Audi before hard times: 7,500 job cuts and 33% decline in profits!

Audi before hard times: 7,500 job cuts and 33% decline in profits!

Brüssel, Belgien - In 2024, the car manufacturer Audi experienced a dramatic drop in profits of 33 percent, which pressed the post -tax result to just 4.2 billion euros. The challenges, which Audi, according to the chief Gernot Döllner, truly "year of transition", were reinforced by weak demand and aggressive price struggles in China. In addition, internal problems, such as the poor parts supply and high provisions for closing the Brussels work, burdened the balance sheet. The sales of the core brand already fell by almost 8 percent to 64.5 billion euros, which clearly shows that Audi has to deal with considerable difficulties, while the three smaller brands of the group, especially Lamborghini, are successful with higher margins, as in the report of vienna.at can be read.

austerity measures and job cuts

In response to the financial problems, Audi announced that it would reduce up to 7,500 jobs in Germany until 2029 without pronouncing any operating dismissals. In addition, the structured employee participation is changed and temporarily shortened, which should lead to annual savings of at least one billion euros. The details of the implementation of these measures are based on an agreement with the employee side and still have to be specified, while the results of 2024 are already burdened by the cuts in the employee participation. The amount fell from 8,840 euros in the previous year to only 5,310 euros for a skilled worker, such as nau.ch reported.

The industry as a whole suffers from similar difficulties, with the rivals BMW and Mercedes-Benz also recorded declines. While BMW had to accept a decline from 37 percent to 7.7 billion euros and Mercedes-Benz fell 28 percent to 10.4 billion euros, Audi remains behind these results and still sees itself towards a highly competitive market.