Earlier, Porsche officially announced the operating conditions for 2021, with both turnover and operating profit (pre-tax profit) hitting record highs. Sales in 2021 amounted to €33.1 billion, up 4.4 billion euros from 2020 (2020: €28.7 billion), an increase of 15 percent. Operating profit was EUR 5.3 billion, up 1.1 billion eur (up 27 percent) year-on-year. The return on sales of Porsche operations was 16% (previous year: 14.6%). Porsche also said that it is estimated that in 2030, 80% of the new cars will be pure electric models, and it is also actively developing high-performance batteries, of which the 718 car series will be converted to pure electric sports cars within 5 years.
In 2021, Porsche will increase its cash flow from €1.5 billion to €3.7 billion (previous year: €2.2 billion). Lutz Meschke, Vice Chairman of the Executive Board of Porsche Worldwide and member of the Executive Board of Finance and IT, believes that this positive growth is also based on the results of the 2025 profitability plan, which continues to generate revenue for the company through innovation and business models.
Meschke said: "Thank you to our motivated employees for making the profitability plan a success. Porsche can further improve operational performance while reducing the profit and loss balance point. It also allows us to maintain the flexibility to continue betting on the future development of the company, even in a tense economic situation. We are decisively pushing for electric power, digitalization and sustainability, and I am optimistic that Porsche will continue to thrive in the current global crisis. ”
In the face of the current tense global situation, humility and caution are required. In addition, Oliver Blume, Chairman of Porsche's Global Executive Board, said: "We still look forward to a halt to Russian action as soon as possible and the resumption of diplomatic dialogue with the safety of the people as the highest priority." "To help the people of Ukraine, Porsche has donated 1 million euros. Experts also continue to examine the extent to which Porsche's operations have been frustrated; porsche production lines have been affected by Russia and Ukraine, meaning that in some cases production will not be able to be produced as scheduled.
"In the coming months, we will face many challenges economically. Nonetheless, we will stick to our unwavering strategic goal over the years to ensure a return on sales of at least 15% in the long run. Lutz Meschke, Vice-Chairman of the Board of Executive Directors of Porsche, stressed: "The task force has taken initial steps to safeguard the company's profitability so that we can continue to move towards our original high-yield targets. Success or otherwise depends on external challenges that we cannot grasp. Porsche is also considering an initial public offering to enhance its brand position.
In 2021, Porsche handed over 301,915 new cars worldwide, marking the record of more than 300,000 deliveries for the first time in the brand's history. The best-selling models were the Macan (88,362 units) and the Cayenne (83,071 units); the Taycan doubled the number of deliveries, with 41,296 owners worldwide welcoming the first pure electric Porsche sports car, which even surpassed the classic 911 sports car, with deliveries reaching a new high of 38,464 units in 2021.
Oliver Blume said: "In addition to the success of the Taycan, we are stepping up the electric attack with another car, and in the next 5 years, the mid-engined 718 sports car will be completely converted to a pure electric model. ”
Future outlook
Last year, nearly 40% of Porsche's new vehicles delivered in Europe were non-pure fuel vehicles, including plug-in hybrid and pure electric vehicles. In addition, Porsche has also announced that it will achieve carbon neutrality by 2030. "In 2025, half of the newly sold Porsches will be electric, including pure electric or plug-in hybrids," Oliver Blume announced, "and in 2030, the proportion of pure electric vehicles will reach more than 80%. ”
To achieve this ambitious goal, Porsche is investing in charging stations with partners and strengthening its own charging infrastructure, with further large-scale investments in core technologies such as battery systems and modular production. The newly formed Cellforce Group is developing and producing high-performance batteries, which are expected to go into mass production in 2024.
In 2021, Porsche will see an increase in deliveries in all sales regions worldwide. China remains the largest single market, delivering nearly 96,000 new vehicles, up 8% from 2020. What does this mean?