German automaker Volkswagen AG announced its first-quarter earnings on Wednesday; operating profit is approximated annually as the company continues to grapple with the impact of U.S. tariffs declined to 2.9 billion Euro’.
Sales revenue in the first quarter of this year compared to the same period in 2024 %It increased by 3 to 78 billion Euro’.
2025In the first three months of ’, 2024According to the first quarter of ’ %Approximately 2.1 million vehicles were sold with an increase of 1 million.
Global share of battery electric vehicle (BEV) deliveries on an annual basis %the 6’ Raised to ’a.
Western Europe’'s share of Volkswagen’in BEV deliveries %the 9’ He ascended to ’; One out of every four BEV’s recorded in the first quarter came from the Volkswagen Group’.
The car industry worldwide is significantly vulnerable to current tariffs on US ’'s car imports, especially due to the globalization of car supply chains. This means that many automakers depend significantly on production facilities outside the U.S.
Although Trump is present this week to make it easier for manufacturers to avoid high tariffs %Although 25’ cars have changed their tariffs, companies are already affected. In addition, it may take more time for the full size of this tariff discount to be reflected in the sector.
Volkswagen AG’nin CFO’su and COO’su Arno Antlitz said in the first-quarter earnings statement posted on the company's website: “As expected, the Volkswagen Group made a mixed start to the financial year . Our cars are very well received. Western EuropeOrder intake has increased significantly in ’, and our order books are filling up quickly.”
Antlitz pointed out that one out of every five cars sold in the Western European ’ is now fully electric.
He added: At the same time, the market success of our electric cars puts pressure on our results. An operating margin of around 4% makes it clear that we still have considerable business ahead of us.’
He also stressed the importance of focusing on leverages under the company's control in the face of volatile global economic conditions. He said that in order to increase the chances of success in rapidly changing market conditions, the firm needs to complement its wide range of products with a competitive cost base.
When it comes to next year's outlook, the Volkswagen Group is looking at the previous year's figure of sales. %He expects it to exceed 5’.
The firm is likely to reap the return on activity from sales. %From 5.5 to %He said it would be between 6.5, but this guide does not include any influence from the current tariffs.
This year's automotive net cash flow is estimated at between €2 billion and €5 billion, while the automotive sector's net liquidity is expected to be between €34 billion and €37 billion.
The company said in its earnings press release: “28 April 2025Based on developments in the period up to ’, the Volkswagen Group expects operating sales return, automotive net cash flow and net liquidity to trend towards the lower end of the respective ranges. It remains the group's goal to maintain a strong financing and liquidity policy.”
