Tag: VW

Oliver Hoffmann – Biography

Oliver Hoffmann was born on February 25, 1977 in Hannover. Following his studies of mechanical engineering at Leibnitz University in Hannover, he started his career in the Technical Development division at Volkswagen AG. Between 2005 and 2011, Oliver Hoffmann held various positions at AUDI AG sites in Germany and abroad. He was initially responsible for… Continue reading Oliver Hoffmann – Biography

Volkswagen brand boosts sales revenue and result

First-quarter sales revenue grows by 7.1 percent compared with previous year to €21.5 billion Operating profit before special items rises by 4.8 percent to €921 million Brand confirms operating return target of 4 to 5 percent for entire year Board Member for Finance Dr. Arno Antlitz: “New SUV’s enrich our range of products. Focus on… Continue reading Volkswagen brand boosts sales revenue and result

Asia in charge of electric car battery production

China also has 80 percent of the world’s capacity to produce refined cobalt using chemical processes. Paris: Global production of batteries for electric cars is concentrated in Asia, with Chinese, Japanese and South Korean firms dominating the sector and building factories in Europe to conserve their supremacy. However Europe is looking to strike back, with… Continue reading Asia in charge of electric car battery production

Volkswagen sets aside 5.5 billion euros in contingent liabilities for diesel scandal

Volkswagen said it has set aside 5.5 billion euros ($6.16 billion) in contingent liabilities to cover possible risks arising from a diesel cheating scandal, chief financial officer Frank Witter said on Thursday.In 2015 VW was caught using illegal engine control software to cheat U.S. pollution tests by masking excessive levels of nitrogen oxide pollution coming from its diesel cars.

China can now rival the US with new innovations in tech, VW finance chief says

VIDEO1:4501:45VW CFO: China is tremendously important for usChina is helping to drive technological change in the automotive sector, the chief financial officer of Volkswagen told CNBC Thursday.
When asked about new innovations such as self-driving cars and 5G mobile networks, VW's Frank Witter said he was impressed by the rate of technological advancements coming from the world's second-largest economy.
“I think for the longest time we have been used to looking to the west coast of the United States when we were talking about innovation and new technologies,” Witter told CNBC's “Squawk Box Europe.”
“This is still valid but at the same time you are absolutely right to point to China,” he added.
Witter said that, looking at motor shows in China year-over-year, it was “just amazing how quickly the industry is progressing,” highlighting development at China's OEMs (original equipment manufacturers).
“The driver of technology is China, and we are very pleased with the progress we are making, together with our partners but also in Mobility Asia,” he added.
The Volkswagen Group's relationship with China dates back to 1978. In 2017, it launched a joint-venture with the state-owned Anhui Jianghuai Automobile Co., looking at e-mobility.
In May 2018, it set up Mobility Asia, which focuses on connectivity, smart mobility ecosystems, infrastructure ecosystems, service and data monetization, and autonomous cars.
Looking at the bigger picture, when it comes to autonomous driving a range of technologies are being developed and tested.
At the end of April 2019, South Korean telecoms giant SK Telecom signed an agreement with the Incheon Free Economic Zone (IFEZ) to develop 5G-based self-driving infrastructure.
In a statement at the time, SK Telecom said it would produce a high definition map covering the whole IFEZ area. It added that the map would have “centimeter-level accuracy” and provide information relating to road conditions, lanes, road slopes and speed limits.
5G refers to the fifth generation of mobile networks. While it promises cell phone users incredibly fast browsing experiences, it will also benefit the autonomous vehicle sector through its ability to process reams of information and data simultaneously and quickly.

