Audi Group reports stable operating profit of €1.1B in H1 2026 despite tariffs and China competition
Audi Group held operating profit steady at €1.1 billion in the first half of 2026, as cost discipline offset a 7% delivery decline driven by US tariffs and fierce competition in China.
- €29.2 billion
- €1.1 billion
- €1.9 billion
- 727,245 vehicles
What Happened
The Audi Group delivered 727,000 Audi brand vehicles in the first half of 2026, down just over 7% year-on-year, due to ongoing competitive challenges in China and US tariffs. Revenue fell to €29.2 billion from €32.6 billion, but operating profit rose slightly to €1.1 billion (from €1.09 billion), lifting the operating margin to 3.8% from 3.3%. Strict cost discipline and lower CO₂ compliance provisions offset negative product mix and lower sales. Net cash flow nearly doubled to €1.9 billion, supported by working capital improvements.
Audi Q9 world debut in New York as the new flagship SUV.
Audi Q9 launch in North America and Europe.
Audi A2 e-tron unveiling, an all-electric entry-level model built in Ingolstadt.
- 29,177 vs 32,573
- 1,122 vs 1,087
- 3.8 vs 3.3
“Audi is a key component of the Group — and part of the solution. Our shared goal is a long-term, sustainable roadmap for the future. Audi has already demonstrated its willingness to change — through painful decisions such as the closure of the Brussels plant, but also with bold moves such as a rigorously streamlined design, the entry into Formula 1, and the launch of AUDI, the sister brand exclusi”
“With greater efficiency, clear priorities, and a sharp focus on our strategic goals, we are making Audi more competitive. The results for the first half of the year show that the measures we have already taken, such as introducing strict cost discipline, are working. But they are not enough. Challenging geopolitical and economic conditions are putting the entire automotive industry, including Audi”
Why this matters
The results show Audi maintaining profitability amid global headwinds, with cost cuts and new model launches like the Q9 and A2 e-tron. The company's revised 2026 revenue forecast (€58-63B) and operating margin target (5-7%) signal cautious expectations. Buyers will see new models, including a large SUV for the US and an entry-level electric compact.
Terms in This Story
- BEV
- Battery Electric Vehicle – a vehicle powered entirely by electricity stored in a battery.
- PHEV
- Plug-in Hybrid Electric Vehicle – a vehicle with both a battery-powered electric motor and a conventional engine, which can be recharged from an external power source.
- Operating margin
- Operating profit as a percentage of revenue, measuring how much profit a company makes from its core operations.
- Net cash flow
- The amount of cash generated or used by a company's operations and investments over a period, indicating financial health.
Summarised from the linked release; details can be imperfect — always verify against the original source.