Volkswagen (VOW) Q4 2024 earnings summary

Executive summary

• Group revenue reached €324.7bn in 2024, up 1% year-over-year, with 9.0 million vehicles delivered, including 745,000 BEVs, and a proposed €6.36 dividend per preference share.

• Operating profit was €19.1bn (5.9% margin), impacted by restructuring and higher fixed costs; underlying margin at 6.7%.

• Net profit declined 31% to €12.4bn, mainly due to lower results from Chinese JVs and write-downs; EPS down 33% to €6.36.

• Automotive net cash flow was €5.0bn, net liquidity €36.1bn, both down year-over-year but above 10% of group sales.

• Major restructuring in Germany includes >35k workforce reduction and >730k unit technical capacity cut, targeting >€4bn annual cost savings by 2030.

Financial highlights

• Sales revenue rose 1% to €324.7bn; operating profit fell 15% to €19.1bn, with a 5.9% margin (6.7% adjusted for one-offs).

• Net profit dropped 31% to €12.4bn; EPS €6.36; dividend payout ratio at 30% of net income.

• Automotive net cash flow at €5.0bn (-53% y-o-y); net liquidity at €36.1bn (-10% y-o-y).

• BEV deliveries stable at 8.3% share; total deliveries 9.0mn (-2% y-o-y), with strong Q4 close.

Outlook and guidance

• 2025 sales revenue expected to increase by up to 5%, with operating return on sales between 5.5% and 6.5%.

• Automotive net cash flow guidance is €2–5bn, including €2bn in restructuring outflows; net liquidity expected at €34–37bn.

• BEV share targeted at 10%–14% globally in 2025, with strong product launches and cost discipline as key drivers.

• Investment ratio in automotive division to decline to 12%–13% in 2025 and around 10% by 2027.

• Guidance excludes potential effects from trade tariffs or CO₂ regulation changes.