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VW makes $23K on every Porsche sold, more than Bentley or Lamborghini

It's a good time to be in the luxury car business. In Volkswagen Group's financial report for the 2013 fiscal year, it is revealed that that Porsche enjoyed an operating margin of 18 percent. That means the Stuttgart brand made on average about $23,200 per car sold, according to BusinessWeek. Bentley wasn't far behind, and Audi (which was combined with Lamborghini) posted a 10.1 percent margin. This compares to only around 2.9 percent for the Volkswagen brand.
"Luxury brands are on fire," said Dave Sullivan, an industry analyst at AutoPacific. He said that the average profit margin is between six and eight percent. Brands like Porsche and Bentley have the benefit of competing in rarefied markets. Buyers looking at one their vehicles have fewer models to shop against and don't care as much about price. They can also charge more for options, which further boosts income, according to BusinessWeek.
In a way, we should be more impressed by the continued success from Audi. Its models generally have direct competitors in every segment from the other premium automakers. Plus, their buyers aren't the captains of industry who are shopping for a Bentley. Still, the Four Rings is leading rivals in sales so far this year.

Volkswagen might cut 40 models across brands to save cash

Volkswagen once set out to pass Toyota and General Motors and become the largest automaker in the world. Following months of fallout from the diesel emissions scandal, the manufacturer is rumored to be dropping around 40 models from its company-wide lineup. According to German business and finance publication Handelsblatt, the Volkswagen Group is looking to slim down and remove a number of low-volume vehicles from various lineups. The company currently sells around 340 models across brands that include Audi, Lamborghini, and Bentley. Volkswagen is refusing to comment, but Handelsblatt claims to have sources within the company. Last week, Volkswagen Group CEO Matthias Muller announced a new strategy for the company that includes a major focus on electric vehicles and new technology services. During his announcement, Muller said the company would be cutting a number of models, but at the time no numbers, models, or brands were discussed. Despite comments to the contrary, rumors have persisted since late last year that Volkswagen was looking to sell commercial truck and bus manufacturer MAN. Volkswagen owns truck and bus manufacturer Scania, so even if it dropped MAN, the company would still have a foothold within the bus and truck market. There is also talk of the company selling Italian motorcycle manufacturer Ducati, which Volkswagen acquired via Audi in 2012. The company's image has taken a huge hit in the wake of the diesel scandal. Volkswagen has set aside cash in order to pay fines and may be looking to sell these several subsidiaries and cut low-volume models in order offset the costs. Despite the scandal, the company led worldwide sales in the first quarter of 2016. The same was true in 2015, but sales tanked at the end of the year following the diesel revelations. Related Video: Rumormill Audi Bentley Volkswagen Ducati

Bentley rolls out updates across Continental range [w/videos]

Hard as it may be to believe, it's been a dozen years now since Bentley first introduced the Continental GT. After a proliferation of engine variants and body styles, a substantially updated range was launched in 2011, but even that was four years ago. Little wonder, then, that the British automaker has announced a raft of updates for its most successful model line. For the 2016 model year, first of all, the Continental range benefits from some updated styling. There's a revised front bumper and grille, reprofiled fenders with a metallic B vent, a character line running towards the rear fender, a more sculpted trunk lid, a new rear diffuser for the performance-oriented V8 S and GT Speed models, and an array of new 20- and 21-inch wheels. Inside, the Continental has been fitted with new seats – straight-fluted on standard models, diamond-quilted on Mulliner and GT Speed models – as well as new controls and trim. The crew from Crewe has also revised the marque's signature 6.0-liter twin-turbo W12, increasing output from 567 horsepower to 582 and from 516 pound-feet to 531. Bentley's not saying what performance advantage the enhanced twelve-cylinder engine will net, but it doesn't come at the expense of fuel economy: in fact, with a new cylinder deactivation feature, fuel consumption is cut by five percent despite the power boost. Finally the four-door Flying Spur gets some new equipment including wheels, steering wheel, instruments and trim, with the W12 engine (shared with the GT Speed) benefiting from the same cylinder deactivation system to improve its environmental credentials. Look for the updated 2016 model range to be presented at the 2015 Geneva Motor Show, now just weeks away. The video meant to be presented here is no longer available. Sorry for the inconvenience. The video meant to be presented here is no longer available. Sorry for the inconvenience. NEW STYLE AND TECHNOLOGY FOR LUXURY GRAND TOURING - A suite of design upgrades and features for Continental GT family - Continental GT W12 increases to 590 PS and 720 Nm, improving performance and efficiency - Flying Spur offers even more bespoke four door luxury (Crewe, 17th February 2015) Bentley Motors is building on the global demand for the Continental GT family with a suite of contemporary design updates and new exquisite features for its most successful model.