"We must fundamentally transform our business model and achieve structural, sustainable improvements. This includes improving the cost structure of our vehicles without compromising product content, significantly reducing overhead costs, increasing the efficiency of our facilities, and accelerating technology development and decision-making," said CFO Arno Antlitz, according to CNBC.
Operating profit in the first quarter of this year fell 14.3 percent compared to the same quarter last year, to 2.5 billion euros.
Revenue during the quarter fell 2 percent to 75.7 billion euros.
According to the company, this was mainly due to fewer deliveries globally, despite strong development in Europe and growth in the financial business. Competition from Chinese brands and US import tariffs have taken their toll.
Back in March, when declining figures for the full year last year were presented, Volkswagen launched a long-term austerity package in which 50,000 German jobs will be lost by 2030.
But more needs to be done, according to Antlitz.
"We can only achieve this by significantly reducing complexity - in our product portfolio and technology platforms, as well as in the number of devices and decision-making levels," he says.
After initially falling following the report, Volkswagen's shares closed up 0.9 percent on the Frankfurt Stock Exchange.
