Audi’s second-quarter results were mixed.
The company reported sales of 5,566,000 vehicles in the quarter, up from 4,636,000 the previous quarter, but sales dropped 2.5% from a year earlier.
The decline in sales was largely driven by a drop in the market for electric vehicles.
The company’s chief executive, Rupert Stadler, said the company’s strategy of “transitioning” its lineup of plug-in electric cars to a more plug-ins-only lineup was “working,” and he said the goal is to deliver 10,000 plug-ups by 2020.
“Our first-generation electric cars are proving very well, and we expect them to continue to perform well in the future,” he said.
But some analysts say that’s still too optimistic.
“I’m still waiting for a meaningful number,” said Dan Dickson, chief analyst at Edmunds.com.
“It’s not a ‘real world’ sales decline.
It’s not like they’ve lost the market or the market is getting worse,” he added.
“It’s more like it’s not selling as many cars.”
Ahead of the quarterly results, analysts at Jefferies called on Audi to take more aggressive steps to bring down prices on the plug-up cars.
The stock dropped by 4% on Tuesday and was down 4% in early trading.
Audi also reported that it would be closing some of its factory plants and laying off about 200 employees as it seeks to reduce its cost of production.
The plan includes cutting the number of vehicles it makes by about 3 million units, including all the new electric models, and is set to be implemented this year, said Stadling.
The automaker said it would also be reducing its workforce by about 7,500 workers.
On the manufacturing side, Audi said it plans to invest $100 million in research and development to increase the efficiency of its assembly line and improve productivity.