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Volkswagen:Quarterly Results/2025 Q2: Difference between revisions
→Q2 2025 earnings call summary
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* '''Antlitz cautioned that the longer we go into the second half of the year, the more we tend to move towards the lower end of the guidance (Q&A).''' | * '''Antlitz cautioned that the longer we go into the second half of the year, the more we tend to move towards the lower end of the guidance (Q&A).''' | ||
* Antlitz said they expect to touch the bottom this year in Audi and Porsche, with positive momentum from 2026 onwards (Q&A). | * Antlitz said they expect to touch the bottom this year in Audi and Porsche, with positive momentum from 2026 onwards (Q&A). | ||
* | * Antlitz said they expect cash flow tailwind in the second half of the year due to seasonality surrounding production (Q&A). | ||
*'''Q2 was a peak for the Volkswagen brand core when it comes to operating margin due to slight positive effect from China and Q3 being impacted by summer production shutdowns. But they are on good tract to achieve the 4% target for 2025 (Q&A).''' | |||
==== Products ==== | ==== Products ==== | ||
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* In the medium term, Audi expects annual savings of EUR 1 billion by cutting workforce by 7,500. | * In the medium term, Audi expects annual savings of EUR 1 billion by cutting workforce by 7,500. | ||
* Antlitz said since the end of 2023, they have reduced workforce by around 9,000 at the Volkswagen AG. Overall, the number of employees at the Group has been reduced by 10,600 since the start of the year. | * Antlitz said since the end of 2023, they have reduced workforce by around 9,000 at the Volkswagen AG. Overall, the number of employees at the Group has been reduced by 10,600 since the start of the year. | ||
* | *Expect to dispose some non-controlling interests. Benefits of this is not expected this year (Q&A). | ||
*Audi restructuring (7,500 job cuts) is slightly behind on schedule but benefits will kick in in the coming quarters (Q&A). | |||
*First signs of product cost reduction are being seen in Germany, not (Q&A). | |||
=== Tariffs === | === Tariffs === | ||
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* Antlitz said they see a positive trend in Europe (Q&A). | * Antlitz said they see a positive trend in Europe (Q&A). | ||
* Antlitz pointed out that they were able to improve their overall market share in Europe to 25%. | * Antlitz pointed out that they were able to improve their overall market share in Europe to 25%. | ||
* '''Antlitz said they see a very stable pricing environment for ICEs but that may also be due to product offensive (Q&A). Pricing effect was minus EUR 500 million, better than originally thought and due to ramp up of BEVs.''' | |||
==== China ==== | ==== China ==== | ||
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* Blume said with ID.Bus AD, they are making strides on autonomous driving. | * Blume said with ID.Bus AD, they are making strides on autonomous driving. | ||
* They plan to bring it to the US market in 2026. | * They plan to bring it to the US market in 2026 through a partnership with Uber. | ||
* Blume said their software meets key regulatory requirements for level 4 vehicles. | * Blume said their software meets key regulatory requirements for level 4 vehicles. | ||
* Robotaxi market is forecasted to reach $400 billion annually by 2030. | |||
* Blume said compared to competition (Tesla and Waymo), they are in good position since they have advanced technology and the needed platforms (Q&A). | |||
* Blume said they have a lot of interest from many cities in Europe and Middle East, which are ready to implement their solution. | |||
* Blume pointed out that around 50% of Tesla market cap is tied to Robotaxi, hence Volkswagen Group market cap could also get a boost from it (Q&A). | |||
==== CO2 regulation ==== | |||
* They are providing incentives to boost BEV share so as to meet the EU CO2 regulation. However, the positive feedback, they are getting on products enable them to be restrictive on discounts and incentives (Q&A). | |||
== Management and analysts' estimates == | == Management and analysts' estimates == | ||