Advances in Economics, Management and Political Sciences

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Proceedings of the 7th International Conference on Economic Management and Green Development

Series Vol. 42 , 10 November 2023


Open Access | Article

Financial Analysis and Forecast of Volkswagen Group

Miao Yan * 1
1 The Hong Kong Polytechnic University

* Author to whom correspondence should be addressed.

Advances in Economics, Management and Political Sciences, Vol. 42, 61-68
Published 10 November 2023. © 2023 The Author(s). Published by EWA Publishing
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Citation Miao Yan. Financial Analysis and Forecast of Volkswagen Group. AEMPS (2023) Vol. 42: 61-68. DOI: 10.54254/2754-1169/42/20232080.

Abstract

With the development of the global economy and the improvement of the technology level, the integration of information technology and the manufacturing industry has accelerated. The global manufacturing sector is moving in major directions as a result of digitalization, networking, and intelligence. The auto industry is also innovating, and artificial intelligence and new energy have accelerated the innovation and change of the auto industry. How automotive companies can improve their profitability and gain advantages in the competition during the transition period has become a key issue. This paper takes Volkswagen (VW) Group as the research object and analyzes its relevant indicators in FY2022, and also selects enterprises in the same industry for comparison. The current financial situation of VW Group is analyzed in terms of solvency, operating capacity, and profitability. The financial indicators such as total debt ratio, profit margin, total asset turnover ratio, and return on equity are used to make a comprehensive assessment of VW Group's financial status. With the gradual diversification of corporate sales revenue, revenue measurement, and recognition have become more complex. This paper also accounts for elements such as revenue and intangible assets of VW Group to make sure accounting data is accurate. The analysis is conducted from the perspective of corporate strategy to understand the strategic objectives and future direction of the VW Group. The VW Group's risks and difficulties are evaluated and projected within the framework of the overall company plan.

Keywords

automobile manufacturing industry, financial analysis, strategic forecast

References

1. Volkswagen Group Annual Report 2022. Annual Media Conference (2023).

2. Campbell, P.: Peter Campbell, VW to build $2bn electric vehicle plant in South Carolina. Financial Times (2023).

3. Miller, J.: Joe Miller, VW defends timing and structure of Porsche IPO. Financial Times (2022).

4. Jung, J. C., & Sharon, E.: The Volkswagen emissions scandal and its aftermath. Global Business and Organizational Excellence, 38(4), 6–15 (2019).

5. Mercedes-Benz Group. Full Year Results and Annual Report 2022. https://group.mercedes-benz.com/investors/reports-news/annual-reports/2022/, last accessed 2023/06/20.

6. BMW Group Reports. https://www.bmwgroup.com/en/investor-relations/company-reports.html, last accessed 2023/06/20.

7. Ford Motor Company - Investors - Reports & Filings. https://shareholder.ford.com/Investors/financials/default.aspx, last accessed 2023/06/20.

8. Trinkler, A.: Analyzing the case of Volkswagen and the transition to electric vehicles in 2020- mobility as a service. Nova School of Business and Economics (2021).

9. Gaultier, C., & Marcello, K.: Volkswagen Group Supply Chain Analysis in Europe. African Journal of Emerging Issues, 3(8), 1-10 (2021).

10. Nakata, Y.: Japanese and Western Organizational Knowledge Creation: Comparative Research of "Modularization Strategy" of Nissan and Volkswagen. Transactions of the Academic Association for Organizational Science, 7(2), 410-415 (2018).

Data Availability

The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.

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Volume Title
Proceedings of the 7th International Conference on Economic Management and Green Development
ISBN (Print)
978-1-83558-105-6
ISBN (Online)
978-1-83558-106-3
Published Date
10 November 2023
Series
Advances in Economics, Management and Political Sciences
ISSN (Print)
2754-1169
ISSN (Online)
2754-1177
DOI
10.54254/2754-1169/42/20232080
Copyright
© 2023 The Author(s)
Open Access
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited

Copyright © 2023 EWA Publishing. Unless Otherwise Stated