In fiscal 2021, Porsche's operating income climbed to 33.1 billion euros, sales profit of 5.3 billion euros, and global sales exceeded the mark of 300,000 vehicles for the first time, all of which reached a record high; Focusing on China, Porsche delivered nearly 96,000 vehicles in the Chinese market, an increase of 8%, making China the world's largest single market for the seventh consecutive year.
Obomu, Chairman of the Porsche Global Executive Board, said: "As the electrification strategy advances, we are reaching out to more new customers in the Chinese market, and in 2021, we delivered more than 7,300 Porsche Taycans to Chinese customers. Looking ahead, Porsche will adhere to the goal of "achieving a return on sales of at least 15% per year in the long term" through internal regulation and independent IPOs.
In fiscal 2021, Porsche, one of the world's most profitable car manufacturers, broke records again, with both operating income and sales profit reaching record highs, and new car deliveries also peaking.
The image is taken from the online conference
On March 18, Beijing time, Porsche announced at the 2022 annual press conference: in fiscal 2021, Porsche's operating income climbed to 33.1 billion euros, an increase of 4.4 billion euros over the previous fiscal year, an increase of 15% year-on-year; Profit from sales was 5.3 billion euros, an increase of 1.1 billion euros or 27 percent from the previous fiscal year. As a result, Porsche achieved a return on sales of 16% in FY2021, above its long-term strategic target of 15%, compared to 14.6% in the previous fiscal year. In response, Oliver Blume, Chairman of porsche's Global Executive Board, said: "Porsche's outstanding performance is based on bold, innovative and forward-looking decisions, all of which are achieved thanks to teamwork. ”
Focusing on the core car sector, Porsche's global sales exceeded the 300,000-unit mark for the first time in 2021, reaching 301915 units, an increase of 11% year-on-year. At the same time, Lutz Meschke, Vice Chairman and Member of Porsche's Global Executive Board and responsible for Finance and Information Technology, also said, "Net cash flow in the automotive sector has grown strongly, with a 67% year-on-year increase to 3.7 billion euros in fiscal 2021." At the same time, the net liquidity of the new car business increased to 5 billion euros, an increase of 2 billion euros over the previous fiscal year. This shows that Porsche has a good brand positioning and the company's core business development momentum is also very positive. ”
Listen to China's voices
"In 2021, Porsche's global deliveries of new vehicles exceeded 300,000 for the first time, of which nearly 96,000 were delivered in the Chinese market, an increase of 8%, making China the world's largest single market for the seventh consecutive year." At the press conference, Obermou repeatedly mentioned Porsche's performance in the Chinese market, which is enough to show the importance porsche attaches to the Chinese market.
Chairman of the Executive Board of Porsche Global Obomu Image from the online press conference
Obermu said, "China's luxury car market will still have huge room for development in the future, which is also a great opportunity for Porsche to reach more consumer groups. With its now rich product lineup and new electric models, Porsche will continue to achieve long-term stable growth in the Chinese market. ”
Maxig also said, "Despite the fierce competition in the Chinese auto market, coupled with the uncertainty of the new crown pneumonia epidemic and chip supply shortages, Porsche has drawn a new record year as the brand's 20th anniversary of Chinese mainland." ”
Vice Chairman and Member of the Board of Executive Directors of Porsche Worldwide Maxig Image from the online press conference
He also lamented, "We are amazed by the wave of digitalization and innovation that is surging in the Chinese market. For Porsche itself, we are embracing change and striving to integrate more deeply into Chinese society. All in all, China is one of Porsche's most important strategic markets, not only because of its eye-catching sales figures, but also for its excellence and vast space in digitalization and innovation. ”
To this end, Porsche has decided to set up an independent digital company in China and has set up a new R&D branch in China as a strong complement to the existing digital business in China. Maxig explains, "This is because Chinese consumers' demand for digitalization and intelligent interconnection of vehicles is the highest in the global market; The satisfaction of Chinese customers with Porsche's digital products and services is an important criterion for evaluating the success of the business. So we hope to be able to get closer to Chinese consumers, listen to their voices in advance, and better understand their needs, especially in terms of digitalization and intelligent interconnection. ”
Create differential electrification
"As the electrification strategy advances, we are reaching out to more new customers in the Chinese market. Porsche is already on the fast track to electrification, and in 2021 we delivered more than 7,300 Porsche Taycans to customers in China, opening up a new target customer base for Porsche. When it comes to Porsche's electrification process, Obermou also uses the Chinese market as a model.
In addition, two Taycan spin-off models, the Taycan GTS and the Taycan Cross Turismo, are about to make their Asian debuts and start pre-sales at the 2022 Beijing International Auto Show. At that time, Porsche's lineup of new energy models in China will be expanded to 21 models.
Looking at the world, the cumulative sales of porsche Taycans in 2021 exceeded 41,000 units, more than double that of 2020, and the number of deliveries even exceeded 911, which fully reflects the welcome and praise of consumers for Porsche's electrification strategy. In addition, around 2025, Porsche plans to present all the mid-engined 718 sports cars in pure electric form.
Porsche's electrification transformation is also speeding up in order to achieve the stated goal of "achieving carbon neutrality by 2030", "to this end, Porsche is investing in the construction of high-end charging stations, as well as Porsche's own charging infrastructure; In addition, Porsche has invested heavily in core technology areas such as battery systems and battery module production; The newly formed Cellforce company is focusing on the development and production of high-performance batteries, which are expected to be in series production by 2024. Sales of pure electric and plug-in hybrid models are expected to account for half of Porsche's overall sales by 2025; By 2030, the proportion of pure electric vehicles in new car sales will exceed 80%. Obermou revealed.
But Obermou also did not forget to emphasize, "sales is not the primary goal of Porsche, for Porsche, maintaining the quality and uniqueness of the product is the key to creating every car." ”
Actively seek an independent IPO
Looking ahead, Maxig said, "We remain steadfast in our long-term strategic goal of achieving a return on sales of at least 15% per annum over the long term." ”
"Faced with the recent difficulties of the automotive industry, Porsche's task force has taken initial steps to safeguard revenue and want to ensure that the company continues to meet high-yield requirements," said Maxig. Thus, within Porsche, the company has created all the favorable conditions for a successful business model, whether strategically, operationally or financially, Porsche is in an excellent position.
In addition, an independent IPO may also become another major weapon for Porsche to maintain high profitability. "We welcome the Volkswagen Group's study of the possibility of an IPO listing of Porsche AG. We believe this will bring a win-win situation for all stakeholders. Because we have a good prerequisite, Porsche maintains a high degree of independence even after integration into the Volkswagen Group. Through an IPO, Porsche can further enhance its brand image and increase the freedom of the company. In the course of the IPO, if Volkswagen were to fully integrate Porsche, the holding and income statement transfer agreement would also be terminated. The Volkswagen Group will also benefit from the listing of Porsche AG, and the IPO will bring more flexibility to the group and help further accelerate corporate transformation. The Volkswagen Group also said that the industrial cooperation between the two sides will continue, which will also ensure that both Volkswagen and Porsche can continue to benefit from synergy. (China Economic Network reporter Guo Yue)