Audi CEO Stadler: "We Plan to Continue Our Growth in 2016"
03 Mar, 2016, 05:24 ET
INGOLSTADT, Germany, March 3, 2016 /CNW/ -
- Financial year 2015: revenue of €58 billion, operating profit of more than €4.8 billion, operating return on sales of 8.3 percent
- Before special items: operating profit of €5.1 billion and operating return on sales of 8.8 percent
- Audi CEO Rupert Stadler: "This year, we will invest more than €3 billion and push forward with electrification and digitization"
The Audi Group plans to launch more than 20 new or revised models and to continue its growth in 2016. Despite major challenges, the Ingolstadt-based company performed successfully last year and set a new record for unit sales: Worldwide deliveries increased compared with 2014 by 3.6 percent to 1,803,246 automobiles. As a result of the strong demand, the company achieved a new record also for revenue, posting a figure of €58.4 billion. Operating profit amounted to €4.8 billion and operating profit before special items of €5.1 billion was at the high level of the previous year. Before the worldwide rollout of important models like the new Audi A4, the operating return on sales amounted to 8.3 percent despite the challenging conditions, and was thus within the strategic target corridor of eight to ten percent; before special items it was 8.8 percent.
(Photo: http://photos.prnewswire.com/prnh/20160303/340070 )
(Photo: http://photos.prnewswire.com/prnh/20160303/340071 )
This year, Audi will maintain the high speed of its product initiative. With the new Audi Q2 for example, the company intends to conquer a new market segment and continue the success story of the Q family. At the same time, Audi is developing the key areas of electrification and digitization. Investment of more than €3 billion is planned in 2016. In Mexico, a completely new and ultramodern automobile plant will be opened. In addition, more than 1,200 experts in strategic areas for the future are to be recruited in Germany.
During the Annual Press Conference held at the company's headquarters in Ingolstadt, Rupert Stadler, Chairman of the Board of Management of AUDI AG, stated, "We successfully mastered a year of challenges. We will now invest in 2016 alone more than €3 billion for the mobility of tomorrow, and we will push forward with the electrification and digitization of our products."
AUDI AG achieved record unit sales in 2015: worldwide deliveries increased to 1,803,246 automobiles (2014: 1,741,129), representing growth of 3.6 percent compared with 2014.
Primarily due to the high level of demand, the Audi Group set a new record also for revenue: Compared with 2014, revenue grew by 8.6 percent to €58,420 million (2014: €53,787 million).
Despite high expenditure for the expansion of the international production structure and for new models and technologies, operating profit was at the high prior-year level. In 2015, the Audi Group achieved an operating profit after special items of €4,836 million. Adjusted for special items, operating profit amounted to €5,134 million, and was thus at the prior-year level (2014: €5,150 million). This represents an operating return on sales of 8.8 percent (2014: 9.6 percent). Also after special items, the operating return on sales of 8.3 percent was within the strategic target corridor of eight to ten percent.
The special items are mainly related to the diesel issue with the six-cylinder TDI engines. They include financial expenses for technical measures, legal risks and sales activities. CEO Stadler stated at the event: "We regret what happened. We will ensure full transparency and assure you that we will put things right." Due to a valid agreement with Volkswagen AG, the affected four-cylinder TDI engines have no direct impact on the profitability of the Audi Group.
In 2016, the Audi Group plans to continue its worldwide growth and - assuming stable external conditions - anticipates a moderate increase in the number of cars delivered to customers. Along with the volume growth, ongoing process and cost optimizations should have a positive impact on the company's financial metrics. High advance expenditure for the future - such as for pioneering technologies and the renewal and expansion of the product range - will at first affect earnings negatively. The high number of planned product ramp-ups and market launches and the expansion of the production network will have the same effect. Nonetheless, the Audi Group aims to achieve an operating return on sales within the strategic target corridor of eight to ten percent also in financial year 2016.
SOURCE Audi AG
For further information: Corporate Communications: Julio Schuback, Press Spokesman Finance and Organization, Telephone: +49-841-89-38455, E-mail: [email protected], http://www.audi-mediacenter.com
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