Entering March, ushered in the financial report month of major car companies, despite the double impact of the epidemic and lack of core, the financial performance of major luxury brands is still strong, and profits have risen sharply. According to official data, Porsche's revenue in 2021 was 33.1 billion euros (equivalent to about 232.7 billion yuan), an increase of 15% year-on-year. Profit from sales of EUR 5.3 billion (approximately RMB37.2 billion) increased by 27% year-on-year and net cash flow increased by EUR 1.5 billion to EUR 3.7 billion
Next, in addition to maintaining sales growth, Porsche's IPO and electrification are its focus. By 2030, the proportion of pure electric models in Porsche's new vehicles is planned to reach more than 80%.
Sales profit increased by 27% year-on-year
As a brand of the Volkswagen Group, Porsche is one of the best performers. In the past 2021, the Volkswagen Group, despite a decrease of about 600,000 units, increased sales revenue by 12% year-on-year to 250.2 billion euros, and operating profit nearly doubled from last year to 20 billion euros.
Porsche sold only 301,915 units in the full year, but contributed 33.1 billion euros in revenue, an increase of 15% year-on-year. The profit from sales amounted to 5.3 billion euros, accounting for more than a quarter of the Group, an increase of 27% year-on-year. In FY2021, Porsche's global net cash flow increased by EUR 1.5 billion to EUR 3.7 billion (previous fiscal year: EUR 2.2 billion). It is not difficult to see that luxury brands are still quite profitable in 2021, and Porsche officials also said that they achieved a return on sales of 16.0% in fiscal 2021 (14.6% in the previous fiscal year).
In terms of sales, the Chinese market is still Porsche's largest market, but the Americas market is the fastest growing. In 2021, China became Porsche's largest single market in the world for the seventh consecutive year, with Porsche delivering 95,671 new vehicles to customers through 140 sales outlets in China, an increase of 8% year-on-year. Judging by the profit of 5.3 billion, selling Porsche is still very profitable.
In the Americas, Porsche delivered 84,657 new cars, up 22% year-on-year. The U.S. market accounted for the highest share, with 70,025 new vehicles delivered. It is not difficult to see that although it has been greatly affected by the epidemic, American users are still not soft on luxury car consumption.
The IPO will drive Porsche's rapid development
In February, the Volkswagen Group issued a statement on its official website saying that Volkswagen AG and Porsche Automobil Holding SE had reached a framework agreement on the listing of Porsche Motors, confirming the long-rumored news of Porsche's IPO. Wall Street in the United States estimates that if Porsche goes public independently, it will be valued at more than 60 billion euros (equivalent to 425 billion yuan).
At this earnings conference, Porsche also mentioned the IPO issues that the industry cares about. Porsche officials said: "Porsche is in a very good position, whether strategically, operationally or financially. We are therefore confident about the future and welcome the Volkswagen Group's study of the possibility of an initial public offering (IPO) of Porsche AG. This initiative can increase brand awareness and increase business freedom. At the same time, Volkswagen and Porsche can still benefit from future collaboration. ”
For future development, in addition to the IPO, electrification is the future direction of Porsche.
Pure electric vehicles account for 80% in 2030
Previously, Porsche had announced plans to become carbon neutral by 2030. To this end, Porsche expects that by 2025, sales of electric models will account for half of Porsche's overall sales, including pure electric and plug-in hybrid models. By 2030, the proportion of pure electric vehicles in new vehicles is planned to reach more than 80%.
In 2021, a total of 41,296 new cars were delivered for the All-Electric Porsche Taycan, more than double last year's deliveries. This new energy vehicle also surpassed the Porsche "soul" model 911 for the first time. However, to achieve 80% of the proportion of electric vehicles in 2030, Porsche faces no small challenge.
However, Porsche plans to replace all 718s with electric engines. At the same time, Porsche is investing with partners in the construction of high-end charging stations, as well as Porsche's own charging infrastructure. In addition, Porsche has invested heavily in core technologies such as battery systems and battery module production. The newly formed Cellforce company is focusing on the development and production of high-performance batteries, with volume production expected in 2024.
At the upcoming Beijing Motor Show, the Taycan GTS and Taycan Cross Turismo will make their Asian debuts and open pre-sales, when Porsche's lineup of new energy models in China will be expanded to 21 models.
Overall, Porsche achieved year-on-year growth in sales, revenue and profit. More importantly, Porsche also has a detailed plan for the future. The focus of the next work should be on the IPO, which will directly promote the rapid development of Porsche, especially in the electrification that requires greater capital investment!