Porsche 2025: Profits hit rock bottom, electrification accelerates

Porsche recorded a year of rare challenges: operating profit for the first nine months of 2025 was only 40 million euros, down 99% year-on-year, operating margin narrowed to 0.2%. Global revenue reached 26.86 billion euros (down 6%), vehicle deliveries were 212,509 (down 6%). In contrast, net cash flow from the automotive segment reached 1.34 billion euros (up 8%).

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Financial picture 9 months 2025

According to the recently released financial report, Porsche's operating profit fell from 4,035 million euros to 40 million euros in 9 months, equivalent to a 99% decline. Global revenue and deliveries both fell 6%, equivalent to a 1.7 billion euro decrease in revenue and 13,517 fewer cars. The operating profit margin on revenue was 0.2%, down 98.6%.

Indicators	Results 9T/2025	Fluctuations
Revenue	26.86 billion Euros	-6%
Operating profit	40 million euros	-99%
Operating profit margin	0.2%	-98.6%
Net cash flow from auto segment	1.34 billion Euros	+8%
Global delivery	212,509 vehicles	-6%

Porsche management described the situation as a period of “short-term sacrifices for long-term strength”. Jochen Breckner, member of the Executive Board responsible for Finance and IT, said: “This year’s results reflect the impact of the strategic reorientation. However, these measures were necessary. We accepted a temporarily weaker financial result in order to strengthen Porsche’s long-term resilience and profitability.”

Switching costs and tariff pressures

The main reason for the profit decline comes from large investments in factory conversions and battery operations, aiming to increase the flexibility of the product portfolio. Porsche said it spent 2.7 billion euros to build new production facilities to serve the expansion of the electric car line. In addition, trade barriers increased costs: the 15% import tax in the US (applied from August 2025) caused the company to suffer losses of hundreds of millions of euros on average.

Total investments for 2025 are expected to reach €3.1 billion, while conservative financial forecasts only target a slight increase in revenue. In this context, Porsche has paused several new EV projects, notably the flagship SUV codenamed “K1”.

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Electrochemistry: a rare bright spot

In contrast to profits, the electrification segment showed a positive trend. Sales of electrified vehicles increased by 35.2% year-on-year; of the total, pure electric vehicles (EVs) accounted for 21.3% and plug-in hybrids (PHEVs) 12.1%. In Europe, the share of electric vehicles in Porsche’s sales structure reached 56%, while the US market increased slightly by 5%.

These figures are somewhat reassuring to investors, as the transition to electric vehicles is seen as a major factor in the short-term decline in profits. However, the decision to postpone the launch of some new EVs shows that Porsche is prioritizing a cautious transition, balancing technological investment with financial endurance.

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Product strategy and outlook 2026

Porsche predicts 2025 as the “bottom”, expecting a significant improvement from 2026 if the transformation plan goes according to plan. The goal is to sharpen the brand image, increase the personality, exclusivity and attractiveness of the products. In this direction, the company focuses on increasing production flexibility, optimizing the portfolio between EV, PHEV and internal combustion engine configurations in key segments.

In the announcement, Porsche stressed that restructuring measures are necessary to increase resilience and sustainable profitability. The improved outlook from 2026 onwards is linked to controlling the pace of investments, adapting to trade barriers and optimizing the electrification portfolio on a market-by-market basis.

Impact on the Vietnamese market

In Vietnam, Porsche has a higher price position than other luxury competitors. In the first 9 months of 2025, Macan was the best-selling model, followed by Cayenne and Panamera. The company also promoted electrified lines such as Macan Electric, Taycan and expanded hybrid versions for Panamera, Cayenne and 911.

With a loyal customer base and traditional profit margins in the high-end segment, a balanced strategy between EV, PHEV and internal combustion engines, if implemented properly, can create room for growth again when market conditions are more favorable.

Related updates

Porsche replaced its CEO amid falling sales and pressure on its electric vehicle strategy, appointing Michael Leiters to replace Oliver Blume. The company also announced it would withdraw from the WEC racing series from the 2026 season. In addition, Porsche postponed some EV plans, prioritizing gasoline and hybrid engines during the period of slowing electric vehicle market.

Overall, the report shows that Porsche is actively “shrinking” in the short term to restructure for a new growth cycle. If the 2025 investments are effective, along with reasonable adjustments to the product portfolio, the recovery prospect from 2026 is possible according to the company's direction.

Source: https://baonghean.vn/porsche-2025-loi-nhuan-cham-day-dien-hoa-tang-toc-10309274.html