Commissioned by McLaren Beverly Hills, ‘Albert’ Speedtail is inspired by the first attribute testing prototype vehicle
Resplendent in one of the most complex paint themes ever completed by MSO – taking more than 12 weeks to complete
Exterior paint design reflects the extreme aerodynamic prowess of the Speedtail
McLaren Special Operations (MSO) today unveils the ‘Albert’ Speedtail, a bespoke commission by North American McLaren retailer, McLaren Beverly Hills.
‘Albert’ is one of the final vehicles in the 106-car Speedtail production run and an homage to the first Speedtail attribute testing vehicle from 2018. Echoing the name of the 1992 McLaren F1 test mules, which were named after the Albert Drive premises in which the F1 was designed and built in Woking, England, the original MVY02 Speedtail prototype vehicle was christened ‘Albert’ as a respectful tribute to its three-seat predecessor.
The ‘Albert’ prototype vehicle was developed to validate the concept of the Speedtail’s central seat driving position, testing driver ergonomics and visibility and rear-view camera positions. Originally built with the front panels from a 720S, the ‘Albert’ prototype was the first Speedtail to be driven on public roads.
The exterior design ‘camouflage’ was achieved by a simple two-metre vinyl body wrap with design lines printed to represent the optimised airflow over the car. The ‘Albert’ Speedtail carries on this legacy, sporting one of the most complex paint themes ever completed by MSO.
The colours selected for the ‘Albert’ homage are Magnesium Silver – the colour that the F1 road car was first shown in at the 1992 Monaco Grand Prix -and Ueno Grey, the colour of the F1 GTR that won the 24 Hours of Le Mans in 1995. The full design treatment is closely based on the 2018 vinyl ‘camouflage’ wrap.
‘’As one of the very last Speedtails to be built at the McLaren Production Centre, it was very important to us at McLaren Beverly Hills that ‘Albert’ honours the brand’s rich heritage, particularly paying tribute to the icon that is the McLaren F1. We worked alongside MSO through every stage, including concept ideation, to produce a truly bespoke and beautifully detailed car that celebrates the innovation and design excellence behind the fastest McLaren road car to date. We are fortunate to have been able to procure ‘Albert’ for one of our top clients and are absolutely thrilled with the finished result.’’ Parris Mullins, McLaren Beverly Hills
The new ‘Albert’ was built in the McLaren Production Centre (MPC) with a 1K gloss visual carbon fibre body. Due to the incredibly complex and detailed nature of the paintwork design, the MSO team completed test panels first to understand process feasibility and worked alongside the visualiser team to refine renders. In total, ‘Albert’ would require a 12-week post-build modification at MSO’s facility to reach completion; this included two week’s masking, six week’s painting and the remaining time to dry and reassemble the vehicle after spraying.
Referring to large scale print-outs of the renders, the livery masking was completed by two specialist paint technicians. This had to be completed on the built car, with wheels fitted, to ensure accurate cross-panel alignment of the design as it flows around the vehicle. In total, the masking of the livery required almost two kilometres of fine line-out tape to complete the initial design layout.
The six-week painting process required the car to be disassembled to ensure complete accuracy and flawless finish. The paint blend effect was located on the door applique’s outer body panels with the front painted in Ueno Grey and rear in Magnesium Silver. After the first paint application, all body panels were treated and refitted to ensure perfect alignment and only after this the final clearcoat was applied.
“The name ‘Albert’ has a special resonance with MSO, as we are the custodians of the McLaren F1 and are based at the Albert Drive premises that McLaren Cars occupied in the 1990s. The Speedtail experience has been an exciting journey for our customers, from visualising their imaginations to realising these inspirations and sharing their delight when unveiling the finished product. ‘Albert’ brings this project to a conclusion and we are thrilled to finish on a high note.” Ansar Ali, Managing Director, McLaren Special Operations
The ‘Albert’ Speedtail will make its public debut at Sunset GT, a luxury cars and coffee event hosted by O’Gara Beverly Hills, which takes place on Sunday 8th August 2021 in Sunset Plaza, Los Angeles, USA.
