With a new record for deliveries of more than 1.74 million automobiles, Audi for the first time increased its revenue to more than 53 billion euros (Rs 405,132 crore) in 2014.
10 Mar 2015 | 2960 Views | By Autocar Professional Bureau
With a new record for deliveries of more than 1.74 million automobiles, Audi for the first time increased its revenue to more than 53 billion euros (Rs 405,132 crore) in 2014.
Operating profit amounted to 5.15 billion euros (Rs 39,366 crore) and the operating return on sales of 9.6 ...
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With a new record for deliveries of more than 1.74 million automobiles, Audi for the first time increased its revenue to more than 53 billion euros (Rs 405,132 crore) in 2014.
Operating profit amounted to 5.15 billion euros (Rs 39,366 crore) and the operating return on sales of 9.6 percent was at the upper end of the strategic target corridor of eight to 10 percent. After taking increased financial income into consideration, profit before tax increased to approximately 6 billion euros (Rs 45,864 crore). The return on sales before tax was 11.1 percent.
By 2020, Audi plans to expand its product range to 60 models. The company says it will invest more than 24 billion euros (Rs 183,456 crore) in new products and technologies by 2019, and is continually expanding its global production network. Worldwide, the Audi Group plans to recruit more than 6,000 new employees in 2015 to strengthen its workforce with experts as it moves along its strategic growth path.
Speaking at the annual press conference held at its headquarters in Ingolstadt today, Audi AG presented its key figures for financial year 2014 and an outlook for 2015. Chairman Rupert Stadler said: “We delivered more in 2014 than promised. After a very positive start to this year, we aim to achieve a new record for unit sales in 2015.” This year, the company will start the next stage of its model initiative with the new Q7, the new R8 and the new A4 family.
"Also read Rupert Stadler’s plan to help Audi reach 60 models by 2020"
In 2014, Audi set new records for unit sales in a total of 50 countries. Worldwide, it sold 1,741,129 cars (2013: 1,575,480), representing an increase of 10.5 percent (2013: 8.3 percent), surpassing its original unit-sales target of 1.7 million units. The Audi Group increased its revenue to 53,787 million euros (2013: 49,880 million euros): growth of 7.8 percent compared with the previous year.
Board of Management member for finance Axel Strotbek said: “Our key financials show that we are preparing systematically for the future and nevertheless operating very profitably.” Despite high levels of advance expenditure, the company achieved an operating return on sales at the upper end of its strategic target corridor of eight to 10 percent.
From January through December 2014, Audi invested nearly 25 percent more than in the previous year, setting a new record with an amount of over 4.5 billion euros (Rs 34,398 crore). By 2019, the company plans to invest a total of 24 billion euros. The focus will be on technical innovations and new models. In addition, the manufacturer of premium automobiles intends to expand its worldwide production structures. The carmaker says all investments are to be funded out of the cash flow from operating activities.
Earlier this year, Audi presented the new Q7 in Detroit; this SUV is up to 325 kilograms lighter than its predecessor and about 26 percent more efficient. The new Q7 e-tron Quattro, which debuted at the Geneva Motor Show last week, is the first plug‑in hybrid with a diesel engine and quattro drive. In the coming years, Audi says it will systematically electrify the drivetrains of its entire model portfolio.
Audi is also focusing on piloted driving. In October 2014, an RS 7 piloted driving concept lapped the Grand Prix racetrack in Hockenheim – without a driver and at speeds of up to 240kph. And in early January, journalists traveled 900km from Silicon Valley to the Consumer Electronics Show in Las Vegas in an A7 Sportback in piloted‑driving mode.
The company says it will extend its focus on innovation and has strengthened its teams of experts in the fields of lightweight construction, connectivity and electric mobility once again last year. This year, it plans to recruit 4,000 new employees and worldwide, more than 6,000 new employees.