{"text":[[{"start":8.96,"text":"Volkswagen has cut its profit guidance, blaming a €6bn writedown on the valuation of its stake in Porsche, a continuing downturn in China and rising restructuring costs."}],[{"start":20.08,"text":"Shares in Europe’s largest carmaker fell as much as 7 per cent on Friday afternoon after it said it now expected an operating profit margin of 1 per cent for this year, down from its previous range of 4 to 5.5 per cent."}],[{"start":29.8,"text":"The German group warned that the total negative impact on its earnings could reach €10bn. It has come under intense pressure from rising competition with Chinese rivals, higher US tariffs and lower margins on growing sales of its electric vehicles."}],[{"start":48.92,"text":"The group recently struck a surprise deal with unions for a historic restructuring that could lead to the loss of 100,000 jobs and the ending of vehicle production at four German plants."}],[{"start":59.52,"text":"UBS had estimated that the restructuring costs could reach up to €7bn, while Bank of America forecast up to €10bn in gross charges."}],[{"start":69.16,"text":"The restructuring costs in the latest downgrade included the projected hit from funding the early retirement of employees under an agreement reached with unions in 2024 and costs relating to the planned sale of its Osnabrück plant to an Israeli investment group."}],[{"start":84,"text":"In a statement on Friday, the company said its earnings outlook “will be impacted by a further deterioration in the market environment, especially in China, as well as an accelerated shift in demand in favour of battery-electric vehicles”."}],[{"start":97,"text":"The group’s passenger vehicle business and its high-end brands such as Porsche and Audi have been heavily hit by an industry-wide slump in sales in China, the world’s largest car market."}],[{"start":106.84,"text":"“The world’s largest single market has slumped by 20 per cent, with no consolidation in sight. We cannot escape this trend,” said chief financial officer Arno Antlitz."}],[{"start":116.32,"text":"In addition to the rise of Chinese carmakers such as BYD and Xiaomi, German luxury-car makers have been hit hard by changes to Beijing’s taxes on luxury vehicles."}],[{"start":126.24,"text":"Shares in VW had risen about 9 per cent after its supervisory board approved the widescale restructuring measures, raising hope that the group would be able to implement sweeping changes needed to retain its competitiveness."}],[{"start":146.36,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1789781813_8552.mp3"}