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. Last Updated: 07/27/2016

VW Reports Big Profits

WOLFSBURG, Germany -- German automaker Volkswagen AG on Thursday reported that 1995 net profits had more than doubled from a year earlier to 336 million Deutsche marks ($227 million).


Net profit rose 124 percent from 1994 on a 10-percent increase in sales to 88 billion marks, the company said. Volkswagen said its earnings per share rose 132 percent in the same period, to 22 marks from 9.50 marks.


The gain was mainly due to additional deprecations of fixed assets at some units as well as the new valuations of current assets.


The company said the rise in share earnings shows the positive developments at VW in the past two years. But chairman Ferdinand Piech added that the company "isn't satisfied" with 1995 profits.


Piech said at a news conference that the company remains cautious despite a 14 percent jump in new car deliveries in the first quarter of 1996 because "we don't know why business is running so well."