Based on the form of a teardrop, the most aerodynamically efficient shape found in nature, the Speedtail is the apotheosis of the streamlined hypercar, a three-seat Hyper-GT that became the third car in McLaren’s Ultimate Series line-up. With its 1,070-horsepower hybrid powertrain, the Speedtail covers 112 metres per second when travelling at its top speed of 250mph/402kph, making it the fastest McLaren road car to date.
First production-spec Automobili Pininfarina Battista heads to the US for Monterey Car Week, featuring stunning black exposed signature carbon fibre body and Iconica Blu interior highlights
Battista Anniversario will make its US premiere at The Quail and Pebble Beach Concours d’Elegance, with media invited to a preview at Pebble Beach on 12 August at 14:00 Pacific Time
US events mark the global public debut of the production-spec hyper GT and a first chance for clients to experience Battista’s specially developed interior and exterior soundscapes
Automobili Pininfarina Chief Design Officer, Luca Borgogno, will join the panel of judges at Pebble Beach Concours d’Elegance, which will celebrate glorious Pininfarina designs of the past
Automobili Pininfarina is taking the most significant step yet in delivering its pioneering pure-electric Battista hyper GT, with the first production-spec example making its debut on Californian roads as part of a series of exciting experiences curated for its clients during the upcoming Monterey Car Week (12-15 August 2021).
The finished Battista features distinctive black exposed signature carbon fibre bodywork and black gloss precision polished Impulso rims.
Inside, the first production-spec model to emerge from the Cambiano atelier facility in Italy, features black sustainable luxury leather with striking Iconica Blu contrast stitching and quilted Pilota seats in Iconica Blu Alcantara. The seats feature Pilota Carbon Components finished in black exposed signature carbon coordinating with the striking exterior.
Monterey Car Week will also see the US premiere of the exclusive Battista Anniversario, itself a tribute to the life and work of design icon Battista ‘Pinin’ Farina. Limited to just five vehicles worldwide, it represents the pinnacle of Automobili Pininfarina’s Pura design philosophy, with aerodynamic enhancements and tailored detailing providing a uniquely dynamic personality.
As part of an extensive programme prepared for Automobili Pininfarina’s clients in North America, the exclusive hyper GT will be joined at the Pebble Beach Concours d’Elegance by a fleet of iconic Pininfarina-designed vehicles to celebrate more than 90 years of design excellence.
Per Svantesson, CEO of Automobili Pininfarina, said: “The premiere of the first production-specification Battista in the US marks the beginning of another significant chapter in the Automobili Pininfarina story. We are excited to showcase the beautiful and sustainable future of luxury to our clients, while celebrating more than 90 years of Pininfarina design heritage during Monterey Car Week. We look forward to our clients in the US experiencing the immense dynamic performance and personalised luxury of Battista for the first time.”
US PROGRAMME Monterey Car Week will host the US premiere of the Battista Anniversario – an exclusive model limited to just five units for clients worldwide. The Anniversario features a unique Automobili Pininfarina-designed livery and bi-colour tinted Furiosa Pack consisting of front splitter, side blades and rear diffuser, with outer carbon parts finished in black exposed signature carbon and inner parts in exposed signature carbon tinted in Iconica Blu.
At the Pebble Beach Concours d’Elegance, three special judging classes will showcase Pininfarina’s 91 years of history, with a cavalcade of iconic Pininfarina designs celebrating the unrivalled design heritage which has inspired the form of the Battista hyper GT. Automobili Pininfarina Chief Design Officer, Luca Borgogno, will join the panel of honorary judges at this year’s Pebble Beach Concours d’Elegance.
