You might want to consider the honesty of Porsche executives when they say they’re dreading the company’s profit might take a hit in 2014 after you read this.
Volkswagen’s premium and luxury offerings – Audi, Bentley, Porsche and Lamborghini thoroughly outperform the passenger car on and – especially financially, off the street.
“Porsche is growing in every respect, from profitability to innovative power, right up to its motor portfolio,” said Martin Winterkorn, Volkswagen’s chief executive officer. It is fair to say that the Volkswagen Group has proven to be in great shape despite the difficult conditions,” Winterkorn added.
According to its annual profit report, Porsche achieved the massive 2.58 billion euros ($3.59 billion) operating profit in 2013 thanks in large to its huge margin on every car it sells. It’s around 18%, which means on average, for every car it sold, Porsche took home around $23,200!
And Bentley is not far behind – while Audi, which includes Lamborghini, posted a return of $5,200 at a 10% margin. Compare that to the usual 2.9 % – or $850 – for the usual Volkswagen, a Passat or a Jetta. Though, to reach their promised 10 million units goal for 2014, for sure they will need to move especially the latter out of their factories.
Via Bloomberg Businessweek
by Aurel Niculescu
) - Friday, March 14th, 2014 - filed under Industry
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