Porsche denies profitability-per-vehicle report
(autoinsidernews) - Porsche has officially refuted the claim by B&D Forecast that the German sports car maker averages $28,000 in profit on every vehicle it sells. Porsche said B&D Forecast's figure was derived by dividing the company's $2.7 billion profit, which includes one-time income not related to car sales, by the 96,794 vehicles sold in 2005.
The calculation is misleading because it does not take into account the extensive one-off and extraordinary effects which impacted the pre-tax result of the Porsche Group in the 2005/06 financial year and which have nothing to do with the original Porsche business, Porsche said in its official statement, reports Trend.
Porsche said that $263 million Euros of the pre-tax result is from its participation in Volkswagen AG, which is largely an accounting item and not a single Euro flows to the sports car manufacturer. Porsche also said its hedging transactions in connection with the VW participation earned the automaker a considerable three-figure amount in the millions, and the sale of CTS Fahrzeug-Dachsysteme earned the automaker over $100 million.
While Porsche didn't disclose exactly what profit is the result of its automotive operations, it's almost certain that Porsche is still the top automaker when it comes to profitability per vehicle.