Audi Recorded Lower First Quarter Profits

Audi, the German car manufacturer, experienced a notable increase in sales but revealed a reduced profit in early 2025 compared to the disappointing first quarter of 2024. As a part of the Volkswagen Group, the company is now banking on new models for future success.

The Audi Group, which includes not only the core Audi car brand but also the Bentley, Lamborghini, and Ducati brands, closed the first quarter of this year with a net profit of 630 million euros. This represents a 14.4 percent decrease from a year ago, as announced by the company today.

Audi attributed the decline in profits to heightened competition and political uncertainties. CEO Gernot Dolner stated, “This year will continue to be very challenging due to the global economic situation,” according to German news agency dpa.

The fact that the profit decline was not more severe is partly due to the weak comparable figures from the same period last year. Audi had significantly reduced its profits then, in part due to a parts shortage for its crucial and lucrative engines. Lamborghini’s strong performance also played a role in the results.

Despite the introduction of new models by Audi recently, they were insufficient to reverse the downward profit trend. Nonetheless, sales in the first quarter showed a notable increase, reaching 15.4 billion euros, which is 12.4 percent higher than a year ago.

Dolner expressed optimism that the new models would enhance business performance later in the year. The model offensive is now gradually expanding to global markets,” he said. Simultaneously, Audi has “taken decisive actions to reposition its company,” Dolner added.

This involves significant job cuts in Germany. In March, Audi announced plans to eliminate up to 7,500 jobs at its German facilities by 2029 and reduce profit-sharing among employees in the upcoming years. The job cuts could commence in the second quarter of this year.