Audi cuts 2026 outlook on China weakness, price pressure

Oct 30 (Reuters) - Volkswagen's premium brand Audi cut its 2026 revenue and profitability guidance on Friday after worsening market conditions in China and continued pricing pressure across key markets hit its performance.

• Audi now expects an operating margin of 3% to 5%, down from its previous forecast of 5% to 7%, and revenue of €55 billion ($61.4 billion) to €59 billion, compared with its earlier guidance of €58 billion to €63 billion.

• CFO Juergen Rittersberger told a media call that details of commitments related to Audi's Georgia plant would be disclosed by the state, while ongoing talks with government representatives remain confidential.

• Rittersberger said Audi expects a significantly stronger fourth quarter.

• Parent company Volkswagen on Thursday posted its steepest quarterly loss in more than a decade in the third quarter.

• German carmakers have continued to lose ground in China, while Chinese rivals are gaining ground in Europe, using competitive pricing and advanced EV technology.

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(Reporting by Christina Amann and Amir Orusov, editing by Kirsti Knolle and Friederike Heine)