Porsche 2014 Annual Report Download - page 58

112 113 Annual Report Porsche AG 2014
RESULTS OF OPERATIONS
The PorscheAG group’s prot after tax increased by
262million euro from 1,939million euro in the corre-
sponding prior-year period to 2,201million euro in the
reporting period. The tax rate in the reporting period was
28percent (prior year: 30percent).
Group revenue of the PorscheAG group was 17,205mil-
lion euro in the reporting period (prior year: 14,326mil-
lion euro). In the past nancial year, the PorscheAG
group sold 187,208 vehicles. This corresponds to an
increase in unit sales of 21percent compared to the pri-
or year. The principal contribution to the growth in sales
volume and revenue was made by the new Macan model
with 48,569 vehicles sold. Sales of the Cayenne model
declined by 13,883 vehicles due to a change of model.
The cost of sales increased dependent on revenue to
12,885million euro (prior year: 10,139million euro)
which represents 75percent of revenue (prior year:
71percent). The reduction in the gross margin from
29percent to 25percent is mainly the result of the
changes in the product mix following the introduction of
the Macan model as well as increased expenses in the
area of research and development. The capitalization
rate for research and development costs amounts to
55percent (prior year: 52percent). The import duties
and consumption taxes incurred in the Chinese market
also contributed to the decline in the gross margin.
Distribution expenses rose from 1,075million euro to
1,257million euro due to the higher volume of sales.
Administrative expenses declined slightly from 792million
euro to 789million euro. Distribution expenses remained
with 7percent and administrative expenses with 5percent
unchanged in relation to revenue.
The personnel expenses across all functions of the
PorscheAG group increased from 1,865million euro to
2,165million euro. The average number of employees
during the year rose by 2,746 to 21,303. The increase
mainly results from the expansion of the number of
employees at the Leipzig plant.
Depreciation and amortization across all functions in-
creased to 1,878million euro compared to 1,415million
euro in the prior year. This mainly relates to the amorti-
zation of development costs and depreciation of tools
that are disclosed under other equipment, furniture and
xtures. Depreciation of leased assets also increased
signicantly.
Other operating income rose from 610million euro to
895million euro. The increase is mainly attributable to
increased income from the reversal of provisions and
accruals as well as higher income relating to forward
exchange transactions. Other operating expenses rose
from 351million euro to 450million euro. The increase
mainly reflects higher expenses in connection with
forward exchange transactions.
Operating prot amounts to 2,719million euro, an in-
crease of 140million euro in comparison to the previous
year.
The nancial result amounts to 341million euro (prior
year: 205million euro). This item includes income of
271million euro relating to the change in accounting for
the investment in Bertrandt AG using the equity method.
In contrast, an increase was recorded in the expens-
es from fair value measurement relating principally to
exchange rate and interest rate hedging transactions that
are not included in hedge accounting.
The healthy cost structure and the sustainably high
earnings power of the group are also reected in the key
performance indicators. The PorscheAG group achieved
an operating return on sales of 16percent in the past
nancial year (prior year: 18percent). The pre-tax return
on sales was 18percent (prior year: 19percent). The
return on capital, dened as the ratio of the operating
result after tax to the average invested assets of the
automotive division, amounts to 27percent (prior year:
30percent). The post-tax return on equity was 24per-
cent (prior year: 24percent).
Financial
Analysis
RESULTS OF OPERATIONS OF THE PORSCHE AG GROUP
FY 2014 FY 2013
€ million %€ million %
Revenue 17,205 100 14,326 100
Cost of sales – 12,885 – 75 – 10,139 – 71
Gross profit 4,320 25 4,187 29
Distribution expenses – 1,257 – 7 – 1,075 – 7
Administrative expenses – 789 – 5 – 792 – 5
Other operating income 895 6610 4
Other operating expenses – 450 – 3 – 351 – 3
Operating profit 2,719 16 2,579 18
Financial result 341 2205 1
Profit before tax 3,060 18 2,784 19
Income tax – 859 – 5 – 845 – 5
Profit after tax 2,201 13 1,939 14