Gasgoo Munich- On March 11, Porsche hosted its 2026 global press conference, outlining its market performance and earnings for the 2025 fiscal year.
Data shows Porsche delivered 279,449 new vehicles to customers in 2025, a 10.1% decline from 310,718 in 2024. In China, including Hong Kong, deliveries totaled 42,000 units last year, slumping 26% year-on-year.
Hit by global challenges and proactive strategic shifts, Porsche AG revenue fell to 36.27 billion euros in 2025, down sharply from 40.08 billion euros a year earlier. Consequently, sales profit plunged from 5.64 billion euros to 413 million euros.
Porsche attributed the steep profit decline to roughly 3.9 billion euros in special charges. These included about 2.4 billion euros for adjustments to its product strategy and headcount optimization, 700 million euros in costs related to battery operations, and a 700 million euro hit from U.S. tariffs.
As a result, the group’s return on sales dropped to 1.1%, down from 14.1% in 2024, landing within the previously adjusted forecast range. The automotive business’s EBITDA margin fell to 13.3% from 22.7%, beating the updated outlook.
Porsche's 2026 global press conference.
"In 2025, Porsche faced massive challenges on a global scale," said Lutz Meschke, Member of the Executive Board responsible for Finance and IT. "Global headwinds and our strategic adjustments weighed on earnings. In 2026, our restructuring measures will still have a one-off impact of several hundred million euros on profitability. Yet we are accepting these short-term hits to ensure we achieve high margins befitting Porsche in the medium term and strengthen the group’s business resilience over the long haul."
Porsche AG is currently accelerating the largest strategic and organizational overhaul in its history. The framework, dubbed the "2035 Strategy," is set to be finalized in the coming months.
Since taking the helm this January, new Chairman of the Executive Board Oliver Blume has quickly sketched out the company's vision toward 2035. "We view current challenges as opportunities and will act more decisively. We will comprehensively reshape Porsche to make the company leaner and more responsive, and our products more compelling," he said.
To achieve this, Porsche is pushing through a series of structural reforms, streamlining its management hierarchy and cutting reporting layers to eliminate bureaucracy, while launching a comprehensive cost optimization drive. On the product front, Dr. Blume revealed the company is considering expanding its lineup to enter higher-margin segments. "From sports cars to the Cayenne, we are developing vehicles and derivatives that go beyond our existing portfolio," Blume emphasized.
Looking ahead to fiscal 2026, Porsche expects the market environment to remain challenging. In China, the luxury segment is under immense pressure, and the price war in the pure electric vehicle sector shows no sign of abating. Meanwhile, geopolitical uncertainty and U.S. tariff policies will continue to cast a shadow.
Porsche projects a return on sales between 5.5% and 7.5% for fiscal 2026, with revenue expected to range from 35 billion to 36 billion euros. The net cash flow margin for the automotive business is forecast to land between 3% and 5%.
