Overview
- Audi disclosed Monday that second-quarter after-tax profit fell about 21% to €563 million, and the company reduced full-year revenue guidance to €58–63 billion.
- The company lowered its expected operating margin to roughly 5–7% after reporting a first-half operative margin of just 3.8%, leaving results well below prior targets.
- Audi said the downturn is driven mainly by a near-20% fall in China deliveries and weak US sales, with the China business contributing only about €73 million in H1 compared with much larger prior-year gains.
- Management says current cost measures helped but are not enough, so Audi and parent Volkswagen are weighing further savings and restructuring that could cut shifts, capacity or jobs at sites such as Neckarsulm.
- Executives expect some recovery in the second half from new models and lower costs, while VW CEO Oliver Blume aims to finalise a group-wide savings package by year-end that will shape plant and job outcomes.