Porsche battles profit drop, keeps dividend steady amid cost cuts

Porsche will maintain its 2024 dividend despite a 30.4% drop in net profit, as it faces high costs and weak demand in China. The company lowered its medium-term margin target to 15-17% (down from 17-19%) and expects its 2025 margin to shrink to 10-12% due to an €800 million profit hit from shifting back to combustion and hybrid models.

Compare Top Forex brokers and start trading and investing with a trusted partner

Struggling with a 28% sales decline in China, Porsche is cutting costs like its parent Volkswagen. It plans to eliminate 2,000 more jobs on top of 1,900 already announced and will negotiate further cuts with unions later this year.