Profit from the Assembly Line: AvtoVAZ to Direct May Earnings to New Projects and Accelerate Investments by 40 Billion Rubles

AvtoVAZ made a profit in May and will direct it towards development. As Maxim Sokolov, the head of the company, told TASS, the funds will be "materialized" in new projects and an investment program.

Despite the small amount of profit, its very appearance allows for maintaining a break-even model even with market contraction: according to Sokolov's forecast, the market for new passenger and light commercial vehicles in the Russian Federation will remain at the 2025 level — about 1.4 million units.

The investment program is ahead of schedule. By the end of 2025, the volume of investments reached 150 billion rubles — with obligations to the state of 100 billion rubles by 2030. This year, the company added another 40 billion rubles, which means that by the end of the year, it will almost double its investment obligations in products, production modernization, and technology.

In addition, by the end of 2025, the enterprise had already exceeded the planned indicators for 2030 in terms of taxes paid to budgets of all levels — five years ahead of schedule.