UNIQUE SOUND & VISION The Battista will be presented in production specification for the first time globally after being crafted by Pininfarina’s team of artisans in Italy. The 1,900hp electric hyper GT is the fastest and most powerful Italian sports car ever made, and each example will deliver the pinnacle of sustainable luxury.
So far this year, clients have been given a chance to experience prototype models for themselves, while the recently announced bespoke personalisation programme will ensure every Battista represents a unique investment. Only last month Automobili Pininfarina revealed details of its comprehensive tailoring service, by showcasing the original bespoke commission – a New York City inspired Battista featuring an elegant red, white and Iconica Blu colour scheme.
As part of the forthcoming US programme, clients will experience the interior and exterior soundscapes of the pure-electric model for the first time. Its specially developed soundtrack will elevate the driving experience while preserving the unique sensations of piloting a high-performance electric vehicle.
The Automobili Pininfarina Battista is named after Battista ‘Pinin’ Farina, the founder of the Carrozzeria Pininfarina coachbuilding company, which he established in 1930. The hyper GT is the realisation of Battista’s dream to see a car produced wearing the Pininfarina name, with the first vehicles due to be delivered to customers later this year.
Bespoke chassis settings will ensure the Battista hyper GT delivers a unique dynamic experience that can be tailored to suit every journey and the pure-electric model will accelerate from 0-100 km/h (0-62mph) in sub-two seconds – faster than a current Formula 1 car.
No more than 150 Battista hyper GTs will be created for clients worldwide. North America and Europe will account for the majority of sales, followed by the Middle East and Asia. The exclusive hyper GT is priced from $2.2m and is available to order through a global network of specialist retailers. Across North America, this presence includes retailers in San Francisco, Los Angeles, Denver, Dallas, Toronto, New York, Miami and Vancouver. The Battista battery is available with up to 10 years of manufacturer warranty for the ultimate peace of mind.
Amidst continued global uncertainty, Bentley records highest ever profitability at the half-year stage
Profit levels for the first six months of 2021 (€178 million) outperform any full-year period in Bentley’s history
Sales of 7,199 cars distributed evenly between key markets
Full-year outlook remains cautiously optimistic due to increasing COVID-19 numbers and resulting impact on colleague self-isolation
Bentley Motors has today posted the company’s 2021 half-year performance, with sales and profit levels unmatched in Bentley’s 102-year history.
This includes an operating profit of €178 million, greater than any profit figure posted for a full-year period by the company. Moreover, retail sales increased by 50 per cent from a pre-COVID 2019 figure of 4,785 to 7,199 in 2021.
These sales were well-balanced between the luxury marque’s three model lines, Bentayga (2,767), Continental GT (2,318) and Flying Spur (2,063).
The Bentayga maintained the number one model position as full market availability was reached for the first time. Hybrid and S models have also been announced. With the introduction of the Speed in the second half of the year, it is anticipated that Continental GT sales could reach record numbers three years after introduction. The market launch of Flying Spur in China, now Bentley’s biggest sales region, contributed to the model line’s share of 29 per cent of global sales further helped by the addition of the V8 engine.
But these positive results are against a backdrop of continued uncertainty which could negatively impact the second half of the year. The increasing COVID-19 numbers in many parts of the world could threaten future production in the worst-case, or see further retail restrictions posing both a sales and financial risk to forecasts.
Building on this, Adrian Hallmark, Bentley’s Chairman and CEO, said:
“These results are an important milestone on our mission Beyond100, namely to become the leading sustainable luxury mobility company by 2030. They are the outcome of favourable market conditions, combined with three years of hard work within Bentley, where we have reinvented our products, restructured our operations, managed three crises, and defined our 2030 strategy.
“We have worked relentlessly to transform our entire organisation through productivity improvements and cost efficiencies, and the double-digit return on sales is validation that we are on the right path to enable a sustainable business model.
“While we celebrate these results, we are not taking the full year outlook for granted as we know there are still sizable risks to the year-end, notably the increasing number of colleagues having COVID enforced self-isolation periods.
