tender materials prices. Volkswagen believes that a modular toolkit system, that is being invariably expanded, will have an increasingly certain outcome on a Group’s cost structure.

“Given a Group’s stream performance, we am assured that we will accommodate a goals for mercantile year 2014”, pronounced Winterkorn. Depending on mercantile conditions, Volkswagen is awaiting 2014 sales income for a Group and a business areas to pierce within a operation of 3 percent around a prior-year figure. In terms of a Group’s handling profit, Volkswagen is forecasting an handling lapse on sales of between 5.5 percent and 6.5 percent in 2014 in light of a severe mercantile environment, and a same operation for a Passenger Cars Business Area. The Group expects a Commercial Vehicles/Power Engineering Business Area to tolerably surpass a 2013 figure. Volkswagen anticipates an handling lapse on sales of between 8.0 percent and 9.0 percent in a Financial Services Division.

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