Annual Result

Additional special items in connection with the diesel issue amounting to €0.8 billion were recognized in fiscal year 2020. This was mainly due to further provisions for legal risks. Special items had an impact of €−0.8 (−1.8) billion on net other operating result.

At €67.5 billion, sales in the reporting period were down 16.2% year-on-year largely due to the pandemic and the measures taken to contain the spread of the SARS-CoV-2 virus. Sales generated abroad accounted for a share of €40.7 billion or 60.3%. Cost of sales decreased by 15.1% to €63.4 billion.

Gross profit on sales fell accordingly to €4.1 (5.9) billion.

At €7.3 billion, distribution, general and administrative expenses were down €0.7 billion on the prior-year figure.

The net other operating result was €1.3 billion higher, at €0.4 billion. The rise was due particularly to lower expenses for legal and litigation risks.

The €0.7 billion increase in the financial result to €9.8 billion resulted mainly from lower write-downs of long-term financial assets.

Taxes on income declined to €−0.7 (−1.2) billion, particularly due to lower current tax expense and tax refunds for prior years, taking net income for fiscal year 2020 to €6.3 (5.0) billion.