Porsche Reports 2024 Results: Financial Stability Amid Market Shifts

Porsche's 2024 financial results show stability despite a 28% sales drop in China. The company expands its EV strategy, restructures, and adjusts profitability targets. Read the full report.

The past year has been a real test for Porsche. Despite a tough economic environment, a slower-than-expected transition to electric mobility, and challenges in China, the company wrapped up 2024 with solid results.

Porsche reported €40.1 billion in revenue, just 1.1% lower than in 2023. However, operating profit declined more significantly to €5.6 billion (-22.6%), mainly due to supply chain disruptions, weaker demand in China, and global market instability. Nevertheless, net cash flow remained strong at €3.7 billion, nearly matching 2023’s record.

Sales: China Decline Balanced by Growth in Other Regions

Porsche delivered 310,718 vehicles worldwide, marking a 3% drop from the previous year. The biggest challenge was the Chinese market, where sales plummeted by 28% to 56,887 units. Experts attribute this to China’s slowing economy, a real estate crisis, and declining demand for luxury cars.

However, Porsche set sales records in four out of five regions, including Germany, Europe, and North America. The Cayenne (102,889 units), Macan (82,795), and 911 (50,941) remained top sellers.

Electrified models accounted for 27% of total deliveries, with fully electric versions making up 12.7%. The company expects this segment to grow to 33–35% in 2025, with 20–22% being all-electric.

Strategy: Porsche Expands in EVs but Keeps Combustion Engines

Porsche maintains a multi-powertrain strategy, keeping gasoline, hybrid, and electric models in its lineup. In 2024, the company refreshed five of its six model lines, including Cayenne, Panamera, Taycan, 911, and the all-electric Macan. Additionally, Porsche is considering a new SUV line with combustion and hybrid variants to meet evolving market demands.

Porsche is also strengthening its battery technology investments. The company acquired a controlling stake in V4Drive Battery GmbH, ensuring access to cutting-edge battery cells. It also invested €55 million in Cylib, a lithium-ion battery recycling startup, and continues to develop its in-house Cellforce Group GmbH battery production.

Restructuring and Leadership Changes

In February 2025, Porsche announced a restructuring plan, including 1,900 job cuts in Germany by 2029. An additional 2,000 temporary contracts will not be renewed, as the company aims to optimize its workforce.

Leadership changes were also significant: Jochen Breckner became the new CFO, while Matthias Becker took over Sales and Marketing, replacing Lutz Meschke and Detlev von Platen.

Porsche expects 2025 to remain challenging. The company plans to invest €800 million in product development, software, and battery technology. However, operating profitability is forecasted to drop to 10–12% (from 14.1% in 2024) due to rising costs and continued difficulties in China.

Still, Porsche remains confident in its strategy. The company has proven its ability to stay profitable even in turbulent times, and with an updated model lineup and a growing share of electrified vehicles, it is well-positioned for future success.

Source: porsche.com