Volkswagen Group reported a sharp deterioration in its second-quarter financial results, with net profit falling 32.9% year-on-year to €1.54 billion.

The decline in earnings for the April-to-June period underscores the mounting operational headwinds facing the German automaker as it navigates a turbulent transition in the global automotive landscape.

Volkswagen shares have dropped 19% over the past month, ranking the stock among the worst performers in the DAX.

The results arrive against a backdrop of severe market skepticism.

Volkswagen shares have dropped 19% over the past month, ranking the stock among the worst performers in the DAX.

This sell-off reflects broader investor anxiety about the company’s ability to maintain profitability amid intensifying competition from electric vehicle rivals and persistent cost pressures.

Internal confidence appears equally strained.