EQS-Adhoc: Dr. Ing. h.c. F. Porsche AG: Strategic Realignment of product portfolio; Forecast adjustment and adjustment of midterm expectations

Dr. Ing. h.c. F. Porsche Aktiengesellschaft strategically realigns its product portfolio and adjusts its forecast for the 2025 financial year as well as medium-term expectations

Stuttgart – With the approval of the Supervisory Board, the Executive Board of Dr. Ing. h.c. F. Porsche Aktiengesellschaft (“Porsche AG”) has decided on significant adjustments to the product portfolio (hereinafter referred to as the Cycle Plan). In this respect, the Cycle Plan contains a strategic realignment of the company:

• The product range is to be supplemented by brand-defining vehicle models with combustion and hybrid drivetrain. The new SUV series above the Cayenne, which has so far been intended exclusively as all-electric, will initially not be offered as an all-electric vehicle at market launch, but with combustion and hybrid models.

• In addition, the production period of currently available vehicle models with combustion and hybrid drivetrain will be extended. New generations of successor models have been added to the Cycle Plan for these vehicle models.

• On the other hand, due to the delayed ramp-up of electromobility, the market launch of certain all-electric vehicle models is planned to take place at a later date. In particular, the development of a new platform for electric vehicles is to be rescheduled. The platform is to be technologically redesigned in coordination with other brands of the Volkswagen Group. Nevertheless, the existing all-electric model range is being continuously updated.

Porsche AG expects the realignment of the product portfolio to have a positive impact on the financial figures for the medium to long-term period. At the same time, Porsche AG expects considerable additional burdens due to changed external framework conditions. These include US import tariffs, the decline in demand in China and the effects resulting from the slowdown in the ramp-up of electromobility. Porsche AG assumes that the strategic realignment envisaged in the Cycle Plan will only partially compensate these additional burdens. Accordingly, Porsche AG is now aiming for a medium-term operating return on sales in the double-digit range, with good business development of up to 15%, which corresponds to the lower end of the previous range.

However, the rescheduling of the new platform for electric vehicles will necessitate depreciation and provisions, which are expected to burden the operating profit by up to €1.8 billion in the 2025 financial year. The current forecast for the 2025 financial year published by Porsche does not take these burdens into account. Against this background, the Executive Board has decided today to adjust the forecast for the 2025 financial year. For the financial year 2025, the following figures are now expected:

• a sales revenue between €37 and €38 billion (previous forecast: €37 to €38 billion),
• a slightly positive return on sales of up to 2% (previous forecast: between 5% and 7%),
• an automotive net cash flow margin between 3% and 5% (previous forecast: between 3% and 5%),
• an automotive EBITDA margin between 10.5% and 12.5% (previous forecast: between 14.5% and 16.5%) and
• an automotive BEV share between 20% and 22% (previous forecast: between 20% and 22%).

In view of the strong equity position in Porsche’s balance sheet and the still expected robust automotive net cash flow, the Executive Board intends to propose the distribution of a dividend for the 2025 financial year, that would significantly exceed the communicated medium-term dividend policy of approximately 50% of IFRS profit of the group after taxes in terms of the percentage payout ratio. However, in terms of the actual amount, such a dividend distribution in 2026 would be significantly lower than the dividend distribution made in this financial year.

The definitions of these key figures are contained in the Annual and Sustainability Report 2024 on pages 126 et seq. The Annual and Sustainability Report 2024 is available at: https://investorrelations.porsche.com/en/financial-figures/