BERLIN: Volkswagen’s embattled sports car maker Porsche on Tuesday reported a recovery in profit in the first nine months of the year, an early test of CEO Michael Leiters’ turnaround plan to downsize and retreat from China.
Operating profit of €1.74 billion ($1.94 billion) followed a weak prior-year result of €40 million, when the carmaker was hit by €2.7 billion in costs largely related to its halted electrification strategy, the company said.
“Even in a challenging market environment, Porsche is showing itself to be financially robust,“ Porsche finance chief Jochen Breckner said, confirming the carmaker’s guidance for 2026.
Leiters was brought in at the start of the year to correct Porsche’s course. He plans to restore profitability with more customisation and exclusive higher-margin models.
Declining sales in China have hit Porsche as well as parent Volkswagen and fellow subsidiary Audi, prompting a sweeping restructuring of the group.
Porsche’s operating return on sales hit a record low of 1.1% in 2025 but improved to 6.9% in the nine-month period, within a targeted range of 5.5% to 7.5% for the full year.