missing translation: fa.article-intro.reading-time – 03/16/2023
Rittersberger: At EUR 7.6 billion, we achieved a new record operating profit for the brand group last year. Revenue and operating return on sales likewise reached record levels, at EUR 61.8 billion and 12.2 percent, respectively. How did we manage this? With a great deal of cooperation and team spirit, we pulled out all the stops in recent months to maximize our profitability. Above all, we managed to substantially improve our price position in the market. Added to this are a higher profit contribution from after sales and an improved residual value situation in the used car business. Meanwhile, we worked intensively with suppliers and customers, as well as internally across all divisions, to be able to produce our vehicles as quickly as possible despite the disrupted supply chains, particularly for semiconductors. And our Bentley, Lamborghini and Ducati brands also helped drive the overall result for the brand group with a very strong operating performance.
The key figures underline our resilience – the resilience of the brand group, as 2022 was a very challenging year for us. The devastating war in Ukraine, fragile supply chains, coronavirus lockdowns in China, rising energy prices and high inflation tested us time and again. And I expect 2023 will bring many more challenges for us to face. This makes it all the more important for us to further improve our resilience. An important lever in this regard is to lower our break-even point. The lower its level, the more robust and resilient our business is against crises.
Rittersberger: The potential of the brand group is very high. The most recent results of Bentley, Lamborghini and Ducati underline this. I am convinced that the interplay of the four brands gives us the strength to continue to play a leading role in the competitive arena. To succeed in this, however, we need a clear management model for the brand group. Our aim is to intensify our collaboration and at the same time strengthen the position of the brands in their respective segments. For example, synergies in technology development help us in two ways. They save costs and free up resources for the brands to strengthen the brand-specific character of their models.
We will benefit immensely from these advantages, particularly where the further electrification and digitalization of our products and services are concerned. Our motto is therefore: we apply management control where it makes sense – for example, in strategy development, planning processes and the allocation of capital – but, at the same time, we give the brands freedom of action wherever possible. Because our aim is not just to maintain the uniqueness and individuality of Bentley, Lamborghini and Ducati, but to further strengthen them.
Jürgen Rittersberger has worked in the Volkswagen Group since 2002 and has been responsible for the Finance, Legal Affairs and IT division at Audi since April 2021.
Rittersberger: With our “Vorsprung 2030” strategy, we have described our path to successfully mastering the transformation of the automotive industry. ESG is an important pillar in this context and concerns all areas of the company. In recent months, we have worked intensively on describing our ESG goals and integrating them into our processes. In parallel, we have launched projects to improve our ESG performance.
One very promising example is the MaterialLoop project in the field of circular economy. In a trial, we are recycling 100 end-of-life vehicles in collaboration with our partners and analyzing how the materials glass, aluminum, plastic and steel can be reused in the production of new vehicles. Our comprehensive voluntary reporting of key figures according to the EU taxonomy underscores just how important ESG is to us. In addition, we are currently undergoing an external ESG rating process to obtain an independent assessment of where we stand.
