Volkswagen Group reported a 55% increase in operating profit for the first quarter of €726m, well below its medium-term earnings target.
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Analysts were forecasting a higher figure of an average of €920m before special items, from a restated €468m year earlier, according to Reuters, thanks to a significant improvement in quarterly earnings at its VW brand group.
Group profit before tax improved year-on-year to € 412m (€125m in Q1 2005)
Group sales revenue was up 21.4% year-on-year to €25.3bn, in particular due to volume growth. Deliveries to customers increased 15.1% year-on-year thanks to a higher market share especially in Germany and in key west European markets.
Positve gains during the quarter from the sale of Gedas and Volkswagen Bordnetze were offset by negative special items for restructuring.
These reduced automotive division operating profit by €89bn.
