VW passed rival Ford in the auto industry earnings race last year

Article by Christian A., on March 28, 2011

Volkswagen AG posted higher earnings last year than Ford Motor Co. as the demand in China continued to surge. The net income of Volkswagen, Europe's biggest automaker, rose sevenfold to 6.84 billion euros ($9.42 billion), according to a report from the company on Feb. 25. Ford posted a profit of $6.56 billion for 2010, while General Motors Co. had $4.7 billion. Toyota Motor Corp. forecasts 490 billion yen ($6 billion) in profit in the year ending March 31.

Volkswagen seeks to beat Toyota, the world's largest carmaker, in sales and profitability by 2018 as it relies on growth in Brazil, Russia, India and China. VW expects deliveries to increase by 5% this year after posting a record 7.2 million deliveries of cars and SUVs in 2010.

Sales in China, VW's biggest market, increased by 37% last year to 1.92 million on the Lavida sedan and Golf hatchback. Net income surpassed the 4.96 billion-euro average estimate of six analysts surveyed by Bloomberg.

Revenue went up 21% to 126.8 billion euros. Meanwhile, earnings before interest and taxes in 2010 advanced to a record 7.14 billion euros, a significant increase from 1.85 billion euros in 2009. VW proposed a 2010 dividend of 2.20 euros per common share and 2.26 euros per preferred share.

VW, which is the first overseas carmaker to penetrate China three decades ago, plans to construct two plants and double production to 3 million cars annually. Currently, VW (which is the owner of the Audi, Skoda and Lamborghini brands) runs nine Chinese factories. [via autonews - sub. required]

Topics: vw, ford

If you liked the article, share on:

Pin It

Comments

Recommended

The German automaker Volkswagen is now racing against time to come up with electric vehicles that will be able to pass Europe and China's stringent emission standard. The car company...
by - March 22, 2017
In the last few years, the advent of compact sedans and crossovers has become quite overwhelming. Even two of the major manufacturers that “started it all” have to admit that...
by - March 22, 2017
By 2020, Audi will be throwing out not just one but three fully-electric vehicles. One of which will be pitted against the BMW i8. This new information was revealed by...
by - March 22, 2017
Tesla confirms that they will be discontinuing the fairly new Model S 60 and 60D sedans as soon as next month. Why, you ask? The company wants to make enough...
by - March 22, 2017
Have you ever wondered how much luxury car companies profit from every vehicle they sell? And which companies profit more? Well, in 2016, Porsche sold over 238,000 vehicles. That is...
by - March 22, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries