The car manufacturer Porsche is making a heavy loss due to its severe crisis: burdens from the strategic realignment led to an operating loss of almost one billion euros in the third quarter. From January to September, the Group’s operating result shrank to a full 40 million euros from a good four billion euros a year earlier, as Porsche announced on Friday. For the third quarter alone, this resulted in an operating loss of 967 million euros – analysts had expected an average loss of a good 600 million euros. Porsche had announced that it would book around 1.8 billion euros in restructuring costs in the third quarter. The car manufacturer’s shares ended trading on Friday with a gain of 0.7 percent.
Porsche suffers from loss of sales China, where the luxury vehicle market has slumped with the weaker economy. The US import tariffs will cost a mid-three-digit million amount this year. The strategic shift to more combustion engine models and the shift to an electric car platform, the slashing of its own battery production and staff cuts add up to costs of 3.1 billion euros in 2025.
The loss of 1,900 jobs was announced at the beginning of the year, now the company and the works council are negotiating a further workforce reduction program. “We have to assume that the general conditions will not improve in the foreseeable future,” said Breckner. There is therefore a need to talk about “far-reaching approaches” with regard to employment.
While the operating result fell by 99 percent by the end of September, sales and sales only fell by around 6 percent. With 212,069 vehicles delivered, the once successful VW subsidiary achieved sales of almost 27 billion euros. For the year as a whole, Porsche reiterated its repeatedly lowered outlook of 37 to 38 billion euros in sales and a positive return on sales of up to 2 percent. In good times, Porsche was the most profitable German car manufacturer with a 15 percent margin.