Audi Is Cutting Back Investments Due To Corona Crisis

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Audi Is Cutting Back Investments Due To Corona Crisis
Audi Is Cutting Back Investments Due To Corona Crisis

Video: Audi Is Cutting Back Investments Due To Corona Crisis

Video: Audi Is Cutting Back Investments Due To Corona Crisis
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In view of the corona crisis, Audi has not provided an outlook for the current year. This is almost impossible.

In view of the uncertainties caused by the corona crisis, the car manufacturer wants to save on investments in property, plant and equipment and development. The share of research and development costs in sales will strategically be between 5 and 6 percent in the future, the Ingolstadt-based company announced on Thursday.

spoods.de

The guideline had previously provided for a share of 6.5 to 7 percent. Capital expenditures are also to be reduced somewhat on average to 5 to 6 percent of sales. Here, the target rate was previously 5.5 to 6 percent.

Audi boss Bram Schot, who left the company on April 1, was satisfied with the past year. "Audi is doing well in the competition," said Schot, who is succeeded by the ex-BMW manager Markus Duesmann. The board did not give an outlook. A reliable forecast for 2020 is currently almost impossible, said Audi CFO Arno Antlitz.

Audi is shutting down plants

Because of the corona pandemic, Audi is currently shutting down all plants in Europe and Mexico. From Monday, the belts are to stand still for an indefinite period. Audi has announced short-time work for the Ingolstadt and Neckarsulm locations.

As a result of the diesel scandal, Audi fell significantly behind its competitors Mercedes and BMW. Last year sales increased slightly to 1.85 million cars. The turnover was 55.7 billion euros, around 2 billion euros more than in the previous year, if at that time the separated sales companies had no longer been part of the company.

Improved operating result

The operating result improved to a total of 4.5 billion euros. In the previous year, the aftermath of the diesel scandal had cost Audi 1.2 billion euros. In addition, Audi and its subsidiary Lamborghini sold more profitable SUV and luxury cars. The tough austerity program last year also helped.

By 2022, Audi wants to save 15 billion euros over the term, also through closer cooperation with VW and Porsche. Audi will cut almost 10,000 of the 61,000 jobs in Germany by 2025. The new boss Duesmann is to ensure, on behalf of VW CEO Herbert Diess, that Audi is again associated with the slogan “Vorsprung durch Technik”. (dpa)

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