This is a remarkable achievement for the German luxury car producer.
Down in Western Europe
Audi’s markets worldwide performed very well apart from those in Western Europe. The euro zone debt crisis is appearing to have a huge impact on sales within that particular region. Sales of luxury automobiles have naturally declined with banks becoming tighter on car loans and people simply not having enough money to afford one. With Europe being the base of the company and where it is expected to sell so well, we believe the company eventually is talking positively about sales within that region in the near future.
However that hasn’t affected the rest of the world, where Audi are selling plenty of their luxury cars. In China, where Audi are the number one luxury car manufacturer, the company saw an increase of 29% between January and September. The USA saw an increase of 15.5% of Audi sales. With Audi raising their dominance in the world’s largest automotive markets, it can be safely assumed that other luxury car producers have a lot to catching up to do in respect to those markets.
In the green
We reported earlier this year that Audi were confident of exceeding sales targets and earlier than expected too. It seems as if they are on their way to doing just that.
The companies operating profit for the third quarter went from 11.1% to 13.1%. Last’s year’s third quarter operating profit was €940 million. This year the company reported an operating profit of €1.42 billion.
As mentioned in our previous article titled “Audi to beat sales targets”, the arrival of new models is expected to enhance the company’s profits further. The upcoming Audi Q3 as well as the new A6 is certain to all the company to surpass its original sales target. Both operating profit as well revenue has increased in the past year.
It seems to be getting better and better for the company. With Audi sales being so high within tough markets, we believe the company has what it takes to become the world’s number one luxury automobile provider.