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Volkswagen profit jumps as it warns of a cooling auto market

FRANKFURT, Germany — Volkswagen says its profits jumped 44% in the third quarter thanks to a more profitable mix of vehicles in its lineup but warned that global car markets are slowing more than expected and lowered its forecast for annual sales. After-tax profit rose to $4.42 billion (3.98 billion euros) as revenues rose 11% to $68.27 billion (61.42 billion euros). The sales margin of 7.8% exceeded the goal of 6.5-7.5% as vehicles bringing higher profits took a larger share of sales. The Wolfsburg-based automaker pointed to the headwinds facing the industry by saying that it expects "vehicle markets will contract faster than previously anticipated in many regions of the world." It said sales would be "on a level" with last year's record of 10.8 million vehicles. Previously it had expected a slight increase. The company said its profits would be in the lower end of its forecast range. Global automakers are facing a slowdown in sales amid disputes over trade and from pressure in the European Union and China to develop and sell low-emission vehicles that require heavy investment in new technology. Ford and Renault have issued profit warnings in recent days, while Daimler, maker of Mercedes-Benz luxury cars, lost money in the second quarter and is expected to outline a cost-cutting strategy for investors on Nov. 14. Volkswagen is leading the push into electric vehicles in Europe by launching its ID.3 battery-powered compact car at prices it says will make zero local emission vehicles a mass phenomenon. The company was able to increase earnings in the quarter despite an 18% rise in spending on research and development.

Delphi thrilled with results from autonomous car's cross-country trip

In the first trip across the United States ever made by an autonomous car, engineers from Delphi Automotive were surprised to learn that, in some cases, their vehicle behaved a lot like a human driver. "The car was scared of tractor trailers," said Jeff Owens, the company's chief technology officer. "The car edged to the left just a little bit when it would pass trucks, and that was an interesting observation." Engineers made hundreds of notes throughout the drive, as the autonomous car covered 3,400 miles through 15 states en route to a showcase near the New York Auto Show. Overall, company officials said the car performed better than anticipated in a variety of road and weather conditions. In the course of the cross-country drive, drivers actually controlled the car only for about 50 miles, and those cases were limited to on-and-off ramps and the occasional construction zone where lanes were not marked or only sporadically marked. The purpose of the trip was to glean information on how the autonomous car worked in a real-world environment. Google and others have tested autonomous cars and autonomous features in select real-world environments before, but Delphi's adventure was the first to trek into a test with such varied challenges over a nine-day trip that began near the Golden Gate Bridge on March 22. There are some things the engineers have already learned, like the fact the camera systems had the occasional blip when the sun-angle was low. And there are some things to still be learned, as they pour over three terrabytes worth of data from cameras, radar and lidar sensors in the weeks ahead. "It's going to take us a couple weeks to digest all this," Owens said. "But we had all the data from tests. It was time to put this on the road." Built into an Audi SQ5, the vehicle was striking, if only for the fact it looked like a normal car. Many other autonomous vehicles have quirky sensors atop the roof or other features that make them stand out as experiments. Delphi arranged this one to look as much like a normal car as possible, right down to stowing an army of computers under cargo mats, so the rear contained as much trunk space as the production model. If a fellow motorist didn't know where to look -- or take the time to notice the person in the driver's seat didn't have their hands on the wheel -- there was no reason to suspect this was anything other than a regular car.

2020 Land Rover Defender, a pair of super wagons and watch talk | Autoblog Podcast #655

In this week's Autoblog Podcast, Editor-in-Chief Greg Migliore is joined by Road Test Editor Zac Palmer. They kick things off discussing what they've been driving this week. Greg has been spending time in the 2020 Land Rover Defender 110, and Zac has been driving a pair of super wagons in the 2021 Audi RS 6 Avant and 2021 Mercedes-AMG E 63 S Wagon. Greg follows that up with an interview of Blake Buettner, the managing editor at Worn & Wound, in the final segment. Autoblog Podcast #655 Get The Podcast iTunes – Subscribe to the Autoblog Podcast in iTunes RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Rundown What we're driving2021 Land Rover Defender 2021 Audi RS 6 Avant 2021 Mercedes-AMG E 63 S Wagon Watch interview with Worn & Wound managing editor Blake Buettner Feedback Email – Podcast@Autoblog.com Review the show on iTunes