Porsche reported a first-half operating profit of $1.54 billion

Article by Christian A., on August 1, 2011

Porsche AG reported a major increase in operating profit to 1.07 billion euros ($1.54 billion) in the first half of the year, compared to the 675 million it achieved in the same period last year. The company’s revenue for the same period increased to 5.22 billion euros, up by 19 percent.

Chief Executive Officer Matthias Mueller disclosed in a statement that the company is able to profit through a “very attractive model range” from a high demand worldwide for sports vehicles in the luxury segment.

Profit and margin both went beyond expectations, according to analyst Juergen Pieper at Bankhaus Metzler in Frankfurt. The analysts added that the company has “excellent products" with the Cayenne and Panamera.

Also, the overall environment for luxury vehicles is very solid. Lutz Meschke, the company’s chief financial officer, said that the automaker still aims for a "clearly" double-digit operating margin this 2011. In the first half last year, the company’s operating margin was 15.4 percent.

Meschke disclosed that through their cash flow, they were able to finance all investments as a result of their high profit-earning capacity and “a very healthy cost structure." Luxury and mass-market vehicle manufacturers are eyeing fast-growing markets like China to offset the slow sales improvement in Europe.

Porsche sold 11,712 vehicle units in China in the first half of the year, an increase of 47 percent from the same period last year. Meanwhile, sales in North America increased 25.1 percent in the same period this year to 15,466.

The vehicle market of China, which is the largest in the world, is forecasted to cool down this year with the rising prices of fuel and tighter rules on vehicle registration.

Topics: porsche, profit

If you liked the article, share on:

Comments

Recommended

Nissan revealed that the new 2017 Rogue Sport crossover will be priced in the U.S. market at $21,420. Specifically, this is for the front-wheel drive version of the Rogue Sport...
by - April 26, 2017
Remember the E30 BMW M3? Yes, the one from 1990. If you remember it right, it was also the company’s most iconic car and probably one of the best BMW...
by - April 26, 2017
Ferrari is cooking up something interesting for us. The last time they released the 488 GTB was two years ago, followed by a 488 Spider and several versions of it....
by - April 26, 2017
After launching the latest version of the BMW M550i xDrive, the German carmaker is now introducing its diesel counterpart -- the new M550d xDrive (G30/G31). Available either as a sedan...
by - April 26, 2017
A lot of news has been going around about the 2018 Dodge Challenger SRT Demon lately, and people are arguing whether the 840 horsepower vehicle by Fiat Chrysler should be...
by - April 26, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries