Dr. Ing. h.c. F. Porsche AktiengesellschaftStuttgartHalbjahresfinanzbericht nach WpHG zum Geschäftsjahr vom 01.01.2024 bis zum 30.06.2024KEY FIGURESscrollen
1 Automotive operating profit before
depreciation/amortization and changes in value of property,
plant and equipment, capitalized development costs and
other intangible assets in the automotive segment.
INTERIM GROUP MANAGEMENT REPORTBUSINESS DEVELOPMENTAfter a slow start to the fiscal year 2024, the Porsche
AG Group improved its profitability in the first half of
2024. The renewal of the product portfolio and the economic
environment still continue to have an impact on the
half-year accounts.
In the first half of 2024, the Porsche AG Group recorded
a decline in both sales revenue and operating profit
compared to the prior-year period. Sales revenue decreased
from €20,431 million to €19,457 million.
Operating profit fell from €3,852 million to
€3,061 million. In the first half of 2024, the
operating return on sales of the Porsche AG Group was 15.7%
(prior year: 18.9%) and the automotive EBITDA margin was
24.1% (prior year: 25.6%).
The automotive net cash flow came to €1,117 million
(prior year: €2,217 million). The automotive net cash
flow margin stood at 6.3% (prior year: 11.7%).
Deliveries decreased by 6.8% to 155,945 vehicles in the
first half of 2024. The automotive BEV share stood at 5.9%
(prior year: 10.8%).
IMPORTANT EVENTSThe fiscal year of the largest model launch program in
the company's history began with the third model generation
of the Panamera, followed by the next generation of the
all-electric Taycan sports car. This model launch program
was continued with the presentation of the hybrid 911 and
the world premiere of the all-electric Macan. In the first
half of the year, these startups had an impact on unit
sales, inventories and research and development costs.
The start of electromobility was celebrated at the
Leipzig production site. The investment in the expansion of
the plant will enable gasoline, hybrid and all-electric
vehicles to be produced on one production line in the
future.
At Porsche AG's Annual General Meeting on June 7, 2024,
a resolution was passed on the appropriation of net
retained profit for the fiscal year 2023, resulting in a
distribution of €2.30 per ordinary share and
€2.31 per preferred share. The total distribution
therefore amounted to €2,100 million and was paid out
on June 12, 2024.
All ten shareholder representatives on the Supervisory
Board were unanimously re-elected for a further term of
office. At the constituent meeting of the Supervisory Board
following the Annual General Meeting, Dr. Wolfgang Porsche
was unanimously confirmed as Chairman of the Supervisory
Board and Jordana Vogiatzi as Deputy Chairwoman of the
Supervisory Board.
MACROECONOMIC AND SECTOR-SPECIFIC ENVIRONMENTDevelopment of global economyIn the first six months of the reporting year, the
global economy continued to recover at a similar pace to
the prior year. This trend was observed in both the
advanced economies and the emerging markets. Although
inflation rates are falling in many countries, they are
still relatively high which, coupled with the ongoing
restrictive monetary policy of major central banks, has
dampened economic growth in many countries.
Market development for the automotive segmentFrom January to June 2024, the volume of the global
passenger car market was up slightly on the comparative
figure for 2023, with the passenger car markets achieving
growth in all regions. The supply situation normalized
further and the affordability of vehicles improved in some
cases as a result of lower prices and increased sales
incentives.
In the first half of the year, the number of new
registrations of passenger cars on the German passenger car
market was up noticeably compared to the weak level of the
prior-year period. Although the change in incentives for
electric vehicles in the prior year had a dampening effect
on the development of new registrations, these increased
thanks to base effects as a result of relatively weak
figures in the prior year.
In Western Europe, the number of new registrations of
passenger cars rose slightly in the first half of the
reporting year 2024 compared to the prior year. Development
of the major markets for passenger cars in this region was
positive across the board.
In Central and Eastern Europe, the passenger car market
volume increased significantly in the reporting period. The
number of sales developed positively in the major markets
of Central Europe.
In the first six months of the fiscal year 2024, the
region North America excl. Mexico recorded a slight
increase in new registrations of passenger cars compared to
the prior-year period. This development was driven by the
market volume in the USA, where vehicle availability and
the affordability of new vehicles improved on average.
The passenger car market in China incl. Hong Kong grew
slightly in the first half of 2024 due to falling prices. A
negative trend in demand was observed in the luxury
segment.
Market development for the financial services segmentDemand for automotive financial services was high in the
first six months of 2024, although higher interest rates
put pressure on the demand for financial services in almost
all regions.
DELIVERIESAt the end of the first half of 2024, deliveries
1 of the Porsche AG Group had fallen by 6.8%
compared to the prior-year period. Overall, the sports car
manufacturer delivered 155,945 vehicles.
In the domestic market of Germany, the Porsche AG Group
increased its deliveries by 21.6% to 20,811 vehicles. In
Europe without Germany, deliveries grew by 5.6% to 38,611
vehicles. In the region North America excl. Mexico, the
number of deliveries decreased by 5.7% to 39,558 vehicles.
After customs-related delays in the delivery of some
vehicle models in the first quarter, the region was able to
catch up noticeably in the second quarter. In the region
China incl. Hong Kong, the Porsche AG Group delivered
29,551 vehicles, a decrease of 32.6% compared to the
prior-year period. The main reasons for this remain the
ongoing tense economic situation in the Chinese market and
the focus on value-based sales. In the sales region rest of
the world, 27,414 vehicles were handed over to customers.
This region is therefore on a par with the prior year (down
1.7%).
Deliveries by regionscrollen
2 Excl. Mexico
At 54,587 units, the Porsche Cayenne recorded the
highest number of deliveries in the first half of the year
(up 16.4%). The Porsche Macan was delivered to 39,167
customers (down 18.0%). This decrease is related to the
current model change. Deliveries of the 718 Boxster and 718
Cayman models of 11,886 were up 7.7%. With growth of 8.0%
compared to the prior-year period, deliveries of the
Porsche 911 totaled 28,212. The Panamera was delivered to
13,255 customers (down 24.5%). This decline can also be
explained by the current model change. The same applies to
the Taycan, with 8,838 deliveries to customers (down 50.9%)
in the first half of the year.
In the reporting period, the automotive BEV share, which
describes the proportion of purely battery-powered electric
vehicles, stood at 5.9% (prior year: 10.8%). The
year-on-year decline remains due to the discontinuation of
the current generation of the Taycan and the staggered
product launch of the next generation.
Deliveries of the Porsche AG Groupscrollen
RESEARCH AND DEVELOPMENTIn the first half of 2024, the Porsche AG Group spent
€1,665 million on research and development (R&D)
(prior year: €1,545 million). The R&D ratio
increased to 9.4% (prior year: 8.2%). In the first six
months of 2024, the Porsche AG Group recorded an increase
in both total research and development costs and R&D
costs recognized in the income statement compared to the
prior-year period. This was due to the renewal of the model
range and the transition period. Capitalized development
costs stood at €1,123 million (prior year: €1,201
million), while the capitalization ratio fell to 67.5%
(prior year: 77.7%). The decrease is due to a change in the
project mix and different stages of capitalization for
current vehicle projects. Research and development costs
recognized in the income statement stood at €1,057
million (prior year: €770 million). Amortization of
capitalized development costs increased to €516
million (prior year: €427 million) due to the
amortization in connection with the renewal of the model
range. The total spend on research and development related
to the automotive segment.
Automotive research and development costsscrollen
1 Capitalized development costs in relation to
total research and development costs.
RESULTS OF OPERATIONS, FINANCIAL POSITION AND NET ASSETSRESULTS OF OPERATIONSThe Porsche AG Group generated sales revenue of
€19,457 million in the first half of 2024. This is a
decrease of 4.8% on the prior-year period (prior year:
€20,431 million) and is largely due to lower vehicle
sales coupled with positive price, product mix and currency
effects.
In the first six months of 2024, the Porsche AG Group
sold 151,944 vehicles. This is a 11.0% decrease in unit
sales compared to the prior-year period (prior year:
170,802 vehicles).
The Cayenne is the bestselling series with 52,769
vehicles sold, followed by the Macan with 36,600 vehicles
sold. The largest relative growth was recorded for the
Cayenne (up 6,370 vehicles; up 13.7%) and the 718
Boxster/Cayman (up 252 vehicles; up 2.2%). Declines were
recorded for the Taycan (down 9,827 vehicles; down 51.7%),
Macan (down 10,242 vehicles; down 21.9%), Panamera (down
3,901 vehicles; down 20.5%) and 911 (down 1,510 vehicles;
down 5.4%), which are related to the current model changes.
In regional terms, North America excl. Mexico is the
largest market with a total of 40,513 vehicles sold, a
10.7% decrease. The regions Germany with 16,741 vehicles
(up 8.7%) and Europe excluding Germany with 38,960 vehicles
(up 5.9%) recorded growth. The region China incl. Hong
Kong, on the other hand, reported a decrease of 30.5% to
30,020 vehicles, which continues to reflect the challenging
market conditions and the focus on value-based sales in
this region. A decline of 14.5% to 25,710 vehicles was also
recorded in the region rest of the world.
