Porsche has once again set a record for its best-ever results for the 2023 fiscal year, and has announced plans to unveil the highest number of new models in the brand’s history in 2024.
Porsche will introduce four new products in the Panamera, Macan, Taycan, and 911 model lines, laying the groundwork for a successful 2025.
Oliver Blume, Chairman of the Executive Board of Porsche AG, stated, “2024 will be the ‘Year of Porsche Product Launches,’ where we will introduce a variety of enticing sports cars and lay an important foundation for the years to come.”
Revenue increased by 7.7 percent year-on-year to €40.5 billion (2022: €37.6 billion), while operating profit rose by 7.6 percent to €7.3 billion (2022: €6.8 billion). Despite global supply chain risks, significant inflation, high investments in digitalization, an extensive product and innovation portfolio, and brand experience, the operating profit margin remained stable at 18.0 percent. Net cash flow increased to €4 billion (2022: €3.9 billion).
Lutz Meschke, Vice Chairman of the Executive Board and Chief Financial Officer, noted, “The successful results are thanks to attractive products and strict cost discipline,” adding, “Even during volatile times, we achieved high profitability and solid financial performance with a balanced sales structure.”
Porsche delivered 320,221 vehicles last year, a 3.3 percent increase compared to the previous year. This year, the company plans to unveil at least four new products, including the brand’s first electric SUV, the Macan Electric, an upgraded luxury sedan Panamera with innovative technology, the Taycan offering high output and increased range with improved acceleration and fast, stable charging, and the iconic 911 featuring a high-performance hybrid drive.
Porsche aims to pursue a value creation growth strategy through the new models with extensive customization options. The company offers three types of powertrains, including efficient internal combustion engines, appealing plug-in hybrids, and innovative pure electric vehicles, flexibly responding to market demand.
To adapt to changing market and customer demands, Porsche will further enhance E-mobility in the long term, revealing a pure electric Cayenne following the pure electric 718 from 2025 onwards. The product portfolio is also set to expand with a pure electric SUV above the Cayenne.
Investments in innovation, digitalization, and sustainability will continue. In the first quarter of this year, the acquisition of management and IT consulting firm MHP and investment in Silicon Valley’s Applied Intuition will promote vehicle-IT integration and improve customer experience.
Porsche remains committed to ambitious sustainability goals. By 2030, the company plans to fully electrify more than 80 percent of new cars in response to customer demand changes and developments in electric mobility around the world. Additionally, it aims to focus on e-fuels to achieve carbon neutrality for internal combustion engines.
With a comprehensive product renewal, global economic trends, high depreciation of development costs, and ongoing investment in the brand ecosystem, Porsche anticipates revenues of €40-42 billion and an operating profit margin of 15-17 percent this year.
Meschke commented, “We aim for an operating profit margin of 17-19 percent in the medium term and 20 percent in the long term,” adding that Porsche is advancing the ‘Road to 20’ program to achieve long-term profit targets.
Lee Sang-jin daedusj@autodiary.kr