Volkswagen looks beyond diesel scandal as profits surge

Volkswagen said profit at its troubled core division soared in the first three months of the year, a sign that long-overdue cost cuts are having an impact as the carmaker seeks to move beyond its diesel emissions crisis.

VW, Europe’s biggest carmaker, is aiming to beat rivals for profitability rather than chasing sales volumes through aggressive pricing as it invests billions of euros in electric cars, new mobility services and self-drive technology.

First-quarter operating profit at VW’s largest division surged to €869m from €73m a year earlier, the carmaker said, even as its sales slipped 1.3% to 1.44 million vehicles.