Failure in China and problems with electric vehicles: Porsche reports record losses

The sports car manufacturer Porsche is experiencing the worst crisis in recent years. On Friday, the company will release its quarterly report, which will be the last for CEO Oliver Blume. The new CEO, Michael Leithers, who will take over the company in January, will inherit the operational crisis. This was reported by Reuters.

According to analysts, Porsche will post an operating loss of EUR 611 million for the third quarter. This contrasts with a profit of 974 million euros in the same period last year .

The main reasons for these results were the collapse of sales in China, the pressure of US tariffs, and costs of up to 1.8 billion euros due to delays in the production of electric vehicles.

In the first nine months of 2025, Porsche sold only 32,195 vehicles in China – more than half as many as in the same period in 2022.

"Porsche is facing a serious challenge: in the luxury sports car segment, electric vehicles have not yet been accepted by customers. The key question is whether the new CEO will be able to lead Porsche into the electric car segment," said Ingo Speich of Deka Investment, which owns $48 million in the company.

The new CEO will have to implement a restructuring program that will cut 1,900 jobs in the coming years.

Blume, who will remain CEO of parent company Volkswagen, said he expects "positive dynamics again from 2026" for Porsche. However, analysts are much less optimistic .

Speich noted that Porsche can cope with the current 15% US import duty. But the real challenge will be defining the future for high-performance cars in the electric era and reviving the brand in China.

• on September 4, it became known that the automobile company Porsche AG was leaving the main German stock index DAX and moving to the mid-cap index MDAX.
• In October, the Porsche Executive Committee began negotiations on the resignation of the current Chairman of the Porsche Board Oliver Blume.