Volkswagen’s operating profit surged by 28 percent year-on-year in the first quarter, supported by the growth of the core brand’s revenue, which continues to recover after the emissions cheating scandal involving diesel vehicles from the German automaker.
The Group’s operating profit reached 4.4 billion euros in the quarter ending in March, compared to 3.4 billion in the same period last year, Volkswagen announced on Tuesday.
The Group is recovering from the scandal, and last year it managed to surpass Japanese Toyota in the position of the world’s largest automaker by sales, with analysts believing that the turnaround in Volkswagen’s brand will be crucial for its future prospects.
– The key to Volkswagen brand’s business results was the success in promoting new models, particularly the Tiguan, and strong financial performance in the Western European market. Optimized fixed costs also positively impacted the results, Volkswagen stated.
The company also indicated that its other brands, including Audi and Škoda, also contributed to the good results, but did not provide details. VW announced that it will publish a comprehensive financial report for the first quarter in early May.
