How much car brands earn on selling a car? Top 20 list

A recent study of EBITDA (Earnings before interest, tax, depreciation and amortization) of top automakers was released by a German magazine. Here is a list of most profitable automotive brands based on the EBITDA % per unit.

Ferrari emerges on top with EBITDA of 18% which roughly translates into profit of 56,000 euros (around INR 42.57 lakhs) for every car sold. Please note that factoring in taxes, interests, depreciating, amortization would lead to a much lower figure but EBITDA can be taken as a general measure of a company’s current operational performance.

Porsche with an EBITDA percentage of 16.7% comes second but considering that the average vehicle price is much less than Ferrari, the percentage translates into profit of 15,641 euros (around INR 11.89 lakhs).

Thanks to lower wages in Czech Republic compared to Germany, Skoda manages to outshine its parent company to take the third spot with a percentage of 9.6% which leads earning of 1,589 euros (around INR 1.20 lakhs) for every Skoda sold.

BMW is placed 4th with 9.5% (3387 euros or INR 2.57 lakhs per unit) while Audi rounds off top 5 with 8.8% (3,337 euros or INR 2.53 lakhs). VW may have outsold Toyota in the first half of 2016 but the German automaker’s EBITDA percentage of 1.7 is no match to its Japanese rival’s 8.0.

Full List of who earned what-

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Via – Handelsblatt.com