“That notwithstanding, our financial strength is a positive sign and as we continue on our biggest transformation and investment programme in history, Beyond100, fully electrifying our entire model range within a decade, we continue on track with our aim to become the world’s benchmark luxury car business, financially resilient and recession-proof.”
On the financial side, Bentley’s revenue for the first six months of 2021 was €1.32 billion, up from a pre-COVID figure of €834.8 million in 2019. The operating result was €178 million and a subsequent return on sales of 13 per cent, a record high return.
To put these figures in context, Bentley’s previous record half-year performance was in 2014, with a revenue of €887 million and an operating result of €95.2 million. That year closed as Bentley’s most successful year with a profit of €170 million, already exceeded at the half-year point 2021.
Looking at sales, Bentley’s global footprint became more evenly balanced across its four market regions. China (2,155) was Bentley’s biggest selling market for the first time in nearly a decade. The Americas (2,049) followed closely behind with Europe also performing strongly, delivering 1,142 cars. Both markets are eagerly anticipating the arrival of GT Speed and Bentayga S in the coming months. Asia Pacific retailed 778 cars, with Bentley’s home market, the UK contributing 554, marginally ahead of the Middle East, Africa and India on 521. Bentley’s network also increased, now covered by 240 retailers in 67 countries.
This year will also mark Bentley’s biggest year of new model introductions, with nine product debuts, two of which introduce hybrid power in the form of the Bentayga Hybrid and Flying Spur Hybrid, supporting Bentley’s Beyond100 path to full electrification.
Live Arena content revealed for The British Motor Show
Thrills, spills, stunts and parades
Special show opening from British Army Lightning Bolts parachute display team
More action, more content – and even more cars!
Show takes place August 19-22, 2021
Tickets cost just £18.50, or £37 for a family
The organiser of The British Motor Show – Automotion Events – has announced an action-packed Live Arena at the show with less than three weeks until it opens its doors.
The show will open with a very special display from the British Army Lightning Bolts display team who will be jumping out of a plane over the venue and creating an amazing aerial display over Farnborough, before landing in the Live Arena.
Hosted by TV’s star car pundit Mike Brewer, the Live Arena will be one of the show’s main focal points. Over four days, the arena will see a mixture of thrills and spills, as well as parades and comparisons of some of the star cars at the show.
Twice daily, Paul Swift’s stunt team will wow the crowds with a stunt extravaganza, featuring sideways and two-wheel driving, while another key highlight will be the daily supercar parade, in which an amazing selection of the world’s most exotic cars will rumble into the arena and make some noise.
Other Arena features are the classic car parade, twice daily, and a twice daily show of some of the most important motorsport exhibitors at the show, along with Mike Brewer’s own group tests of some of the most important new cars at the show, from EVs to SUVs.
Each day, the event will close with a round of car football – The British Motor Show’s very own rendition of the Euro 2020 football championships. And this time, England hopefully won’t lose on penalties….
The British Motor Show CEO, Andy Entwistle, said: “The excitement is really starting to build as we get ready to welcome visitors to the show in just under three weeks’ time, so it’s the perfect moment to announce just some of the action-packed and adrenaline-fuelled action that makes The British Motor Show truly stand out from some of the other car events on te calendar.”
The British Motor Show promises to be the brightest, most engaging and most interactive automotive event of 2021, and offers terrific value at just £18.50 a ticket, or £37 for a family of four.
To find out more about the show, book tickets or keep up with the latest news, visit www.thebritishmotorshow.live
The Concours of Elegance – famed for gathering together the rarest cars ever created – will showcase some of the world’s finest Ferraris at Hampton Court Palace in this year’s ‘Main Concours’ display.
Taking place from 3-5 September, the event is renowned as one of the top three concours d’elegance events in the world for the quality of cars it attracts; nowhere else in the UK can the public see such a high standard of rare historic vehicles.
