Volkswagen (VOW) Q4 2025 (Media) earnings summary

Executive summary

• Delivered 9 million vehicles in 2025, with strong BEV growth in Europe and robust order intake offsetting declines in China and North America.

• Revenue reached €322 billion, nearly flat year-over-year, while operating profit dropped to €8.9 billion, mainly due to special effects and tariffs.

• Significant cost reductions and restructuring led to €1 billion in annual savings and stable net liquidity of €34.5 billion.

• Launched 30 new models and advanced transformation programs, including the largest product campaign in China planned for 2026.

• Proposed dividend of €5.26 per preferred share for 2025.

Financial highlights

• Operating profit fell by 53% year-over-year to €8.9 billion, with a margin of 2.8% due to €5.9 billion in special effects, including Porsche goodwill impairment and restructuring.

• Adjusted operating margin before special items and tariffs was 4.6%.

• Net cash flow in the automotive division rose to €6.4 billion, up 24% from the previous year, driven by inventory optimization and CapEx discipline.

• Dividend proposal: €5.26 per preferred share, €5.20 per ordinary share, down 17% from prior year.

• Vehicle sales stable at 9.0 million units; BEV order intake in Europe up 55%.

Outlook and guidance

• Revenue expected to grow 0–3% in 2026, with operating margin forecasted between 4% and 5.5%.

• Net cash flow guidance for 2026 is €3–6 billion; net liquidity targeted at €32–34 billion.

• Investment ratio in Automotive Division expected at 11–12%.

• Continued high competitive pressure and volatile global conditions anticipated.