Volkswagen earnings rise on U.S., Russia sales

Volkswagen earnings rise on U.S., Russia sales

April 26th, 2012 by Mike Pare in Local - Breaking News

The VW logo is seen on the front of one of dozens of new Passats made at the Chattanooga Volkswagen assembly plant parked outside the plant. These cars will be used as demos for testing, internal quality control and press test drives.

Volkwagen AG's worldwide sales climbed 26.3 percent in the first quarter with sharply stronger results in the United States and Russia, the company reported today.

The company's operating earnings jumped 10 percent to $4.2 billion over a year ago. The company said in a press release that deliveries rose 34 percent in the U.S. to 124,000 in the period, and its share of the U.S. car market grew to 3.6 percent from 3 percent.

Sales in Russia were 77 percent higher, the company reported.

Volkswagen reiterated its forecast that sales revenue globally will exceed the prior-year figure.

VW chief executive Martin Winterkorn said in a statement that "I'm still convinced that the Volkswagen Group can approach the coming months with confidence."

The German automaker has said it's adding 1,000 jobs this year at its Chattanooga plant, putting the headcount at about 3,500.