Mexican Media Brands
VW Posts 3Q Growth but Cuts Sales Outlook
Volkswagen AG’s unit sales, revenue and operating profit all rose in the third quarter. But the company trimmed its sales outlook because the global market is cooling faster than expected.
#economics
Share
Volkswagen AG’s unit sales, revenue and operating profit all rose in the third quarter. But the company trimmed its sales outlook because the global market is cooling faster than expected.
Group deliveries in July-September rose 1% to 2.64 million vehicles, and revenue surged 11% to €61.4 billion ($68.2 billion). Operating profits jumped by two-thirds to €4.5 billion ($5 billion).
But the company predicts “moderate” shrinkage in the global passenger car market for the full year, accompanied by a “noticeable dip” in demand for light commercial vehicles.
VW expects sales revenue from its car and light commercial vehicle operations will grow 5% this year. The carmaker previously anticipated a slight increase in unit sales, but now it says volume will be flat.
The company anticipates an operating return on sales of 6.5%-7.5% this year compared with 7.3% in 2018.
RELATED CONTENT
-
Enterprise Edges into Self-Driving Car Market
U.S. rental car giant Enterprise Holdings Inc. is the latest company to venture into the world of self-driving vehicles.
-
On Headlights, Tesla's Autopilot, VW's Electric Activities and More
Seeing better when driving at night, understanding the limits of “Autopilot,” Volkswagen’s electric activities, and more.
-
Global Car Market to Shrink for 2-3 Years
Global sales of light vehicles will decline year on year through at least 2021, predicts LMC Automotive at its annual outlook conference outside Detroit, Mich.