About nine months ago, Volkswagen was caught violating US diesel emissions regulations by the EPA. Ever since, the Wolfsburg-based brand has been in a serious rut. From having to pay $15 billion settlement to the US Government to having sales plummet in both North America and Europe, VW has been in a bit of trouble, to put it lightly. Good thing, then, that the German Giant has a couple of other brands to help it out — Audi and Porsche.
Since Volkswagen’s diesel scandal, widely dubbed dieselgate, the brand has seen a 2.3 percent drop in sales figures. However, both Audi and Porsche have seen large increases in sales figures. Since the dieselgate scandal, Porsche has seen a 1.1 percent increase in sales and Audi has seen a whopping 4.7 percent increase. Hell, even Skoda/SEAT has seen a 1.9 percent increase. So every major brand under the Volkswagen Group umbrella aside from the actual Volkswagen brand is keeping the entire group afloat.
What’s more is that, despite have lower sales volume than Volkswagen since the scandal, brands like Audi and Porsche have accounted for a huge amount of profit. Unit sales for Volkswagen-branded vehicles are higher than Audi and Porsche, but the latter two are both bringing in higher operating profit. Audi has a 35 percent OP and Porsche has 24 percent, while VW has 12 percent. Those are both significant jumps for Audi and Porsche over their parent company. To put that into perspective, Porsche-branded vehicle have only accounted for 2 percent of VW’s sales, but 10 percent of its revenue and almost a quarter of its operating profit.