Volkswagen announced an increase in its net profit for 2014.
The Associated Press reported that the company’s net profit rose by 20% to €10.8 billion, or $12.1 billion for last year. Its sales revenue was up 2.8% last year.
However, the automaker saw a “persistently challenging market environment” for 2015. Sales would increase by at least 4%, “depending on economic conditions,” according to Volkswagen, the news agency reported.
Volkswagen issued a warned that economic trends in Latin America and Eastern Europe could affect its commercial vehicles and power engineering businesses. On the other hands, “Russia’s economy appears headed for recession after a sharp drop in the ruble and its recent conflict with Ukraine has undermined business confidence in Eastern Europe,” the AP reported.
If you are a shareholders of Volkswagen, which makes Volkswagen, Audi, Skoda and SEAT brand cars, then a good news for you is: the company is proposing to raise its dividend to shareholders.
Volkswagen would raise its dividend to €4.80 per ordinary share, representing an increase from €4.00 in 2013.
Source: The Associated Press via Free Detroit Press
