Segment reporting Segments are identified on the basis of the Volkswagen Group’s internal management and
Segment reporting Segments are identified on the basis of the Volkswagen Group’s internal management and
reporting. In line with its multibrand strategy, each of the Group’s brands is managed by its own board of management. The Group targets and requirements laid down by the Board of Manage- ment of Volkswagen AG or the Group Board of Management must be complied with to the extent permitted by law. The segment reporting comprises the four reportable segments of Passenger Cars and Light Commercial Vehicles, Trucks and Buses, Power Engineering and Financial Services.
The activities of the Passenger Cars and Light Commercial Vehicles segment cover the development of vehicles and engines, the production and sale of passenger cars and light commercial vehicles, and the corresponding genuine parts business. As a rule, the individual passenger car brands and light commercial vehicles of the Volkswagen Group are combined on
a consolidated basis into a single reportable segment. The Trucks and Buses segment primarily comprises the development, production and sale of trucks and buses, the corresponding genuine parts business and related services. The activities of the Power Engineering segment consist of the development and production of large-bore diesel engines, turbo compressors, industrial turbines and chemical reactor systems, as well as the production of gear units, propulsion components and testing systems.
The activities of the Financial Services segment comprise dealer and customer financing, leasing, banking and insurance activities, as well as fleet management. In the expanded segment structure, purchase price allocation for companies acquired is allocated directly to the corresponding segments. The business of Porsche AG acquired in fiscal year 2012 is allocated to the Passenger Cars and Light Commercial Vehicles segment, with the exception of Porsche’s financial services activities, which are presented in the Financial Services segment.
The Ducati Group is allocated to the Audi operating segment and is thus presented in the Passenger Cars and Light Commercial Vehicles reporting segment. At Volkswagen, segment profit or loss is measured on the basis of operating profit or loss. In the segment reporting, the share of the profits or losses of joint ventures is contained in
the share of profits and losses of equity-accounted investments in the corresponding segments. The reconciliation contains activities and other operations that do not by definition constitute segments. It also includes the unallocated Group financing activities. Consolidation adjustments between the segments are also contained in the reconciliation.
Investments in intangible assets, property, plant and equipment, and investment property are reported net of investments under finance leases. As a matter of principle, business relationships between the companies within the segments of the Volkswagen Group are transacted at arm’s length prices.
REPORTI NG SEGMENTS 2011
Passenger
Cars and Light Commercial
Total Recon- Volkswagen € million
Trucks and
segments ciliation Group
Sales revenue from external customers
158,037 1,300 159,337 Intersegment sales revenue
10,285 –10,285 – Total sales revenue
168,322 –8,985 159,337 Depreciation and amortization
9,623 52 9,675 Impairment losses
96 737 6 744 Reversal of impairment losses
5 85 – 85 Segment profit or loss (operating profit or loss)
12,115 –844 11,271 Share of profits and losses of equity-accounted investments
2,570 –396 2,174 Net interest income and other financial result
–235 5,716 5,481 Equity-accounted investments
10,249 – 10,249 Investments in intangible assets,
property, plant and equipment, and investment property
CONSOLI DATED FI NANC IAL STATEMENTS 283
Income Statement Statement of Comprehensive Income Balance Sheet Statement of Changes in Equity Cash Flow Statement Notes
Responsibility Statement Auditors’ Report
REPORTI NG SEGMENTS 2012
Passenger
Cars and Light Commercial
Trucks and
Recon- Volkswagen
ciliation Group € million Sales revenue from
external customers
1,886 192,676 Intersegment sales revenue
–11,938 – Total sales revenue
–10,052 192,676 Depreciation and amortization
–50 12,997 Impairment losses
11 197 Reversal of impairment losses
3 68 –8 60 Segment profit or loss (operating profit or loss)
–1,373 11,510 Share of profits and losses of equity-accounted investments
– 13,568 Net interest income and other financial result
1,283 414 Equity-accounted investments
– 7,309 Investments in intangible assets,
property, plant and equipment, and investment property
RECONCI LIATION
Segment sales revenue
Unallocated activities
2,303 Group financing
37 34 Consolidation adjustments
Group sales revenue
Segment profit or loss (operating profit or loss)
70 Group financing
Unallocated activities
–3 Consolidation adjustments
11,271 Financial result
Operating profit
7,655 Consolidated profit before tax
BY REGION 2011
Europe and
South Asia/ € million
Other
North
America Oceania Total
Germany
Regions 1 America
14,910 22,983 159,337 Intangible assets, property, plant and equipment,
Sales revenue from external customers
leasing and rental assets, and investment property 2 30,705
1 Excluding Germany. 2 The reporting for companies that were initially consolidated in fiscal year 2011 is now more detailed. This improves the allocation of noncurrent assets to the regions. The figures for fiscal year 2011 were adjusted.
BY REGION 2012
Europe and
South Asia/ € million
America Oceania Total
18,311 33,936 192,676 Intangible assets, property, plant and equipment,
Sales revenue from external customers
leasing and rental assets, and investment property
* Excluding Germany.
Allocation of sales revenue to the regions follows the destination principle.
CONSOLI DATED FI NANC IAL STATEMENTS 285
Income Statement Statement of Comprehensive Income Balance Sheet Statement of Changes in Equity Cash Flow Statement Notes
Responsibility Statement Auditors’ Report
Income Statement Disclosures
1 | Sales revenue
STRUCTURE OF GROUP SALES REVENUE
Genuine parts
Used vehicles and third-party products
Engines, powertrains and parts deliveries
Power Engineering
Rental and leasing business
Interest and similar income
Other sales revenue
For segment reporting purposes, the sales revenue of the Group is presented by segment and market.
Other sales revenue comprises revenue from workshop services, among other things. Sales revenue from construction contracts amounted to €969 million (previous year: €162
million), mainly related to the Power Engineering segment.