Volkswagen (VOWG_p.DE) is trying to recover margins after poor bets on raw material pricing hurt quarterly earnings. To that end, the German carmaker is seeking to cut expenses and stay with its electric vehicle prices despite decreases at some competitors.

Chief Financial Officer Arno Antlitz confirmed a Reuters article on Thursday and stated that while a program aimed at saving 10 billion euros ($10.6 billion) at its primary passenger vehicle brand is delayed, some steps have already been implemented.

“As soon as they are prepared, communication will take place. Regarding the plans, Antlitz stated that “we shouldn’t be concerned about a month or two delay.” The company, changing its strategy to reduce fixed costs and boost productivity, verified the preliminary third-quarter results made public on Friday. These findings disappointed investors by lowering the company’s predicted profit margin for the year.

In a statement, Antlitz stated, “We cannot be satisfied with our profitability, which dragged behind our ambitious targets in the third quarter.”

Mid-November marks the end of the automaker’s planning round, during which it establishes expenditure caps for the next five years. However, Antlitz said that the firm will no longer provide results to shareholders immediately following the round; updates will be given during the annual news conference in March.

EV REQUEST

Volkswagen has joined a growing list of automakers and experts who have expressed concern recently about the unanticipated growth in demand for electric cars (EVs). The German group’s EV order intake in Europe decreased from 300,000 units last year to 150,000 units.

Nevertheless, Antlitz said that while orders rose more slowly in the third quarter than in the first half, they should continue to climb in the upcoming months, and the firm remained true to its goals.

Until the two models it is producing, Xpeng (9868. HK), hit the market, VW may lose market share in China, where it enjoyed a dominant position in the combustion engine era but is now up against many local producers, he continued.

Globally, the transition to electric vehicles is being slowed by high financing rates, as demonstrated on Wednesday by the cancellation of a GM-Honda collaboration and a cautionary note from battery manufacturer LG Energy Solution (373220. KS).

Some EV manufacturers, notably Tesla (TSLA.O.), have lowered prices in response to muted demand. Volkswagen reported third-quarter revenues of 78.8 billion euros on Thursday. The company also reported a 14% increase in operating profit to 4.9 billion euros.

According to the firm, group sales revenue is predicted to increase by 10% to 15% from 2022, and between 9 million and 9.5 million vehicles will be delivered to consumers this year.