Porsche 2009 Annual Report Download - page 58

Operating result of
significant equity investments
The following statements relate to the ongo-
ing operating business of the Porsche Zwischenhold-
ing GmbH group, which comprises Porsche AG and its
subsidiaries (Porsche AG group) and the Volkswagen
group in the reporting period. Effects from inclusion in
the consolidated financial statements of Porsche SE,
i.e. particularly relating to amortization of the hidden
reserves and liabilities identified in the course of the
purchase price allocations are not taken into consid-
eration.
In the period from 1 August 2009 to 31 July
2010, the Porsche Zwischenholding GmbH group sold
81,850 vehicles. Revenue increased by 17.9 percent
to 7,792 million euro. The operating result of the Por-
sche Zwischenholding GmbH group for this period
comes to 1,185 million euro and return on sales
reached a double-digit figure.
The Volkswagen group sold 3,302,144 vehi-
cles in the period from 1 July to 31 December 2009.
With revenue of 53,985 million euro, the operating
result came to 616 million euro for that period. Be-
tween 1 January and 30 June 2010, the Volkswagen
group sold 3,566,121 vehicles. With revenue of
61,809 million euro in this period, driven by higher
volumes and foreign exchange effects, the operating
result came to 2,841 million euro.
Overall statement on the economic situation
of the Porsche SE group
Due to the corporate restructuring performed
in the fiscal year 2009/10 and described above, Por-
sche SE no longer has any vehicle operations. Since
deconsolidation of the Porsche Zwischenholding
GmbH group and the Volkswagen group, Porsche SE
has essentially been acting as a holding company for
its investments in Porsche Zwischenholding GmbH
and Volkswagen AG.
The restructuring measures gave rise to sig-
nificant non-recurring effects that considerably re-
strict comparability with the prior-year period.
After restructuring, the Porsche SE group’s
results of operations are impacted most by the re-
coverability and earnings contributions of the invest-
ments accounted for at equity in Porsche Zwischen-
holding GmbH and Volkswagen AG as well as the fi-
nance costs associated with the syndicated loan
agreement.
Accordingly, the material factors determining
net assets are the development of the carrying
amounts of investments held in Porsche Zwischen-
holding GmbH and Volkswagen AG accounted for at
equity and financial liabilities.
The financial position is determined by the
cash inflows from dividends paid by Volkswagen AG
and Porsche Zwischenholding GmbH. The cash out-
flows mostly concern interest payments and settle-
ments of loans.
58 Group management report