German Manager Magazine: Volkswagen: Group sells fewer cars in the second quarter, Audi sales collapse003427

The Volkswagen-Group sold fewer cars in the last quarter than a year ago. In the months from April to June, the group delivered 2,243,700 vehicles of all group brands worldwide, which was 3.8 percent less than in the same period last year, as the Wolfsburg-based company announced. Above all Audi and China burdened.

At Audi, sales fell by 11.3 percent. It was only on Tuesday evening that the VW subsidiary announced that it was considering an early end to production of the model due to sluggish sales of the Q8 E-tron. which is why the Ingolstadt-based factory in Brussels is now threatened with closure. The core brand Volkswagen lost 5.2 percent, while Škoda and Seat/Cupra increased.

Sales decline in China, US market increases

Business is weakening, especially in China. A total of 19.3 percent fewer vehicles were delivered there in the three months. “As announced, in the very intense competitive environment in China, we consciously gave priority to sustainable value creation over higher volumes in order to achieve our long-term strategic goals,” said Audi sales manager Hildegard Wortmann (57), according to the statement. She is also responsible for the department within the entire group.

In Western Europe, however, sales rose by 5.1 percent and in North America by 10.8 percent. But that couldn’t offset the slump in China. Wortmann was still optimistic for the rest of the year. “For the full year 2024, we continue to expect a slight increase in global deliveries compared to the previous year due to the launch and ramp-up of numerous important models in the second half of the year.”

The group had its the evening before Earnings forecast for the full year revised downwards. VW is preparing for additional burdens running into billions. The company announced that the operating return on sales will be half a percentage point lower than previously predicted at 6.5 to 7 percent. One reason for the additional costs of up to 2.6 billion euros were the expenses in connection with the plant in Brussels, which would be deferred in the third quarter, it was said.

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