HispanicBusiness

Luxury German carmaker Audi said on Tuesday that net profit dropped last year, despite sales climbing by 11.7 per cent, to a record 1.455 million vehicles.

Volkswagen-owned Audi said net profit slumped 2 per cent to 4.35 billion euros (5.7 billion dollars) in 2012, compared to 2011. Revenue rose 10.6 per cent to 48.78 billion euros, the group said.

The world's second-biggest luxury carmaker expects a further rise in revenue this year.

"We will grow further in 2013," Audi chief executive Rupert Stadler told a press conference in the southern German city of Ingolstadt.

"We will reach the mark of 1.5 million car sales earlier than planned," he said.

Strong demand for luxury vehicles in the world's leading auto markets - the US and China - has helped leading premium carmakers such as BMW, Audi and Mercedes offset weaker sales in Europe, where the car business has been hit by recession and fiscal austerity.

Audi's operating profit also fell, slipping 0.6 per cent last year to 5.38 billion euros.