Audi pairs good financial results with impressive product initiative

At Audi AG’s annual media conference, CEO Markus Duesmann and CFO Jürgen Rittersberger addressed the key financials for the 2022 fiscal year and focused on strategic decision-making, holistic sustainability, and the upcoming model initiative.

Markus Duesmann: “Even here in Germany, we are feeling the impact of the Russian war of aggression against Ukraine quite directly – primarily due to energy shortages, supply bottlenecks, and the challenging geopolitical situation. In view of this volatile environment, we can be particularly proud of what we achieved last year. This result required lots of hard work and collaborative efforts.”

Jürgen Rittersberger: “Our operating profit stood at a record 7,6 billion euros, out of a total of €61,8 billion in revenues. Operating return on sales reached a strong 12,2%. All this shows that we navigated the turbulent year of 2022 well and consistently made the most of our opportunities. The same goes for our strong net cash flow of €4,8 billion, which hit the second-highest level in our company’s history.”

“2022 was an impressive demonstration of just how robust and profitable our Brand Group of Audi, Bentley, Lamborghini, and Ducati really is,” Rittensberger added. Bentley also published its best-ever financial results, with an 82% profit increase to €708 million. Bentley sold 15 174 cars in 2022, an absolute record. Overall revenues made a 19% jump to €3,38 billion.

The solid financial results of Bentley provide a good basis for self-funding. With the upcoming ‘Beyond100’ strategy, Bentley will invest €3 billion over the next ten years in its Crew factory and in five new BEV launches in five years, starting in 2026.

Growing product portfolio

Both Audi top managers then continued about the upcoming Audi product portfolio. CEO Markus Duesmann again: “Sales of all-electric models increased by 44% year on year. The high demand for our Audi Q4 e-tron, Audi e-tron GT, and Audi e-tron models confirms that we are on the right track toward e-mobility.”

“We are on the verge of the biggest product initiative in our history,” Duesmann continued. “By 2025, we will have launched around 20 new models, more than ten of which will be all-electric. We have set the course to go 100% electric. By 2027, we seek to offer an all-electric vehicle in each core segment. We recently decided to launch an additional electric entry-level model below the Audi Q4 e-tron as well.

The upcoming Audi Q6 e-tron model series will be the next BEV to be launched and is the first to be based on the new Premium Platform Electric (PPE). It’s the brother product of the new electric Porsche Macan. The Q6 e-tron will be coming from Audi’s prime factory in Ingolstadt.

Holistic sustainability

“To make sure we are in a viable position in such a different environment going forward, we will also be adapting our organizational structure,” Duesmann emphasized. “By consolidating key topics such as ESG (Environmental, Social, and Governance), digitalization, and new business models in the CEO’s division, we are lending them even greater weight.”

Jürgen Rittersberger added: “At Audi, ESG goes beyond the product. We are convinced that a sustainable business model includes not only environmental considerations but also social responsibility. We have our performance measured by an independent rating agency based on strict criteria.”

And Diesmann concluded on this topic: “We are acutely aware of our responsibility in dealing with resources. That’s why the circular economy plays such an important role for us. In the future, we will recycle secondary materials from end-of-life vehicles back into the production of our cars. As part of our MaterialLoop pilot project, we are working with suppliers, recycling companies, and academic partners to upskill in this area.”

 €5 526 bonus for all employees at Audi Brussels

All employees of the Audi factory in Brussels, producing the original e-tron, now comprehensively facelifted and renamed Q8 e-tron, will receive a bonus of €5 526 gross for their work in 2022. “A sign of appreciation for the engagement of our personnel in difficult circumstances and a challenging 2022,” said Audi Brussels spokesman Peter D’Hoore.

Since December last year, the Q8 e-tron and its coupé sibling Q8 e-tron Sportback are coming off the line in Brussels. “In the second half of the year 2023, we will start building the fully electric Q4 e-tron also here in Brussels,” added D’Hoore. The almost 3 000 workers at Audi Brussels built 50 302 electric SUVs (e-tron and Q8 e-tron) last year, a 15% increase compared to 2021.