Key facts
- Volkswagen's controlling families are demanding immediate action to improve the company's competitiveness.
- The families cited a "historic crossroads" for the auto group.
- Key areas for improvement include reducing excess capacity and lowering costs.
- Porsche SE, the investment vehicle of the controlling families, reported a 14.5% decline in its adjusted half-year earnings.
- The families are pushing for stronger decision-making processes within Volkswagen.
Volkswagen's controlling families have issued a strong call for immediate action to address the auto group's competitiveness, signaling a critical juncture for the company. Hans Dieter Poetsch, chairman of Porsche SE, the investment vehicle for the Porsche and Piech families and Volkswagen's largest shareholder, stated that the group is at a "historic crossroads" and urged everyone to "step up and take responsibility."
Poetsch emphasized the urgency, warning that "the longer decisions are delayed, the bigger the problems will become." Johannes Lattwein, Porsche SE's finance chief, echoed these sentiments, calling for the group to reduce excess capacity, significantly lower costs, and strengthen its decision-making processes.
The families' message comes as Porsche SE reported a 14.5% drop in its adjusted half-year earnings after tax to €949 million ($1.1 billion). Porsche SE holds a 31.9% stake in Volkswagen and a 12.5% stake in its sports car subsidiary, Porsche AG.