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Porsche (OTCPK:DRPR.F) Update / Briefing Transcript
2025-10-10 16:30

Porsche AG Q3 Update Summary Company Overview - Company: Porsche AG - Event: Pre-close call for Q3 delivery figures - Date: October 10, 2025 Key Industry Insights - Global Deliveries: Porsche delivered 212,500 vehicles globally from January to September, showing resilience in a challenging environment [5][6] - Electrified Models: Electrified models accounted for 35% of total deliveries, a 13% increase year-over-year, with 23% being fully electric and 12% plug-in hybrids [6] - Regional Performance: North America was the largest market with 64,000 units delivered, a 5% increase year-over-year. Deliveries in China totaled 32,000, reflecting a decline of 26% [6] Core Financial Highlights - Market Share: Porsche increased its market share in five out of six model segments despite intensifying competition [7] - Production Capacity: Production in Q3 is expected to reflect current demand, with a disciplined approach to inventory management in the US and China [9][11] - Cash Flow: The automotive net cash flow is expected to reflect a reduction in elevated inventories and production closures during summer [15][45] Strategic Developments - Product Strategy Realignment: Porsche is undergoing a strategic realignment, expecting incremental expenses of up to €1.8 billion in fiscal year 2025 due to product portfolio decisions [14][18] - Inflationary Pressures: The company anticipates continued inflationary pressures, particularly in material costs and compensation to BEV suppliers [15] - Tariff Impact: The forecast includes a 15% US import duty effective August 1, with mitigation measures being implemented [17][18] Upcoming Product Launches - New Models: The all-electric Cayenne will be unveiled at the upcoming Agnes of Porsche event in Dubai, with positive initial reactions [8] - 911 Turbo S: Strong demand for the 911 Turbo S is noted, with expectations for significant contributions to unit sales in 2026 [40][42] Customer Demand and Individualization - Order Book: Customer demand remains robust, with a high level of individualization in orders, particularly for the 911 Turbo S [12][30] - Pricing Adjustments: Prices in the US have been increased by 2.4% to 3.6% per model, reflecting the impact of tariffs [39] Conclusion and Future Outlook - Financial Guidance: The group return on sales guidance for fiscal year 2025 includes extraordinary expenses related to strategic realignment and tariffs, with expectations for a slightly positive return on sales [19][22] - Long-term Strategy: Porsche is focusing on enhancing brand identity and product flexibility to ensure sustainable long-term success [21][22] Additional Notes - Hedging Policy: Porsche has a conservative hedging policy in place to mitigate currency fluctuations, which is expected to support financial stability [50][52] - Investor Relations: The third quarter results will be published on October 24, with an invitation to the upcoming Agnes of Porsche event in Dubai [22][23]