Crisis in the automotive industry: Volkswagen significantly lowers profit forecast
Billions in write-offs on Porsche, weak China business and expensive group restructuring: things are going worse than expected at VW. In 2026, Europe's largest automaker could only make a minimal profit.
Volkswagen has lowered its forecast for 2026 due to a massive write-down on Porsche, weak business in China, and additional costs for restructuring. The company now expects an operating profit margin of at most 1%, down from the previously expected 4.0-5.5%. A write-down of around €6 billion on Porsche's goodwill and additional costs of around €10 billion, including €2 billion from various effects in the second half, are expected to impact the company's performance.
Volkswagen's revenue is now expected to be around €315 billion in 2026, and the company will report its nine-month figures on October 29. Porsche SE, the parent company of Volkswagen and Porsche, has also lowered its forecast.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
