CEO Herbert Diess at the Annual General Meeting: “With NEW AUTO, we will reinvent Volkswagen”
Backed by its ability to scale platforms globally, the Volkswagen Group intends to further expand its share of the e-mobility market, Diess said. He reaffirmed his conviction that e-mobility is the only way to significantly reduce CO2 emissions in road traffic over the next ten years, and also referred to plans recently presented by the EU Commission. “Our goal is to become the world market leader for e-vehicles,” Diess stated.
Strong first half of 2021
In the first six months of 2021, the Volkswagen Group made further progress on this path despite the COVID-19 pandemic and global semiconductor shortages: By the end of June, deliveries increased significantly by 27.9 percent over the previous year to around five million vehicles. Herbert Diess: "With a 26 percent market share, the Volkswagen Group sold more electric cars in Europe in the first half of the year than any other company." With its own production in the core markets of China and the U.S., Volkswagen considers itself well-positioned to continue the swift ramp up of e-mobility worldwide. “We assume that our margins in e-mobility and ICE business will already be at the same level in two to three years." In preparation for the annual Planning Round in November, the Group has increased the corridor for the operating return on sales in 2025 from 7-8 to 8-9 percent.
The financial performance of the Volkswagen Group already improved significantly in the first half of 2021: Based on preliminary figures, the company expects a high operating profit of around €11 billion (-1.49) for the first half of the year.
Dividend proposal unchanged
The Board of Management and Supervisory Board proposed to the Annual General Meeting a dividend of €4.80 per ordinary share and €4.86 per preferred share for fiscal 2020. Due to the consequences of the COVID-19 pandemic, €855 million of the remaining net profit from the successful fiscal year 2019 was carried forward to fiscal 2020 last year.
The Supervisory Board also submitted the new remuneration system for the Board of Management members to the Annual General Meeting for approval. This was revised in fiscal year 2020 and has already been in effect since January 2021.
Successful brands as one of the Volkswagen Group’s strengths
Herbert Diess: “No other premium manufacturer offers a similar range of electric cars." Audi will continue to expand this – among other things, with the Artemis high-tech project. He added that bundling the British luxury brand with Lamborghini and Ducati in the Premium brand group would make it possible to position AUDI technology in an even higher price segment and benefit from greater economies of scale.
In the Volume brand group, the lead brand Volkswagen is also vigorously pursuing the electrification and digitalization of its portfolio with its ACCELERATE strategy. The brand strives to become the global market leader in battery-electric vehicles in the volume segment by 2025. Commenting on the role of the brand, Diess said: With the Trinity future project, Volkswagen is introducing Artemis technology into the volume segment, as it has already done with the Modular Electric Drive Toolkit (MEB).
Jul 22, 2021 at 22:32