The Volkswagen brand has announced an 8% rise in sales revenue over the same period last year, marking positive business development over the first two quarters of 2017. The brand seems to have additionally shaken off its problems with dieselgate last year, rolling out an impressive product offensive as well as a concentrated focus on electric vehicles.
Volkswagen has confirmed its return forecast for the year as a whole. The Board of Management of the Volkswagen brand expects operating return on sales to be at the upper end of the range from 2.5 to 3.5%.
“The Volkswagen brand is on the right track. There is strong demand for our cars throughout the world and our strategic realignment is showing positive effects on business operations”, explained Herbert Diess, Chairman of the Board of Management of the Volkswagen brand. “We have successfully embarked on a new phase in our company. Our objective is to position Volkswagen in such a way that it is fully and completely viable for the future so that we can continue to play a leading role in the automobile world of the future”, Diess added.
These results of the brand have to be seen separately from the group, due to the demarcation being applied this year.
The brand delivered 2.9 million vehicles in the period, with above average growth in the USA (8.2%), South America (12.2%) and Russia (17.9%). Growth in China was marginal at 0.2%.
“In some core regions, we have recently recorded significant growth again, also as a result of our broad-based model offensive, which is being very well received by the markets. New models such as the Polo, Arteon and Tiguan Allspace give us reason to be positive about the second half of the year”, said Jürgen Stackmann, Volkswagen brand Board Member for Sales.
The second half of the year will see a further focus on product offensive, with Volkswagen growing its SUV offering from the Tiguan and Touareg to 19 models by 2020. That’s when the electric vehicles will begin to roll out.
“We want to win market shares with new, attractive and emotional vehicles at the same time as further improving our competitiveness. We want to use the positive momentum that we can feel throughout the company and in the marketplace to step up the pace both for the realignment of the Group and business operations. The Volkswagen brand is going on the offensive again”, said brand CEO Diess.