Since it started manufacturing cars in 1947, Ferrari has established itself as an icon of automotive performance and innovation. Backed by extensive racing pedigree, with one of the most successful Formula 1 teams in history, the Ferrari marque draws heavily on its motorsport expertise to produce some of the most beautiful and rewarding road cars that the world has ever known.
The earliest Ferrari on display is a rare 1950 Ferrari 166 Inter. The ‘166’ in the model designation referrs to the swept volume of a single cylinder in cubic centimeters, with all 12 adding up to 1,992 cc. The Gioacchino Colombo-designed engine featured a twin distributor and coil ignition system and a single twin choke carburettor producing 110bhp at 6,000 rpm. This particular car is one of three Stabilimenti Farina cabriolet 166s produced, and was also the original 1950 Paris Motor Show car. Having previously been rebodied, in 2016 the car began a three year Ferrari Classiche restoration to original specification.
Among the cars on display sits a stunning 1954 Ferrari 250 GT Europa – the only right-hand-drive version built of the 30 that were made. This particular example was purchased in 1971 by its current owner, and has undergone sympathetic mechanical repair and restoration as necessary since it arrived in the UK, with the aim of maintaining originality. The car has taken part in club racing, three Tour Auto events, and the Mille Miglia. It has also won various Ferrari owners club concours prizes.
Alongside the Europa sits a later 1960 Ferrari 250 GT Coupé with coachwork by Pininfarina. Introduced at the 1958 Paris Motor Show, this version of the 250 brought Ferrari a step closer to true series production, with 353 examples built by the time production concluded. Under the bonnet was Ferrari’s masterpiece, the 3.0-litre Colombo V12, producing 240 horsepower at 7,000rpm with fuel fed through three twin-choke Weber carburettors.
Completing a line-up of 250 cars is one of the most celebrated Ferraris ever, the 250 GT Berlinetta SWB. Designed by Pininfarina and constructed by Scaglietti, the car was a celebration of ‘Form follows function’ – and became the ultimate street racer. Of the 90 ‘street’ SWBs built with a steel body, only 11 were produced in RHD, making this 1962 ‘Verde Tevere’ example a very rare car indeed. Subject to a total restoration in the 1990s, the car has been maintained comprehensively ever since.
Another car on display is a highly original and unrestored 1965 Ferrari 275 GTB. The car was purchased new by popular French actor Jean-Paul Belmondo in 1965, and will be seen for the very first time in the UK at this year’s Concours of Elegance. The car is an early short nose two-cam version of the 275 GTB, finished in a beautiful deep maroon colour. The car is in remarkable condition having had only had four owners from new.
Also at the show is a resplendent 1967 Ferarri 275 GTB/4, one of only six factory black 275 GTB/4s ever produced. The GTB/4, introduced in 1966, added a second overhead camshaft to each cylinder bank, making the 275 GTB/4 the first Ferrari road car to boast dual overhead camshafts. This provided the already potent V12 engine with an additional 20hp. Only 330 examples were ever produced. This car was in single ownership from 1976 until 2014, at which time the new owner commenced a restoration by leading marque experts in North America. The car boasts full matching numbers including chassis, body, engine and gearbox.
The sixth and final Ferrari is something very special. A 1991 Ferrari F40 which was delivered new to Sir Stirling Moss. Since then the car has had two additional owners and has never left the UK. At launch, the Ferrari F40 was Ferrari’s fastest, most powerful, and most expensive car, earning its place in the rarefied 200mph club thanks to its low weight and powerful 2.9-litre twin-turbocharged V8 engine. This car’s history file is extensive with documented correspondence between Enzo Ferrari and Sir Stirling Moss present where he references that he raced thirteen Ferraris, and won in eleven of them.
