Audi Quarterly Operating Income Rises 3%

Audi AG posted a €1.5 billion operating profit in the second quarter of 2012 compared with €1.4 billion in the same period last year.

Revenue climbed 14% to €12.6 billion in the April-June period, and volume grew 14% to 387,100 vehicles. Surging sales in Asia and North America offset weak European demand. Return on sales contracted to 11.7% from 13% a year earlier. Audi, which is a subsidiary of Volkswagen AG, does not report net earnings.

In the first half, operating profit jumped 13% to €2.9 billion. Revenue increased 16% to €25 billion, and volume rose 12% to 733,200 vehicles. Return on sales narrowed to 11.5% from 11.8% in the first half of 2011.

Revenue soared 40% to €7.6 billion in Asia Pacific and 35% to €3 billion in North America in the January-June period. Sales climbed 17% to €5.5 billion in Germany but slipped 3% to €8.4 billion in the rest of Europe.

For the full year, Audi confirms its outlook for an 8% increase in unit sales to 1.4 million vehicles, bolstered by the arrival of the A1 Sportback five-door supermini, Q3 compact crossover vehicle and next-generation A3 small car late this summer. The company predicts 2012 operating income will match the €5.3 billion it earned last year.