Volkswagen Reports a Loss of $1.83 billion in Q3 2015

Published Date : Nov 04, 2015

In a sad news, Volkswagen announced that it has suffered a loss of $1.83 billion in the third quarter of 2015. This news comes in after the company made a shocking disclosure of the fact that it had equipped about 11 million vehicles with a software that cheated on the emission tests. In addition to this whopping loss, the company has also allocated a budget of $7.4 billion to pay for the cars it has recalled for fixing across the globe.

However, Volkswagen ground stated that its revenue was up 8.5% to $177 billion as compared to nine months. Furthermore, the company stated that its annual sales are same as a year ago. A year ago, Volkswagen sold 10 million cars, a surge in sale that can be attributed to a conducive exchange rate. 

As of this years, Volkswagen delivered 7,430,794 units as compared to 7,541,787 in the same period last year. This decline has been calculated at a 1.5%. Furthermore, the company has sold 6,980,066 passenger cars in the same period as compared to 7,075, 089 over the same period.

Herbert Diess, the new chief executive of passenger cars for Volkswagen apologized for the embarrassing scandal and promised to the audience that the mistake won’t repeat again. He further added, that the company is doing everything that it can to restore the trust in its brand.

For the deliveries that Volkswagen made in the U.S., it admitted to tampering with its 2-liter diesel engines that are actually installed in smaller vehicles and also seen in the diesel version of the Audi A3.