Audi 2014 Annual Report Download - page 157

ECONOMIC REPORT
BUSINESS AND UNDERLYING SITUATION // RESEARCH AND DEVELOPMENT
>> 157
Forecast/actual comparison Audi Group
Actual 2013 Forecast for 2014 Actual 2014
Delivieries of cars of the Audi brand to customers 1,575,480 significant increase 1,741,129
Revenue in EUR million 49,880 slight increase 1) 53,787
Operating profit in EUR million 5,030 within the strategic target
corridor of 8 to 10 percent
5,150
Operating return on sales in percent 10.1 9.6
Return on investment (ROI) in percent 26.4 over 18 percent 23.2
Net cash flow 2) in EUR million 3,189 significantly over EUR 2 billion 2,970
Ratio of investments in property, plant and equipment in percent 4.8 5.0 to 5.5 percent 5.5
1) Updated in the Third Quarter Report 2014 to a moderate rise in revenue
2) Net cash flow after changes in participations; net cash flow before changes in participations: EUR 3,162 (3,225) million
RESEARCH AND DEVELOPMENT
The Research and Development area is of key importance for
the long-term success of a premium car manufacturer. The
main priorities for the Audi brand are the development of
innovative engines and alternative drive concepts, lightweight
construction, design, and the continuing refinement of info-
tainment solutions, driver assistance systems and piloted
driving.
In the past fiscal year, an average of 10,970 (9,832) employees
worked in the Research and Development area of the Audi Group.
Employees in the Research and Development area
Average for the year 2014 2013
AUDI AG 8,467 7,519
AUDI HUNGARIA MOTOR Kft. 252 223
Automobili Lamborghini S.p.A. 267 250
Italdesign Giugiaro S.p.A. 764 743
PSW automotive
engineering GmbH 729 633
Ducati Motor Holding S.p.A. 201 189
Other 290 275
Workforce in the Research and
Development area 10,970 9,832
In the period under review, research and development activities
reached a total of EUR 4,316 (3,966) million in the Audi Group.
We capitalized development costs amounting to EUR 1,311
(1,207) million, representing a capitalization quota of 30.4
(30.4) percent. Capitalized development costs totaling
EUR 701 (528) million were depreciated in 2014.
Research and development activities
EUR million 2014 2013
Research expense and non-
capitalized development costs 3,005 2,759
Capitalized development costs 1,311 1,207
Research and development
activities 4,316 3,966
/ TECHNICAL INNOVATIONS
// NEW ENGINES – DRIVING FUN AND EFFICIENCY
In order to offer our customers dynamic performance paired
with minimal fuel consumption, we continued to systemati-
cally develop our range of engines in the past fiscal year. The
Audi ultra models, for example, are very enjoyable to drive but
also economical with fuel. The A4 2.0 TDI ultra, for example,
develops 100 kW (136 hp), but uses an average of only 4.0 to
4.3 liters of diesel fuel per 100 kilometers, corresponding to
COĊ emissions of 104 to 113 g/km. The A6 2.0 TDI ultra devel-
ops 140 kW (190 hp) and achieves average fuel economy of
only 4.2 to 4.7 liters of diesel per 100 kilometers, equivalent
to COĊ emissions of 109 to 124 g/km.
The new 2.0 TFSI engine that appeared on the market in 2014
with the third generation of the Audi TT Coupé is another ex-
ample of dynamic performance and fuel efficiency. With an
output of 169 kW (230 hp), the sports car uses on average only
5.9 to 6.4 liters of premium grade fuel per 100 kilometers,
making it one of the most economical cars in its segment.