BERLIN, Oct 29 (Reuters) – Volkswagen tumbled further into the red in the third quarter, signalling a deepening crisis at the world’s second-largest carmaker, which is battling seismic challenges across key markets as it embarks on a major restructuring.
Europe’s top automaker reported an operating loss of €5.9 billion ($6.59 billion) during the three-month period. Visible Alpha analysts had forecast a €2.6 billion loss, after a €1.3 billion loss during the same period last year.
“The nine-month results make one thing clear: We cannot afford to lose any time. We must act quickly and decisively,” finance chief Arno Antlitz said in a video statement.
Sales revenue also fell by a stronger-than-forecast 6% during the third quarter to €75.3 billion.
The results underscore the pressure on Volkswagen to overhaul its business model in the face of brutal competition in China, billions in annual tariff costs and a costly ramp-up of EVs in Europe, where Chinese rivals are also making gains.
CEO Oliver Blume plans 100,000 job cuts across the group, which includes the Audi and Porsche brands.
($1 = 0.8959 euros)
(Reporting by Rachel More, Editing by Friederike Heine)
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