Outside of the main display of vehicles, the Concours of Elegance will gather a total of around 1,000 cars in a number of special features and displays, including a Gulf vs. Martini celebration, a display of unique or bespoke modern rarities in the Future Classics class and a line-up of the finest coachbuilt Rolls-Royces. New for 2021 is a collection of 95 British cars gathered to celebrate Her Majesty The Queen’s 95th birthday, and a 30UNDER30 Concours aimed at inspiring the next-generation of classic car enthusiast.
Away from the automotive displays, Concours of Elegance remains an occasion of pure luxury, with champagne provided by Charles Heidsieck, picnics by Fortnum & Mason, live stage interviews with Chubb Insurance, hosted by Jodie Kidd, and a collection of art, jewellery and fashion displays. Presenting Partner, A. Lange & Söhne, recently confirmed to support the event for a further three years, will continue to showcase some of its most intricate timepieces.
Tickets to the Concours of Elegance 2021 are available now from just £30 for half-day entry, with full three-course hospitality packages from £288. Tickets can be bought from concoursofelegance.co.uk/tickets
Strong financial performance driven by premium brands and Financial Services
Operating result reaches a record level of EUR 4 billion despite continued challenging conditions; Group’s operating return on sales at a strong 8.8 percent
Earnings before and after tax improved significantly to EUR 2 billion and EUR 8.5 billion, respectively
Automotive Division: Very high adjusted net cash flow of EUR 12.3 billion; net liquidity increases to EUR 35.0 billion
Group outlook for operating return on sales for full year 2021 raised by 5 percentage points to 6.0 to 7.5 percent; expectations for net cash flow also raised
CEO Diess: “We’re keeping up our high pace, both operationally and The record result in the first half of the year is clear proof of how strong our brands are and how attractive their products are. The premium segment performed especially well with double- digit returns, as did Financial Services. Our electric offensive is picking up momentum.“
The Volkswagen Group continued its positive business performance and posted a record result despite challenging conditions in the first half of 2021.
This positive development was driven in particular by the premium brands Audi and Porsche and by Volkswagen Financial Services. The impacts of the Covid-19 pandemic and global shortage of semiconductors were successfully contained. There was high customer demand for the Group’s attractive model range as markets continued to recover. As a result, deliveries increased by 27.9 percent to 5.0 (3.9) million vehicles over the weaker prior-year period, which was impacted by the pandemic. Sales revenue even rose more strongly by 34.9 percent to EUR 129.7 (96.1) billion. The operating result was EUR 11.4 (first half of 2020 before special items: EUR –0.8) billion, far exceeding the previous record of EUR 10.0 billion (before special items) from the pre-crisis year 2019. The operating return on sales was therefore at a strong 8.8 (first half of 2020 before special items: –0.8) percent. The higher earnings were mainly due to increased vehicle sales, improvements in the product mix and prices as well as positive effects from the valuation of raw material hedges. One-off restructuring expenses of EUR 0.7 billion had a negative impact. Work on ongoing fixed cost programs was vigorously pursued. The Automotive Division generated a very high adjusted net cash flow of EUR 12.3 (–2.3) billion and thus again demonstrated the great efficiency of its business model. The Division’s net liquidity rose further to a very solid level of EUR 35.0 billion. The acquisition of Navistar and its financial impact are not included in the figures. As a result of the extremely good business performance in the first half of the year, the Volkswagen Group has raised the outlook for its operating return on sales for full year 2021 by 0.5 percent to 6.0 to 7.5 percent.
Herbert Diess, CEO of the Volkswagen Group: “We’re keeping up our high pace, both operationally and strategically. The record result in the first half of the year is clear proof of how strong our brands are and how attractive their products are. The premium segment performed especially well with double-digit returns, as did Financial Services. Our electric offensive is picking up momentum and we will keep on increasing its pace in the months to come. We are also realigning the company with our new Group strategy NEW AUTO so that we can tap future profit pools. In doing so, we are preparing Volkswagen to play a leading role in the new world of mobility.”
