Porsche makes a record profit of 6.8 billion euros
TThe sports and off-road vehicle manufacturer has snot delivery problems Porsche increased significantly in the past year. At 6.8 billion euros, earnings before interest and taxes were 27.4 percent above the previous year’s figure, as the VW subsidiary announced on Monday. In the year of its IPO, the Stuttgart-based company increased sales by 13.6 percent to 37.6 billion euros.
“Under difficult conditions, we achieved by far the strongest result in the history of Porsche,” said Porsche and VW boss Oliver Blume. As already known, sales increased by 2.6 percent to 309,884 cars.
“Our success factors are the improved price positioning, the strong product mix, the increased group sales, exchange rate effects and our high cost discipline,” explained CFO Lutz Meschke. The IPO could release Porsche forces. “We can focus even more and pick up even more speed,” explained Meschke, who is also Deputy CEO. He announced that Porsche will strengthen itself in the key areas of software and battery technology.
Shareholders share in the success
Porsche is also optimistic about the current year. In terms of sales, the company is aiming for a corridor between 40 and 42 billion euros. And in terms of the operating return on sales – i.e. the share of profit in current business in sales – the company is still heading towards its proclaimed target of 20 percent. In 2022, the value had risen from 16 to 18 percent.
The shareholders should have a share in the good business. For 2022, the Executive Board proposes a distribution of 911 million euros. Plus a premium of 5 million euros for the preference shares, the total amount is 916 million euros. This corresponds to a dividend of EUR 1.00 per ordinary share and EUR 1.01 per preference share.
The VW Group had taken Porsche public in September and had grossed 9.1 billion euros through the listing of a quarter of the Porsche AG preferred shares. In addition, 25 percent plus one share of the voting stock of Porsche AG went to the VW parent company Porsche SE, which is controlled by the owner families Porsche and Piëch. In December, Porsche was promoted to the leading index Dax, replacing the sporting goods manufacturer Puma.