Volkswagen profits almost doubled in the first quarter

Article by Christian A., on August 25, 2010

To say that Volkswagen AG is thriving is an understatement. For the first quarter, its profit nearly doubled as sales in China and of its Audi luxury brand hit record levels. The net income of Europe's largest automaker rose to 473 million euros ($633 million) from 243 million euros a year earlier. In a statement, VW compared this with the 459 million-euro average estimate of four analysts as compiled by Bloomberg.

Sales went up by 19% to 28.6 billion euros. In what is regarded to be a sign that European carmakers are on its way to an economic recovery, VW is predicting that this year, it will have considerable sales growth.

VW has a target of surpassing Toyota Motor Corp. in deliveries and profitability by 2018. Earlier this week, Daimler AG raised forecasts for its car and truck units. PSA/Peugeot-Citroen's first quarter revenue rose by 28%, easily beating estimates.

Christian Aust, a Munich-based analyst with UniCredit, before the earnings release, had indicated that growth in the US and China markets would contribute to VW'd sales increase this year.

He also said that when it comes to profit, VW find it difficult "for it to compensate for a weak second-half in Europe." VW's European deliveries last year were boosted by government scrappage schemes that prompted the trade-in of older cars for fuel-efficient ones.

As a result, VW posted that it had sold a record 6.29 million cars and sport-utility vehicles. In Frankfurt, VW rose as much as 1.65 euros, or 2.2%, to 75.25 euros and traded at 74.97 euros as of 13:35 CET, valuing the carmaker at 34.4 billion euros.

If you liked the article, share on:

Topics: vw, profit

Comments

Recommended

November 17 is considered a very special day for Tesla, as this is the day that they revealed the highly anticipated Tesla Semi. But Elon Musk did not think the...
by - November 17, 2017
More details have emerged about the new sixth generation of the BMW M3 just as the German premium practically announced the end of the current-gen 3 Series with the unveiling...
by - November 17, 2017
All is set for Volkswagen’s plans to enter the electric vehicle game, as prompted by the so-called Dieselgate scandal. In fact, the German carmaker has already made a commitment to...
by - November 17, 2017
As BMW has already revealed, the next generation of the BMW M5 (F90) is a four-wheel drive high-performance sedan with overwhelming power output and torque at its disposal. However, it...
by - November 17, 2017
McLaren unveiled a one-off Gold - on - Black 720S at the 2017 Dubai Motor Show which will be on display throughout the entire stretch of this week’s event. The...
by - November 16, 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