Volkswagen: sanctioned for 2024 warning

(CercleFinance.com) - Volkswagen fell by 3% in early trading in Frankfurt, punished for a reduction, on Friday evening, of its targets for the 2024 financial year 'in view of a difficult market environment and developments that did not meet initial expectations'.


Now expecting only deliveries of around nine million vehicles to its customers, the German automaker is now counting on annual sales of around 320 billion euros.

In terms of profitability, it is now only targeting operating income of around 18 billion euros (corresponding to a margin on sales of around 5.6%), as well as net cash flow from the automotive division of around two billion euros.

This warning should not come as a major surprise to investors, but it does underline the increasingly difficult environment facing automakers in most regions", commented Oddo BHF.

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