Volkswagen warns on profits, revenue outlook as restructuring pressures grow
Volkswagen earnings fall as tariffs and Chinese rivals pressure margins See how the automaker plans restructuring as shares slide and growth weakens
Volkswagen reported weakerthanexpected secondquarter results, with operating profit falling to 3.5 billion euros from a year earlier. The company also lowered its 2026 revenue outlook, now expecting sales to decline by as much as 3% instead of growing.
The German automaker is under pressure from tariff costs, tougher competition from Chinese brands and a challenging global market. Chief Financial Officer Arno Antlitz said the margin decline points to the need for another round of restructuring, while stressing that the company prefers alternatives to plant closures and job cuts where possible.
Volkswagen recently confirmed plans to cut up to 100,000 jobs, and management has said it is examining options for several German factories. Shares fell on the news and remain sharply lower for the year as the company works through a broader business overhaul.