Volkswagen reports €5.82 billion quarterly loss as Porsche writedown adds pressure

Volkswagen's latest results reflect both weaker trading and large accounting charges. Revenue and vehicle sales fell sharply in the third quarter, while a multibillion euro writedown on Porsche added to the damage, according to Der Spiegel.

China is another source of pressure. Euronews reported intense competition from Chinese carmakers, while ANSA identified disappointing results in China and group reorganisation costs as factors behind the loss.

On October 27, Porsche offered a more encouraging signal. The sports carmaker returned to profit after the previous year's earnings slump, although revenue declined, Der Spiegel reported.

That recovery came with a warning. In coverage published the same day by Die Welt, automotive expert Ferdinand Dudenhöffer cautioned against false hope, pointing to continued declines in Porsche's vehicle sales.

On October 29, Volkswagen reported an after tax loss of €5.82 billion for July through September, according to Deutschlandfunk. Reuters described it as the group's deepest loss since Dieselgate, linking the result to the Porsche writedown and difficulties in China.

The earnings measures need to be kept separate. Deutsche Welle reported an operating loss of €5.86 billion, while the €5.82 billion figure reported by Deutschlandfunk was the result after tax.

The loss is not simply a measure of how many fewer cars Volkswagen sold. Exceptional charges played a major role, according to n-tv, but the simultaneous fall in revenue and vehicle sales shows that the group also faces trading pressures.

Porsche's return to quarterly profit does not contradict the writedown recorded by Volkswagen. The coverage describes separate developments: improved earnings at the sports carmaker and a large accounting charge at group level.

Reports of the immediate stock market response conflict. ARD Tagesschau reported falling Volkswagen shares, while Deutsche Welle reported that shares climbed. The supplied coverage does not establish the timing needed to reconcile those accounts.

The next results will help show whether Volkswagen's underlying business is improving beyond the exceptional charges. The concrete measures to watch are vehicle sales, revenue and performance in China, alongside whether Porsche can sustain profitability while its sales remain under pressure.