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VW Profits Rebound
Volkswagen AG reversed a net loss of €1.6 billion in 2015 with a profit of €5.1 billion ($5.4 billion) last year.
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Volkswagen AG reversed a net loss of €1.6 billion in 2015 with a profit of €5.1 billion ($5.4 billion) last year. Revenue rose 2% to €217.3 billion ($229.5 billion), as retail deliveries climbed 4% to 10.30 million vehicles.
Operating profit before special items grew 14% to €14.6 billion ($15.5 billion) last year. Pretax profit swung to €7.2 billion ($7.7 billion) from a €1.4 billion loss in 2015 caused by the company’s diesel emission cheating scandal.
VW says its scandal-related expenses have risen to €22.6 billion ($23.9 billion), including a €6.4 billion provision last year. Those costs could increase this year, the company notes.
VW predicts its group sales in 2017 year will “moderately exceed” last year’s total, led by 4% growth in passenger and commercial vehicle sales revenue. The company expects an operating return on sales of 6%-7% compared with 6.7% in 2016.
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