Volkswagen shrugs off 1 billion euro legal hit with higher SUV sales

FRANKFURT (Reuters) – Sales of higher-margin sports utility vehicles and cost cuts helped Volkswagen shrug off a 1 billion euro legal charge to meet first-quarter operating profit forecasts on Thursday, sending its shares 4.5 percent higher. Earnings before interest and taxes (EBIT) fell to 3.9 billion euros ($4.4 billion) from 4.2 billion a year earlier… Continue reading Volkswagen shrugs off 1 billion euro legal hit with higher SUV sales

REFILE-UPDATE 3-VW shrugs off 1 bln euro legal hit with higher SUV sales

FRANKFURT (Reuters) – Sales of higher-margin sports utility vehicles and cost cuts helped Volkswagen shrug off a 1 billion euro legal charge to meet first-quarter operating profit forecasts on Thursday, sending its shares 4.5 percent higher. Earnings before interest and taxes (EBIT) fell to 3.9 billion euros ($4.4 billion) from 4.2 billion a year earlier… Continue reading REFILE-UPDATE 3-VW shrugs off 1 bln euro legal hit with higher SUV sales

UPDATE 3-VW shrugs off 1 bln euro legal hit with higher SUV sales

FRANKFURT (Reuters) – Sales of sports utility vehicles and cost cuts helped Volkswagen shrug off a 1 billion euro legal charge and meet first-quarter operating profit forecasts on Thursday, sending its shares 3.3 percent higher. Earnings before interest and taxes (EBIT) fell to 3.9 billion euros ($4.37 billion) from 4.2 billion a year earlier but… Continue reading UPDATE 3-VW shrugs off 1 bln euro legal hit with higher SUV sales

VW says it’s ‘optimistic but also realistic’ after US tariff threat on cars

VIDEO2:3302:33VW CFO: Special items related to diesel close to 30 billion eurosVolkswagen said Thursday it would continue to hope for the best possible outcome amid heightened fears that the U.S. could soon impose tariffs on EU cars.
But, the German automaker emphasized it plans to monitor the prospect of additional charges with a sense of realism too.
It comes after President Donald Trump said in February that he would impose tariffs on cars imported from the EU if U.S. talks with the bloc couldn't produce a new deal. The EU has since threatened to tax 20 billion euros ($22 billion) worth of U.S. goods.
Both sides have cautiously hung on to existing agreements, promising to take no action until talks are concluded.
“We certainly hope that the trade disputes can be resolved but it is no secret that 100% of the Porsche cars are being exported from Europe to the United States,” Frank Witter, chief financial officer of Volkswagen, told CNBC's “Squawk Box Europe” on Thursday.
He explained that approximately 70% of all Audi products were sold in the U.S., while for Volkswagen passenger cars it was a very small percentage being exported from Europe to the U.S. since most of their cars were built in North America.
“So, we still hope for the best, we do whatever we can but we are not party to the negotiations … We continue to be optimistic but also realistic,” Witter said.
Earlier this year, Volkswagen CEO Herbet Diess said the carmaker would need to redouble its efforts in 2019 in order to meet its ambitious annual targets.
Diess told the Financial Times in February that the biggest risk to Volkswagen's 2019 profit would be potential tariffs from Trump's administration.
At the time, he estimated the worst-case scenario regarding potential U.S. tariffs could cost around 2.5 billion euros a year — roughly 13% of expected earnings.
VIDEO1:4501:45VW CFO: China is tremendously important for usEarnings in line with expectationsOn Thursday, Volkswagen reported first-quarter earnings in line with expectations, as the company attempts to increase the pace of its transformation.
The German firm posted operating profit of 3.9 billion euros ($4.4 billion) for the first three months of the year. That compared with operating profit of 4.2 billion euros a year earlier. Analysts polled by Reuters had expected first-quarter operating profit to come in at 3.9 billion euros.
Shares rose over 2.3% during early morning deals.
Volkswagen, which is still battling to recover from a 2015 scandal over emissions test cheating, also said it had decided to take a 1 billion euro charge in the first quarter, as a result of legal risks.
“It is certainly very unfortunate that we had to book more provisions but we assess every single risk and exposure we have continuously and it was the point in time to make those provisions,” Witter said.
The company confirmed its full-year guidance and said it expected sales to increase as much as 5%. It projected an operating return on sales between 6.5% and 7%.
Revenue advanced 3.1% to 60 billion euros for the first three months of 2019, despite a drop in deliveries.
The company did not provide a net profit figure.