Stable dividend

Porsche profit fell by 30 percent in 2024

Porsche confirmed that the profit margin will continue to shrink to ten to twelve percent this year due to the tough competition in China and the challenging market situation. Possible import duties from the USA have not yet been taken into account.(Bild: APA/dpa/Sebastian Gollnow)

The German car manufacturer Porsche suffered a significant drop in profits last year. The main reasons for this were increased costs and a sharp decline in sales figures in China.

• Operating profit fell by 22.6 percent to 5.64 billion euros, as the DAX-listed company announced on Wednesday. Earnings per share fell even more sharply by a good 30 percent to 3.95 euros per preference share.

• The dividend is not to be reduced - as in the previous year, 2.31 euros per non-voting preference share will be proposed to the Annual General Meeting. The dividend per ordinary share will again be 2.30 euros.

• As announced last month, the return on sales at Group level fell by around 4 percentage points to 14.1% last year.

• The company has announced plans to cut 1900 jobs. "The extensive rescaling of the company and the investments will have a negative impact on the result for the 2025 financial year," said the new CFO Jochen Breckner. A return of 20 percent remains the long-term ambition; in the medium term, Porsche is aiming for a range of 15 to 17 percent.