Audi expects better sales this year as it launches a dozen new models

Article by Christian A., on August 25, 2010

Audi is optimistic that this year, it will be able to surpass its contribution in earnings and cash to parent Volkswagen AG in 2009. Audi is banking on its launching of a dozen new models, including the A1 subcompact. Audi CEO Rupert Stadler said that while the company thinks that the worst of the crisis is over, it cannot give the all-clear for 2010 yet.

He said that he recognized signs that the financial crisis is going to take longer to improve than initially assumed. If not for Audi‚ net cash position last year, VW's entire value of 10.6 billion euros ($14.42 billion), which it will use for its latest acquisitions, would have effectively been zero.

Car markets had suffered greatly, and it affected premium carmakers even more but Audi had trimmed down its inventories to help boost net cash flow by 21% to 2.32 billion euros.

Audi Chief Financial Officer Axel Strotbek forecast higher revenue and operating profit as the brand aims to exceed the one-million mark in vehicle sales this year.

In Audi's annual report, the company stated that it expected retail volumes, turnover, earnings and margins to improve next year.

Operating profit may have dropped by 42% last year but income from interest on its large cash pile as well as financial currency hedges lifted its earnings to 1.93 billion euros before tax, surpassing even that of parent VW by nearly 670 million.

Topics: audi, sales

If you liked the article, share on:

Pin It

Comments

Recommended

McLaren is said to be designing the next generation of Sports Series, which could include a V6 hybrid among its powertrain options. It was earlier reported that the British automaker...
by - March 24, 2017
To the proud owners and owner-to-be of the Porsche 991 Carrera GTS, there's good news for you all. German automobile manufacturer Porsche recently confirmed to the public that the Porsche...
by - March 23, 2017
McLaren diehards, this is the moment that you're all waiting for. The British automaker recently publicized the teaser outline of its new automobile that will hit the streets soon, dubbed...
by - March 23, 2017
PSA seems very confident about conquering the world. The purchase of Opel/Vauxhall for €2.2 billion ($2.3B) from General Motors makes PSA the second largest car company, just behind the Volkswagen...
by - March 23, 2017
Reporting for duty. It’s been a year since the Victoria Police was loaned a new Mercedes-AMG GLE 63 S Coupe. In those 12 months, the coupe served as the law...
by - March 23, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries