car houses, factories at a standstill, profits crashed: The Corona of the crisis in the car industry in the first quarter of violent course. The thick end comes, however, yet to come, experts say.
Stuttgart (dpa) - the effects of The Corona-crisis is likely to leave the balance sheets of the world's largest auto companies in the second quarter, a far worse crash than before.
The industry experts of the consulting firm EY in a recent analysis that the majority of the major manufacturers have to present in July in the red. "Companies that are engaged primarily in the European market, it will meet in the second quarter of hard, because here, the crash was particularly hard," said the head of the Department of Automotive & Transportation at EY, Constantin M. Gall, on Thursday.
in the first three months of the year, the crisis, huge holes tore in the funds. Taken together, the largest manufacturer accounted for in the operating business, only around 7.5 billion Euro of profit, such as EY in its regular industry analysis has calculated. This is a slump by more than half compared to the first quarter of 2019 and the lowest level since 2009. The sales figures fell by 21 per cent, of the revenue, only 9 per cent.
"In the first quarter, we have seen only the initial impact of the global Covid-19 pandemic. The second quarter will be much worse," warned Gall. Four groups from the ranks of the 17 largest automotive companies in the world had reported the listing that already in the first quarter of a loss in the operative business. Peugeot and Renault are missing in the lineup - they had not provided any Figures. Some corporations have made for the second quarter losses in prospect.
The crisis, reinforcing a downward trend that had been coming for longer, it was more. A high level of investment in electrification and digitalization, trade disputes and the weak economic development would have brought pressure on the margins. Now a long thirst before standing range, investment has to be reduced to the test of Overcapacity. "The consolidation is accelerating – this crisis will not survive all of the car manufacturers," said Gall. Hope to make the rapid recovery in China, especially for the German car maker is likely to benefit.Updated Date: 13 June 2020, 01:35