Stuttgart : Porsche SE forecast a second consecutive full-year loss from the costs of combining with Volkswagen AG.
Net income in the six months through January 31 fell 83 per cent to 957 million euros (Dh4.8 billion) from 5.51 billion euros a year earlier, the Stuttgart, Germany-based company said yesterday in its first-half report. Fiscal second-half earnings will be burdened as VW sells shares and reduces Porsche's holding, leading to a "low single-digit," billion-euro, full-year loss.
Porsche, which took a majority stake in Volkswagen a year ago, posted its first net loss since 1994 last year because of writedowns on the value of options on shares of Europe's biggest carmaker following a failed hostile takeover. Wolfsburg, Germany-based Volkswagen and Porsche agreed to combine after the bid collapsed, and VW is buying a vehicle-manufacturing unit in the merger's first phase.
"The dilution of Porsche SE's holding in Volkswagen and the resulting burden on the result are contingent on the execution of the capital increase which has yet to be determined and will also be influenced by the number of new preferred Volkswagen shares as well as their issuing price," the sports car manufacturer said.
Deliveries in the first half fell 1.7 per cent to 33,670 cars and sport-utility vehicles, the company said. Porsche plans to add models with a goal of boosting yearly sales to as many as 150,000 vehicles over the medium term, benefiting from savings from the combination with Volkswagen.
Frankfurt (Dow Jones, AP) Qatar's sovereign investment fund is aiming for a second supervisory board seat at Volkswagen AG, German daily Handelsblatt reported on Tuesday, citing people close to the board.
There's agreement that Qatar will take a further seat at Volkswagen's supervisory board "with the next opportunity," the newspaper said, citing a person close to the government of Lower Saxony.
Hussain Ali Al Abdulla, manager at Qatar Holding, is set to replace Roland Oetker, the paper said. Qatar so far wasn't expected to be able to get two seats on VW's supervisory board — it was seen as a medium-term possibility, it added.
As part of the merger between Volkswagen and Porsche Automobil Holding SE Qatar has become VW's third anchor shareholder. VW's two largest shareholders are Porsche Holding with a 51 per cent stake and the German state of Lower Saxony with a stake of just above 20 per cent.
