Volkswagen has raised its mid-term outlook for group profit and sales, sustaining investor hopes that the carmaker can further its recovery despite shouldering billions of costs for its electric-car offensive. Francis Maguire reports
German carmaker Volkswagen has raised its mid-term outlook for profit and sales. That'll be a boost to investors hoping the company can further its recovery from the emissions scandal - and cope with the billions it's spending on electric-cars. The world's largest automaker by sales announced on Friday they were spending more than 34 billion euros on zero-emission cars by the end of 2022. That's s a big leap from the 20 billion euro pledge made in September. Analysts welcomed the revisions as well as VW's first-ever publication of a free cash flow target - an attempt by the carmaker to show transparency. VW also expects net cash flow to grow to 10 billion euros or more by 2020. VW shares were the biggest gain on the German DAX by the afternoon - trading up 4.3%. But some analysts said VW might be hit by tightening emissions rules around the world... As it looks to launch more than 45 SUVs that use more fuel than average cars.