Arno Antlitz, CFO of the Volkswagen Group: “The Volkswagen Group’s financial performance in the first half of the year impressively proves the robustness of our company. Our operating return on sales after six months was 8.8 percent. In particular, the second quarter was exceptionally strong. Our net cash flow of EUR 10.2 billion is also a solid result and was achieved despite our sizable future investments. We have successfully contained the impacts of the semiconductor bottlenecks to date, although we anticipate somewhat more pronounced effects in the third quarter. Nevertheless, our assessment for our business performance in the year as a whole has improved further, so that we have raised our outlook.”
Operating business remains strong In the first half of the year, the Volkswagen Group increased its global deliveries significantly by 27.9 percent to 5.0 million vehicles over the same period last year, which was impacted by the Covid-19 pandemic. Global market share of passenger cars declined slightly by 0.2 percentage points to 12.6 percent in the same period. Whereas the Group was able to grow its market share significantly in its home market of Europe and in North America, it recently recorded declines in China, its largest single market, due to the semiconductor bottlenecks.
As planned, the Group has further increased the pace of its successful electric offensive. A total of 171,000 all-electric vehicles (BEVs) were delivered worldwide by the end of June, more than twice as many as in the prior-year period (+165 percent). After 60,000 BEVs were delivered to customers in the first quarter, that figure increased significantly as planned to 111,000 BEVs in the second quarter. The share of vehicles based on the Modular Electric Drive Toolkit (MEB) relative to all BEVs was already over 60 percent in the second quarter. The BEV ramp up will accelerate further in the course of the year due to the expanded model range. The Group has also systematically expanded its portfolio of models with a plug-in hybrid drive (PHEV) – and there is high customer demand for them: A total of 171,000 PHEVs were delivered in the first half of the year, more than three times the figure in the prior-year period (+204 percent).
The premium brands Audi and Porsche performed especially strongly, posting record deliveries for the first half of the year and a double-digit operating return on sales of 10.7 and 17.6 percent, respectively. Volkswagen Financial Services also turned in a very good performance, more than doubling its operating result year on year to EUR 2.3 billion. Among other things, it benefited from strong used car business and a positive trend in risk costs.
Due to increased vehicle sales and stronger demand for higher-margin models, Group sales revenue rose significantly by 34.9 percent to EUR 129.7 (96.1) billion. The operating result was EUR 11.4 (first half of 2020 before special items: EUR –0.8) billion, far exceeding the previous record of EUR 10.0 billion (before special items) from the pre-crisis year 2019. The operating return on sales was therefore at a strong 8.8 percent. The higher earnings were mainly due to increased vehicle sales, improvements in the product mix and prices as well as positive effects from the valuation of raw material hedges. One-off restructuring expenses of EUR 0.7 billion at MAN had a negative impact. Work on ongoing fixed cost programs was vigorously pursued.
Earnings before and after tax also improved significantly to EUR 11.2 (–1.4) billion and EUR 8.5 (– 1.0) billion, respectively. Earnings per preferred share thus reached a solid level of EUR 16.20 (– 2.33).
Automotive Division: Strong cash performance improved further, net liquidity increases again Strong business and cost-cutting measures continued to have a positive impact on financial performance. The reported net cash flow in the Automotive Division was a very high EUR 10.2 (– 4.8) billion. Adjusted for mergers and acquisitions and cash outflows attributable to diesel, net cash flow amounted to a strong EUR 12.3 (–2.3) billion. It was thus around 80 percent higher than the level of the pre-crisis year 2019. Net liquidity in the Automotive Division also showed positive growth again and climbed to a very solid level of EUR 35.0 billion. It was EUR 29.6 billion at the end of the first quarter. The acquisition of Navistar and its financial impact are not included in the figures.
Research and development costs increased to EUR 7.7 (6.7) billion due to necessary future- oriented investments in new models and technologies as well as software. The R&D ratio nevertheless fell significantly to 7.2 percent in the current year, following a figure of 8.7 percent in the prior-year period that was due to pandemic-related low sales revenue. Improved investment discipline and greater use of Group synergies led to significant progress with capital expenditures.
