VW net income rises in 2nd quarter

VW net income rises in 2nd quarter

July 31st, 2014 by Staff Report in Local - Breaking News

A worker cleans a Volkswagen logo.

Photo by Associated Press/Times Free Press.

Volkswagen reported its net income rose 14.1 percent in the second quarter although its revenues slipped even as unit sales pushed higher.

VW said its profit in the April-June period was $4.35 billion. Revenue slipped 2.2 percent although there was a 5.6 percent increase in the number of vehicles sold to 2.62 million.

Volkswagen said revenue was hurt by "significant negative exchange rate effects." The German automaker with a plant in Chattanooga also said that, while global demand for passenger cars continued to rise in the year's first half, "the pace of growth eased off" and regional trends were mixed.

The company maintained its full-year outlook.

"Despite headwinds, our financial performance in the first six months was good. In light of the continued strong competitive pressures, the tense situation in some emerging economies and the fundamental technical and economic changes happening in our industry, we are working hard to create all the conditions we need today to ensure success tomorrow," said VW Chief Executive Martin Winterkorn in a statement.