Skoda Auto, a unit of Germany’s Volkswagen Group, reported a nearly 12% rise in first-half operating profit to 1.3 billion euros ($1.52 billion) on Monday, supported by strong demand for electric and plug-in hybrid vehicles.
The Czech automaker said revenue rose nearly 12% year-on-year to 15.1 billion euros, while global deliveries increased 14% to 509,400 vehicles in the January–June period. Electrified vehicles made up about 23% of total deliveries, up from 9.4% a year earlier.
Chief Executive Klaus Zellmer said customers had placed more than 120,000 orders for the brand’s all-electric Enyaq and Elroq models by the end of June. “Sales relative to the overall market performance, we are doing good,” he told reporters during a video conference.
Zellmer said the company is banking on further growth from its upcoming Epiq electric SUV, a model priced at 25,000 euros aimed at entry-level consumers. “We put a lot of hope or I would even say … expectation on that car,” he said. “Our current rate of electrified drive train sales … has to go up.”
In its core European market, Skoda delivered 409,100 vehicles, up nearly 11% year-on-year, driven by sales of 72,000 battery-electric vehicles and 21,400 plug-in hybrids. The company also posted record results in India, with deliveries surging 108% to 33,000 vehicles.
European carmakers have been grappling with challenges including competition from Chinese brands, rising U.S. tariffs, and tightening EU emissions rules. Skoda’s results suggest the company is making headway in adapting to the accelerating shift toward electric mobility.