Volkswagen Group delivers solid nine-month results in a challenging environment; disruptions in production and higher product costs impact third quarter.
ENPNewswire-October 26, 2023--Volkswagen Group delivers solid nine-month results in a challenging environment; disruptions in production and higher product costs impact third quarter
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Release date- 25102023 - Arno Antlitz, CFO & COO Volkswagen Group: 'Overall, we are on a robust course and have again increased sales volumes and revenues in the third quarter. However, we cannot be satisfied with our profitability, which in the third quarter fell short of our ambitious targets.
* Sales revenue growth of 16 percent year-to-date to 235.1 billion euros
* Vehicle sales up 8 percent to 6.8 million units
* Operating profit in the first nine months decreased by 7 percent to 16.2 billion euros; Operating return on sales of 6.9 percent; negative effects from product costs and manufacturing disruptions in the third quarter particularly impacted the brand group Core
* Operating profit before valuation effects, in particular from commodity hedging, at 18.7 billion euros, corresponding to underlying operating return on sales of 8.0 percent, almost level with the prior year period
* Electrification strategy is progressing, with deliveries of battery electric vehicles (BEV) increasing by 45 percent to 531,500 vehicles in the first nine months; BEV share of total deliveries grew to 7.9 percent in the first nine months
* Order bank of 1.4 million vehicles in Western Europe at the end of Q3 remains at high level, including around 150,000 BEV
* Financial outlook for fiscal year 2023 updated; operating result before special items expected to be around the level of the previous year
We are now concentrating on the systemic implementation of the 10-point plan and our cross-brand performance programs.'
Wolfsburg. - Volkswagen Group achieved strong deliveries and sales revenue growth in the first nine months of FY 2023. Deliveries increased by 11 percent year-on-year to 6.7 million vehicles (Q3 2023: 2.3 million vehicles; +7.0 percent). Sales revenue grew by 16 percent to 235.1 billion euros (Q3 2023: 78.8 billion euros; +12 percent). The order bank at the end of the third quarter of 2023 remained at a high level of 1.4 million vehicles in Western Europe alone. Net liquidity in the Automotive Division remained very solid at 36.7 billion euros.
Arno Antlitz, CFO & COO of Volkswagen Group: 'Overall, we are on a robust course and have again increased sales volumes and revenues in the third quarter. However, we cannot be satisfied with our profitability, which in the third quarter fell short of our ambitious targets. We are now concentrating on the systemic implementation of the 10-point plan and our cross-brand performance programs.'
Robust results in the first nine months of 2023
The Group's operating profit decreased by 7 percent to 16.2 billion euros with an operating return on sales of 6.9 percent (Operating profit Q3 2023: 5 billion euros, +17 percent; Operating return on sales Q3 2023: 6.2 percent). This development was mainly attributable to negative valuation effects, mainly from commodity hedging outside hedge accounting, amounting to -2.5 billion euros (2022: +0.8 billion euros). Adjusted for the corresponding valuation...
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