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Lamborghini could be sold or spun off from the Volkswagen Group

Volkswagen is reportedly considering a sale or stock listing for its high-end Lamborghini brand. The German automaker is looking to fold the Italian supercar brand into a separate legal entity, reports Bloomberg, which cites "people familiar with the matter" who don't want to be identified "because the deliberations are confidential and no decisions have been made." Any of this sound familiar? The goal of spinning off Lamborghini would be to stockpile more cash and other resources for VW's massive planned push into electric vehicles. Back in March, reports circulated that Volkswagen's "Vision 2030" corporate plan might include plans to focus on the brand's core brands — VW, Audi and Porsche. That means the futures of fringe players like Lamborghini, Bentley, Bugatti, motorcycle brand Ducati and design firm Italdesign (and note this isn't a comprehensive list of brand's under the expansive VW Group umbrella) are up in the air. VW, according to the report, is targeting a market value of $220 billion, which is a big jump from the brand's current $89 billion valuation. Bloomberg pegged Lamborghini's valuation at around $11 billion back in August, buoyed by sales and profits generated by the introduction of the Urus sport utility vehicle. On the flip side, Lamborghini is currently grappling with how best to update its supercar lineup in the face of ever-increasing emissions regulations.

Audi doesn't even need December to set new global sales record

In 2011, Audi broke its previous-year global sales total at the end of November. It did it again in 2012. It did the same in 2013, and it's done the same again this year. The brand sold roughly 1.575 million cars last year. As of November 30 this year - its 47th record-breaking month in a row in the US - it had found new owners for 1.591 million cars around the world. Where is the action happening? Everywhere, with double digit growth year-on-year in China (16.4 percent, led by the Q3), the US (15.4 percent, led by the Q5) and Mexico (10.6 percent), and triple-digit growth in Brazil (105.2 percent). Even Europe, still struggling to break free of its retail lassitude, returned a 4.3-percent gain, with the UK and Swedish markets up by more than 20 percent. In November alone, Audi's deliveries increased 10.8 percent compared to last year, and it broke the company record for monthly sales, getting 146,250 units out the door. You can find more numbers and details in the press release below. AUDI AG: new sales record after 11 months - Full year 2013 volume already exceeded in November - Sales chief Luca de Meo: "Strong year-end sprint for Audi" - New-generation Audi A6* launched in the first European markets Ingolstadt, 2014-12-09 - Audi continues to post double digit growth in November too: Deliveries climbed 10.8 percent to a new record breaking figure for a single month of around 146,250 cars. The company once again grew significantly in all regions around the globe. Demand for the four rings rose in the Asia Pacific region in particular with sales up 17.7 percent. Since January, the premium manufacturer has delivered around 1,591,100 cars (+10.1%) to customers, thus topping last year's sales total after just 11 months. In the whole of 2013, the Ingolstadt based company sold around 1.575 million units. "Our performance in November shows that we are keeping up the pace as we sprint towards the year-end," says Luca de Meo, Member of the Board of Management for Sales at AUDI AG. "Our large export markets in particular are driving the growth of the four rings at this time." In China Audi handed over 52,544 vehicles (+18.5%) to their new owners. The Audi Q3* provided a strong boost, with demand for the compact SUV growing by 49.8 percent. Since January, the Ingolstadt-based company has sold a total of 516,356 cars in the Middle Kingdom – and thus more than half a million units for the first time.

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.