Vehicle sales of the Porsche AG Groupscrollen
The cost of sales decreased by €270 million to
€14,251 million (prior year: €14,522 million), an
increase in proportion to sales revenue (73.2%; prior year:
71.1%). This is mainly due to higher cost of materials as
well as higher development costs recognized in the income
statement and start-up costs in connection with the renewal
of the model range.
Gross profit decreased accordingly by 11.9% to
€5,206 million (prior year: €5,909 million),
therefore resulting in a gross margin of 26.8% (prior year:
28.9%).
Distribution expenses increased by €86 million to
€1,379 million, an increase in proportion to sales
revenue of 7.1% (prior year: 6.3%). The increase is due,
among other things, to the digitalization strategy and
higher costs for strengthening customer-oriented services.
Administrative expenses increased from €875 million to
€952 million and, in proportion to sales revenue,
remained virtually constant at 4.9% (prior year: 4.3%).
Net other operating result increased by €76 million
to €187 million (prior year: €111 million).
Condensed income statement of the Porsche AG Groupscrollen
Accordingly, the operating profit of the Porsche AG
Group decreased by €791 million to €3,061 million
in the first half of 2024 (prior year: €3,852
million). The operating return on sales of the Porsche AG
Group stood at 15.7% (prior year: 18.9%).
In the first six months of 2024, the financial result
decreased to €33 million (prior year: €130
million). This decrease is mainly due to changes in
interest rates used to measure provisions and the result
from equity-accounted investments.
Due to the lower profit before tax compared to the
prior-year period, income tax also fell to €942
million (prior year: €1,215 million). The tax rate for
the Porsche AG Group was 30.4% at the end of the first half
of the year (prior year: 30.5%).
Profit after tax decreased by €615 million to
€2,153 million in the current reporting period.
Earnings per ordinary share came to €2.36 (prior
year: €3.03) and per preferred share to €2.37
(prior year: €3.04).
Automotive results of operationsAutomotive operating profit of €2,904 million in
the first half of 2024 fell €750 million short of the
figure of the prior-year period (prior year: €3,653
million). With automotive sales revenue of €17,695
million, automotive return on sales stood at 16.4% (prior
year: 19.3%). Automotive EBITDA decreased by €561
million to €4,268 million (prior year: €4,829
million) and the automotive EBITDA margin stood at 24.1%
(prior year: 25.6%).
Automotive EBITDA marginscrollen
Financial services results of operationsFinancial services sales revenue increased to
€1,894 million (prior year: €1,652 million).
Financial services operating profit decreased to €129
million in the first half of 2024 (prior year: €174
million). The decrease was mainly due to the measurement of
interest rate hedges and of derivatives outside of hedge
accounting in the course of regular refinancing activities
as well as higher credit risk cost. Furthermore, there were
fewer reversals of provisions for credit and residual value
risks compared to the prior-year period. As a result,
financial services return on sales decreased to 6.8% (prior
year: 10.5%).
Demand for the products and services of the financial
services segment, which is calculated as the ratio of
leased or financed new vehicles to the total number of
deliveries in the markets of the segment (penetration
rate), stood at 35.6% as of June 30, 2024 (prior year:
40.8%). While demand for financial services products
remained stable in the region North America excl. Mexico
compared to the prior-year period, demand developed
negatively in the regions Germany, Europe without Germany,
China incl. Hong Kong and rest of the world.
The overall number of contracts for financing and
leasing of the Porsche AG Group, including its cooperation
partners, decreased by 1.6% to 339 thousand contracts as of
June 30, 2024 (December 31, 2023: 345 thousand contracts).
FINANCIAL POSITIONIn the first half of 2024, cash flows from operating
activities of the Porsche AG Group amounted to €3,113
million, down on the prior-year period (prior year:
€3,932 million). This decrease was due to the decline
in profit before tax and to the outflows from working
capital. Cash outflows for income tax payments amounted to
€888 million (prior year: cash outflows of €1,018
million) due to the corresponding reduction in prepayments.
Cash outflows in working capital of €1,194 million
(prior year: cash outflows of €600 million) comprised
the outflows in the automotive segment as well as outflows
in the financial services segment relating to changes in
leased assets of €628 million (prior year: cash
outflows of €638 million) and receivables from
financial services of €63 million (prior year: cash
outflows of €271 million).
Cash outflows from investing activities came to
€2,167 million (prior year: cash outflows of
€2,339 million). In contrast to the slight increase in
cash outflows from investing activities of current
operations in the automotive segment, the change in
investments in securities and time deposits and loans
resulted in cash inflows of €122 million (prior year:
cash outflows of €153 million).
Cash outflows from financing activities of €2,162
million (prior year: cash outflows of €3,646 million)
largely related to the dividend payment of €2,100
million (prior year: €3,979 million). In addition,
there were cash outflows in the change in other financing
activities of €62 million (prior year: cash inflows of
€334 million).
Automotive financial positionAutomotive cash flows from operating activities
decreased by €1,005 million to €3,387 million
(prior year: €4,392 million).
In the first six months of 2024, cash outflows in
automotive working capital had an effect of €383
million (prior year: cash inflows of €346 million).
The outflows were largely attributable to the change in
inventories and came to €793 million (prior year: cash
outflows of €1,146 million). Among other things, the
market launch of the Macan and ongoing challenges in the
supply chain led to this change at the end of the first
half of the year. The Porsche AG Group recorded cash
outflows from the change in receivables of €52 million
(prior year: cash outflows of €428 million). The lower
cash inflows from the change in liabilities of €317
million compared to the prior year (prior year: cash
inflows of €1,577 million) related to the changes in
trade payables. The change in other provisions of €145
million (prior year: cash inflows of €343 million) had
a positive impact on the automotive working capital.
Compared to the prior-year period, cash outflows from
the investing activities of current operations increased
from €2,175 million to €2,270 million. At
€850 million (prior year: cash outflows of €866
million), automotive capital expenditure remained at the
prior-year level and capitalized development costs were
slightly lower compared to the prioryear period. Cash
outflows from changes in equity investments increased to
€303 million (prior year: cash outflows of €112
million) primarily due to investments in strategic
partnerships in connection with the digitalization
strategy.
As of the end of the first half of 2024, the automotive
net cash flow decreased to €1,117 million (prior year:
€2,217 million). The decrease in the automotive net
cash flow margin to 6.3% (prior year: 11.7%) was mainly due
to operating activities. The lower profit as well as the
ongoing temporary effects associated with the change in
inventories, related to the market launches, led to a
decrease in the automotive net cash flow margin.
Automotive net cash flowscrollen
1 Including cash received from disposal of
intangible assets and property, plant and equipment.
As of June 30, 2024, automotive net liquidity decreased
by €1,114 million to €6,101 million compared to
the end of the fiscal year 2023, mainly due to the dividend
payment. This was offset by cash inflows from the
automotive net cash flow.
In the first six months of 2024, cash and cash
equivalents at the end of the period decreased by €961
million to €5,177 million (December 31, 2023:
€6,139 million). In the same period, securities and
time deposits as well as loans decreased by €165
million to €3,557 million. By contrast, automotive
third-party borrowings remained unchanged at €2,634
million (December 31, 2023: €2,646 million).
Automotive net liquidityscrollen
Condensed cash flows of the Porsche AG Groupscrollen
1 Offset against reversals of impairment losses.
NET ASSETSIn the first half of 2024, the Porsche AG Group reported
total assets of €51,467 million, that is a 2.0%
increase compared to December 31, 2023.
In connection with the agreement to sell three Russian
subsidiaries, assets of €6 million and liabilities of
€6 million continued to be disclosed as held for sale
pursuant to IFRS 5 in separate lines of the statement of
financial position as of June 30, 2024.
Intangible assets increased from €8,554 million to
€9,110 million. The increase was largely attributable
to capitalized development costs, with the largest addition
relating to the Cayenne series.
Property, plant and equipment increased by €175
million to €9,570 million compared to 2023. The
increase primarily resulted from additions to furniture and
fixtures as well as advance payments made and assets under
construction, while plant and machinery as well as land and
buildings decreased. Leased assets increased by €301
million to €4,491 million compared to 2023. This item
includes vehicles leased to customers under operating
leases.
Non-current and current financial services receivables
increased from €6,345 million to €6,445 million.
These mainly include receivables from finance leases as
well as receivables from customer and dealer financing. The
number of financing and leasing contracts increased in the
first half of 2024.
Equity-accounted investments, other equity investments,
other financial assets, other receivables and deferred tax
assets increased from €3,592 million in the prior year
to €3,934 million.
Equity-accounted investments decreased mainly due to
subsequent measurement from €651 million to €625
million.
The increase in other equity investments of €280
million was largely spread across the acquisition of shares
in new investments.
In total, non-current assets increased by €1,441
million to €31,848 million. Non-current assets
expressed as a percentage of total assets amounted to 61.9%
(December 31, 2023: 60.3%).
Compared to December 31, 2023, inventories increased
from €5,947 million to €6,791 million. The
increase is due in particular to the market launch of the
new Macan, while the other model series are developing in
line with the product life cycle in the ordinary course of
business. In addition, ongoing challenges in the supply
chain had an impact on inventories.
Current other financial assets and other receivables
decreased by €194 million to €4,344 million. The
reduction mainly related to receivables from loans, VAT
receivables and trade receivables. This was counterbalanced
by other receivables, prepaid expenses and marking
derivative financial instruments to market.
