How does the hybrid system in the Audi A3 contribute to its fuel efficiency?

I've heard that the Audi A3 has a hybrid system, but I don't understand how it helps with fuel efficiency. Can you give a brief explanation?

The Audi A3's hybrid system utilizes regenerative braking, which captures energy that would have been lost during braking and converts it to electricity to power the car. This reduces the strain on the engine and improves fuel efficiency.

The electric motor in the Audi A3's hybrid system provides additional torque, allowing the car to accelerate more efficiently and use less fuel.