VW returns to profit after Covid-19 sales hit but lockdown fears persists                     

Volkswagen’s results add to growing evidence that the car industry has dealt with the pandemic better than feared.

Volkswagen returned to profit in the third quarter, as robust demand in China helped the car industry navigate the fallout from the Covid-19 pandemic.

Operating profit before special items was €3.2bn, rebounding from a loss in the second quarter. The world’s bestselling carmaker benefited from its large footprint in China, where sales have bounced back to pre-crisis levels. But a second wave of surging infections across North America and Europe and a partial lockdown in its home market, Germany, risk choking a wider recovery. 

Volkswagen’s results add to growing evidence that the car industry has dealt with the pandemic better than feared. Carmakers from Ford, BMW, Fiat Chrysler, and Toyota reported better-than-expected results in the past weeks. 

Meanwhile, brewing giant  Anheuser-Busch posted profit that beat analysts’ estimates, and Royal Dutch Shell is increasing its dividend as it tried to lift itself out of the deepest share slump in a quarter of a century. 

Bloomberg