Condensed statement of financial position of the Porsche AG Group as of June 30, 2024Assetsscrollen
Equity and liabilitiesscrollen
Securities and time deposits as well as cash and cash
equivalents decreased by €1,161 million to €6,485
million compared to 2023.
As of June 30, 2024, the equity of the Porsche AG Group
increased by €104 million to €21,772 million
compared to the figure from December 31, 2023. Profit after
tax as well as other comprehensive income, net of tax,
caused equity to increase by €2,195 million. Within
other comprehensive income, net of tax, the increase was
mainly due to the measurement of derivative financial
instruments through other comprehensive income, while
effects of currency translation and the remeasurement of
pension plans, net of tax, led to a decrease.
Dividend payments of €2,100 million, which were
resolved by the Annual General Meeting of Porsche AG on
June 7, 2024, caused equity to decrease.
Pension provisions decreased by €127 million in the
first six months of 2024 compared to December 31, 2023. The
decrease is attributable to the increase in the discount
rate for domestic pension obligations from 3.2% to 3.5%.
Furthermore, non-current other liabilities increased by
€236 million to €4,596 million compared to
December 31, 2023. The increase largely resulted from
deferred tax liabilities. In total, non-current liabilities
increased by €96 million to €15,308 million.
Non-current liabilities expressed as a percentage of total
capital amount to 29.7% (December 31, 2023: 30.2%).
Non-current and current financial liabilities increased
from €10,417 million to €10,597 million. The
increase mainly related to the refinancing of the financial
services business through asset-backed securities.
Trade payables increased from €3,490 million to
€3,883 million compared to year-end 2023 in the
ordinary course of business.
Current other liabilities increased by €234 million
to €6,426 million compared to December 31, 2023.
Overall, current liabilities increased by €819 million
to €14,387 million. Current liabilities as a
percentage of total capital amounted to 28.0% (December 31,
2023: 26.9%).
As of June 30, 2024, there were unrecognized contingent
liabilities of €65 million, which have not changed
significantly compared to the prior year (December 31,
2023: €64 million).
Unrecognized other financial obligations increased by
€440 million to €5,832 million and essentially
comprised obligations from development, supply and service
agreements.
REPORT ON EXPECTED DEVELOPMENTS, RISKS AND OPPORTUNITIESREPORT ON EXPECTED DEVELOPMENTSThe assumptions used in preparing the forecast report
are based, inter alia, on current estimates by external
institutions; these include economic research institutes,
banks, multinational organizations and consultancy firms.
The forecast, which extends until the end of the fiscal
year 2024 in line with the group's internal control system,
contains forward-looking statements based on the estimates
and expectations of the Porsche AG Group. These can be
influenced by unforeseeable events, as a result of which
the actual business development may deviate, both
positively and negatively, from the expectations described
below.
↗ Annual and sustainability report 2023 - Report on expected developmentsThe Porsche AG Group continues to face a highly
challenging macroeconomic environment and various
geopolitical tensions and conflicts. In particular, the
situation in the Chinese market has continued to develop
negatively. The numerous product launches in 2024 and
continued high cost levels, particularly on the supplier
side, also pose considerable challenges. At the same time,
the Porsche AG Group is investing heavily in its
development and innovations for future products and
services as well as in the brand.
In addition, various suppliers to the Porsche AG Group
are currently experiencing severe supply shortage for
special aluminum alloys. The supply shortage is the result
of flooding at a production plant of an important European
aluminum supplier, which has informed its customers in
writing of the occurrence of a force majeure event. This
affects aluminum body components used in all vehicle series
manufactured by the Porsche AG Group. Despite immediate
countermeasures, it is becoming apparent that the impending
supply shortage will lead to production disruptions. These
disruptions are expected to last several weeks and may
possibly lead to production shutdowns for one or more
vehicle series. It is expected that it will not be possible
to fully make up the resulting delays in the production and
delivery of vehicles during the remainder of current fiscal
year.
Against this backdrop, the Porsche AG Group is adjusting
the outlook for the fiscal year 2024 published in the
combined management report as follows:
Outlook of the Porsche AG Groupscrollen
REPORT ON RISKS AND OPPORTUNITIESThe Porsche AG Group presented its risks and
opportunities in the ↗ Annual and sustainability
report 2023 - Report on risks and opportunities. The
overall conclusion that, based on the information and
assessments currently available, the risk of a development
jeopardizing the company's ability to continue as a going
concern materializing is sufficiently improbable in the
fiscal year 2024, remains unchanged.
In the first half of 2024, there were also significant
changes at the level of the individual risk within the
following risk categories. While operating risks are now
classified as high due to increases at the level of the
individual risk as of the end of the first half of the
year, the classification of all other risk categories
remained unchanged.
In principle, the risk categories that have already been
presented and which will be examined in more detail below
also hold opportunities. Such opportunities may arise for
the Porsche AG Group if the actual effects are better than
the underlying planning assumptions or anticipated
forecasts, or if additional positive effects can or do
arise in the aforementioned categories - in relation to the
value chain.
Classification of risks in the Porsche AG Groupscrollen
The classification of the level of risk in the risk categories is based on the following value limits:scrollen
Strategic risks and opportunitiesThe risks presented in the Annual and Sustainability
Report 2023 due to an increasing regulatory environment
increased as a result of additional risks in the region
China in connection with stricter emissions and safety
standards.
Supply risks and opportunitiesIn the first half of 2024, there were significant
changes with regard to supply chain problems.
Extreme weather conditions have created new significant
risks. Should the countermeasures taken not be effective,
this may lead to additional problems ranging from further
production disruptions through to larger production
shutdowns.
The risks in connection with the timely provision of
software in the required quality increased. In the long
term, these risks are to be countered through the ongoing
development of Porsche's software strategy. There are also
increasing risks associated with compliance with applicable
license terms as the proportion of open source software
continues to grow. Continuing measures to secure
semiconductors have reduced the risks associated with the
uncertainty of supply. Due to market-driven uncertainties,
the supply of semiconductors will nevertheless remain a
risk factor for the Porsche AG Group in the future.
The persisting risks associated with geopolitical
developments relate increasingly to the ongoing trade
conflict between China and the USA and the increasing
tensions in Asia. In addition to supply, the Porsche AG
Group is confronted with this primarily due to the high
share of sales revenue generated in those regions. On the
other hand, the negative impact of the conflict in the
Middle East was reduced, particularly thanks to increased
supply chain security.
Sales risks and opportunitiesIn the first half of 2024, the market and competitive
risk in China, including a possible increase in tariff
barriers, remains the highest sales risk.
Depending on the outcome of the US presidential
election, potential import tariff increases by the USA and
the threat of trade restrictions in subsequent years could
have a negative impact on the Porsche AG Group's sales.
The transformation process towards electromobility also
entails risks related to the uncertain market acceptance
and the development of the global regulatory policies and
requirements.
