VW emissions scandal: Car maker takes first quarterly loss in 15 years
Volkswagen has said it had swung into the red, marking its first quarterly loss in 15 years, as the scandal-hit carmaker’s woes deepen.
The German giant has taken a charge of €6.7 billion (£4.8 billion) to cover the costs of the emissions scandal which came to light last month.
It admitted installing software designed to cheat emissions tests in 11 million diesel cars across the world.
As a result, Volkswagen posted an operating loss of €3.5 billion and pre-tax loss of €2.5 billion for the third quarter. During the same quarter last year, the company respectively recorded profits of €3.2 billion and €3.7 billion.
Volkswagen said it expects full-year 2015 profit will be “down significantly year-on-year”.
Matthias Müller, Volkswagen’s new chief executive, said: “The initial impact of the current situation is becoming clear. We will do everything in our power to win back the trust we have lost.”
Müller was appointed boss of the carmarker last month after the scandal emerged.
He has pledged to leave “no stone unturned” in an investigation into it.
Before the update Herbert Diess, chief executive of the passenger cars division, apologised for the scandal at a Tokyo motor show.
He added that Volkswagen will delay the launch of a diesel vehicle in Japan.
Despite the loss, shares rallied 4%, or 4.55c, to €109.70 as investors welcomed an 8.5% sales rise in the first nine months of the year.
