Annual Financial Report 2017 traction Audi e-tron Full speed ahead into the future: The Audi e-tron, our first fully electric SUV, hits the streets in 2018. The car has a range of up to 500 kilometers. ş a t k ü y ü B n di y A : R E V O C & S O T O H P / / G A I D U A T: X E T 002 A change of perspective new ways of thinking. opens up At Audi, we use these goals to achieve our faster and avoid standing still. On the contrary: Challenges boldness stimulate, inspires, complexity motivates. thirst for We derive strength from this action. innovations Strength to create that we put on the streets. Feel the traction! 003 What keeps you going in turbulent times? Our source of inspiration are delighted customers. We want to surprise them and put a smile on their faces. That is the funda- mental compass along which we align our company strat - egy. Our Audi. Vorsprung. 2025. strategy ensures that our brand will continue to be a driving force also in the future. And that brings me to the central theme of our 2017 Annual Report: traction. The automotive industry is currently undergoing the great- est transformation in its history. We are accelerating the alignment of our company with three strategic fi elds of action: digitalization, sustainability and urbanization. We are dramatically expanding the diversity of drive systems in our product range. For example, we already have three g-tron models in our lineup. They are powered primarily with compressed natural gas (CNG). Based on a calculated aver- age, Audi replaces the proportion of natural gas used by the customer with renewable Audi e-gas, which reduces the g-tron models’ carbon footprint by over 80 percent. On the political front, it is to be hoped that the regulatory bodies setting down emissions legislation also recognize the impor- tant lever alternative fuels represent. In 2018, we cele- brate the world premiere of our fi rst series-production elec- tric car, the Audi e-tron. For 2025, our goal is for every third Audi to feature electric drive. To get there, we are add- ing over 20 electric cars and plug-in hybrids to all seg- ments in our portfolio. Autonomous driving is a key technology for future mobility. The new Audi A8 is the world’s fi rst production car devel- oped specifi cally for conditional automated driving at level 3. Find out how Audi is using increasingly automated driving functions to turn its models into personal companions. Com- panions that think for themselves, support their occupants intelligently and actively, and can get them where they are going safely. Learn in this Annual Report how we are creating “ Vorsprung” for our customers day in, day out. r e b e W Uli O: T O H P Rupert Stadler Chairman of the Board of Management of AUDI AG 000044 005 CONTENTS 010 THE BOARD OF MANAGEMENT Audi is realigning its strategy and set- ting the course for the future. The Board of Management in dialogue on the transformation of the Four Rings. 089 REPORT OF THE SUPERVISORY BOARD 093 FINANCES EXPERIENCE THE WORLD OF THE ANNUAL REPORT COMBINED MANAGEMENT REPORT INTERACTIVELY AS WELL. CONSOLIDATED FINANCIAL Photos, videos, information at: STATEMENTSOF THE AUDI GROUP www.audi.com/ar17 006 Fuel consumption and emission fi gures at the end of the Annual Report // LAHC GNIGNEL STIMULATING THE AUDI CHANGE OF PERSPECTIVE SILJA PIEH Innovative approaches and creativity are neces- sary in order to push ahead with autonomous driving – Silja Pieh and the team at Autonomous Intelligent Driving GmbH have both. 022 01// AI IN THE GENES The new Audi A8 sets standards – in a wide variety of areas. The all- round view shows why the luxury sedan is so intelligent. 028 003322 02// FAMILY BUSINESS 33 individualists, one goal: to give each TTAALLKKIINNGG BBUUSSIINNEESSSS model its very own character. A visit to the Audi Design team – at the new Design 03// FOUR-PART HARMONY Center. How is Audi pursuing the model of entrepre- neurship with integrity? Audi Board Members Wendelin Göbel and Alexander Seitz in dia- logue with sociology professor Stefan Kühl and change management consultant Holger Eckstein. TTAALLKKIINNGG BBUUSSIINNEESSSS POWERING PROFITABILITY How Audi is taking a holistic and profi table approach to electric mobility. The goal: 040 sustainable, economic success. COOPERATION AARRTTIIFFIICCIIAALL IINNTTEELLLLIIGGEENNCCEE 007 // DLOB SPIRING THE AUDI CHANGE OF PERSPECTIVE MATTHIAS BRENDEL 046 With startup spirit on the way to becoming a digital car company. How the team at the Audi Denk werkstatt in Berlin lives and breathes the change of perspective every day away from the conventional world. 04// THE VOLT DIGGERS Two visionaries in dialogue: Audi CEO Rupert Stadler meets Alejandro Agag, CEO of the electric racing series Formula E. 056 05// THE GAS IS GREENER Ecological and yet premium: The g-tron is already a part of the future. Today. And a genuine alternative to electric mobility. 064 060 07// CURIOSITY MAKES YOU GROW New skills are needed for the transformation. But how do you tackle new methods and con- tent? Anna Nixon on #neverstopquestioning. 06// MISSION ZERO Carbon-neutral production is becoming reality: The plant in Brussels is the fi rst certifi ed site with 100-percent climate- TTAALLKKIINNGG BBUUSSIINNEESSSS neutral production. SKILLED FOR THE FUTURE Audi is evolving into a provider of individual premium mobility. And getting its team fi t for the power topics of the future. TTAALLKKIINNGG BBUUSSIINNEESSSS SMART EFFICIENCY How Audi is optimizing its factory costs and boosting its competitiveness with an all-around program. 068 COOPERATION SSUUSSTTAAIINNAABBLLEE MMOOBBIILLIITTYY 008 Fuel consumption and emission fi gures at the end of the Annual Report // XELPMOC MOTI VATING 074 THE AUDI CHANGE OF PERSPECTIVE 08// CASTING A WIDE NET YU ZHAO (SCOTT) A superhero who has to go to driving To be successful on the wold’s most complex mar- school. What sounds strange actually ket, you have to understand it. And precisely that is became a great success and part of an the job of Audi Innovation Research in Beijing. Audi of America marketing campaign with incredible reach. TTAALLKKIINNGG BBUUSSIINNEESSSS 30 YEARS OF TOMORROW Audi has been defi ning the premium market in China for 30 years. And is tak- ing things to a new level there with an ambitious ten-year growth plan. 078 082 09// RACING SERIES From racing prototype to fascinating series- production model: The new V4 engine means a change of perspective for Ducati. An incredibly fast one. 10// BULL COMPANION 650 hp and 300 km/h: Can that be a family car? The new Lamborghini Urus can. The everyday test in Italy delivers TTAALLKKIINNGG BBUUSSIINNEESSSS the proof. TOP OF THE LINE A successful brand needs strong roots and a clear v ision. Audi Sport lives according to this principle. TTAALLKKIINNGG BBUUSSIINNEESSSS TAKING LAMBORGHINI TO A NEW LEVEL Lamborghini is capturing a completely new market segment with the Urus. And wants to continue to grow profi tably with the powerful Super SUV. 086 COOPERATION IINNDDIIVVIIDDUUAALL PPRREEMMIIUUMM EEXXPPEERRIIEENNCCEE 009 Peter Mertens r e b Technical Development e Bram Schot W Marketing and Sales Uli Bernd Martens : S Procurement O Peter Kössler T O Production and Logistics H P / / w o z t n e R n a THE BOARD OF er, J r e m m e K n a f MANAGEMENT te S T: X E T 010
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