Annual Result

Special items relating to the diesel issue, and in particular provisions for technical measures and legal risks, had an impact of €−0.8 (−7.5) billion on cost of sales and of €−4.5 (−6.7) billion on the net other operating result. In addition, special items of €−0.4 (−0.8) billion affected distribution expenses.

In fiscal year 2016, sales were 2.5% higher than in the previous year, at €75.3 billion. This includes an amount of €2.0 billion, relating in particular to rental and leasing, which had been recognized in the other operating result in the previous year. Adjusted for this amount, sales fell slightly compared with 2015. Sales generated abroad accounted for a share of 61.2 (62.1)%. Cost of sales fell by 7.3% to €70.2 billion. In deviation from the previous year, expenditure of €1.4 billion, primarily for rental and leasing, was recognized for 2016 in cost of sales. Gross profit improved to €5.1 (−2.2) billion, of which €0.6 billion was attributable to the reclassifications explained earlier.

At €8.4 billion, selling, general and administrative expenses were €1.0 billion down on the prior-year figure.

The net other operating result improved by €5.0 billion to €−2.0 (−7.1) billion.

Driven by lower net investment income, the financial result declined to €8.7 (13.8) billion.

Including the income tax expense of €0.7 (0.7) billion, net income for the year amounted to €2.8 billion in the year under review, compared with a net loss of 5.5 billion in the previous year.