These decreased by 8.5 percent over the prior-year period to EUR 3.8 (4.1) billion. Consequently, the capex ratio fell sharply to 3.5 (5.4) percent, putting it significantly below the level of the pre- crisis half year in 2019 (4.9 percent).
Outlook 2021 Based on the business performance in the first half of 2021, the Volkswagen Group is adjusting large parts of its forecast of core performance indicators.
The risk of bottlenecks and disruption in the supply of semiconductor components has intensified throughout the industry. The adverse impact expected as a result will tend to affect the second half of the year. Consequently, the Group is lowering its forecast for deliveries to customers and assumes that – provided the Covid-19 pandemic is contained successfully – in 2021 they will be noticeably up on the previous year amid continued challenging market conditions. Challenges will arise particularly from the economic situation, the increasing intensity of competition, volatile commodity and foreign exchange markets, securing supply chains and more stringent emissions- related requirements. Sales revenue of the Volkswagen Group in 2021 is expected to be significantly higher than the prior-year figure. In terms of the operating result, the Group anticipates an operating return on sales between 6.0 and 7.5 percent in 2021.
In the Automotive Division, net cash flow is expected much stronger than prior year due to lower cash outflows from diesel and significantly higher effects from mergers and acquisitions. This will lead to a very strong increase in net liquidity. The plans are based on the Volkswagen Group’s current structures. The acquisition of all outstanding shares of Navistar International Corporation and the resulting effects on the results of operations, financial position and net assets have not been taken into account in the Volkswagen Group’s forecast.
VOLKSWAGEN GROUP
Q 2
H 1
2021
2020
%
2021
2020
%
Volume Data1 in thousands
Deliveries to customers (units)
2,546
1,887
+ 34.9
4,978
3,893
+ 27.9
Vehicle sales (units)
2,326
1,799
+ 29.3
4,660
3,736
+ 24.7
Production (units)
2,194
1,665
+ 31.7
4,512
3,662
+ 23.2
Employees (on June 30, 2021/Dec. 31, 2020)
660.0
662.6
–0.4
Financial Data (IFRSs), €million
Sales revenue
67,293
41,076
+ 63.8
129,669
96,131
+ 34.9
Operating result before special items
6,546
–2,394
x
11,358
–803
x
Operating return on sales before special items (%)
9.7
–5.8
8.8
–0.8
Special items
–
–
x
–
–687
x
Operating result
6,546
–2,394
x
11,358
–1,490
x
Operating return on sales (%)
9.7
–5.8
8.8
–1.5
Earnings before tax
6,690
–2,034
x
11,153
–1,352
x
Return on sales before tax (%)
9.9
–5.0
8.6
–1.4
Earnings after tax
5,040
–1,536
x
8,454
–1,019
x
Automotive Division2
Total research and development costs
3,774
3,132
+ 20.5
7,735
6,695
+ 15.5
R&D ratio (%)
6.8
9.7
7.2
8.7
Cash flows from operating activities
10,197
1,464
x
19,088
3,009
x
Cash flows from investing activities attributable to operating activities3
4,711
3,751
+ 25.6
8,897
7,815
+ 13.8
of which: capex
1,853
2,042
–9.3
3,777
4,130
–8.5
capex/sales revenue (%)
3.3
6.3
3.5
5.4
Net cash flow
5,486
–2,288
x
10,191
–4,806
x
Net liquidity at June 30
35,048
18,663
+ 87.8
Volume data including the unconsolidated Chinese joint These companies are accounted for using the equity method. Prior-year deliveries have been updated to reflect subsequent statistical trends.
Including allocation of consolidation adjustments between the Automotive and Financial Services
Excluding acquisition and disposal of equity investments: Q2 €456(– 547) million, H1 €7,359 (6,903)