INTERIM CONSOLIDATED FINANCIAL REPORT (CONDENSED)CONSOLIDATED
INCOME STATEMENT
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| € million | H1 2024 | H1 2023 |
| Sales revenue | 19,457 | 20,431 |
| Cost of sales | -14,251 | -14,522 |
| Gross profit | 5,206 | 5,909 |
| Distribution expenses | -1,379 | -1,293 |
| Administrative expenses | -952 | -875 |
| Net other operating result | 187 | 111 |
| Operating profit | 3,061 | 3,852 |
| Share of profit or loss of equity-accounted investments | -27 | 7 |
| Interest result and other financial result | 60 | 123 |
| Financial result | 33 | 130 |
| Profit before tax | 3,095 | 3,982 |
| Income tax expense | -942 | -1,215 |
| Profit after tax | 2,153 | 2,768 |
| thereof profit attributable to shareholders | 2,153 | 2,768 |
| thereof profit attributable to non-controlling interests | -1 | 0 |
| Basic/diluted earnings per ordinary share in € | 2.36 | 3.03 |
| Basic/diluted earnings per preferred share in € | 2.37 | 3.04 |
| € million | H1 2024 | H1 2023 |
| Profit after tax | 2,153 | 2,768 |
| Pension plan remeasurements recognized in other comprehensive income | ||
| Pension plan remeasurements recognized in other comprehensive income, before tax | 267 | -86 |
| Deferred taxes relating to pension plan remeasurements recognized in other comprehensive income | -80 | 27 |
| Pension plan remeasurements recognized in other comprehensive income, net of tax | 187 | -59 |
| Fair value valuation of equity instruments that will not be reclassified to profit or loss | ||
| Fair value valuation of equity instruments that will not be reclassified to profit or loss, before tax | 7 | 8 |
| Deferred taxes relating
to fair value valuation of equity instruments that
will not be reclassified to
profit or loss |
- | - |
| Fair value valuation of equity instruments that will not be reclassified to profit or loss, net of tax | 7 | 8 |
| Share of other
comprehensive income of equity-accounted investments
that will not be reclassified to
profit or loss, net of tax |
- | - |
| Items that will not be reclassified to profit or loss | 194 | -51 |
| Foreign exchange differences | ||
| Unrealized currency translation gains/losses | 97 | -150 |
| Transferred to profit or loss | - | - |
| Exchange differences on translating foreign operations, before tax | 97 | -150 |
| Deferred taxes relating to exchange differences on translating foreign operations | - | - |
| Exchange differences on translating foreign operations, net of tax | 97 | -150 |
| Hedging | ||
| Fair value changes recognized in other comprehensive income (OCI I) | -177 | 1,076 |
| Transferred to profit or loss (OCI I) | -208 | 29 |
| Cash flow hedges (OCI I), before tax | -385 | 1,105 |
| Deferred taxes relating to cash flow hedges (OCI I) | 121 | -336 |
| Cash flow hedges (OCI I), net of tax | -264 | 769 |
| Fair value changes recognized in other comprehensive income (OCI II) | -241 | -152 |
| Transferred to profit or loss (OCI II) | 267 | 233 |
| Cash flow hedges (OCI II), before tax | 26 | 81 |
| Deferred taxes relating to cash flow hedges (OCI II) | -11 | -24 |
| Cash flow hedges (OCI II), before tax | 15 | 56 |
| Share of other
comprehensive income of equity-accounted investments
that may be reclassified
subsequently to profit or loss, net of tax |
- | - |
| Items that may be reclassified subsequently to profit or loss | -152 | 676 |
| Other comprehensive income, before tax | 12 | 958 |
| Deferred taxes relating to other comprehensive income | 30 | -333 |
| Other comprehensive income, net of tax | 42 | 625 |
| Total comprehensive income | 2,195 | 3,392 |
| thereof profit attributable to shareholders | 2,196 | 3,393 |
| thereof profit attributable to non-controlling interests | -1 | 0 |
| € million | Jun. 30, 2024 | Dec. 31, 2023 |
| Non-current assets | 31,848 | 30,407 |
| Intangible assets | 9,110 | 8,554 |
| Property, plant and equipment | 9,570 | 9,394 |
| Leased assets | 4,491 | 4,190 |
| Financial services receivables | 4,744 | 4,676 |
| Equity-accounted investments, other equity investments, other financial assets, other receivables and deferred tax assets | 3,934 | 3,592 |
| Current assets | 19,618 | 20,040 |
| Inventories | 6,791 | 5,947 |
| Financial services receivables | 1,701 | 1,669 |
| Other financial assets and other receivables | 4,344 | 4,537 |
| Tax receivables | 292 | 235 |
| Securities and time deposits | 1,895 | 1,826 |
| Cash and cash equivalents | 4,590 | 5,820 |
| Assets held for sale | 6 | 6 |
| Total assets | 51,467 | 50,447 |
| € million | Jun. 30, 2024 | Dec. 31, 2023 |
| Equity | 21,772 | 21,668 |
| Equity attributable to Porsche AG shareholders | 21,763 | 21,667 |
| Non-controlling interests | 9 | 1 |
| Non-current liabilities | 15,308 | 15,211 |
| Provisions for pensions and similar obligations | 4,187 | 4,315 |
| Financial liabilities | 6,525 | 6,537 |
| Other liabilities | 4,596 | 4,360 |
| Current liabilities | 14,387 | 13,567 |
| Financial liabilities | 4,072 | 3,880 |
| Trade payables | 3,883 | 3,490 |
| Other liabilities | 6,426 | 6,192 |
| Liabilities associated with assets held for sale | 6 | 5 |
| Total equity and liabilities | 51,467 | 50,447 |
| Other reserves | ||||||
| Hedging | ||||||
| € million | Subscribed
capital |
Capital
reserves |
Retained
earnings |
Currency
translation |
Cash flow
hedges (OCI I) |
Deferred costs of
hedging (OCI II) |
| Balance at Jan. 1, 2023 | 911 | 3,822 | 12,387 | 454 | 238 | -804 |
| Changes in accounting policy to reflect IFRS 17 | 0 | 0 | 8 | 0 | 0 | 0 |
| Balance after adjustment at Jan. 1, 2023 | 911 | 3,822 | 12,395 | 454 | 238 | -804 |
| Profit after tax | - | - | 2,768 | - | - | - |
| Other comprehensive income, net of tax | - | - | -59 | -150 | 769 | 56 |
| Total comprehensive income | - | - | 2,710 | -150 | 769 | 56 |
| Disposal of equity instruments | - | - | 17 | - | - | - |
| Profit transfer and dividends payment | - | - | -916 | - | - | - |
| Capital transactions involving a change in ownership interest | - | - | -72 | 0 | - | - |
| Other changes | - | - | 0 | 0 | - | - |
| Balance at Jun. 30, 2023 | 911 | 3,822 | 14,135 | 303 | 1,008 | -748 |
| Balance at Jan. 1, 2024 | 911 | 3,822 | 16,305 | 237 | 938 | -537 |
| Profit after tax | - | - | 2,153 | - | - | - |
| Other comprehensive income, net of tax | - | - | 187 | 97 | -264 | 15 |
| Total comprehensive income | 2,341 | 97 | -264 | 15 | ||
| Disposal of equity instruments | - | - | 1 | - | - | - |
| Dividend payments 1 | - | - | -2,100 | - | - | - |
| Other changes | - | - | 0 | 0 | - | - |
| Balance at Jun. 30, 2024 | 911 | 3,822 | 16,547 | 334 | 674 | -522 |
| Other reserves | |||||
| € million | Equity and debt
instruments |
Equity-accounted
investments |
Equity before
non-controlling interests |
Non-controlling
interests |
Total equity |
| Balance at Jan. 1, 2023 | 11 | 0 | 17,019 | 8 | 17,027 |
| Changes in accounting policy to reflect IFRS 17 | 0 | 0 | 8 | 0 | 8 |
| Balance after adjustment at Jan. 1, 2023 | 11 | 0 | 17,027 | 8 | 17,035 |
| Profit after tax | - | - | 2,768 | 0 | 2,768 |
| Other comprehensive income, net of tax | 8 | - | 625 | 0 | 625 |
| Total comprehensive income | 8 | - | 3,393 | 0 | 3,392 |
| Disposal of equity instruments | -17 | - | - | - | - |
| Profit transfer and dividends payment | - | - | -916 | - | -916 |
| Capital transactions involving a change in ownership interest | - | - | -72 | -8 | -80 |
| Other changes | - | - | 0 | 1 | 1 |
| Balance at Jun. 30, 2023 | 1 | 0 | 19,432 | 1 | 19,433 |
| Balance at Jan. 1, 2024 | -9 | 1 | 21,667 | 1 | 21,668 |
| Profit after tax | - | - | 2,153 | -1 | 2,153 |
| Other comprehensive income, net of tax | 7 | - | 42 | 0 | 42 |
| Total comprehensive income | 7 | 2,196 | -1 | 2,195 | |
| Disposal of equity instruments | -1 | - | - | - | - |
| Dividend payments 1 | - | - | -2,100 | -1 | -2,101 |
| Other changes | - | - | 0 | 10 | 10 |
| Balance at Jun. 30, 2024 | -2 | 1 | 21,763 | 9 | 21,772 |
1 Please see explanations in section ^ 8. EQUITY
| € million | H1 2024 | H1 2023 |
| Cash and cash equivalents at beginning of period | 5,826 | 3,745 |
| Profit before tax | 3,095 | 3,982 |
| Income taxes paid | -888 | -1,018 |
| Depreciation and amortization 1 | 1,840 | 1,570 |
| Gain/loss on disposal of non-current assets | 2 | -9 |
| Share of profit or loss of equity-accounted investments | 41 | 5 |
| Other non-cash expense/income | 77 | -122 |
| Change in inventories | -795 | -1,151 |
| Change in receivables (excluding financial services) | -204 | -477 |
| Change in liabilities (excluding financial liabilities) | 361 | 1,606 |
| Change in pension provisions | 139 | 123 |
| Change in other provisions | 136 | 331 |
| Change in leased assets | -628 | -638 |
| Change in financial services receivables | -63 | -271 |
| Cash flows from operating activities | 3,113 | 3,932 |
| Investments in
intangible assets (excluding capitalized development
costs) and property, plant and
equipment |
-869 | -876 |
| Additions to capitalized development costs | -1,123 | -1,201 |
| Change in equity investments | -303 | -113 |
| Cash received from disposal of intangible assets and property, plant and equipment | 6 | 4 |
| Change in investments in securities and time deposits as well as loans | 122 | -153 |
| Cash flows from investing activities | -2,167 | -2,339 |
| Profit transfer and dividends | -2,101 | -3,979 |
| Capital transactions with non-controlling interests | -8 | |
| Proceeds from issuance of bonds | 2,672 | 2,692 |
| Repayments of bonds | -2,651 | -2,186 |
| Changes in other financial liabilities | -23 | -109 |
| Repayments of lease liabilities | -60 | -56 |
| Cash flows from financing activities | -2,162 | -3,646 |
| Effect of exchange rate changes on cash and cash equivalents | -13 | -28 |
| Net change in cash and cash equivalents | -1,230 | -2,081 |
| Cash and cash equivalents at end of period | 4,596 | 1,664 |
1 Offset against reversals of impairment losses.
The statement of cash flows is explained in note →
12. STATEMENT OF CASH FLOWS.
Pursuant to Regulation (EC) No. 1606/2002 of the
European Parliament and of the Council, Dr. Ing. h.c. F.
Porsche Aktiengesellschaft ("Porsche AG") has prepared its
consolidated financial statements for the fiscal year 2023
in accordance with the international accounting standards
adopted by the European Union, the International Financial
Reporting Standards (IFRSs). Accordingly, these interim
consolidated financial statements as of June 30, 2024 have
also been prepared in accordance with IAS 34 (Interim
Financial Reporting) and have a reduced scope of reporting
compared to the consolidated financial statements.
