Volkswagen’s Irish profits up 14% in accounts signed off on before emission scandal

Pre-tax profits at the Irish arm of troubled car giant Volkswagen last year increased by 14% to €3.6m.

New accounts just filed with the Companies Office show that Volkswagen Group Ireland Ltd enjoyed the jump in profits as revenues increased by just under €100m, or 23%, rising from €432.2m to €531.8m.

Numbers employed at Irish arm of the German firm last year increased by one to 117.

The accounts were signed off on by the directors before the diesel emission scandal was revealed and no reference is made to the controversy.

Recent figures provided by the Society of the Irish Motor Industry show that the number of Volkswagen cars sold here last year increased by 23%, up from 9,503 to 11,670.

The figures show that in spite of the emissions scandal, Volkswagen remains the best selling brand in the Irish car market this year, accounting for a market share of 12.3%.

The company’s best-selling car here last year was the Golf with 4,415 cars sold, followed by the Passat Saloon with 1,971 sold.

For the first 10 months of this year, the number of Volkswagen cars sold totalled 15,211. That represents a 32% increase on the corresponding period for 2014.

The Irish arm has eight directors, with their remuneration increasing, last year, from €957,000 to €1.06m.

Along with the importation and distribution of Volkswagen vehicles, the Irish unit imports and distributes Audi, Skoda, and SEAT vehicles.

On a group-wide basis, Volkswagen yesterday cut €1bn from its 2016 investment plan, as it braces for a multibillion-euro hit from its emissions cheating scandal.

Analysts have said that the scandals could cost the company €40bn or more in fines, lawsuits, and vehicle refits.