Volkswagen's 2022 Cash Flows Hit By Ukraine War And China's Covid Resurgence; Likely To Ease In 2023

Volkswagen AG's VWAGY 2022 sales and operating earnings were broadly in line with forecasts, but cash flow trailed expectations as supply-chain woes translated into higher unsold inventory.
VW's net cash flow was €5 billion in 2022, below its 2021 net cash flow of €8.6 billion.
VW's 2022 revenue was €279 billion, up around 12% year-on-year.
Operating profit before special items was €22.5 billion, which VW said was a return on sales of 8.1%, well within the range previously targeted by the company, the Wall Street Journal reports.
VW and other automakers have struggled with production anomalies over the past year as the Ukraine war and pandemic resurgence in China hit supply chains.
Volkswagen expects the headwinds affecting cash flow to ease over the year ahead.
Hit by erratic supply chains, key components crisis, and weak demand in some markets, VW's global new vehicle sales fell 7% last year to 8.3 million.
Sales for the entire industry fell slightly last year to around 81 million vehicles, according to analyst estimates.
Worldwide sales of all-electric and plug-in hybrid electric vehicles rose 55% to 10.5 million.
VW has made an aggressive push into EVs.
Price Action: VWAGY shares are down 0.79% at $17.62 on the last check Wednesday.