Stuttgarter Autobauer: Porsche will sparen und Profitabilität steigern

Porsche, the sports and off-road vehicle manufacturer, plans to cut costs significantly and focus more on high-revenue vehicles in the coming years, aiming to become more profitable, according to a strategic realignment announcement. This strategy, named "Sportwagenschmiede 35," was unveiled at an event in Weissach, near Stuttgart.

Porsche CEO Michael Leiters stated that the goal is to make Porsche more efficient, productive, and profitable over three phases. Central to the plan are cost reductions, with development costs for future models expected to decrease by up to 20 percent, personnel costs in production by up to 30 percent, and sales and distribution costs by 20 percent.

Material costs are targeted to fall by about ten percent. The number of model variants will also decrease. The company aims for a significantly lower profit threshold, achievable with sales of fewer than 200,000 units. Porsche intends to trim the company's mass, a challenging task as economies of scale typically benefit larger entities.

The share of high-end cars, currently around a third, is to be increased to nearly half by 2030, with a new SUV and a two-seat supersport car expected. Porsche also plans to increase the average selling price of its top 10,000 vehicles from 270,000 euros to 330,000 euros by 2030, including a larger and more expensive SUV besides the Cayenne and a two-seat supersport car above the 911.

The last year saw Porsche struggling with declining sales, especially in China, lower demand for electric models, and high US tariffs, along with billion-dollar expenses for engine extension, which largely consumed the company's profits in 2025. After-tax profits fell 91.4 percent year-over-year to 310 million euros. The crisis at Porsche also heavily impacted Volkswagen's business figures, leading to a joint agreement on a cost-cutting program that aims to eliminate 5,000 more jobs in the Stuttgart region by 2035.