Volkswagen Raises Operating Margin Target for 2025
July 13 2021 - 8:08AM
Dow Jones News
By Kim Richters
Volkswagen AG on Tuesday raised its 2025 target for operating
return on sales, saying the combustion-engines business would help
finance and hasten the ramp-up of battery-electric vehicles.
The German car maker said it is now targeting an operating
return on sales in 2025 of 8% to 9%, compared with a previous goal
of 7% to 8%.
Volkswagen's updated guidance for 2025 comes as the car maker
presents a new strategy through 2030, detailing its electrification
plans for the next years.
"A disciplined ramp-up driven by synergies from lower battery
and factory costs and increasing scale is expected to improve BEV
margins," said the car maker, while "a robust-margin ICE business"
should generate strong cashflows to help the electric shift.
Write to Kim Richters at kim.richters@wsj.com
(END) Dow Jones Newswires
July 13, 2021 07:55 ET (11:55 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.
Volkswagen (TG:VOW)
Historical Stock Chart
From Apr 2024 to May 2024
Volkswagen (TG:VOW)
Historical Stock Chart
From May 2023 to May 2024