Volkswagen AG — Earnings Release 2012

Apr 26, 2012

News Details

UK Regulatory | 26 April 2012 09:59

VOLKSWAGEN AG: Interim Report January-March 2012

VOLKSWAGEN AG / Interim Report

26.04.2012 09:59

Dissemination of a UK Regulatory Announcement, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

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Interim Report January-March 2012:

• Volkswagen Group makes successful start to fiscal year 2012

• Operating profit up EUR0.3 billion year-on-year to EUR3.2 billion

• Profit before tax improves to EUR4.3 billion (EUR2.2 billion); positive
  effects from equity-accounted investments

• Group sales revenue up 26.3% to EUR47.3 billion

• Cash flows from operating activities in the Automotive Division at
  EUR2.9 billion (EUR5.1 billion) due to growth factors; ratio of
  investments in property, plant and equipment (capex) to sales
  revenue amounts to 4.0% (2.8%)

• Automotive Division net liquidity at EUR15.8 billion; this includes the
  liquidity outflow of EUR1.4 billion for the increase in the stake in
  MAN SE to 70.89% of the voting rights

• Strong demand for Group models worldwide:

• Deliveries to customers up 11.1% year-on-year to 2.2 million
  vehicles

• Group outperforms the market in all regions; global share of
  passenger car market rises to 12.2% (11.9%)

• Volkswagen Passenger Cars adds two more models - the eco up! and the
  four-door version - to the up! family; Jetta Hybrid and Polo Blue GT
  make their debut

• Audi presents the third generation of a bestseller: the new A3;
  RS4 Avant makes its debut

• SKODA showcases the four-door version of the Citigo for the first
  time at a motor show

• SEAT ushers in the next phase of its model rollout with the new
  Ibiza, the close-to-production Toledo concept study and the
  four-door Mii

• Bentley unveils the EXP 9 F SUV study; Lamborghini and Bugatti
  present compelling Aventador J and Veyron 16.4 Grand Sport Vitesse

• Volkswagen Commercial Vehicles attracts attention with the Amarok
  Canyon concept car

• First Scania Euro 6 trucks registered

• NEOPLAN Skyliner from MAN wins the red dot design award

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January-March 2012 2011 +/- (%)

Volkswagen Group:

Deliveries to customers '000 units 2,209 1,988 + 11.1
Vehicle sales '000 units 2,260 2,031 + 11.3
Production '000 units 2,317 2,065 + 12.2
Employees March 31/Dec. 31 513,023 501,956 + 2.2

Sales revenue EUR million 47,326 37,470 + 26.3

Operating profit EUR million 3,209 2,912 + 10.2
Profit before tax EUR million 4,300 2,223 + 93.4
Profit after tax EUR million 3,186 1,712 + 86.1

Automotive Division (including allocation of consolidation adjustments
between the Automotive and Financial Services divisions):

Cash flows from operating
activities EUR million 2,941 5,120 - 42.6
Cash flows from investing
activities attributable to
operating activities*) EUR million 2,523 4,465 - 43.5
Net liquidity at March 31 EUR million 15,762 19,648 - 19.8
Net liquidity at March 31/Dec. 31 EUR million 15,762 16,951 - 7.0

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*) Excluding acquisition and disposal of equity investments:
EUR 2,112 million (previous year: EUR 1,251 million).

The Volkswagen Group's main competitive advantages are its multibrand
strategy, a range of vehicles that covers almost all segments from
subcompact cars to heavy trucks and its growing presence in all major
regions of the world, together with its wide range of financial services.
Thanks to our expertise in technology and design, we have a diverse,
attractive and environmentally friendly portfolio of products that meets
all customer desires and needs. In 2012, the Volkswagen Group's brands
will again launch a large number of fascinating new models and so help
further expand our strong position in the global markets. As a result, we
expect to increase deliveries to customers year-on-year. 2012 will be
dominated by the start of production for new, high-volume models as part
of the renewal of our product range and the need to convert our plant and
equipment for use with the Modular Transverse Toolkit. The modular
toolkit system, which is being continuously updated, will have an
increasingly positive effect on the Group's cost structure in the future.

The Volkswagen Group's 2012 sales revenue will exceed the prior-year
figure. This will also be a result of the consolidation of MAN SE as of
November 9, 2011; the earnings contribution will be limited because of
the write-downs that will be required for purchase price allocation.

Our goal for operating profit is to match the 2011 level. Positive
effects from our attractive model range and strong market position will
be offset in part by increasingly stiff competition in a challenging
market environment, especially in certain European countries. Disciplined
cost and investment management and the continuous optimization of our
processes remain core components of our Strategy 2018.

Wolfsburg, April 26, 2012

Volkswagen AG - The Board of Management

(The full interim report is available at 'www.volkswagenag.com/ir')

This report contains forward-looking statements on the business
development of the Volkswagen Group. These statements are based on
assumptions relating to the development of the economic and legal
environment in individual countries and economic regions, and in
particular for the automotive industry, which we have made on the basis
of the information available to us and which we consider to be realistic
at the time of going to press. The estimates given entail a degree of
risk, and the actual developments may differ from those forecast.

Consequently, any unexpected fall in demand or economic stagnation in our
key sales markets, such as Western Europe (and especially Germany) or in
the USA, Brazil, China, or Russia will have a corresponding impact on the
development of our business. The same applies in the event of a
significant shift in current exchange rates relative in particular to
sterling, the US dollar, Chinese renminbi, the Swiss franc, Japanese yen,
Swedish krona, Russian ruble and Australian dollar. In addition, expected
business development may vary if the assessments of value-enhancing
factors and risks presented in the 2011 Annual Report develop in a way
other than we are currently expecting, or additional risks or other
factors emerge that adversely affect the development of our business.

26.04.2012 DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language: English
Company: VOLKSWAGEN AG
Brieffach 1849
38436 Wolfsburg
Germany
Phone: +49 (0)5361 9 - 49840
Fax: +49 (0)5361 9 - 30411
E-mail: christine.ritz@volkswagen.de
Internet: www.volkswagenag.com/ir
ISIN: DE0007664039, DE0007664005
Indices: DAX, Euro Stoxx 50
Listed: Regulierter Markt in Berlin, Düsseldorf, Frankfurt
(Prime Standard), Hamburg, Hannover, München,
Stuttgart; Terminbörse EUREX; London, Luxembourg, SIX
Category Code: QRF
LSE Ticker: VKW
Sequence Number: 1062
Time of Receipt: Apr 26, 2012 09:27:29

End of Announcement DGAP News-Service

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