A strong result after six months: The Audi Group achieved a successful half-year result despite the critical situation with semiconductor availability.
The company delivered 981,681 cars from January to June and summed up the best first half-year in Audi's history. The positive volume development is also reflected in the financial result. Sales revenues amounted to EUR 29.2 billion. Operating profit of EUR 3.1 billion reflects high customer demand, strong sales efforts and continued cost control. Audi also benefited from positive valuation effects when securing raw materials. Therefore, the sales margin of 10.7 % is within the strategic target corridor of 9 to 11 %. In addition, the net cash flow of EUR 5.5 billion reflects the financial strength of the Audi Group.
Customers' continued strong interest in Audi models led to delivery records during the first half of the year. From January to June, the company delivered 981,681 Audi cars to customers worldwide - an increase of 38.8 % compared to the previous year (2020: 707,225). Furthermore, with 518.853 deliveries from April to June (2020: 354,232), the period was the strongest quarter in the company's history. In the Chinese market, the best result to date was achieved with 418,749 delivered cars during the six months of the year (+38.4 %). Also, in the US, Audi did its best half-year with 121,835 cars (+59.9 %). In Europe, there was a corresponding momentum with an increase of 32.7 %(351,588 cars). Above all, the premium brand increased sales of electric cars and plug-in hybrids to about 80,000 delivered vehicles, which was more than twice as many as the corresponding period the year before (2020: about 36,000). In addition, sales of SUVs and the larger models showed high growth figures.
Electrification continues at the four rings: Audi is gradually phasing out the production of internal combustion engines until 2033, and the goal is to become carbon neutral by 2050. The broad electrification offensive will continue to be rolled out in parallel. With the new Audi e-tron GT quattro, Audi RS e-tron GT, Audi Q4 e-tron and Audi Q4 Sportback e-tron, the electric car program has been expanded with four more models this year. This means that Audi is already launching more electric cars on the market this year than cars with internal combustion engines. In 2025, the company expects to have over 20 fully electric models in the program.
During the first six months, the Audi Group increased sales revenues by 42.7 % to EUR 29.212 million (2020: 20.476). Compared with the previous year, which was characterized by global shutdowns, sales increased in the first half of the year in all car segments, thanks to a favourable product and regional mix while maintaining price levels. The high demand for SUVs had a positive effect on the result, where the Q models were well received in many markets, especially in the USA and China. The result for Lamborghini of 961 million euros (2020: 766) was also higher than the year before.
During the first half of 2021, the Audi Group achieved an operating profit of EUR 3,113 million (2020: -750). The sales margin during the first half increased to 10.7 % (2020: -3.7) and is therefore within the strategic target corridor of 9 to 11 %. In addition to the strong result in the core business and continued cost discipline, the high level of sales revenues was reinforced by positive valuation effects, especially in raw material hedging, which amounted to EUR 0.9 million compared with the previous year.
For the first half of 2021, the Audi Group reports a profit before tax of EUR 3.875 million (2020: 86). The opening financial result of EUR 762 million (2020: EUR 836 million) primarily reflects the strong deal in China. Net cash flow amounted to EUR 5.512 million (2020: 1,953) and shows that the Audi Group is financially robust and well-positioned for the future. In addition to high profitability and continued cost discipline, the four rings also benefited from seasonal factors and effects from the high-volume last quarter of 2020.
For the full year of 2021, the Audi Group expects increased demand in the global car market. At the same time, there are signals that the coming months will be affected by the critical delivery situation for semiconductors. Audi continues to work intensively on countermeasures, but it does not expect to be able to compensate for the loss of production during the year because of the situation. The Audi Group also does not expect any further substantial actual valuation effects from raw material restrictions during the second half of the year.
The Audi Group nevertheless has a cautiously optimistic view of the remaining months of the year. The Audi Group expects deliveries from the Audi brand and that sales revenues will be significantly higher than last year. As a result, the sales margin is expected within the planned range of between 7 and 9 %. Based on the positive trend from the first half of the year and taking into account the higher seasonal expenses during the second half of the year, the Audi Group adjusts its forecast for net cash flow to between EUR 4.5 and 5.5 billion.