Latest Automotive News

Subscribe in a reader

Porsche says full year profit more than triples

Email   small font medium font large font


Luxury sports car maker Porsche AG said Monday that its net profit for fiscal 2007 more than tripled with help from a revaluation of its 22 per cent stake in Volkswagen AG and strong results from its core business.

Porsche said it earned 4.24 billion euros ($6.18 billion) for the full year, up from 1.39 billion euros a year earlier. The revaluation resulted in a one-time gain of 520.80 million euros ($759.27 million).

Pretax profit for the year ended July 31 more than doubled to 5.86 billion euros ($8.54 billion) from 2.11 billion euros in the prior fiscal year.

The Stuttgart-based automaker said the earnings contribution of its core business improved compared with last year, excluding special factors such as a ``high three-digit million euro development expenditure'' for Porsche's fourth model series, the Panamera, and for the hybrid drivetrain of the Cayenne sport utility vehicle. Another factor was the weaker level of hedging rates versus the U.S. dollar.

Porsche said in September that sales for fiscal 2007 rose 3.4 per cent on the year to 7.4 billion euros ($10.79 billion), helped by a better model mix. Car sales for fiscal 2007 totaled 97,515 compared to 96,794 a year earlier, the company said at the time.

Porsche proposes to increase its dividend to 21.94 euros ($31.99) per common share from 8.94 euros last year and 22.00 euros ($32.07) per preferred share from 9.00 euros in fiscal 2006. This will raise the total dividend payment to 384 million euros ($559.8 million) for fiscal year 2007 after 157 million euros last year.

Shares in the Stuttgart-based company initially jumped on the news of the dividend, then plunged 8.52 per cent to 1,570 euros ($2,288.90) after the company announced it would suggest splitting the stock into 10 shares for each one now held at its next general annual meeting.

The meeting is scheduled for Jan. 25 in Stuttgart.


On the Net:

Receive the latest automotive news by email!

Enter your email address:

Related news
Thousands of Porsche workers will receive a 5,200 euros (US$7,350) bonus because of a strong increase in sales worldwide and an expected improvement in profits, the luxury sports car maker said Friday. The Stuttgart-based ...
Fiat SpA said Wednesday that net profit more than doubled in the third quarter, leading it to raise its full-year targets on a strong performance by its core auto division and good results ...
Automaker Volkswagen AG said Friday its third-quarter profit soared higher on improved sales in Asia, Europe and South America, along with lower costs for building cars. The Wolfsburg, Germany-based company, Europe's biggest car ...
FRANKFURT, Germany (AP) _ DaimlerChrysler AG said Wednesday its overall profit fell 14 per cent in the second quarter, but that profits rose from its Chrysler Group and the related financial services business ...
BERLIN (AP) _ Germany's financial regulators have approved automaker Porsche AG's takeover offer for Volkswagen AG, which it was obligated to make after acquiring more than 30 per cent in ...
MILAN (AP) _ Fiat SpA posted a fourth-quarter profit of 38 million euros ($46.3 million US) on Monday and said it had a net profit for the full year for the first ...
Japan's troubled Mitsubishi Motors on Monday reported a narrower net loss of 16.1 billion yen (US$137 million) for fiscal first-half, compared to the same period last year, helped by favourable ...
The end is in sight for work on the building site for the new museum for Porsche. At present, over 40 different companies with up to 250 tradesmen and specialists are at work ...

Best Investment Newsletter

- 46% in 2008

- invest in the best performing US stocks only and sell them when the uptrend is over

- very easy to follow, simple buy/sell signals

- no need to have investing or trading experience

Find More Now!

Porsche says full year profit more than triples
> © 2006-2017 except where otherwise noted