Group Management Report

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Targets for value-based management

Based on long-term interest rates derived from the capital market and the target capital structure (fair value of equity to debt = 2:1), the minimum required rate of return on invested capital defined for the Automotive Division remains unchanged at 9 %.

In the 2021 reporting period, the Volkswagen Group’s business continued to be impacted by the Covid-19 pandemic and, in particular, the semiconductor supply shortages. Compared to the previous year, ROI increased in the reporting period due to earnings-related factors and, at 10.4 (6.5) %, was above both the prior-year figure and our minimum required rate of return of 9 % (for further information, please see the headline “Return on investment (ROI) and value contribution in the reporting period” in the chapter entitled “Results of Operations, Financial Position and Net Assets”). We expect the return on investment (ROI) in the Automotive Division for 2022 to be between 12 % and 15 %.