Czech car manufacturer Škoda Auto’s profits fall by 30.6 percent

The operating profits of Czech car company Škoda Auto fell during the first six months of this year to 676 million euros from last year's 974 million euros, according to parent company Volkswagen’s earnings report released on Thursday. The loss is attributed to higher production costs, unfavourable exchange rates, and the war in Ukraine.

At the beginning of March, Škoda announced that due to the Russian invasion of Ukraine, it would suspend production at its Russian plants in Kaluga and Nizhny Novgorod and stop exporting cars to Russia, although last year Russia was its second largest market.