Porsche (P911) Q1 2026 earnings summary

Executive summary

• Q1 2026 sales revenue declined 5.2% year-over-year to €8.4 billion, with operating profit down 21.9% to €595 million, reflecting lower deliveries (down 14.7% to 61,000 units) and challenging market conditions, especially in China and the US.

• Strategic realignment and portfolio measures are underway, focusing on core business, efficiency, and value over volume, with targeted cost and structural initiatives already initiated.

• The planned divestment of Rimac and Bugatti Rimac assets, valued at €411 million, is expected to close within 12 months, bringing a significant cash inflow and impacting financial income.

• The company maintains a disciplined pricing strategy, prioritizing brand exclusivity and profitability over volume, especially in challenging markets.

• CEO transition to Dr. Michael Leiters effective January 2026.

Financial highlights

• Group revenues fell 5.2% year-over-year to €8.4 billion, with operating profit at €595 million and an operating margin of 7.1%.

• Automotive net cash flow rose to €514 million (from €198 million), with a margin of 7% (up from 2.5%), despite €400 million in extraordinary cash outflows and €200 million in tariffs.

• Gross profit fell 13.1% year-over-year to €1.6 billion, and profit after tax dropped to €391 million.

• Automotive EBITDA margin was 17.2%, and net liquidity increased to €7.9 billion.

• Extraordinary expenses of €100 million and increased US import tariffs of €200 million were recorded in Q1.

Outlook and guidance

• 2026 guidance confirmed: group return on sales of 5.5%-7.5%, automotive net cash flow margin of 3%-5%, and EBITDA margin of 15%-17%.

• 2026 sales revenue forecast: €35–36 billion; BEV share expected at 24–26%.

• Guidance includes €800-900 million in extraordinary expenses and €700 million in US tariffs.

• Retail and wholesale volumes in 2026 expected below 2025, with BEV share rising due to the electric Cayenne launch.

• Potential M&A or divestments (e.g., MHP) are not included in the outlook; any such transactions could result in one-off effects.