How much does it cost to manufacture?
#1
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How much does it cost to manufacture?
Im doing some research and was wondering if anyone could provide an educated guess as to how much it costs Porsche to build a single base 997 or 997 S or turbo.....any backup data would be much appreciated as well.
Last edited by delisedesign; 02-01-2011 at 03:04 PM.
#2
Poseur
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That is a serious company secret. Any numbers that are tossed about here will be incorrect, as the correct numbers will never be allowed to see the light of day.
#3
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i know how serious the secrecy is....im not expecting a porsche employee to stick his neck out here, much less am i expecting the numbers to be precisely accurate.....im just wondering if anyone wants to give some input.....
#4
Race Director
One number that has been kicked around -- by Porsche no less -- is there is a profit margin of around 13% per car, IIRC touted as one if not the highest profit margin in the automotive industry. This suggests to me then that a car that lists for say $90K MSRP costs Porsche $78.3K to make.
Sincerely,
Macster.
Sincerely,
Macster.
#5
Nordschleife Master
In the price of a Porsche a key component is engineering. I at least value Weissach. The cost of the product must reflect this.
#6
Race Director
One number that has been kicked around -- by Porsche no less -- is there is a profit margin of around 13% per car, IIRC touted as one if not the highest profit margin in the automotive industry. This suggests to me then that a car that lists for say $90K MSRP costs Porsche $78.3K to make.
Sincerely,
Macster.
Sincerely,
Macster.
#7
Race Director
Could very well be the 13% markup is reflected in the price the dealer pays.
Reading between the lines of what I have come across on this subject I was assuming too the 13% profit margin was net profit, that it was after all costs associated with the production of the vehicle had been accounted for.
But it might very well be a gross profit margin.
Only Porsche knows for sure.
Sincerely,
Macster.
Reading between the lines of what I have come across on this subject I was assuming too the 13% profit margin was net profit, that it was after all costs associated with the production of the vehicle had been accounted for.
But it might very well be a gross profit margin.
Only Porsche knows for sure.
Sincerely,
Macster.
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#8
guys i think these numbers are way off.
take the list price in any specific country.
subtract all taxes VAT+any other taxes specific to the country in question
now from the net price, calculate that
- the dealer gets around 15-20% margin
- the National Sales Company about another 15% (PCNA for example)
- then Porsche AG makes the rest
it should all come roughly to the fact that the cost of a single car is around 50% or even less than the list price
take the list price in any specific country.
subtract all taxes VAT+any other taxes specific to the country in question
now from the net price, calculate that
- the dealer gets around 15-20% margin
- the National Sales Company about another 15% (PCNA for example)
- then Porsche AG makes the rest
it should all come roughly to the fact that the cost of a single car is around 50% or even less than the list price
#9
Race Director
You also have to factor in the marketing cost along with everything else.
#10
The usual type of model for this would look like. Revenue is broken down into buckets (to total 100%)
Gross Margin
Cost of Goods Sold (COGS)
RD&E
SG&A
I&W
Contributed Profit
My guess is Porsche runs at 13% Contributed profit
Usually COGS would be 30% to 50%
Gross Margin
Cost of Goods Sold (COGS)
RD&E
SG&A
I&W
Contributed Profit
My guess is Porsche runs at 13% Contributed profit
Usually COGS would be 30% to 50%
#11
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guys i think these numbers are way off.
take the list price in any specific country.
subtract all taxes VAT+any other taxes specific to the country in question
now from the net price, calculate that
- the dealer gets around 15-20% margin
- the National Sales Company about another 15% (PCNA for example)
- then Porsche AG makes the rest
it should all come roughly to the fact that the cost of a single car is around 50% or even less than the list price
take the list price in any specific country.
subtract all taxes VAT+any other taxes specific to the country in question
now from the net price, calculate that
- the dealer gets around 15-20% margin
- the National Sales Company about another 15% (PCNA for example)
- then Porsche AG makes the rest
it should all come roughly to the fact that the cost of a single car is around 50% or even less than the list price
#13
Rennlist Member
lucky SOB's!!! of course, that's not necessarily indicative of build cost. it could be just another (below cost to employees) incentive that you and i and the rest of the p-car community are funding.
#14
guys i think these numbers are way off.
take the list price in any specific country.
subtract all taxes VAT+any other taxes specific to the country in question
now from the net price, calculate that
- the dealer gets around 15-20% margin
- the National Sales Company about another 15% (PCNA for example)
- then Porsche AG makes the rest
it should all come roughly to the fact that the cost of a single car is around 50% or even less than the list price
take the list price in any specific country.
subtract all taxes VAT+any other taxes specific to the country in question
now from the net price, calculate that
- the dealer gets around 15-20% margin
- the National Sales Company about another 15% (PCNA for example)
- then Porsche AG makes the rest
it should all come roughly to the fact that the cost of a single car is around 50% or even less than the list price
#15
I stepped back a few years (before the VW merger) and for 2005/06, you can read their financial statements and get a sense of things:
Revenue: 7.3B Euros
Cost of Materials: 3.2B Euros
Personnel Expenses (am assuming direct/Indirect Mfg labor): 1.0B Euros
Then you get depreciation (0.489B Euros) and Other operating, which may include marketing, R&D at 1.8B Euros.
My guess is the variable cost to build one extra base 911 is about half of MSRP, with maybe higher margins on top line (e.g. Turbo) models.
Revenue: 7.3B Euros
Cost of Materials: 3.2B Euros
Personnel Expenses (am assuming direct/Indirect Mfg labor): 1.0B Euros
Then you get depreciation (0.489B Euros) and Other operating, which may include marketing, R&D at 1.8B Euros.
My guess is the variable cost to build one extra base 911 is about half of MSRP, with maybe higher margins on top line (e.g. Turbo) models.