Source; Share options put Porsche on a faster path to profit
Porsche yesterday revealed it earned three times as much money from trading derivatives as it did from selling cars, prompting accusations it was acting more like a hedge fund.
The German luxury sports car maker said €3.6bn ($5.2bn) of its €5.86bn pre-tax profit in the year to July was from share options.
Stripping out the €521m it made from revaluing its 31 per cent stake in Volkswagen, which it controls, and €702m from its share of VW's profits, it made at most just €1.05bn from its "core" carmaking business.
"It does look like a hedge fund," said Stephen Cheetham, an analyst at Sanford Bernstein.
Another London-based analyst said: "It is a hedge fund investing in just one stock."