Audi Group first half yearly performance was positive with the company reaching both sales and revenue targets. The company earned €2.9 billion in operating profit and 11.5% operating return on sales. It is this that has proved the company’s performance in an otherwise dismal auto market atmosphere.
The company hopes to reach deliveries of 1.4 million during the entire year and judging from their first half yearly performance it is in all probability that they will reach over this target. Audi A3 is also expected at dealer showrooms by end of August which will also help in increasing sales pitch. During the first six months of 2012, Audi Group delivered 733,237 units which resulted in an increase of 12.3% over deliveries made in the same period of the previous year wherein the company delivered 652,892 units.
Demand was particularly experienced where Audi Q3, Q5, A6 and A7 models were concerned. These increased sales increased revenue to the tune of 16.2 % over previous year’s earnings while operating profit increased by 13.2% over previous year’s figures. The company looks forward to Audi A1 Sportback, Q3 and their upcoming A3 to help them reach their targets and increase their share in auto sectors.
News release: Audi Group generates first-half operating profit of €2.9 billion
Deliveries target of more than 1.4 million for 2012 confirmed
CFO Axel Strotbek: “The high demand in the first half is a testament to the success of our model strategy.”
New Audi A3 at dealers from end of August
€25.0 billion revenue, an operating profit of €2.9 billion, and an 11.5 percent operating return on sales. These figures demonstrate how the Audi Group succeeded in adding yet another chapter to its success story in the first half of the year, despite weaker economic growth and the contraction of many car markets.
Axel Strotbek, Member of the Board of Management of AUDI AG for Finance and Organization, emphasized: “The high demand in the first half is a testament to the success of our model strategy.” The Company delivered 733,237 (2011: 652,892) vehicles of the Audi brand to customers, an increase of 12.3 percent on the first six months of 2011. Demand was especially high for the new Audi Q3 as well as for the Q5, A6, A7 and A8 models.
The increase in deliveries pushed revenue up to €25,022 (21,526) million – a rise of 16.2 percent on the previous year. The Audi Group increased its operating profit by 13.2 percent to €2,876 (2,540) million. This was despite the stronger recessionary tendencies above all in southern EU countries. The operating return on sales of 11.5 (11.8) percent was thus kept at the high level of recent quarters.
Following the healthy first-half business performance, the Audi Group plans to deliver a total of more than 1.4 million cars of the Audi brand in 2012 as a whole. The Audi A1 Sportback, the Q3 and the new A3, which appears on the market in the late summer, will help Audi towards this goal and secure growing market shares in many sales markets.
The publication of the Interim Financial Report prompted CFO Strotbek to confirm another annual target of the Audi Group: “Provided the economic framework does not deteriorate further, we expect operating profit to remain on a par with 2011 despite higher expenses for new products, technologies and expanded production structures.”