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Volkswagen profit jumps as it warns of a cooling auto market

FRANKFURT, Germany — Volkswagen says its profits jumped 44% in the third quarter thanks to a more profitable mix of vehicles in its lineup but warned that global car markets are slowing more than expected and lowered its forecast for annual sales. After-tax profit rose to $4.42 billion (3.98 billion euros) as revenues rose 11% to $68.27 billion (61.42 billion euros). The sales margin of 7.8% exceeded the goal of 6.5-7.5% as vehicles bringing higher profits took a larger share of sales. The Wolfsburg-based automaker pointed to the headwinds facing the industry by saying that it expects "vehicle markets will contract faster than previously anticipated in many regions of the world." It said sales would be "on a level" with last year's record of 10.8 million vehicles. Previously it had expected a slight increase. The company said its profits would be in the lower end of its forecast range. Global automakers are facing a slowdown in sales amid disputes over trade and from pressure in the European Union and China to develop and sell low-emission vehicles that require heavy investment in new technology. Ford and Renault have issued profit warnings in recent days, while Daimler, maker of Mercedes-Benz luxury cars, lost money in the second quarter and is expected to outline a cost-cutting strategy for investors on Nov. 14. Volkswagen is leading the push into electric vehicles in Europe by launching its ID.3 battery-powered compact car at prices it says will make zero local emission vehicles a mass phenomenon. The company was able to increase earnings in the quarter despite an 18% rise in spending on research and development.

Bentley teases new Flying Spur sedan

Bentley has released another teaser video for its redesigned Flying Spur, and the next generation car is looking less like a grown up Continental GT and more like a junior Mulsanne. A viewing of the first teaser vid revealed a more upright grille, a three-spoke steering wheel, horizontal taillights and quarter panels with angles and curves certifiably lifted from the Mulsanne. After this second video, we can add lower door panels with a more aggressive shape, horizontal vents in the fenders and a rear end with the shape of proper haunches.
The English motorcar maker promises us we'll see more on February 20, when "performance and luxury unite." We'll be there in person when the "Camry for rich people" is revealed at the Geneva Motor Show next month. You'll find the videographic appetizer below.

Bentley designer hints at even faster Continental GT3-R

Does Bentley have room in its Continental GT lineup for an even more extreme version than the new GT3-R? Luc Donckerwolke seems to think so. Speaking with Autocar, the Bentley design chief suggested that an even more performance-focused Continental GT could be in the works, potentially ditching the heavy all-wheel drive system in an effort to further reduce weight, improve handling and drop even more ticks off the 0-60 time that's already down to a best-yet 3.6 seconds in the GT3-R.
To borrow a page from the same playbook used not only by sister-companies Audi and Porsche but also by Renault and Jaguar (to name just a few), we'll tentatively call it the Continental GT3-RS. Whatever the name, though, power would likely come from an even more potent version of the 4.0-liter twin-turbo V8 co-developed with sister-company Audi. Considering that engine already produces 500 horsepower in the Continental GT V8, 521 hp in the V8 S and 572 hp in the GT3-R, we could be looking at as much as 600 horses to make it the most powerful V8 model to date. With that much juice, it would even eclipse some of the W12 models that start at 567 hp in the core Continental GT and range up to the 616 hp in the Speed, which currently ranks not only as the most powerful Conti yet, but also the fastest road car Bentley has ever made.
Donckerwolke says that Bentley has already sold the entire production run for the Continental GT3-R and that customers are already clamoring for something more focused. Younger buyers are likely to be even further drawn to the brand by the ne-plus-ultra Conti, especially if the racing team advanced from its current fifth place in the Blancpain Endurance Series standings.