On Wednesday 11 March 2026, Porsche held its annual press conference to present its financial results for 2025 and detail its strategy for the years ahead. The German manufacturer acknowledged that it had been through one of the most difficult years in its recent history. With declining sales, a sharp fall in profits and a strategic reorientation of the brand, 2025 clearly marks a turning point for Porsche, which is now trying to revive its momentum while continuing its transition to electric vehicles. Almost simultaneously, on the eve of this conference, Porsche presented its new zero-emission model: the Porsche Cayenne S Electric.
2025 results down sharply
The figures unveiled this morning show a real slowdown. In 2025, Porsche generated sales of €36.27 billion, compared with €40.1 billion in 2024, a fall of around 9.5%. But it is above all profitability that has collapsed. Operating profit (EBIT) fell to 410 million euros, compared with 5.64 billion euros the previous year, a spectacular drop of 92.7%. The operating margin, usually very high at Porsche, fell to 1.1%, compared with 14.1% in 2024, while net profit was €310 million, down 91.4%.
In terms of volumes, Porsche delivered 279,449 vehicles in 2025, down 10.1% on the previous year. However, 100% electric models accounted for 22.2% of deliveries, in line with the brand’s initial target of 20-22%.
A number of factors
According to the manufacturer’s management, a large part of the fall in profitability stems from charges estimated at €3.9 billion. These include €2.4 billion linked to a strategic reorientation of the range, €700 million of depreciation on batteries and €700 million of impact linked to customs duties in the United States since the return of President Trump’s « America First » policy.
The slowdown in the Chinese market also weighed heavily. In this key market for premium manufacturers, Porsche sales fell by 26%. This is not an isolated decline for the brand; BMW (-12.5%) and Mercedes (-19%) have also been affected. Added to this are the additional costs associated with the transition to electric vehicles, particularly the Porsche Taycan and Porsche Macan Electric, as well as the significant investment in software development carried out with the Volkswagen Group via the Cariad subsidiary.
« Global challenges and the company’s new direction have had an impact on the 2025 result, » summarised CFO Jochen Breckner at the conference.
A strategy to turn things around
Faced with this situation, Porsche’s new CEO, Michael Leiters, has presented a strategic plan based on three pillars: ‘Leaner, Faster, More Desirable’. The first pillar, Leaner, aims to make the company leaner by reducing fixed costs, which means that Porsche plans to cut around 1,900 jobs by 2029.
The second pillar, Faster, is designed to speed up development cycles and concentrate resources on the models that are most important to the brand. Five vehicles now form the core of the product strategy: the Porsche 911, the Porsche Cayenne, the Porsche Macan, the Porsche Taycan and the Porsche 718.
Finally, the More Desirable theme is intended to reinforce the brand’s emotional image. Porsche wants to continue to focus on personalisation and exclusivity in order to maintain its top-of-the-range positioning, even with potentially lower volumes. « We are repositioning Porsche in an integral way, more efficient, faster and with even more attractive products, » said Michael Leiters.
Electricity remains at the heart of the strategy
Despite the difficulties encountered in 2025, Porsche is not giving up on electrification. For 2026, the manufacturer is forecasting sales of between 35 and 36 billion euros, with an operating margin that could rise to between 5.5% and 7.5%. The proportion of 100% electric vehicles should remain between 20 and 25% of sales, proof that the energy transition is continuing.
A new electric Cayenne unveiled the day before
Electricity never stops for Porsche. On the eve of this annual conference, the German manufacturer presented a new version of its zero-emission SUV: the Porsche Cayenne S Electric. This version completes the Cayenne’s electric range by positioning itself in the middle of the range, between the entry-level Cayenne Electric and the Cayenne Turbo Electric.
Like the other versions of the SUV, this model is based on the Premium Platform Electric (PPE), an 800-volt architecture developed jointly with Audi. The Cayenne S Electric has a power output of 400 kW (544 bhp), which can be increased to 490 kW (666 bhp) with Launch Control, thanks to its dual powertrain and all-wheel drive. Acceleration is faithful to the brand’s sporting DNA, with a 0-100 kph time of 3.8 seconds and a top speed of 250 kph.
In terms of range and recharging performance, it’s convincing on paper, with the brand announcing a 113 kWh high-voltage battery, giving a range of up to 653 km WLTP. Thanks to the 800 V architecture, recharging power can reach 400 kW at a rapid charging point, taking the battery from 10% to 80% in around 16 minutes.
With this new model, Porsche is seeking to expand its electric range in the premium SUV segment, a strategic market for the brand. The response to the launch of the Cayenne Electric at the end of 2025 shows that Porsche is meeting its customers’ expectations, » explained Matthias Becker, Head of Sales and Marketing.
A rebound after 2025?
Despite complicated financial results, Porsche’s management is confident about the future. The year 2025 is presented as a low point in the brand’s transformation cycle, with a rebound expected in the coming years.
Starting this year, Porsche hopes to gradually return to the level of profitability for which it is renowned in the automotive industry, and to maintain its status as a benchmark in the premium segment.
