Porsche to future with positive first-half result

In the first-half of 2017, Porsche AG increased its operating result, revenue, deliveries and number of employees.

Six months into the year, Porsche’s operating result has reached 2.1 billion Euros, an increase of 16 percent. Revenue increased by eight percent to 11.8 billion Euros. The company’s profit margin came to 18.1 percent (prior half-year: 16.8 percent), while the number of deliveries rose by seven percent to 126,497 vehicles. The company’s workforce increased by twelve percent to 29,280 employees.

Porsche AG Executive Board Chairman Oliver Blume says: “The priority of Porsche is to have thrilled customers and secure, sustainable jobs. Strong financial results create a solid foundation for the future. Porsche counts on puristic and passionate sports cars – this currently includes the new 911 GTS, the 911 GT3, the 911 Turbo S Exclusive and the 911 GT2 RS – as well as on future technologies such as plug-in hybrids and pure electric mobility.”

Porsche AG Executive Board Deputy Chairman Finance and IT Member Lutz Meschke stresses that a long-term currency hedging strategy and efficient organisation with a further optimised cost structure underpins the trend of positive results. However, he speculates that the extremely high result from the first half of the year may well be difficult to sustain in the future. “We will only see a return on our sizeable investment for the development of Porsche’s first purely electric sports car and the expansion of production at the Zuffenhausen site once the ‘Mission E’ goes on sale at the end of the decade,” said Meschke. Porsche is investing one billion Euros in the ‘Mission E’ and is creating more than 1,200 new jobs. In addition, the sports car manufacturer is spending a sum in the several hundreds of millions of Euros on future technologies and plug-in hybrid drives. “Its massively challenging,”

Printed and published by Wijeya Newspapers Ltd. on Monday August 28, 2017 at No. 8, Hunupitiya Cross Road, Colombo 02 Meschke continues, “managing a significant sum of investment while sustaining our high level of return at the same time.”

In the current 2017 financial year, provided that foreign exchange rates remain stable, Blume and Meschke expect to see a year-end operating result that is slightly above the previous year’s high level. Furthermore, Porsche will continue to achieve its strategic objective of an operating profit margin of at least 15 percent. In the current discussion about diesel, Porsche accepts full responsibility towards its customers. Porsche does not develop or manufacture diesel engines itself.