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Audi: record profit as 'biggest product initiative' in its history gets underway

Audi Group CEO Markus Duesmann   Even as the Audi Group (VOW.DE), VW’s luxury division, is in the midst of a huge EV transformation it still needs to perform where it counts — the bottom line. And so it is doing just that.  On Thursday the Audi Group - which is dominated volume-wise by Audi, but also includes Bentley, Lamborghini, and Ducati - posted record revenue and operating profit in 2022. That shouldnÂ’t be a surprise given what the industry has been seeing at the highest end of the market - record performances despite macroeconomic jitters across the globe. But that it's happening as the group is noteworthy.  “We are on the verge of the biggest product initiative in our history,” Audi Group CEO Markus Duesmann said at a news conference earlier on Thursday. “By 2025, we will have launched around 20 new models, more than 10 of which will be all-electric. We have set the course to go 100% electric. By 2027, we seek to offer an all-electric vehicle in each core segment.”   This is all part of Audi GroupÂ’s Vorsprung 2030 plan, which seeks to have all of the groupÂ’s new models be electric by 2026 — and to end traditional gas-powered engine production by 2033. To that end, the group saw EV deliveries jump 44% (in 2022) compared to 2021 to over 118,000 vehicles, with the share of EVs rising to 7.2% from 4.8% in the prior year. Audi is also launching its first EV using the PPE (premium platform electric), which was developed together with Porsche. That EV, the Audi Q6 e-tron, will be unveiled later this year. (Past Audi EVs shared corporate parent VWÂ’s electric platform.) “With the Audi Q6 e-tron, e-mobility is coming from Ingolstadt (Audi HQ) for the first time,” Duesmann said in a statement. “To this end, weÂ’re also building a dedicated battery assembly facility on site. This will enable us to retain important know-how here in Germany and train our employees in future fields.” AudiÂ’s German rivals of course are also leaning in hard on their EV transformations. That makes it all the more important that Audi get its EV strategy right—and launched in a timely manner.

Audi spearheads development of an ultra-luxurious EV code-named Landjet

The rumors claiming Audi wants to release a model positioned above the A8, and the reports of an ongoing electric car development program called Artemis internally, have seemingly converged. Citing sources inside the carmaker, a German media outlet reported the firm is busily creating a super-luxurious EV code-named Landjet. Audi is leading the development process, but sister companies Bentley and Porsche will reportedly receive their own version of the Landjet. All three models will likely take the form of three-row SUVs with generous dimensions. They'll be so big that none of Audi's production facilities will be able to manufacture them, according to an anonymous insider who spoke with German newspaper Handelsblatt. Luckily, Volkswagen makes vans, too. It's too early to tell what will power the Landjets. Audi assigned some of its most brilliant engineers to Project Artemis, and the technology they develop will permeate the three EVs before trickling down into cheaper models in the group. Expect high performance, a high driving range, and semi-automated driving technology. If the report is accurate, the Landjet vehicles will enter production in Hanover, Germany, by the end of 2024. The facility currently makes the Volkswagen Transporter, which is a direct descendant of the rear-engined Bus sold for decades, and it will start manufacturing the production version of the ID.Buzz concept in the coming years. Volkswagen hasn't commented on the report, and car companies rarely address speculation, but its Commercial Vehicles division released a statement in November 2020 that confirms the Hanover site will begin building SUVs about halfway through the 2020s. It's a major shift for a factory normally tasked with manufacturing vans. "Our main plant in Hanover is becoming the production site for three completely new premium electric vehicles in the Group. These D-SUVs are genuine flagship projects: premium, 100% electric, and highly automated," said Carsten Intra, the head of Volkswagen's Commercial Vehicles division, in a statement. He added the firm will invest about 680 million euros (about $807 million) to build a new assembly line, among other upgrades.

Bentley recaps its 100 years in a $250k book

Bentley's 100th anniversary might be remembered more for the book that celebrates the milestone more than the cars. The carmaker worked with Opus, a "luxury publisher" with the tagline "Greatness immortalized greatly," on a tome that tells the story of the last 100 years. The limited-edition result of their work weighs roughly 66.5 pounds, is filled with exclusives, can be customized like a Bentley, and can cost more than a Bentley. There will be three versions, in Centenary printed in a run of 500, the Mulliner printed in a run of 100, and 100 Carat with just seven examples, representing the seven continents. All come wrapped in hand-bound leather from the same herds that provide hides to Bentley cars, buyers able to choose what color leather they prefer. The cover is adorned with nothing other than the same special Bentley badge that gets affixed to cars during this anniversary year. The content begins with a foreword penned by well known collector Ralph Lauren. Then the book spends nine chapters and more than 800 pages telling the story of W.O. Bentley and his Le Mans racers before lavishing time on the decades of brand-defining grand tourers, the limited editions, the one-offs, the designers, the craftsmanship, and the sports cars that have brought us to today's GTs and limousines. In the last chapter, called "The Future," current brand CEO Adrian Hallmark expands on what the next century will bring. Never-before-seen content in every edition includes historical photos, new photography shot by Opus, and gatefold pages with artwork that spreads nearly 6.5 feet when fully opened. The "entry-level" Centenary edition costs GBP3,000, or $3,800 in green money. The Mulliner edition adds extras like 20-inch by 24-inch Polaroid photos highlighting ten of Bentley's landmark cars, and 56 watercolors painted on silk paper. A piece of the left front Michelin tire from the Bentley Speed 8 that won Le Mans in 2003 will grace the inside cover of the Mulliner's clamshell case. Owners can go further with customization, having their own Bentley photographs included in their copies, or having their cars photographed by Opus to be included. More equipment means more money, the Mulliner edition costing GBP12,500, or almost $16,000. Beyond the Mulliner's bespoke options, the 100 Carat edition encrusts the book with 100 carats of diamonds and a wings badge set in either white gold or platinum.