Volkswagen Group stays on track in challenging environment and expects improved margin in the second half of the year

“The realignment of Volkswagen Group over the past three years is delivering results. Throughout the group. For the full year, we expect a robust performance above the prior year in a challenging environment – even though our operating result in the first half was around 12 per cent below the prior year. Globally, we delivered more cars than in the previous year – excluding the Chinese market, which slumped by 20 per cent. Our order book also reflects a positive trend: more than 70,000 orders for our new Electric Urban Car Family around the ID. Polo in just a few weeks – and orders for all-electric vehicles in Europe increased by more than 50 per cent in the second quarter. Our products are achieving top scores in comparative tests, awards, and quality studies. Applying disciplined cost management, we have managed to offset continued unavoidable headwinds in the double-digit billions. At the same time, the environment for the automotive industry remains extremely challenging: geopolitical crises, trade conflicts, high regulatory requirements, volatile markets and intensified competition. In an unprecedented risk scenario, Volkswagen Group enters the next phase of its transformation – from a position of strength and with a clear understanding of the opportunities ahead. With the most comprehensive and far-reaching programme in the company’s history – for products, technologies, competitiveness, structures and growth areas. With our future plan, we will become even more innovative, faster, more attractive and robust - and sustainably ensure the Volkswagen Group’s success.”
Oliver Blume, CEO Volkswagen Group

“We are launching attractive new vehicles, consistently implementing our software roadmap, reducing investments and overhead costs. At the same time, we generated a Net Cash Flow of 3.2 billion euro in the first half of the year.
Despite such progress, our operating margin of 3.8 per cent remains too low and underlines the call to action. In an environment where the Chinese total market is down by 20 per cent and Chinese competitors are increasing exports and thereby competitive pressure in Europe, the currently planned initiatives are not sufficient.
We must accelerate efforts to structurally lower our cost base and sustainably improve our earnings quality. This includes improved vehicle cost structures, lower overhead costs, higher efficiency in our plants, faster technology development, and quicker decision-making processes.
Therefore we need to significantly reduce complexity - in our product portfolio and platforms, in our equity portfolio, as well as in our leadership and decision-making structures.
What matters now is swift and consistent implementation.”
Arno Antlitz, CFO and COO Volkswagen Group

Key Figures

Adjusted Outlook for 2026 

The Volkswagen Group expects sales revenue in 2026 to develop within a range of –3 to 0 per cent compared with the previous year (previously: range of 0 to +3 per cent). The Group’s operating return on sales is still expected to be between 4.0 and 5.5 per cent.
In the Automotive Division, the company continues to expect an investment ratio of between 11 and 12 per cent in 2026. Net cash flow for the year 2026 is expected to range between EUR 3 billion and EUR 6 billion. Net liquidity in the Automotive Division is expected to range between EUR 32 billion and EUR 34 billion in 2026. The Volkswagen Group continues to pursue its objective of maintaining a solid financing and liquidity policy.
Challenges are expected in particular from the macroeconomic environment, uncertainties regarding restrictions in international trade and geopolitical tensions, increasing competitive intensity, volatile commodity, energy and foreign exchange markets, as well as changing requirements resulting from emissions-related regulations.
The forecast is based on the assumption that the current tariff situation in international trade remains unchanged. The potential future impact of an escalation in the Middle East cannot be reliably assessed at present and is therefore not reflected in the forecasted figures. The forecast is based on the Volkswagen Group’s current structure; potential effects arising from the development and implementation of the Group Target Picture 2030, as well as the sale of a majority stake in Everllence, are not included.

Further information on the brand groups

1. Including the equity-accounted joint ventures in China. The prior-year deliveries have been updated based on statistical extrapolation.
2. Excluding acquisitions and disposals of equity investments: Q2 EUR 4,564 (5,563) million; H1 2026 EUR 9,386 (10,397) million.

1. Including Porsche Financial Services: sales revenue EUR 17,229 (18,157) million, operating result EUR 1,348 (1,007) million.
2. The sales revenue and operating result of the equity-accounted companies in China are not included in the consolidated figures; the share of the operating result generated by these companies amounted to EUR 184 (506) million.
3. In the operating result, mainly intragroup items recognised in profit or loss, in particular from the elimination of intercompany profits; the figure includes depreciation and amortisation of identifiable assets as part of purchase price allocation, as well as companies not allocated to the brands.

Contacts

Dr. Christoph Ludewig
Corporate Communications Head of Strategy & Finance Communications
+49 (0) 1522 2 997528 | christoph.ludewig@volkswagen.de | www.volkswagen-group.com

Christoph Oemisch
Corporate Communications Spokesperson Finance & Sales
+49 (0) 1520 9364626 | christoph.oemisch@volkswagen.de | www.volkswagen-group.com

Kate Thompson
UK Corporate Communications
+44 (0) 7713 265562 | kate.thompson@vwg.co.uk | www.volkswagengroup.co.uk

 About the Volkswagen Group

The Volkswagen Group is one of the world's leading car makers, headquartered in Wolfsburg, Germany. It operates globally, with 111 production facilities in 16 European countries and 10 countries in the Americas, Asia and Africa. With around 663,000 employees worldwide. The Group’s vehicles are sold in over 150 countries.
With a comprehensive portfolio of strong global brands, leading technologies at scale, innovative ideas to tap into future profit pools and an entrepreneurial leadership team, the Volkswagen Group is committed to shaping the future of mobility through investments in electric and autonomous driving vehicles, digitalisation and sustainability. The goal: As a “Global Automotive Tech Driver”, to make the best automotive technologies accessible to customers worldwide - from entry-level mobility to the luxury segment.
In 2025, the total number of vehicles delivered to customers by the Group globally was 9.0 million (2024: 9.0 million). Group sales revenue in 2025 totaled EUR 321.9 billion (2024: EUR 324.7 billion). The operating result in 2025 amounted to EUR 8.9 billion (2024: EUR 19.1 billion).

Volkswagen Aktiengesellschaft
Registered Seat: Wolfsburg I Registration Court: Amtsgericht Braunschweig
HRB No.: 100484
Chairman of the Supervisory Board: Hans Dieter Pötsch
Board of Management: Oliver Blume (Chairman), Arno Antlitz, Ralf Brandstätter, Gernot Döllner, Manfred Döss, Thomas Schäfer, Thomas Schmall-von Westerholt, Hauke Stars
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