By Senad Karaahmetovic
Shares of Volkswagen (ETR:VOWG) are up almost 2% in today’s European trading session after the German carmaker reports very good results for its second quarter.
Volkswagen reported an adjusted operating profit of €4.74 billion on revenue of €69.54 billion. This is higher than the market consensus that called for an adjusted operating profit of €4.1 billion on revenue of €66.64 billion.
Revenue soared 3.3% while operating profit fell 31% year over year. The car giant also said it delivered 22% fewer cars on a YoY basis after shipping 1.98 million units, lower than the average analyst estimate of 2.1 million.
For the first half of the year, Volkswagen saw strong demand for its premium brands Audi and Porsche, which witnessed their operating profits going up by 51% and 22%, respectively. On the other hand, the Volkswagen brand recorded an 8% drop in operating profit for the same period of the year.
Still, Volkswagen reiterated its outlook for 2022 and said the supply chain headwinds are fading.
The carmaker also confirmed IPO plans for Porsche with the final decision expected in late summer.
A Jefferies analyst said Volkswagen delivered “solid numbers” in 2Q with the research firm especially impressed by Porsche’s 20.9% margins.