Audi Could Increase Operating Margin as EV Production Ramps Up, CEO Says
August 27 2021 - 7:41AM
Dow Jones News
By Markus Klausen
Audi could increase its operating margin more than previously
planned as electric-vehicle production ramps up, Audi Chief
Executive Markus Duesmann said Friday.
The German car maker, which is a subsidiary of Volkswagen,
currently has a 9% to 11% target for its operating margin in 2021,
but Mr. Duesmann said he thinks "an increase beyond our target is
conceivable."
However, given the company's large investments in e-mobility,
reaching the current 11% figure remains "demanding", he added.
Audi's operating margin was 10.7% in the first half of this
year, thanks to strong sales figures, rebounding from 5.5% in 2020
due to the effects of the pandemic.
Declining battery costs will be decisive in increasing margins,
the CEO said.
Audi on Thursday said that in three years it could achieve
higher returns with electric models than with combustion engines,
adding it will only launch new models that are equipped with
electric-drive systems from 2026.
Write to unternehmen.de@dowjones.com
(END) Dow Jones Newswires
August 27, 2021 07:37 ET (11:37 GMT)
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