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Business & Commerce

Lamborghini Reports Over 8% Drop in Half-Year Operating Profit Amid U.S. Tariffs and Middle East Conflict

Last updated: July 29, 2026 8:10 pm
Yamna Shahid
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Lamborghini Reports Over 8% Drop in Half-Year Operating Profit Amid U.S. Tariffs and Middle East Conflict
Lamborghini Reports Over 8% Drop in Half-Year Operating Profit Amid U.S. Tariffs and Middle East Conflict
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MILAN — Italian luxury sports carmaker Lamborghini reported an 8.35% decline in its operating profit for the first half of 2026, dropping to €395 million ($450 million) compared to €431 million during the same period last year, reflecting broader automotive sector vulnerabilities driven by U.S. import tariffs and geopolitical turmoil in the Middle East. Chief Financial Officer Paolo Poma highlighted that the negative financial impact stemmed from increased American tariffs introduced last year and adverse currency exchange fluctuations, which pulled the operating margin down to 22.7% from 26.5%. Despite delivering 4.6% fewer vehicles at 5,422 units, the Volkswagen-owned marque managed to grow its overall revenue by 7.4% to a record €1.74 billion, outperforming a broader luxury market contraction of 7.7% spurred by a sluggish Chinese economy and global trade friction.

CEO Stephan Winkelmann praised the brand’s resilience amidst mounting market volatility, noting that achieving the highest revenue in corporate history underscores the strength of Lamborghini’s business model. The announcement arrives closely on the heels of parent company Volkswagen scrapping its 2026 sales growth target following a 9.5% drop in second-quarter operating profit, as legacy European automakers grapple with compounding macroeconomic pressures and international trade barriers.

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