DGAP-Adhoc: VOLKSWAGEN AG: Half-Yearly Financial Report 2012


VOLKSWAGEN AG  / Key word(s): Half Year Results

26.07.2012 09:43

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Half-Yearly Financial Report 2012:
  
- Volkswagen Group continues successful growth in the first six months 
  of 2012
  
- At EUR 6.5 billion, operating profit is up EUR 0.4 billion on the 
  prior-year period
  
- Profit before tax increases by EUR 1.8 billion year-on-year to reach 
  EUR 10.1 billion; positive effects from equity-accounted investments
  and from measurement of put/call rights relating to Porsche 
  Zwischenholding GmbH at the reporting date (EUR 2.6 billion; 
  EUR 0.5 billion higher than in the previous year)
  
- Group sales revenue climbs to EUR 95.4 billion (EUR 77.8 billion)
  
- Cash flows from operating activities in the Automotive Division amount 
  to EUR 6.8 billion (EUR 8.4 billion); ratio of investments in property, 
  plant and equipment (capex) to sales revenue is 4.0 percent 
  (3.7 percent)
  
- Automotive Division net liquidity now EUR 14.9 billion; this includes a
  cash outflow of EUR 2.1 billion in 2012 for the increase in voting
  rights in MAN SE to 75.03 percent
  
- Group models offer compelling customer proposition worldwide:
  
  - At 4.6 million vehicles, Group deliveries to customers are 
    10.3 percent higher than in the previous year
  
  - Demand for Group vehicles remains strong worldwide; global share 
    of passenger car market increases to 12.4 percent (12.3 percent)
  
  - Volkswagen Passenger Cars unveils the New Lavida, the successor model 
    to the Lavida saloon, which is highly popular in China
  
  - Audi presents its revamped Q5 and Q5 hybrid models; the Audi A6 L 
    e-tron concept is the first hybrid technology concept for the 
    premium class
  
  - SKODA presents its Mission L China concept car 
  
  - SEAT shows off its sporty, dynamic Ibiza Cupra concept
  
  - Bentley celebrates the Asian premiere of its Continental GT V8; 
    Lamborghini attracts attention with its Urus SUV concept car
  
  - Volkswagen Commercial Vehicles starts Amarok production in Hanover
  
  - Scania wins 'Green Truck 2012' award for Scania R 480 Euro 6 
  
  - MAN extends offering of super-heavy trucks in Latin America 
  
  
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January-June                                       2012     2011  +/- (%)
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Volkswagen Group:
  
Deliveries to customers            '000 units     4,552    4,128   + 10.3
Vehicle sales                      '000 units     4,644    4,133   + 12.4
Production                         '000 units     4,681    4,184   + 11.9
Employees                     June 30/Dec. 31   518,699  501,956   +  3.3
  
  
Sales revenue                     EUR million    95,378   77,767   + 22.6
  
Operating profit                  EUR million     6,492    6,086   +  6.7
Profit before tax                 EUR million    10,056    8,233   + 22.1
Profit after tax                  EUR million     8,827    6,496   + 35.9
  
  
Automotive Division (including allocation of consolidation adjustments
between the Automotive and Financial Services divisions):
  
Cash flows from operating
  activities                       EUR million    6,752    8,432   - 19.9
Cash flows from investing
  activities attributable to 
  operating activities*)           EUR million    4,753    6,506   - 27.0
Net liquidity at June 30           EUR million   14,863   19,439   - 23.5
Net liquidity at June 30/Dec. 31   EUR million   14,863   16,951   - 12.3
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*) Excluding acquisition and disposal of equity investments:
   EUR 4,354 million (previous year: EUR 3,175 million).
  
  
The Volkswagen Group's main competitive advantages are its multibrand 
strategy, a range of vehicles that covers almost all segments from 
subcompact cars to heavy trucks and its growing presence in all major 
regions of the world, together with its wide range of financial services. 
Thanks to our expertise in technology and design, we have a diverse, 
attractive and environmentally friendly portfolio of products that meets 
all customer desires and needs. This will become even more attractive 
thanks to the integration of Porsche, with its offering of exclusive 
sports cars. In the second half of 2012, the Volkswagen Group's brands 
will again launch a large number of fascinating new models and so help 
further expand our strong position in the global markets. As a result, we 
expect to increase deliveries to customers year-on-year. 2012 will be 
dominated by the start of production for new, high-volume models as part 
of the renewal of our product range and the need to convert our plant and 
equipment for use with the Modular Transverse Toolkit. The modular 
toolkit system, which is being continuously updated, will have an 
increasingly positive effect on the Group's cost structure in the future.
  
The Volkswagen Group's 2012 sales revenue will exceed the prior-year 
figure. This will be due in part to the consolidation of MAN SE as of 
November 9, 2011; the earnings contribution will be limited because of 
the write-downs that will be required for purchase price allocation. In 
addition, the contribution in full of Porsche's automotive business, 
which is expected to take place as of August 1, 2012, will lead to its 
consolidation in the Volkswagen Group. However, the resulting increase in 
sales revenue will be relatively slight due to consolidation effects. 
The high initial depreciation and amortization expense from purchase 
price allocation is expected to largely offset Porsche's contribution to 
earnings in operating profit for the fiscal year.
  
Our goal for operating profit is to match the 2011 level. Positive 
effects from our attractive model range and strong market position will 
be offset in part by increasingly stiff competition in a challenging 
market environment, especially in certain European countries. Disciplined 
cost and investment management and the continuous optimization of our 
processes remain core components of our Strategy 2018.
  
Wolfsburg, July 26, 2012
  
Volkswagen AG - The Board of Management
  
  
(The full interim report is available at 'www.volkswagenag.com/ir')
  
This report contains forward-looking statements on the business 
development of the Volkswagen Group. These statements are based on 
assumptions relating to the development of the economic and legal 
environment in individual countries and economic regions, and in 
particular for the automotive industry, which we have made on the basis 
of the information available to us and which we consider to be realistic 
at the time of going to press. The estimates given entail a degree of 
risk, and the actual developments may differ from those forecast.
  
Consequently, any unexpected fall in demand or economic stagnation in our 
key sales markets, such as Western Europe (and especially Germany) or in 
the USA, Brazil, China, or Russia will have a corresponding impact on the 
development of our business. The same applies in the event of a 
significant shift in current exchange rates relative in particular to 
sterling, the US dollar, Chinese renminbi, the Swiss franc, Japanese yen, 
Swedish krona, Russian ruble and Australian dollar. In addition, expected 
business development may vary if the assessments of value-enhancing 
factors and risks presented in the 2011 Annual Report develop in a way 
other than we are currently expecting, or additional risks or other 
factors emerge that adversely affect the development of our business.


26.07.2012 DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language:     English
Company:      VOLKSWAGEN AG
              Brieffach 1849
              38436 Wolfsburg
              Germany
Phone:        +49 (0)5361 9 - 49840
Fax:          +49 (0)5361 9 - 30411
E-mail:       christine.ritz@volkswagen.de
Internet:     www.volkswagenag.com/ir
ISIN:         DE0007664039, DE0007664005
WKN:          766403, 766400
Indices:      DAX, Euro Stoxx 50
Listed:       Regulierter Markt in Berlin, Düsseldorf, Frankfurt (Prime
              Standard), Hamburg, Hannover, München, Stuttgart; Terminbörse
              EUREX; London, Luxembourg, SIX
 
End of Announcement                             DGAP News-Service
 
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