Volkswagen reports €158.8 billion sales revenue in H1 2024
Volkswagen Group sales revenue increased due to strong business development in Financial Services. Sales revenue in the automotive business almost stable with a slight decline in vehicle sales worldwide. 158.8 billion EUR sales revenue in H1 2024, up from H1 2023 (EUR 156.3 billion)
10.1 billion EUR Operating Result in H1 2024, 11% below H1 2023 (EUR 11.3 billion); Operating Margin of 6.3%
Decrease in Operating Result related to several non-operating factors, in particular unplanned provisions for the severance program at Volkswagen AG; Operating Margin further impacted by higher fixed costs, charges related to the deconsolidation of VW Bank Russia, and the closing of part of a gas turbine business at MAN Energy Solutions. 10.1 billion EUR Operating Result
7.1% Operating Margin in H1 2024; improvement in margin from Q1 to Q2
Adjusted for non-operating factors and before fair value of derivates outside of hedge accounting, corresponding Operating Margin was 7.1% in H1 2024; improvement in underlying margin of 7.6% in Q2 2024, compared to 6.6% underlying margin in Q1 2024.
-0.1 billion EUR net cash flow in the Automotive division in H1 2024 (EUR 2.5 billion)
Automotive net cash flow affected by increase in working capital related to the model ramp-up and supply constraints; strong net cashflow in Q2 of EUR 2.9 billion, almost compensating for outflow of EUR 3.0 billion in Q1 2024.
4.3 million vehicle sales in H1 2024, slightly below H1 2023 (4.4 million vehicles)
Growth in North America (+8%) and South America (+15%) nearly offsets decline in other regions, particularly China in Q2.
+2% overall order intake in home region
Overall order intake in home region up 2%, driven by all-electric vehicles (+124%). Order book reaches well into the fourth quarter.
The Volkswagen Group expects the sales revenue to exceed the previous year’s figure by up to 5% in 2024. The operating return on sales for the Volkswagen Group and the Passenger Cars Business Area is likely to be between 6.5% and 7%.
In the Automotive Division, the Group assumes an investment ratio of between 13.5% and 14.5% in 2024. The automotive net cash flow in 2024 is expected to be between EUR 2.5 billion and EUR 4.5 billion. This will include in particular investments for the future and cash outflows from mergers and acquisitions, which are a vital pillar of the Volkswagen Group’s transformation. Net liquidity in the Automotive Division in 2024 is expected to be between EUR 37 billion and EUR 39 billion. The Group’s goal remains unchanged, namely, to continue with our robust financing and liquidity policy.
Key Figures Volkswagen Group
| Q2 | H1 | ||||||
| 2024 | 2023 | % | 2024 | 2023 | % | ||
| Volume Data1 in thousands | |||||||
| Deliveries to customers (units) | 2,244 | 2,331 | -3.8 | 4,348 | 4,372 | -0.6 | |
| Vehicle sales (units) | 2,260 | 2,324 | -2.8 | 4,341 | 4,448 | -2.4 | |
| Production (units) | 2,340 | 2,418 | -3.2 | 4,606 | 4,691 | -1.8 | |
| Employees (on June 30, 2024/Dec. 31, 2023) | 682.8 | 684.0 | -0.2 | ||||
| Financial Data (IFRS), € million | |||||||
| Sales revenue | 83,339 | 80,059 | +4.1 | 158,800 | 156,257 | +1.6 | |
| Operating result | 5,464 | 5,600 | -2.4 | 10,052 | 11,347 | -11.4 | |
| Operating return on sales (%) | 6.6 | 7.0 | 6.3 | 7.3 | |||
| Earnings before tax | 4,986 | 5,446 | -8.4 | 10,167 | 11,898 | -14.6 | |
| Return on sales before tax (%) | 6.0 | 6.8 | 6.4 | 7.6 | |||
| Earnings after tax | 3,631 | 3,791 | -4.2 | 7,341 | 8,521 | -13.9 | |
| Automotive Division2 | |||||||
| Cash flows from operating activities | 8,396 | 6,161 | +36.3 | 10,925 | 13,373 | -20.5 | |
| Cash flows from investing activities attributable to operating activities3 | 5,499 | 5,936 | -7.4 | 11,054 | 11,267 | -1.9 | |
| Net cash flow | 2,898 | 226 | – | -129 | 2,470 | – | |
| Net liquidity at June 30/Dec. 31 | 31,314 | 40,289 | -22.3 | ||||
| Investment ratio | 12.5 | 12.4 | 13.4 | 12.1 | |||
1) The figures also include the equity-accounted Chinese joint ventures. Prior-year deliveries have been updated to reflect subsequent statistical trends.
2) Including allocation of consolidation adjustments between the Automotive and Financial Services divisions.
3) Excluding acquisition and disposal of equity investments: Q2 EUR 5,393 (5,700) million, January to June EUR 10,743 (10,654) million.
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