Volkswagen cuts dividend as it records €800m loss in first half
published 30.07.2020 10:01
VW stuck to its lowered forecast from April that sees global deliveries, revenue and operating profit falling “severely” this year, but the manufacturer still expects to make a profit on a full-year basis.
“The first half of 2020 was one of the most challenging in the history of our company due to the Covid-19 pandemic,” VW chief financial officer Frank Witter said.
VW expects markets to recover in the second half after July deliveries improved from the previous month.
Volkswagen cut its proposed dividend after recording an €800-million loss in the first half of the year, when the Covid-19 pandemic shuttered showrooms and factories in key markets.
The company’s Porsche brand proved relatively resilient in the first half, recording an operating profit thanks to deliveries that declined just 15 per cent.