Audi, the world’s fastest growing luxury car manufacturer has recorded profits of €5.3bn for the year 2011. This equated to half of its owner’s, Volkswagen, operating income.

China became Audi’s number one market last year, overtaking its home country Germany.

In 2011, Audi managed to sell 1.3 million vehicles. This beat rivals BMW and Mercedes-Benz. The company’s revenue jumped by more than 24 per cent to €44.1 billion.

Chinese demand

They are growing fast in emerging and established car markets but are number one in China, the world’s largest car market. Demand for luxury Sports Utility Vehicles helped the Audi Q5 and Q7 sell in high numbers in China last year. Luxury saloon cars such as the Audi A4 also received a great boost in demand.

The European market

The European market is seeing great struggles for all car brands at present. The German market is currently the strongest and one of few that are currently growing in terms of the luxury car segment. The Euro Zone crisis seems to be mainly affecting mass producers of vehicles rather than producers of luxury vehicles.

American sales charts

Audi came third in the American sales charts behind BMW and Mercedes-Benz. Sales increasing in North America helped Audi’s profits reach sky high, where the luxury market is the biggest in the world.

Rupert Stadler

Rupert Stadler, Audi’s Chief Executive, has come out and said that a key to success is being successful in different regions across the world so when one is not going so well, the others can compensate.

Growth continuation aim

Audi hope to continue their superior growth streak and grow by 4 per cent which is more than the overall car market.

On the contrary Audi are said to be targeting double digit growth in China. They are also said to be targeting the same in North America.

The Chinese Government not so keen

A huge chunk of Audi sales comes from the Government purchasing vehicles. This year they have removed all Audi vehicles from their preliminary list. This is to help local Chinese car manufacturers perform better this year in the sales charts. The Chinese Government is keen to stop foreign investment and growth within the country following calls that local car brands are finding it too difficult to compete.

Volkswagen total profits last year was recorded at €11.3 billion, with Audi accounting for a large chunk of that. Audi are an extremely important part of the Volkswagen Group in their aim to become the world’s number one car producer by 2018.