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VW's Skoda 1st-Half Profit Climbs as Supply Chain Stabilises

PRAGUE, July 28 (Reuters) - Czech carmaker Skoda Auto, a unit of German group Volkswagen, posted a 35% year-on-year rise in first-half operating profit as global deliveries rose and the supply chain stabilised, the company said on Friday.

"We have remained focused on overcoming supply chain issues and the reward now is being able to keep the production lines rolling," Skoda Chief Executive Klaus Zellmer said.

"As a result, our customers can expect significantly shorter delivery times."

Skoda, the Czech Republic's biggest exporter and an economic bellwether, has been hit like all global carmakers by supply problems such as a lack of semiconductor chips in recent years, straining production.

Skoda said its first-half deliveries to customers rose 20% year-on-year to 432,200 vehicles, with growth in western and central Europe driving the increase.

Operating profit reached 911 million euros, on a 34.5% rise in revenue to 13.75 billion euros.

The group is pushing harder into electric vehicles and has seen double-digit growth in demand for its all-electric Enyaq iV model. It plans to unveil the first of six new electric vehicles next year, it said.

Reporting by Jason Hovet Editing by Mark Potter

Source: Reuters


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