VW Group 2020 operating profit halved to RM49.3 bil

VW Group 2020 operating profit halved to RM49.3 bil

The Volkswagen Group revealed in a statement that its operating profit for 2020 before special items (related to the Dieselgate scandal) was about 10 billion euros (RM49.3 billion), which is nearly half of the 19.3 billion euros (RM95.1 billion) it recorded in 2019.

Detailed figures will be announced on its annual press conference on March 16, but according to the statement, stronger sales in the second half of 2020 helped keep the automaker in the black. “The deliveries to customers of the Volkswagen Group continued to recover strongly in the fourth quarter and even exceeded the deliveries of the third quarter 2020,” VW said in a statement.

This particular trend was evident for most car brand, but nevertheless, sales had to take a hit when most markets went into a pandemic induced lockdown. Due to this, Volkswagen’s year-on-year sales dipped – in 2020, it sold a total of 9,305,400 vehicles globally, which is -15.2% down from 10,975,300 vehicles delivered in 2019. Still, VW holds 12.9% of the global passenger car market share.

Under its umbrella are brands such as Audi, Skoda, Seat, Porsche, Bentley, Lamborghini, Bugatti, and several commercial vehicle makes. Nearly every single brand saw a sales decline in 2020, some as much as -27.5%. However, VW Group said its net cash flow last year was about 6 billion euros (RM29.56 billion).

Besides Dieselgate costs, VW also said it missed EU targets on CO2 emissions from its passenger car fleet last year, and faces a fine of more than 100 million euros (RM492.7 million).

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Matthew H Tong

An ardent believer that fun cars need not be fast and fast cars may not always be fun. Matt advocates the purity and simplicity of manually swapping cogs while coping in silence of its impending doom. Matt's not hot. Never hot.



  • azrai on Jan 25, 2021 at 11:45 am

    VW profis is more than triple PERMAI initiative.

    Like or Dislike: Thumb up 0 Thumb down 0
    • Amran on Jan 25, 2021 at 12:24 pm

      Well said bro. P1 should join VW Group and enjoy the profits, instead of suffering losses..

      Like or Dislike: Thumb up 0 Thumb down 6
      • Fake News on Jan 25, 2021 at 1:11 pm

        Fake news spawning again

        Like or Dislike: Thumb up 2 Thumb down 0
        • Civic Turbo 2018 on Jan 25, 2021 at 4:30 pm

          VW only lost 12.5% sales in pandemic? Why?

          Like or Dislike: Thumb up 0 Thumb down 0
          • Frozen on Jan 25, 2021 at 6:39 pm

            That’s not so bad. Subaru did worse (https://paultan.org/2021/01/25/subarus-uk-sales-fell-68-in-2020-sold-below-1k-cars-new-boss-describes-performance-as-embarrassing/)

            Like or Dislike: Thumb up 1 Thumb down 0
    • Fake News on Jan 25, 2021 at 1:12 pm

      Unsurprising since VW is a purely business entity focused on making profits, while Government should not be so money minded.

      Like or Dislike: Thumb up 3 Thumb down 0
  • At RM49b profit VW easily esclipse Malaysia’s 2017 GST collection at RM44b which 1/3 subject to return one.

    Like or Dislike: Thumb up 0 Thumb down 0

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