Core Viewpoint - Porsche has reported a significant financial loss in Q3, with a loss of €966 million (approximately ¥8 billion), leading to a 99% year-on-year decline in sales profit for the first three quarters of the year [3][11]. Financial Performance - In the first nine months of the year, Porsche's sales profit dropped from €4 billion in 2024 to only €40 million, marking a 99% decrease [11]. - The company anticipates customs duties to reach €700 million this year, prompting plans to enhance pricing strategies in 2025 and 2026 to maintain profit margins [11]. Market Challenges - Porsche's electric vehicle (EV) sales have been underwhelming, with only 27% of total deliveries being EVs in 2024, despite a target of over 50% by 2025 [12]. - The company has experienced a 6% decline in global deliveries, with the Chinese market seeing a 26% drop [12]. Product Strategy and Safety Concerns - Recent incidents of EV fires, including a Porsche Taycan, have raised safety concerns, with three fire incidents reported within three days [6][9]. - Porsche has shifted its strategy, postponing the release of certain EV models and introducing new internal combustion engine models to balance its product lineup [12]. Leadership Changes - Current CEO Oliver Blume will step down, with Michael Leiters set to take over in January 2026, amid concerns about potential conflicts of interest due to Blume's dual role as CEO of Volkswagen Group [11][12].