Shanghai/Stuttgart. In the 2019 fiscal year, Porsche AG achieved comprehensive growth in terms of new car deliveries, operating income and sales profit (before deducting special affairs expenses). Among them, Porsche’s global new car delivery volume reached 280,800 units, a year-on-year increase of 10%; operating income reached 28.5 billion euros, a year-on-year increase of 11%; sales profit (not deducting special affairs expenses) reached 4.4 billion euros, a year-on-year increase of 3%; (excluding special affairs expenses) was 15.4%; the number of employees was 35,429, a year-on-year increase of 10%.
“As a pioneer in sustainable mobility, Porsche has implemented several important measures in recent years. 2019 saw the launch of several new and emotionally attractive models, including the Taycan, our first all-electric sports car.” Executive Board of Porsche AG Chairman Oliver Blume said: “Thanks to our attractive product lineup, including efficient internal combustion engine models, high-performance plug-in hybrid models and pioneering pure electric models, our new car deliveries in 2019 hits new highs.” However, the past year’s success is more than just record-setting accomplishments, as Mr. Obermo points out: “Our number one goal is value-creating growth. Over the past five years, we have The profit of the company has increased by more than 60%. This has created the prerequisites for us to fulfill our corporate responsibilities in terms of economy, ecology and society, and achieve harmonious development.”
Mr. Obermo, Chairman of the Executive Board of Porsche AG
“In 2019, we set new records in terms of operating income and sales profit (before extraordinary expenses). The increase in sales profit was mainly due to the strong growth in sales volume and the healthy development of our other business areas and divisions. And At the same time, higher fixed expenditures due to overall growth, high investments in electrification and digitalization, as well as exchange rate fluctuations have a certain negative impact on sales profits.” Deputy Chairman and Member of the Executive Board of Porsche AG, Responsible for Finance and Lutz Meschke, Information Technology: “Even so, we exceeded our strategic goals, achieving a return on sales of 15.4% (before extraordinary expenses) and a return on investment of 21.2%.”
Mr. Meschke, Deputy Chairman and Member of the Executive Board of Porsche AG, Responsible for Finance and Information Technology
Diesel issues resulted in special affairs charges of EUR 500 million in the second quarter of 2019. After deducting this expense, Porsche’s global sales profit in the 2019 fiscal year was 3.86 billion euros, with a return on sales of 13.5%.
Strong growth in Germany and Europe
The significant increase in new car deliveries in 2019 was mainly due to the Cayenne and Macan models: Cayenne new car deliveries reached 92,055 units, a year-on-year increase of 29%; Macan new car deliveries reached 99,944 units, an increase of 16% compared to 2018. In Germany and the European market as a whole, Porsche achieved the strongest growth, with a sales increase of 15% in both cases. Among them, 31,618 new cars were delivered in Germany and 88,975 were delivered in the European market. In the United States, one of its largest markets in the world, Porsche also recorded solid growth in 2019: 61,568 new vehicles were delivered, an increase of 8 percent compared to the previous year. Despite the weakness in the overall US auto market, Porsche bucked the trend in the market.
China remains the world’s largest single market for Porsche for the fifth consecutive year
In 2019, Porsche China delivered 86,752 new cars for the whole year, a year-on-year increase of 8%, accounting for 31% of Porsche’s global sales, making it the world’s largest single market for Porsche for the fifth consecutive year. In addition, Porsche China’s financial services, pre-owned cars, optional accessories and other businesses are also making steady progress. The continuously evolving and innovative product lineup, the continuous improvement of the three-dimensional sales network, and the passionate brand experience activities are the main driving forces for Porsche China to achieve steady growth in 2019.
The move of Porsche China headquarters to Lujiazui, Shanghai’s financial center, is one of its most milestone events in 2019, marking the grand opening of a new chapter for Porsche in China. This is the fourth office of Porsche since it entered China, witnessing its 19 years of development in China. While achieving significant economic benefits, Porsche China is also actively fulfilling its social responsibilities. In 2019, Porsche China will continue to deepen the construction of “Colourful Heart” corporate social responsibility through three major issues – “Porsche China Dealer Corporate Social Responsibility Special Fund”, youth art cultivation project, and in-depth cooperation with Tongji University.
Pursue sustainable development as always
The electrification revolution creates more jobs at Porsche: Porsche has created around 2,000 new jobs thanks to the Taycan and launched a comprehensive qualification training program. The production of the purely electric sports car Taycan at the Zuffenhausen plant is carbon-neutral. Since the beginning of 2020, Porsche has replaced all energy supplies at the factory with carbon-neutral energy sources: the new building is not only energy-efficient, but the electricity supply comes from renewable sources; and biogas from waste for heating.
High investment for the future
From 2020 to 2024, Porsche will invest about 10 billion euros in hybridization, electrification, digitalization and will continue to expand its product offering in the field of electric vehicles: the next model to be launched will be the first derivative of the Taycan, the Taycan Cross Turismo ; The new generation of compact SUV Macan will also be electrified, becoming Porsche’s second pure electric vehicle series. It is estimated that by 2025, Porsche’s pure electric and plug-in hybrid models will account for half of the overall sales.
Mr. Obermo said: “Before the Taycan’s world premiere in September last year, we had received about 30,000 intent orders, and more than 15,000 customers have signed purchase contracts. We believe that with the Taycan and the 911, 718 and Cayenne Porsche remains in high demand in 2020 due to the extraordinary appeal of its models such as Porsche.
Mr. Obermo, Chairman of the Executive Board of Porsche AG
“Over the next few months we will find ourselves in a politically and economically challenging environment, not least the uncertainty created by the COVID-19 pandemic,” Mr. Meschke added. Despite Porsche’s substantial investments in electrification, digitization, and plant expansions, the company remains committed to continuing to achieve high profitability. “By taking more efficient measures and opening up new profitable areas, we want to continue to achieve our strategic return on sales target of 15 percent,” emphasizes Mr. Meschke.
Mr. Meschke, Deputy Chairman and Member of the Executive Board of Porsche AG, Responsible for Finance and Information Technology
