Volkswagen Reports 11.6% Drop in First-Half Operating Profit Amid Production Cuts and Market Challenges
Volkswagen Group reported an operating profit of €5.93 billion for the first half of 2026, a decline of 11.6% compared to the same period last year due to challenges including costs from ending U.S. production of its ID.4 model and weaker performance in China. Sales revenue fell slightly by 0.2% to €158.1 billion during this time. The company revised its full-year sales forecast downward, now expecting a -3% to 0% change compared with the previous year's growth projection of 0% to +3%. The operating return on sales remained at 3.8%, down from 4.2% in H1 2025. Volkswagen also announced potential job cuts, including up to an additional 50,000 positions across the group as part of cost-cutting measures.