All amounts are rounded in line with common business
practice; this can lead to minor differences in total
amounts. Figures of €0.00 are presented as "€-
million"; figures between €0.00 and €500,000.00
are rounded in line with common business practice and
presented as "€0 million".
The interim consolidated financial statements were
reviewed by auditors in accordance with section 115 of the
WpHG ["Wertpapierhandelsgesetz": German Securities Trading
Act].
The Porsche AG Group has applied all accounting
pronouncements adopted by the EU and effective for periods
beginning from January 1, 2024.
A discount rate of 3.5% (December 31, 2023: 3.2%) was
applied to German pension provisions in the accompanying
interim consolidated financial statements.
The income tax expense for the interim consolidated
financial statements is calculated pursuant to IAS 34
(Interim Financial Reporting) based on the best estimate of
the annual average income tax rate expected for the entire
fiscal year. Taking the condensed presentation into
account, generally the same accounting policies and
consolidation principles have been used when preparing the
interim consolidated financial statements and determining
the comparative figures for the prior year as those used in
the 2023 consolidated financial statements. A detailed
description of these methods can be found in the notes to
the 2023 consolidated financial statements under ↗
Accounting policies.
In addition, the effects of new standards are described
in more detail in the notes to the 2023 consolidated
financial statements under ↗ New and amended
standards and interpretations.
In addition to Porsche AG, which has its registered
offices in Stuttgart and is registered at the Stuttgart
Local Court under HRB 730623, the consolidated financial
statements include all material German and foreign
subsidiaries, including structured entities, that are
controlled directly or indirectly by Porsche AG. Control
exists if Porsche AG obtains power over the potential
subsidiary directly or indirectly from voting rights or
other rights, participates in positive or negative variable
returns from the potential subsidiary and is able to
influence those returns. There are no significant
restrictions.
Also since September 2022, Porsche AG still intends to
sell two Russian distribution companies in the automotive
segment, OOO Porsche Russland, Moscow, and OOO Porsche
Center Moscow, Moscow, and a Russian company allocated to
the financial services segment, OOO Porsche Financial
Services Russland, Moscow. Due to the changes in external
conditions, the planned sale is expected to be completed
before the end of the fiscal year 2024. An impairment loss
of €25 million was recognized for the disposal group
as of December 31, 2022. A small additional impairment and
offsetting currency translation effects were identified in
the fiscal year 2023. No additional impairment requirement
was identified in the first half of 2024.
| € million | Automotive | Financial
services |
Total
segments |
Reconciliation | Porsche AG
Group |
| Vehicles | 14,695 | - | 14,695 | -46 | 14,649 |
| Genuine parts | 975 | - | 975 | 0 | 975 |
| Used vehicles and third-party products | 743 | 881 | 1,624 | -46 | 1,578 |
| Rental and leasing business | 1 | 741 | 742 | -30 | 712 |
| Interest and similar
income from financial
services business |
- | 262 | 262 | -3 | 258 |
| Hedges sales revenue | -72 | - | -72 | - | -72 |
| Other revenue | 1,354 | 10 | 1,364 | -7 | 1,357 |
| 17,695 | 1,894 | 19,589 | -132 | 19,457 |
| € million | Automotive | Financial
services |
Total
segments |
Reconciliation | Porsche AG
Group |
| Vehicles | 16,258 | - | 16,258 | -35 | 16,222 |
| Genuine parts | 972 | - | 972 | 0 | 972 |
| Used vehicles and third-party products | 708 | 761 | 1,469 | -43 | 1,425 |
| Rental and leasing business | 1 | 676 | 676 | -28 | 648 |
| Interest and similar
income from financial
services business |
1 | 205 | 205 | -2 | 204 |
| Hedges sales revenue | -334 | - | -334 | - | -334 |
| Other revenue | 1,287 | 11 | 1,298 | -5 | 1,293 |
| 18,892 | 1,652 | 20,544 | -113 | 20,431 |
Other revenue mainly contains income from consulting,
workshop and development services as well as mobile
services. It also contains insurance premiums from warranty
insurance for used vehicles.
Cost of sales amounted to €14,251 million (prior
year: €14,522 million) and mainly comprises production
materials, personnel expenses, non-staff overheads and
depreciation and amortization.
Cost of sales also contains interest expenses
attributable to the financial services business amounting
to €140 million (prior year: €73 million),
impairment losses on leased assets amounting to €87
million (prior year: €75 million) and expenses for
indemnification payments from warranty insurance for used
vehicles amounting to €49 million (prior year:
€40 million).
| € million | H1 2024 | H1 2023 | % |
| Total research and development costs | 1,665 | 1,545 | 7.8 |
| of which: capitalized development costs | 1,123 | 1,201 | -6.5 |
| Capitalization ratio in % | 67.5 | 77.7 | |
| Amortization of capitalized development costs | 516 | 427 | 20.8 |
| Research and development costs recognized in the income statement | 1,057 | 770 | 37.2 |
Basic earnings per share are calculated by dividing the
share of the result of Porsche AG's shareholders by the
weighted average number of ordinary and preferred shares
outstanding during the reporting year. Since there were no
transactions in the reporting period that had a dilutive
effect on the number of shares, diluted earnings per share
correspond to the basic earnings per share.
Pursuant to article 28 (4) of the Articles of
Association of Porsche AG, the preferred shareholders are
entitled to an additional dividend of €0.01 per
preferred share above the dividend allocable to the
ordinary share:
| H1 2024 | H1 2023 | ||
| Weighted average number of: | |||
| Ordinary shares - basic/diluted | Shares | 455,500,000 | 455,500,000 |
| Preferred shares - basic/diluted | Shares | 455,500,000 | 455,500,000 |
| Profit after tax | € million | 2,153 | 2,768 |
| Non-controlling interests | € million | -1 | 0 |
| Earnings attributable to Porsche AG shareholders | € million | 2,153 | 2,768 |
| of which: basic/diluted earnings attributable to ordinary shares | € million | 1,074 | 1,382 |
| of which: basic/diluted earnings attributable to preferred shares | € million | 1,079 | 1,386 |
| Earnings per ordinary share - basic/diluted | € | 2.36 | 3.03 |
| Earnings per preferred share - basic/diluted | € | 2.37 | 3.04 |
| € million | Carrying amount at Jan. 1, 2024 | Additions/
changes in cons. group |
Disposals/ other changes | Depreciation and amortization | Carrying amount at Jun. 30, 2024 |
| Intangible assets | 8,554 | 1,274 | -4 | 722 | 9,110 |
| Property, plant and equipment | 9,394 | 844 | 19 | 650 | 9,570 |
| Leased assets | 4,190 | 1,571 | 761 | 510 | 4,491 |
| Other equity investments | 814 | 297 | -2 | 19 | 1,094 |
| € million | Jun. 30, 2024 | Dec. 31, 2023 |
| Raw materials, consumables and supplies | 454 | 400 |
| Work in progress | 549 | 325 |
| Finished goods and merchandise | 5,361 | 4,839 |
| Current rental and leasing assets | 49 | 49 |
| Advance payments made | 376 | 333 |
| Hedges on inventories | 2 | 1 |
| 6,791 | 5,947 |
The write-downs recognized in profit or loss in the
reporting period amounted to €38 million (prior year:
€61 million) and resulted from the remeasurement of
used vehicles. Reversals of write-downs of €1 million
(prior year: €1 million) were recognized in profit or
loss in the reporting period, also resulting primarily from
the remeasurement of used vehicles.
| € million | Jun. 30, 2024 | Dec. 31, 2023 |
| Trade receivables | 1,381 | 1,449 |
| Other financial assets and miscellaneous other receivables | 2,963 | 3,089 |
| 4,344 | 4,537 |
In the period from January 1 to June 30, 2024, operating
profit was negatively impacted by impairment losses and
reversals of impairment losses on non-current and current
financial assets amounting to €20 million (prior year:
€7 million).
No significant valuation allowances were recognized for
other financial assets.
The subscribed capital of Porsche AG is composed of
no-par value bearer shares. One share grants a notional
share of €1.00 in share capital. Porsche AG's
subscribed capital amounts to €911 million and is
divided into 455,500,000 no-par value ordinary shares and
455,500,000 no-par value preferred shares. Each share
grants a notional share of €1.00 in share capital.
Compared to the ordinary shares, the preferred shares carry
the right to an additional dividend that is €0.01
higher than the ordinary shares but are non-voting.
On June 7, 2024, Porsche AG's Annual General Meeting
passed a resolution on the appropriation of the net
retained profit for the fiscal year 2023, resulting in a
distribution of €2.30 per ordinary share and
€2.31 per preferred share. This brings the total
amount distributed to €2,100 million.
Non-controlling interests in equity relate to 25% of the
shares in Porsche Singapore Pte. Ltd, Singapore, 49% of the
shares in Manthey Racing GmbH, Meuspath, and 25% of the
shares in Porsche Norge AS, Oslo.
| € million | Jun. 30, 2024 | Dec. 31, 2023 |
| ABS refinancing and debenture bonds | 5,267 | 5,273 |
| Liabilities to banks | 284 | 329 |
| Lease liabilities | 974 | 934 |
| 6,525 | 6,537 |
| € million | Jun. 30, 2024 | Dec. 31, 2023 |
| ABS refinancing and debenture bonds | 3,618 | 3,408 |
| Liabilities to banks | 311 | 299 |
| Lease liabilities | 119 | 113 |
| Other financial liabilities | 25 | 61 |
| 4,072 | 3,880 |
Generally, the principles and techniques used for fair
value measurement remained unchanged year on year. Detailed
explanations of the measurement principles and techniques
can be found in the ↗ Accounting policies section of
the 2023 consolidated financial statements.
Fair value generally corresponds to the market or quoted
market price. If no active market exists, fair value is
determined using valuation techniques, such as by
discounting the future cash flows at the market interest
rate, or by using recognized option pricing models.
Financial assets and liabilities measured at fair value
in profit or loss consist of derivative financial
instruments to which hedge accounting is not applied. This
primarily includes interest rate swaps and currency swaps
as well as options to acquire equity instruments. Moreover,
other equity investments (shares representing an ownership
interest of less than 20% as a rule) in partnerships (debt
instruments) as well as financial assets held in special
funds controlled by the Porsche AG Group are measured at
fair value in profit or loss. Derivative financial
instruments to which hedge accounting is applied are
measured at fair value directly in equity.
Financial assets measured at fair value through other
comprehensive income include equity investments (shares
representing an ownership interest of less than 20% as a
rule) in corporations (equity instruments) for which the
Porsche AG Group normally exercises the option of fair
value measurement through other comprehensive income. For
instruments measured through other comprehensive income,
changes in fair value are recognized directly in equity,
taking deferred taxes into account.
Uniform valuation techniques and inputs are used to
measure fair value. The fair value of Level 2 and Level 3
financial instruments is measured in the individual
divisions on the basis of group-wide specifications.
The table below presents a reconciliation of the line
items in the statement of financial position to the
relevant classes of financial instruments, broken down by
carrying amount and fair value.
The fair value of financial instruments measured at
amortized cost, such as receivables and liabilities, is
calculated by discounting the carrying amount using a
market rate of interest for a similar risk and matching
maturity.
For reasons of materiality, the fair value of current
statement of financial position items is generally deemed
to be their carrying amount.
The key risk variables for the fair values of
receivables are risk-adjusted interest rates.
| Measured at fair
value |
Measured at amortized cost | Derivative
financial instruments within hedge accounting |
Not allocated to
a measurement category |
Statement of
financial position item at June 30, 2024 |
||
| € million | Carrying
amount |
Carrying
amount |
Fair value | Carrying
amount |
Carrying
amount |
|
| Non-current assets | ||||||
| Equity-accounted investments | - | - | - | - | 625 | 625 |
| Other equity investments | 432 | - | - | - | 662 | 1,094 |
| Financial services receivables | - | 3,202 | 3,395 | - | 1,542 | 4,744 |
| Other financial assets 1 | 80 | 862 | 856 | 466 | - | 1,409 |
| Current assets | ||||||
| Trade receivables | - | 1,381 | 1,381 | - | 0 | 1,381 |
| Financial services receivables | - | 972 | 972 | - | 729 | 1,701 |
| Other financial assets 2 | 143 | 1,136 | 1,136 | 506 | - | 1,785 |
| Securities and time deposits | 1,895 | 0 | 0 | - | - | 1,895 |
| Cash and cash equivalents | - | 4,590 | 4,590 | - | - | 4,590 |
| Assets held for sale | - | 6 | 6 | - | - | 6 |
| Non-current liabilities | ||||||
| Financial liabilities | - | 5,551 | 5,485 | - | 974 | 6,525 |
| Other financial liabilities 3 | 14 | 68 | 68 | 276 | - | 358 |
| Current liabilities | ||||||
| Financial liabilities | - | 3,953 | 3,953 | - | 119 | 4,072 |
| Trade payables | - | 3,883 | 3,883 | - | - | 3,883 |
| Other financial liabilities 4 | 45 | 499 | 499 | 441 | - | 984 |
| Liabilities associated
with
assets held for sale |
- | 1 | 1 | - | - | 1 |
1 Other assets that are not financial assets are
not included (other receivables and deferred tax assets:
€806 million).
2 Other assets that are not financial assets are
not included (other receivables and income tax receivables:
€1,470 million).
3 Other liabilities that are not financial
liabilities are not included (other provisions, deferred
tax liabilities and other liabilities: €4,237
million).
4 Other liabilities that are not financial
liabilities are not included (income tax provisions, other
provisions, other liabilities and income tax liabilities:
€5,442 million).
| Measured at fair
value |
Measured at amortized cost | Derivative
financial instruments within hedge accounting |
Not allocated to
a measurement category |
Statement of
financial position item at December 31, 2023 |
||
| € million | Carrying
amount |
Carrying
amount |
Fair value | Carrying
amount |
Carrying
amount |
|
| Non-current assets | ||||||
| Equity-accounted investments | - | - | - | - | 651 | 651 |
| Other equity investments | 193 | - | - | - | 621 | 814 |
| Financial services receivables | - | 3,146 | 3,282 | - | 1,531 | 4,676 |
| Other financial assets 1 | 82 | 549 | 545 | 791 | - | 1,422 |
| Current assets | ||||||
| Trade receivables | - | 1,449 | 1,449 | - | 0 | 1,449 |
| Financial services receivables | - | 944 | 944 | - | 725 | 1,669 |
| Other financial assets 2 | 207 | 1,379 | 1,379 | 424 | - | 2,010 |
| Securities and time deposits | 1,810 | 16 | 16 | - | - | 1,826 |
| Cash and cash equivalents | - | 5,820 | 5,820 | - | - | 5,820 |
| Assets held for sale | - | 6 | 6 | - | - | 6 |
| Non-current liabilities | ||||||
| Financial liabilities | - | 5,602 | 5,545 | - | 934 | 6,537 |
| Other financial liabilities 3 | 15 | 64 | 64 | 284 | - | 364 |
| Current liabilities | ||||||
| Financial liabilities | - | 3,768 | 3,768 | - | 113 | 3,880 |
| Trade payables | - | 3,490 | 3,490 | - | - | 3,490 |
| Other financial liabilities 4 | 88 | 864 | 864 | 280 | - | 1,231 |
| Liabilities associated
with
assets held for sale |
- | 1 | 1 | - | - | 1 |
1 Other assets that are not financial assets are
not included (other receivables and deferred tax assets:
€705 million).
2 Other assets that are not financial assets are
not included (other receivables and income tax receivables:
€1,314 million).
3 Other liabilities that are not financial
liabilities are not included (other provisions, deferred
tax liabilities and other liabilities: €3,996
million).
4 Other liabilities that are not financial
liabilities are not included (income tax provisions, other
provisions, other liabilities and income tax liabilities:
€4,961 million).
The class "Not allocated to a measurement category"
primarily includes lease receivables, lease liabilities,
equity-accounted investments as well as investments in
non-consolidated affiliates.
Lease receivables have a carrying amount of €2,271
million (prior year: €2,256 million) and a fair value
of €2,374 million (prior year: €2,354 million).
The tables below provide an overview of the financial
assets and liabilities measured at fair value:
| € million | Jun. 30, 2024 | Level 1 | Level 2 | Level 3 |
| Non-current assets | ||||
| Other equity investments | 432 | 0 | - | 432 |
| Other financial assets | 80 | - | 21 | 60 |
| Current assets | ||||
| Other financial assets | 143 | - | 136 | 7 |
| Securities and time deposits | 1,895 | 1,885 | 10 | - |
| Non-current liabilities | ||||
| Other financial liabilities | 14 | - | 14 | - |
| Current liabilities | ||||
| Other financial liabilities | 45 | - | 45 | - |
| € million | Dec. 31, 2023 | Level 1 | Level 2 | Level 3 |
| Non-current assets | ||||
| Other equity investments | 193 | 0 | - | 193 |
| Other financial assets | 82 | - | 82 | - |
| Current assets | ||||
| Other financial assets | 207 | - | 207 | - |
| Securities and time deposits | 1,810 | 1,810 | - | - |
| Non-current liabilities | ||||
| Other financial liabilities | 15 | - | 15 | - |
| Current liabilities | ||||
| Other financial liabilities | 88 | - | 88 | - |
| € million | Jun. 30, 2024 | Level 1 | Level 2 | Level 3 |
| Non-current assets | ||||
| Other financial assets | 466 | - | 466 | - |
| Current assets | ||||
| Other financial assets | 506 | - | 506 | - |
| Non-current liabilities | ||||
| Other financial liabilities | 276 | - | 276 | - |
| Current liabilities | ||||
| Other financial liabilities | 441 | - | 441 | - |
| € million | Dec. 31, 2023 | Level 1 | Level 2 | Level 3 |
| Non-current assets | ||||
| Other financial assets | 791 | - | 791 | - |
| Current assets | ||||
| Other financial assets | 424 | - | 424 | - |
| Non-current liabilities | ||||
| Other financial liabilities | 284 | - | 284 | - |
| Current liabilities | ||||
| Other financial liabilities | 280 | - | 280 | - |
Fair values are allocated to the three levels of the
fair value hierarchy based on the availability of
observable market prices. Level 1 shows the fair values of
financial instruments where a quoted price is directly
available on active markets. This includes securities
issued by the Porsche AG Group. Fair values in level 2,
such as derivatives, are derived from market data using
market valuation techniques. These market data include in
particular currency exchange rates, yield curves and
commodity prices which are observable on the relevant
markets and can be obtained from pricing service providers.
Level 3 fair values are calculated using valuation
techniques with inputs that are not based on directly
observable market data. In particular, the Porsche AG Group
allocated other equity investments and options on equity
instruments to level 3. Equity instruments are primarily
measured on the basis of the respective business plans and
entity-specific discount rates.
The table below summarizes the changes in items in the
statement of financial position measured at fair value and
allocated to level 3:
| € million | Financial assets
measured
at fair value |
| Balance at Jan. 1, 2024 | 193 |
| Additions (purchases) | 305 |
| Total comprehensive income | 2 |
| recognized in profit or loss | -5 |
| recognized in other comprehensive income | 7 |
| Disposals (sales) | -1 |
| Balance at Jun. 30, 2024 | 498 |
| € million | Financial assets
measured
at fair value |
| Balance at Jan. 1, 2023 | 263 |
| Additions (purchases) | 31 |
| Total comprehensive income | -6 |
| recognized in profit or loss | 1 |
| recognized in other comprehensive income | -8 |
| Settlements | -73 |
| Disposals (sales) | -6 |
| Changes in participation structure | -26 |
| Balance at Jun. 30, 2023 | 183 |
Transfers between the levels of the fair value hierarchy
are generally reported as of the respective reporting
dates. There were no transfers between the levels of the
fair value hierarchy during the reporting period.
The key risk variable for equity instruments held by the
company is the corresponding enterprise value. A
sensitivity analysis is used to present the effects of a
change in the risk variables on profit after tax. If the
assumed enterprise values had been 10% higher as of June
30, 2024, profit after tax would have been €9 million
(prior year: €5 million) higher. If the assumed
enterprise values had been 10% lower as of June 30, 2024,
profit after tax would have been €9 million (prior
year: €5 million) lower. If the assumed enterprise
values had been 10% higher as of June 30, 2024, equity
would have been €26 million (prior year: €8
million) higher. If the assumed enterprise values had been
10% lower as of June 30, 2024, equity would have been
€26 million (prior year: €8 million) lower.
The statement of cash flows shows the cash inflow within
the Porsche AG Group. Cash and cash equivalents according
to the statement of cash flows comprise bank balances,
checks, cash on hand, time deposits with an original
contractual term of up to three months and funds due on
demand.
| € million | Jun. 30, 2024 | Jun. 30, 2023 |
| Cash and cash equivalents as reported in the statement of financial position | 4,590 | 1,646 |
| Cash and cash equivalents classified as held for sale | 6 | 17 |
| Cash and cash equivalents as reported in the statement of cash flows | 4,596 | 1,664 |
The segments are based on the internal management and
reporting within the Porsche AG Group. This takes into
account the group objectives and policies set by the
Executive Board of Porsche AG. Segment reporting is made up
of the two reportable segments automotive and financial
services.
The activities of the automotive segment cover the
development, manufacturing and sale of vehicles as well as
related services.
The activity of the financial services segment comprises
customer and dealer financing, the leasing business as well
as mobility services and other finance-related services.
The purchase price allocation from acquired companies is
directly allocated to the corresponding segments.
In the Porsche AG Group, the segment result is
determined on the basis of the operating profit after tax.
Reconciliation includes consolidation between the
segments.
The business relationships between the companies of the
segments of the Porsche AG Group are generally based on
arm's length prices.
| € million | Automotive | Financial
services |
Total segments | Reconciliation | Porsche AG
Group |
| Sales revenue from external customers | 17,625 | 1,832 | 19,457 | - | 19,457 |
| Intersegment sales revenue | 70 | 62 | 132 | -132 | |
| Total sales revenue | 17,695 | 1,894 | 19,589 | -132 | 19,457 |
| Segment profit (operating profit) | 2,904 | 129 | 3,032 | 29 | 3,061 |
| Depreciation and amortization | 1,364 | 447 | 1,811 | -16 | 1,796 |
| Impairment losses | 0 | 87 | 87 | - | 87 |
| € million | Automotive | Financial
services |
Total segments | Reconciliation | Porsche AG
Group |
| Sales revenue from external customers | 18,837 | 1,594 | 20,431 | - | 20,431 |
| Intersegment sales revenue | 55 | 58 | 113 | -113 | - |
| Total sales revenue | 18,892 | 1,652 | 20,544 | -113 | 20,431 |
| Segment profit (operating profit) | 3,653 | 174 | 3,827 | 25 | 3,852 |
| Depreciation and amortization | 1,176 | 435 | 1,610 | -16 | 1,594 |
| Impairment losses | - | 75 | 75 | - | 75 |
| € million | H1 2024 | H1 2023 |
| Segment profit (operating profit) | 3,032 | 3,827 |
| Consolidation | 29 | 25 |
| Operating profit | 3,061 | 3,852 |
| Financial result | 33 | 130 |
| Consolidated profit before tax | 3,095 | 3,982 |
| € million | Germany | Europe
without Germany |
North
America 1 |
China 2 |
| Sales revenue from external customers | 2,697 | 4,763 | 5,770 | 3,536 |
| € million | Rest of the
world |
Hedges sales
revenue |
Porsche AG
Group |
| Sales revenue from external customers | 2,763 | -72 | 19,457 |
1 Excl. Mexico
2 Incl. Hong Kong
| € million | Germany | Europe
without Germany |
North
America' |
China2 |
| Sales revenue from external customers | 2,417 | 4,309 | 5,717 | 5,360 |
| € million | Rest of the
world |
Hedges sales
revenue |
Porsche AG
Group |
| Sales revenue from external customers | 2,963 | -334 | 20,431 |
1 Excl. Mexico
2 Incl. Hong Kong
Sales revenue is allocated to the regions in accordance
with the destination principle.
Since August 1, 2012, Volkswagen AG had held 100% of the
shares in Porsche AG via Porsche Holding Stuttgart GmbH. On
September 28, 2022, Volkswagen placed 25% of the preferred
shares (including surplus allocation) of Porsche AG with
investors. Since the following day, these preferred shares
have been traded on the stock exchange. The basis for the
IPO was a comprehensive agreement on the conclusion of
several contracts between Volkswagen and Porsche SE. In
this connection, both parties agreed, among other things,
that Porsche SE acquire 25% of the ordinary shares in
Porsche AG plus one ordinary share of Volkswagen. Please
see also the explanations in the consolidated financial
statements as of December 31, 2023.
As of the reporting date, Porsche AG remains a
subsidiary of Porsche Holding Stuttgart GmbH. In connection
with the IPO and the sale of ordinary shares in Porsche SE,
Volkswagen AG and Porsche SE agreed on a significant
participation of representatives of Porsche SE on the
Supervisory Board of Porsche AG. Final decision-making
rights of the shareholder representatives on the
Supervisory Board determined by Volkswagen with regard to
directing relevant activities within the meaning of IFRS 10
at Porsche AG continue to result in the control of Porsche
AG by Volkswagen AG.
Porsche SE holds the majority of voting rights in
Volkswagen AG.
The creation of rights of appointment for the State of
Lower Saxony was resolved at the extraordinary general
meeting of Volkswagen AG on December 3, 2009. This means
that, even though it holds the majority of voting rights of
Volkswagen AG, Porsche SE cannot determine the majority of
the members of Volkswagen AG's supervisory board for as
long as the State of Lower Saxony holds at least 15% of
Volkswagen AG's ordinary shares. The Porsche SE group
(Porsche SE) is therefore classified as a related party as
defined by IAS 24.
| Supplies and services rendered | Supplies and services received | |||
| € million | H1 2024 | H1 2023 | H1 2024 | H1 2023 |
| Porsche SE | 2 | 1 | - | - |
| State of Lower Saxony,
its majority interests and
joint ventures |
- | 0 | - | - |
| Volkswagen AG - Group | 2,443 | 2,414 | 3,511 | 3,591 |
| Porsche Holding Stuttgart GmbH | - | 2 | - | - |
| Non-consolidated entities | 48 | 81 | 106 | 100 |
| Joint ventures and their majority interests | 1 | 1 | 32 | 30 |
| Associates and their majority interests | 2 | 3 | 66 | 70 |
| Members of the Executive
Board and the
Supervisory Board Porsche AG |
2 | 1 | - | - |
| Receivables | Liabilities | |||
| € million | Jun. 30, 2024 | Dec. 31, 2023 | Jun. 30, 2024 | Dec. 31, 2023 |
| Porsche SE | 0 | 0 | 0 | 0 |
| State of Lower Saxony,
its majority interests and
joint ventures |
- | 0 | - | - |
| Volkswagen AG - Group | 4,546 | 6,399 | 1,972 | 2,015 |
| Porsche Holding Stuttgart GmbH | - | - | 67 | 67 |
| Non-consolidated entities | 848 | 708 | 92 | 147 |
| Joint ventures and their majority interests | 60 | 60 | 11 | 6 |
| Associates and their majority interests | 139 | 137 | 88 | 115 |
| Members of the Executive
Board and the
Supervisory Board Porsche AG |
0 | 0 | 0 | - |
Receivables from the Volkswagen AG Group largely relate
to cash pool receivables of €2,614 million (December
31, 2023: €4,064 million), loans granted of €231
million (December 31, 2023: €530 million) and trade
receivables of €380 million (December 31, 2023:
€407 million). Receivables from non-consolidated
subsidiaries primarily result from loans granted of
€747 million (December 31, 2023: €624 million) as
well as from trade of €37 million (December 31, 2023:
€34 million).
Transactions with related parties are regularly
conducted at arm's length.
The maximum credit risk for financial guarantees issued
to joint ventures amounted to €54 million (prior year:
€63 million).
From January to June, the Porsche AG Group made capital
contributions at related parties of €68 million (prior
year: €103 million).
During the reporting period, the members of the
Executive Board of Porsche AG were granted performance
shares as long-term variable remuneration under the
Executive Board remuneration system. Please see also the
explanations in the remuneration report as of December 31,
2023.
As described in the notes to the consolidated financial
statements as of December 31, 2023, in the course of their
operating activities, Porsche AG and the companies in which
it holds direct or indirect interests are involved in a
large number of legal disputes and official proceedings,
both in Germany and abroad. Compared to these detailed
explanations contained in the 2023 consolidated financial
statements under "Litigation", the following significant
changes have occurred during the year, as described below.
In July 2021, the EU Commission, as part of a settlement
decision, imposed a fine of €502 million on the three
brands of the Volkswagen Group concerned (Volkswagen AG,
AUDI AG, Porsche AG). The subject matter of the European
Commission's decision regarding the fine is the cooperation
between German car manufacturers regarding the development
of technology to purify emissions of diesel passenger cars
fitted with SCR systems that were sold in the European
Economic Area. The Volkswagen Group accepted the fine
decision of the EU Commission and did not appeal, thus
rendering the decision legally binding. There was no
recourse against Porsche AG by Volkswagen AG.
The Porsche AG Group has learned from public sources
that the Brazilian antitrust authority CADE has initiated
proceedings against Porsche AG, among others, on the
grounds of an alleged unlawful exchange of information,
possibly based on the EU subject matter. Porsche AG has not
yet received any notifications or further information.
In March 2022, the European Commission and the
Competition and Markets Authority (CMA), the English
antitrust authorities, searched the premises of various
automotive manufacturers and automotive industry
organizations and/or served them with formal requests for
information. Volkswagen AG has received a group-wide
information request from the European Commission and the
CMA. The investigation concerns European, Japanese, and
Korean manufacturers as well as national organizations
operating in these countries and the European organization
European Automobile Manufacturers' Association (ACEA),
which are suspected of having colluded from 2001/2002 to
the present not to pay for the services of recycling
companies that dispose of end-of-life vehicles (ELVs). Also
alleged is an agreement to refrain from competitive use of
ELV issues, that is, not to publicize relevant recycling
data for competitive purposes. The violation under
investigation is alleged to have taken place in particular
in working groups of the ACEA. A response was given to the
European Commission's and the CMA's information requests.
Neither provisions nor contingent liabilities have been
recognized it is not currently possible to assess these
proceedings.
In the same context, the South Korean antitrust
authorities (KFTC) conducted searches at Porsche Korea and
issued requests for information, which were answered by
Porsche Korea. Neither provisions nor contingent
liabilities have been recognized as it is also not
currently possible to assess these proceedings.
In accordance with IAS 37.92, no further disclosures are
made in respect of estimates of the financial impact or
disclosures relating to uncertainties surrounding the
amount or timing of provisions and contingent liabilities
in connection with material litigation, so as not to
prejudice the outcome of the proceedings or the company's
interests.
As of June 30, 2024, there were no material changes to
the contingent liabilities as reported in the 2023
consolidated financial statements.
Other financial obligations increased by €440
million to €5,832 million overall compared to the 2023
consolidated financial statements. The increase is
primarily attributable to obligations from development,
supply and service agreements.
There were no events of significance for the results of
operations, financial position and net assets after June
30, 2024.
To the best of our knowledge, and in accordance with the
applicable reporting principles for interim financial
reporting, the condensed interim consolidated financial
statements prepared in accordance with German accepted
accounting principles give a true and fair view of the
results of operations, financial position and net assets of
the Porsche AG Group, and the interim group management
report includes a fair review of the development and
performance of the business and the position of the Porsche
AG Group, together with a description of the material
opportunities and risks associated with the expected
development of the Porsche AG Group for the remaining
months of the fiscal year.
Stuttgart, July 23, 2024
| Dr. Ing. h.c. F. Porsche Aktiengesellschaft |
| The Executive Board |
We have reviewed the condensed interim consolidated
financial statements of Dr. Ing. h.c. F. Porsche
Aktiengesellschaft, Stuttgart, - comprising the condensed
income statement, condensed statement of comprehensive
income, condensed statement of financial position,
condensed statement of changes in equity, condensed
statement of cash flows as well as selected explanatory
notes - and the interim group management report for the
period from January 1, 2024 to June 30, 2024, which are
part of the half-year financial report pursuant to Sec. 115
WpHG ["Wertpapierhandelsgesetz": German Securities Trading
Act]. The preparation of the condensed interim consolidated
financial statements in accordance with IFRSs
(International Financial Reporting Standards) on interim
financial reporting as adopted by the EU and of the interim
group management report in accordance with the requirements
of the WpHG applicable to interim group management reports
is the responsibility of the company's executive directors.
Our responsibility is to issue a report on the condensed
interim consolidated financial statements and the interim
group management report based on our review.
We conducted our review of the interim condensed
consolidated financial statements and of the interim group
management report in compliance with German Generally
Accepted Standards for the Review of Financial Statements
promulgated by the Institut der Wirtschaftsprüfer
[Institute of Public Auditors in Germany] (IDW). Those
standards require that we plan and perform the review to
obtain a certain level of assurance in our critical
appraisal to preclude that the condensed interim
consolidated financial statements are not prepared, in all
material respects, in accordance with IFRSs on interim
financial reporting as adopted by the EU and that the
interim group management report is not prepared, in all
material respects, in accordance with the provisions of the
WpHG applicable to interim group management reports. A
review is limited primarily to making inquiries of company
personnel and applying analytical procedures and thus does
not provide the assurance that we would obtain from an
audit of financial statements. In accordance with our
engagement, we have not performed an audit and thus cannot
issue an auditor's report.
Based on our review, nothing has come to our attention
that causes us to believe that the condensed interim
consolidated financial statements are not prepared, in all
material respects, in accordance with IFRSs on interim
financial reporting as adopted by the EU or that the
interim group management report is not prepared, in all
material respects, in accordance with the provisions of the
WpHG applicable to interim group management reports.
Stuttgart, July 23, 2024
EY GmbH & Co. KG
Wirtschaftsprufungsgesellschaft
| Matischiok | Arell |
| Wirtschaftsprüfer | Wirtschaftsprüferin |
In this half-year financial report, Dr. Ing. h.c. F.
Porsche Aktiengesellschaft is referred to as "Porsche AG".
Porsche AG together with its fully consolidated
subsidiaries is referred to as the "Porsche AG Group".
This half-year financial report has been prepared in
accordance with the provisions of the WpHG and the German
Accounting Standards Committee e. V. and represents an
interim report within the meaning of International
Accounting Standard (IAS) 34 Interim Financial Reporting.
The results of operations and financial position as well
as selected financial information were prepared in
accordance with International Financial Reporting Standards
(IFRSs) as adopted by the European Union. All amounts are
rounded in line with common business practice; this can
lead to minor differences in total amounts. The current
definition of performance indicators can be found in the
combined management report for 2023. The report is
available on our Investor Relations homepage.
Inclusive language is a commitment to diversity and
equal opportunities. This report therefore uses
gender-neutral formulations. For the sake of legibility,
any exceptions only use a single form of address, be it
diverse or feminine. All formulations expressly apply to
all genders and gender identities equally.
This document contains statements concerning the future
that are based on the current assumptions and forecasts of
Dr. Ing. h.c. F. Porsche Aktiengesellschaft. Various known
and unknown risks, uncertainties, and other factors can
cause the actual results, results of operations, financial
position and net assets, development, or performance of Dr.
Ing. h.c. F. Porsche Aktiengesellschaft and the Porsche AG
Group to deviate considerably from the estimates presented
herein (both positively and negatively). Porsche AG is
under no obligation -without prejudice to existing
obligations under capital market law - and does not have
the view to update statements concerning the future or
correct them if the development differs from the expected
result. This document uses notices and links to refer to
websites containing further information outside of this
publication. This is merely for supplementary purposes and
is exclusively for the simplified access to information.
The information contained on the websites in question are
not part of this report. This document is an English
translation of the original report written in German. In
the case of any deviations, the German version of the
document shall take precedence over the English
translation. Due to technical reasons, there can be
deviations between the accounting records contained in this
document and those released due to legal requirements.
The current financial calendar can be found on the
Investor Relations homepage of Porsche AG together with a
range of other services including information on quoted
market prices, corporate presentations and further
overviews of key figures. /
investorrelations.porsche.com/en
Dr. Ing. h.c. F. Porsche Aktiengesellschaft
70435 Stuttgart Germany
Tel. +49 711 911-0
capitalmarkets@porsche.de
↗ investorrelations.porsche.com/en