Car manufacturer: Audi's profits collapse dramatically - 87 percent less than in the same period last year

Dusseldorf. One day after Volkswagen had to report red figures due to high depreciation on Porsche and losses in its China business, its subsidiary Audi also reported negative results.

In the third quarter, the core brand Audi slipped into the red with sales of 11.6 billion euros. The quarterly loss amounts to 174 million euros, as Audi announced on Friday.

Only thanks to the brands Lamborghini, Bentley and Ducati, which are part of Audi's “Progressive” brand group, does the VW subsidiary barely make a small profit. In the third quarter, the brand group posted a total profit of 28 million euros.

Over the nine-month period, the brand group's operating profit fell by 26 percent to just under 1.2 billion euros. For comparison: At BMW it was more than four billion at the group level. Sales and earnings have been falling for years, the company has already cut jobs and further job cuts are on the cards.

“The key figures clearly show that the need for action at Audi is high and cannot be postponed,” said CFO Jürgen Rittersberger. "Especially in the third quarter, the environment became significantly more severe. Our measures are working, but due to the enormous competitive pressure we have to strengthen them. That's why we are relying on consistent cost discipline, reducing complexity and increasing the efficiency of our structures."