Volkswagen posts €5.8 billion quarterly loss, restructuring costs €31 billion

Victoria Shinder30 October 2026, 10:231 min read

Europe's largest carmaker lost money for a second year running in the July to September quarter, and by a wider margin. Volkswagen reported a third-quarter loss of €5.8 billion on 29 October, against a loss of €1.1 billion a year earlier, Euronews reports.

Group sales fell 6.3% to €75.3 billion. The ten-brand group, which includes Audi, Seat and Skoda, had already warned in September of a €10 billion hit to annual profit, driven mainly by the value of its stake in Porsche, which is also struggling in China. Volkswagen plans to cut 120,000 jobs across the group by 2030 and said on Thursday that the restructuring will cost €31 billion.

Like other European carmakers, Volkswagen is dealing with the cost of moving to electric vehicles, weaker demand and intense competition from Chinese manufacturers, both in China and increasingly in Europe. Chief financial officer Arno Antlitz said in a statement that what matters now is swift and consistent implementation and that the company cannot lose any time.

What it means

The restructuring figure is the number to watch for Germany's industrial base: €31 billion spread over the years to 2030 is a cost carried by one of the country's largest employers while its core market shrinks. The quarterly loss includes the Porsche valuation effect flagged in September, so the operating picture is less extreme than the headline; Volkswagen's own report gives the split, which the Euronews summary does not.