Volkswagen Posts 5.9 Billion Euro Operating Loss in Q3, CFO Says Restructuring Cannot Wait

Deep News10-29

Volkswagen AG's third-quarter losses deepened further, underscoring the crisis engulfing the world's second-largest automaker. The company is currently facing severe challenges in multiple key markets while simultaneously advancing a major restructuring plan.

Volkswagen AG reported an operating loss of 5.9 billion euros (approximately 6.59 billion U.S. dollars) in the third quarter, compared with a loss of 1.3 billion euros in the same period last year. Arno Antlitz, Chief Financial Officer of Volkswagen AG, said in a video statement: "The results for the first nine months make one thing abundantly clear: we cannot afford to waste time. We must act swiftly and decisively."

Volkswagen AG's third-quarter sales revenue fell 6%, a steeper decline than expected, to 75.3 billion euros. These performance figures highlight the immense pressure facing Volkswagen AG: in the Chinese market, the company is encountering fierce competition; globally, it bears billions of dollars in tariff costs annually; and in the European market, Volkswagen AG's investments in the electric vehicle (EV) sector are facing high cost pressures.

Oliver Blume, Chief Executive Officer of Volkswagen AG, plans to cut 100,000 jobs across the entire group, including the Audi and Porsche brands.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment