By on February 24, 2012

Germany’s Hannoversche Allgemeine, usually well-informed in Volkswagen matters, got its hands on hot data: Volkswagen’s 2011 balance sheet , which will be presented to the Supervisory Board on Monday. According to the paper, Volkswagen more than doubled its annual profit to €16 billion ($21.4 billion.)

Not all of this will be free cash: The number contains unrealized profits from stock options in relationship to the Porsche takeover. Volkswagen stockholders can expect a dividend of €3 per share, says the paper. Stockholders probably expected a bigger share of the hefty profits. Unions also demand more money. Usually, 10 percent of the profits are bonussed-out to the workforce, but as “Volkswagen was never really affected by the crisis,” Volkswagen works council chief Bernd Osterloh wants “a healthy amount on top.”

According to the well-informed paper, the Supervisory Board will not be presented imminent plans of a final Porsche takeover. Volkswagen’s legal team has developed an intricate plan than allows a merger in a tax-efficient manner, however, Wolfsburg still is waiting for word from the tax authorities to see what kind of a share they want.

Also expecting more: The analysts. According to Reuters, analysts had expected a better 4th quarter. Quarterly operating profit was €2.29 billion ($3.05 billion), while analysts had forecast €2.38 billion. Shades of GM.

 

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5 Comments on “Volkswagen Said To Report Monster Profits This Week...”


  • avatar

    After having a street race with a new Audi A7 (and winning), I became interested in the car so I popped into my local Audi dealer to check out the A6 and A7.

    I was shocked how much more interior space the A6/A7 offered me up front (rear leg space wasn’t that great though compared to my SRT8).

    You compare the CLS and A7 – and I must say, I’d rather buy a CLS but, I’d probably take the A7 for practical reasons – not to mention the $15,000 difference.

    Audi seems poised to really rake it in. Maybe I should buy some of their shares.

    • 0 avatar
      PenguinBoy

      “Audi seems poised to really rake it in. Maybe I should buy some of their shares.”

      Phrases like this tend to put me off a bit:
      “Not all of this will be free cash: The number contains unrealized profits from stock options in relationship to the Porsche takeover.” and “Volkswagen’s legal team has developed an intricate plan…”

      I tend to prefer simple, easy to understand, earnings from operations…

  • avatar

    “Germany’s Hannoversche Allgemeine, usually well-informed in Volkswagen matters, got its hands on hot data: Volkswagen’s 2011 balance sheet , which will be presented to the Supervisory Board on Monday. According to the paper, Volkswagen more than doubled its annual profit to €16 billion ($21.4 billion.)”

    Not to get all nitpicky, but the income statement is what would show VW’s profits, not the balance sheet.

    @bigtruckseriesreview – where do you see a CLS/A7 reference in Bertel’s post? Did you mean to comment on a different post?

    • 0 avatar
      naterator

      Comparing the equity accounts between the 2010 and 2011 balance sheets would yield a rough estimate of the 2011 profit.

      BTW – bigtruckseries drives an S550. I think he forgot to mention that this time. =)

  • avatar
    VanillaDude

    BANK IT VW!
    Then get the hell to China while the prices are good to invest it.

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