March eleven, 2014 – 6:26 am ET
FRANKFURT (Bloomberg) — Audi AG programs to introduce 17 new or revamped designs in 2014 and will move forward with the production an electrical version of the R8 sports activities vehicle in a push to obtain momentum on rival BMW AG.
“We will boost deliveries in all areas of the planet, such as Europe,” CEO Rupert Stadler mentioned in a speech to be delivered these days at the brand’s headquarters in Ingolstadt, Germany. The CEO expects 2014 revenue to rise slightly and forecast registrations in China, Audi’s greatest industry, will exceed 500,000 automobiles for the very first time.
The most significant earnings contributor of Volkswagen AG will invest 22 billion euros ($ 30.4 billion) in the following 5 years, with 70 % going towards new items and technological innovation. Most of the rest will be invested on expanding global manufacturing capability, including new factories in Brazil and Mexico.
Operating profit in 2013 fell 6 % to 5.03 billion euros ($ 6.97 billion). Income rose 2 % to 49.9 billion euros on larger car revenue. Operating revenue as a percentage of revenue was 10 %, above its extended-term target variety of among 8 percent and 10 percent.
BMW retained the lead in worldwide luxury-car revenue for the ninth straight year in 2013 even as Audi and third-ranked Mercedes-Benz stepped up efforts to overtake BMW by the end of the decade. The world’s 3 biggest luxury-auto makers posted fresh income data last yr and expect demand to rise even more in 2014 fueled by growth in China and North America.
Audi launched a fresh version of the A3 compact last 12 months that helped lift sales 8 percent to 1.58 million cars, and is rolling out the model’s sedan variant in the United States and China this year. It presented a revamped version of the TT sports auto at the Geneva present last week and will include the sporty S1 subcompact to its lineup in the 2nd quarter.
Audi is a cornerstone of parent VW’s technique to consider the car industry’s top revenue spot from Toyota Motor Corp. by 2018.
VW reported final month that 4th-quarter revenue rose 18 percent to 3.eleven billion euros as record product sales at Audi and Porsche offset paying on creating new models and expanding manufacturing.
VW forecasts an operating margin for 2014 in a selection from 5.5 percent to 6.5 percent, compared with 5.9 percent final yr. Income is expected to be within a selection of 3 % from a yr in the past and deliveries are anticipated to rise “moderately.”
VW is scheduled to release detailed earnings for all brand names on Thursday, March 13.