Audi has reported record production, sales, revenue and before-tax profit.
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Revenue was up by 8.5% in 2005 to EUR26.6bn. Profit before tax was up by 14.6% to EUR1,310m, the highest in company history.
“This verifies our strategy of systematically increasing performance and optimising costs,” said board member, finance, Rupert Stadler.
The company said its high profitability was the result of further increasing productivity in all areas. After tax profit was €824m.
The Audi brand set a new record for vehicle sales in 2005 for the 10th year in succession: 829,109 vehicles were delivered to customers worldwide, an increase of 6.4% (2004: 779,441).
Audi sold 247,125 vehicles in Germany, 12,033 (5.1%) more than in 2004.
The largest individual export market was the USA with 83,066 units (77,917, up 6.6%), followed by Great Britain with 81,374 (77,882, up 4.5%) and China with 58,878 (53,702, up 9.6%).
The above-average growth in western Europe led to the Ingolstadt brand achieving a record market share of 4.2% in 2005.
The growth is largely attributable to a broader model mix, as Audi introduces new variants and all new models, a trend which is set to continue with the Q7 taking it into a new segment this year.
“This year we will be increasing the frequency with which new models are launched: we will be presenting an average of one new model or new variant each month,” said Audi chairman Martin Winterkorn at a press conference.
Winterkorm confirmed that Audi is still targeting a million annual vehicle sales in the medium term.
The company said in a statement that Audi’s growth strategy rests on three pillars. Firstly, to expand the model range to include sporty derivatives of core model lines, and new products in previously unoccupied segments and niches.
Secondly, to achieve more in existing markets more effectively by improving product range and quality, and by further optimising the dealer organisation and range of services.
And thirdly, to open up new markets, especially in Asia, central Europe and the Middle East.
For the coming year, Winterkorn announced a further increase in productivity and a reduction in production time.
“This is the only way we will able to survive in the face of international competition,” he said. “But thanks to significant growth, the number of jobs will remain at today’s high level.”
