Volkswagen AG said on Thursday that its 2009 net profit declined 80% to €960mn (US$1.3bn) from €4.75bn in 2008.
Revenue for the year ended Dec. 2009 dropped 8% to €105.2bn from €113.8bn.
"Although a slight recovery in the global market is expected in 2010, the volume reached in 2007 is unlikely to be repeated before 2012," Europe's largest carmaker said today in a statement.
Volkswagen said it expects its sales revenue and operating profit for 2010 to exceed the previous year figures despite a shift in volumes between the markets. "Interest and exchange rate volatility will remain a drag on profit," Volkswagen added.
Wolfsburg, Germany-based Volkswagen delivered 6.3 million vehicles to customers in 2009, which represents a year-on-year rise of 1.3%.
Fourth-quarter net income dropped 73% to €257mn. Sales from October to December fell 1.2% to €28bn. Operating profit was down 76% to €337mn.
Sales across the company's nine brands, including the Audi luxury division and excluding truckmaker Scania AB totaled 1.02 million vehicles in January and February, Volkswagen said. The increase outpaced a 20% gain in the global market in the period, the company said.
"We have no intention of slowing down in 2010," CEO Martin Winterkorn said.
Volkswagen has a goal of overtaking Toyota Motor Corp. in deliveries and profitability by 2018.
Targets for 2018 include a pretax profit that exceeds 8% of sales, compared with 1.4% in the first three quarters of 2009, as well as a medium-term margin of earnings before interest and taxes of at least 5% of revenue, Volkswagen said today, reiterating targets given on Feb. 3.