What some companies earn per car

[D-Fence]

Interesting study about some brands:

What they earn in average per sold car:

1. Porsche 21 799 €
2. BMW 2475 €
3. Toyota 1684 €
4. Audi 1580 €
5. DaimlerChrysler 708 €
6. Volkswagen 332 €

Porsche sold 2005/06 almost 97 000 Autos verkauft. That gave them 2,11 Milliarden Euro (before tax).



I thought Mercedes would be higher than Toyota........that is really wondering me.

[Blayde]

Probably the AMGs and the first letters of the alphabet models thats costing them, maybe that's why they try to shaft you on extras.

[Zegna]

Very fascinating.

It must've been calculated on average throughout the whole range of each said company's. In DC's case that would be Benz, Dodge, Chrysler, Jeep, etc altogether. Which probably tells us why DC's number is lower than Toyota's.

[Cobol74]

Mercedes dropped the ball big time in about 1994. They have still not recovered.

[Dr.Kamiya]

Any other brands in there? Really interested in how other folks might be doing.
Oh, and got a source?

[NAIDANAC A]

I wonder why they do not show GM's profits...o because its in the negatives.

[D-Fence]

no, only these brands.....

[British_Rover]

DCX would include chrysler and last I heard they are still losing money on nearly every car they sell.

I am sure mercedes by it self does better. I wonder though how they figure in Mercedes heavy truck sales into that.

Maybe they don't at all.

[MXM]

Where are these figures from? Does it include development or just manufacturing?

Because afaik usually the first or even second generation of a model doesn't pay itself back.

[D-Fence]

It´s coming from B&D Forecast. I think it´s just what they earn when you think about production and selling price, but no guarantee!

[3Colin]

Mercedes would have ranked higher a few years ago, but is now supposedly dedicated to cutting profits to improve quality. So if it works, not a bad thing it's lower on the list.

[Cobol74]

As opposed to cutting quality to cut profits a while ago. The Customers are not stupid it did not take the long to spot the outrageous drop in quality in the 1990s. Chrysler is excluded from these comments. I feel this so much as Mercedes Benz were my heroes, I feel betrayed in some small measure.

[marcos_eirik]

Then it's amazing that Porsche has managed to cut manufacture costs and actually improve quality... And Porsche was almost bankrupt in 1993...

[geeman]

Originally Posted by marcos_eirik

Then it's amazing that Porsche has managed to cut manufacture costs and actually improve quality... And Porsche was almost bankrupt in 1993...

They probably saved on the styling department

[pfrocker]

Originally Posted by geeman

They probably saved on the styling department

best response ever

[vRS]

Always known that Porsche are the most profitable, BMW don't surprise me as there everywhere you go. Wonder whats Skodas is, sold over 500,000 vehicles in 2006 so it must be pretty decent, maybe a little less than VW's.

[HeJo]

What they do is basically dividing EBIT for the car groups inside the corporations by the number of cars sold. However, this is at best a very crude measure because it cannot account for the real cost involved. I.e. the earnings on the balance sheet in a given year can be heavily dilluted by large non recurring investments, selling of assets, one time revenues, etc. You will have to see the numbers over time to make some assumption (which will be dilluted too).

Only the companies themselves will have a good idea - and depending on the markets I think their numbers are pretty similar - with comparable companies. What we do know however is that DCX's investments in R&D are by far greater than that of any other company (even non-automotive for that matter), so that should influence margins in the more competitive sectores (i.e. smaller cars). If you use the 05-06 numbers for Mercedes returns per car would be around 1200 USD (but again that number doesn't say much because it's from the balance sheet). For the cost per car you should be able to get a better number out of the Income statement...

Smaller more focused corporations like Porsche have a completely different cost structure - at the moment they are leader in their field.

[nomix]

Yes, and the fact that a guy from Mars would have problems seing the difference between a Nissan 350Z and a 911. But we see a sort of difference. And we have something called Money.

[otispunkmeyer]

well its simple

they dont need to pay flamboyant designers.... their best seller (911) has looked pretty much the same since forever, the engineers can just evolve the styling as a little tea-break job while they spend most of their time engineering the crap out of the car.

[D-Fence]

and it works