Volkswagen reports a sharp drop in profitability, with consolidated net income falling about 44% to €6.9 billion in 2025 from €12.4 billion a year earlier. The decline reflects mounting cost pressures and structural challenges facing the global automotive industry.
The company announces plans to significantly reduce its workforce, targeting roughly 50,000 job cuts in Germany by 2030. The restructuring is aimed at improving efficiency and adapting operations to the transition toward electric vehicles and digital technologies.
Volkswagen says the measures are part of a broader strategy to streamline costs and strengthen competitiveness. Analysts note that large-scale workforce reductions highlight the financial strain automakers face as they invest heavily in electrification and new mobility platforms.