Volkswagen faced a quarterly loss for the first time in 15 years

Volkswagen faced a quarterly loss for the first time in 15 years

Moscow. October 28. The German automobile concern Volkswagen AG recorded a quarterly loss for the first time in 15 years. The automaker reported that its profit in 2015 will be significantly below the level of the previous year amid “diesel” scandal.

Volkswagen write-offs associated with this scandal, in the last quarter was 6.7 billion euros, which exceeded the previously announced 6.5 billion euros. According to a press release from the company, its operating loss in July-September amounted to 3,48 billion euros compared with a profit of 3.23 billion euros in the same period of the previous year.

Analysts surveyed by Bloomberg on average predicted a loss at level of 3,27 billion Euro.

Volkswagen’s net loss last quarter was 1.73 billion euros, compared with net profit of 2.9 billion euros a year earlier. Revenues of the carmaker increased by 5.3% to 51,49 billion euros.

The company noted that favorable exchange rate differences, as well as optimization of costs, offset the negative effects of falling business in South America and Russia to its indicators. For the period from January to September, Volkswagen sold 7,44 million cars – which is 2.7% less than in the same period of 2014.

“The data from one side point to the continued stability of operations of Volkswagen, and, on the other hand, give to understand, what are the initial effects of the situation. We will do everything in our power to restore lost confidence,” said chief Executive officer Matthias Mueller.

In September it became known that in diesel engines, model EA 189 Volkswagen was installed, which allowed to reduce the recorded amount of pollutants emitted into the atmosphere during the tests. In connection with this, Volkswagen is going to recall about 11 million vehicles. In addition, the company offers the fines of government agencies in many countries and hundreds of trials in the private sector.

Analysts of the rating Agency Moody’s believe that the minimum cost Volkswagen in connection with the “diesel” scandal will amount to 9.5 billion Euro by the end of 2017, a maximum of 31 billion euros.