The epidemic is severe, and the public expects first-quarter profits to decrease by 50% year-on-year.

On March 17, the Volkswagen Group released its 2019 fiscal year performance report. Except for the Audi brand, which fell 5.9%, the performance of its multiple brands rose.

Among them, the annual sales revenue of Volkswagen brands was 88.4 billion euros, an increase of 4.5% year-on-year; the annual sales revenue of Skoda brands was 19.8 billion euros, an increase of 14.5% year-on-year; the annual sales revenue of Seat was 11.5 billion euros, an increase of 12.7% year-on-year; Billion euros, a year-on-year increase of 35.1%.

Audi brand sales revenue fell 5.9% to 55.7 billion euros from 59.2 billion euros in fiscal 2018. According to the Volkswagen Group, the main reason for the decline was due to the adjustment of the resource structure of the group's multi-brand sales company. At present, the Volkswagen Group is advancing the plan of 100% controlling the Audi brand to strengthen the role of the Audi brand in the group.

"2019 is a very successful year for the Volkswagen Group." Volkswagen Group Management Board Chairman Deis said, "2020 will be a very difficult year. The new crown pneumonia epidemic has brought unknown challenges to our business and finances. . "

Volkswagen Group, which has harvested in fiscal year 2019, cannot avoid the impact of immunization.

Volkswagen Group announced at the results conference that it will implement a three-week shutdown at most plants in continental Europe starting next week. This Friday's shift will be the last shift in March. Currently, the group has closed several factories in Spain, Italy, Portugal and other places. "In view of deteriorating sales and uncertainties in the supply chain, our plant will face shutdowns," Diss said at an online press conference.

Volkswagen Group's management board member and head of finance and IT, Frank Witt, said that the extent and duration of the epidemic on Volkswagen Group could not be determined for the time being, and no clear forecast could be given for 2020. In November last year, Volkswagen Group said that due to the weak demand in the major global automotive markets, the company will lower its sales growth forecast for 2020.

In 2019, Volkswagen Group's cumulative sales in China reached 4.233 million units, a slight increase of 0.6% year-on-year, accounting for 38.5% of the Group's total sales. In February this year, Volkswagen Group's sales in China fell by 74% year-on-year to 60,900 vehicles. Diss last week predicted that its sales in the Chinese market would fall by 3% to 15% by 2020.

From January to February 2020, Volkswagen Group sold 1.38 million vehicles worldwide, down 14% year-on-year. Frank Witt said that based on the sales data, the group's EBIT before the first quarter of 2020 is expected to decrease by 50% year-on-year.

At present, the Volkswagen Group has been studying China's epidemic prevention model and set up a special working group to support the employees and their families through various measures, while ensuring the steady development of the group's business. In terms of specific actions, apart from keeping the distance between office people and isolating employees who have been to areas with severe epidemics, Dis said that the canteens of the group are also learning the Chinese model, and dine-in is prohibited. .