Mexican Media Brands
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.
#economics
Share
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.
RELATED CONTENT
-
What Suppliers Need to Know Right Now
This is a time of reckoning for the auto industry, says Paul Eichenberg. He has some recommendations as to how companies can make their way through it.
-
On Lincoln-Shinola, Euro EV Sales, Engineered Carbon, and more
On a Lincoln-Shinola concept, Euro EV sales, engineered carbon for fuel cells, a thermal sensor for ADAS, battery analytics, and measuring vehicle performance in use with big data
-
Ford’s $42 Billion Cash Cow
F-Series pickups generate about 30% of the carmaker’s revenue. The tally is about twice as much as what McDonald’s pulls in.