Volkswagen says profits hit by chip shortage in Q3 | Malay Mail

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Volkswagen says profits hit by chip shortage in Q3 | Malay Mail
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FRANKFURT, Oct 28 ― German automotive giant Volkswagen’s operating profit and sales fell in the third quarter, the group said Thursday, as a global shortage in chips hampered production of its vehicles.  “The global semiconductor bottlenecks particularly impacted on the business...

FRANKFURT, Oct 28 ― German automotive giant Volkswagen’s operating profit and sales fell in the third quarter, the group said Thursday, as a global shortage in chips hampered production of its vehicles.

The group’s operating profit before special items plunged 12 per cent in the third quarter compared with the same “weak” pandemic-blighted period last year to €2.8 billion , with its mass-market brands, including VW, suffering an overall operating loss. The disappointing result showed that the number one German automotive group “must now systematically drive forward the improvement in productivity in the volume sector,” which includes VW, Seat and Skoda, Volkswagen CEO Herbert Diess said.

Following the difficult quarter, deliveries in 2021 would be “in line” with sales in the previous year, the group said, having previously expected them to rise.

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