FRANKFURT -- Audi delivered more cars than BMW Group's namesake brand through the first two months of 2014 to claim the title of the world's best-selling premium brand.
Audi sold 242,400 vehicles through February, 383 more than the BMW brand, according to data from the two automakers. At the same time last year, Audi trailed BMW by 429 autos. BMW has held the global top spot in the luxury segment for nine straight years.
Audi CEO Rupert Stadler said competition in the premium segment is more intense than ever. "We're ahead of our two main rivals in the first two months, but this doesn't really interest me much. Our focus is on further growth," he said at the brand's annual results press conference today.
Audi's product cycle has peaked just as Europe's auto market emerges from a six-year sales slump and Mercedes-Benz steps up the battle in the premium car market with a flurry of new vehicles. That has led some analysts to question whether Audi will meet its goal to overtake BMW's sales by 2020.
New models
Audi will introduce 17 new or revamped models in 2014. The rollouts are part of Audi's plan to invest 22 billion euros ($30.4 billion) over five years. "We are making enormous expenditure for future growth," Stadler said. "We sow today what we reap tomorrow."
Audi introduced a fresh version of the A3 compact hatchback last year that helped lift sales 8.3 percent to 1.58 million cars, and is rolling out the model's sedan variant in the United States and China this year. It presented a new version of the TT sports car at the Geneva show last week and will add the sporty S1 subcompact to its lineup in the second quarter.
Audi's lead at this point in 2014 reflects the tightening race among the world's top three makers of luxury vehicles. Mercedes narrowed the gap to Audi through February by almost one-third to 26,647 cars and SUVs.
Audi's sales were lifted in February by a 43 percent jump in demand for the A3 and 32 percent growth in deliveries of the Q7 SUV. Worldwide, Audi sold 9.3 percent more cars in the first two months of the year, compared with BMW's 8.9 percent gain.
BMW response
BMW expects to make up ground on Audi in the coming months. "The innovative new models coming out this year, such as the 2-series Active Tourer and 4-series Gran Coupe, will give us the momentum to keep growing in 2014," Ian Robertson, BMW's sales chief, said today in a statement.
Those models will likely help BMW retain the lead in global luxury-car sales for a 10th straight year in 2014, according to market researchers. IHS Automotive estimates that BMW will sell 1.77 million cars this year, beating Audi's 1.66 million and Mercedes's 1.56 million.
Audi aims to increase deliveries by about a quarter to at least 2 million by 2020 to take the global luxury lead. Mercedes was last to beat BMW in annual sales, while Audi has never held the lead for a full year.
Profit drop
Audi today said it expects operating profit to fall this year as the costs of expansion outside Germany, new models and technologies weigh on its results. Increased investments caused Audi's 2013 operating profit to fall 6.2 percent to 5.03 billion euros, even as revenue rose 2.3 percent.
Revenue this year may increase above 50 billion euros from a record 49.9 billion in 2013, Audi said. Operating margin may slide to 8 percent to 10 percent in 2014, from 10.1 percent in 2013.
Audi is adding production in Mexico and Brazil and may for the first time build more cars outside Germany than within its home country in 2014.
Audi contributes almost half to VW group profit.
M.M. Warburg analyst Marc-Rene Tonn said Audi was doing the right thing by stepping up investments despite the impact on profits this year. "Audi is right to focus on lucrative markets. Costs may be high in the short term but it will be a gainful investment," he said, forecasting a 9 percent fall in 2014 operating profit.
Bloomberg and Reuters contributed to this report
