Core Insights - Volkswagen Group reported a significant decline in net profit for Q3 2025, with a loss of €1.072 billion, marking a 61.5% decrease in net profit for the first nine months compared to the previous year [1][2] - The decline in performance is attributed to increased production of low-margin electric vehicles and additional burdens totaling €7.5 billion, including U.S. import tariffs and strategic adjustments at Porsche [1][3] Financial Performance - Q3 2025 net profit was negative €1.072 billion, compared to a profit of €1.558 billion in Q3 2024 [2] - Operating result for Q3 2025 was negative €1.299 billion, a 57.8% decrease in operating profit for the first nine months, which stood at €5.408 billion [2] - Sales revenue for Q3 2025 was €80.305 billion, a 2.3% increase from €78.478 billion in Q3 2024 [2] Production and Deliveries - Volkswagen delivered 2.199 million vehicles in Q3 2025, a 1.0% increase from 2.176 million in Q3 2024 [2] - Vehicle sales for the first nine months increased by 1.8%, totaling 6.581 million units compared to 6.463 million units in the previous year [2] Porsche's Performance - Porsche's operating profit plummeted 99% to €40 million in the first nine months of 2025, with a Q3 operating loss of €966 million [3][4] - The decline is primarily due to a strategic shift from a fully electric model lineup to a mix of internal combustion engines, hybrids, and electric vehicles, incurring costs of up to €1.8 billion [3][4] Market Dynamics - Volkswagen's sales in North America decreased by 9.8% to 246,900 units, while sales in China fell by 7.2% to 660,300 units due to increased competition from domestic electric vehicle manufacturers [4] - The company faces challenges in maintaining market share as competitors offer better pricing, advanced battery technology, and enhanced smart features [4]

Group 1 - European and American automakers are gradually withdrawing from the electric vehicle market due to changing market conditions and reduced demand for electric vehicles [3][4] - In August, U.S. electric vehicle sales reached 146,000 units, accounting for 9.9% of the automotive market share, a record high, but the elimination of federal tax credits is expected to slow future adoption [3][4] - Tesla's sales in the U.S. fell by 6.7% year-on-year in August, with its market share dropping to 38%, the lowest in eight years, despite a 5.5% decrease in vehicle prices [3] Group 2 - Honda has ceased production of the Acura ZDX, citing "market conditions," with sales of the model being below 20,000 units in North America [6][8] - Stellantis has canceled plans for the Jeep Gladiator 4xe hybrid model, indicating a shift in consumer preferences towards traditional combustion engines [10][12] - Ram has announced the halt of the REV 1500 electric pickup production due to decreased demand for full-size electric trucks, focusing instead on hybrid solutions [14][16] Group 3 - Bentley has abandoned its plan to completely phase out internal combustion engine vehicles by 2035, citing a decline in demand for luxury electric vehicles [17][20] - Ford has postponed the release of two electric vehicles until 2028 due to a significant drop in demand, while also planning to focus on more affordable electric models [21][23] - Porsche is shifting back to internal combustion engine models, delaying the launch of several electric vehicles and extending the production life of existing gasoline models [24][26][28]