Business · Companies · 9 hrs ago
Porsche plans a smaller, sportier and more expensive range by 2035
Porsche has announced a new strategy at its research and design centre in Weissach, near Stuttgart, Germany.
Chief executive Michael Leiters, who took the job on January 1, wants the company to focus on a smaller range of sportier cars by 2035.
The plan puts higher value ahead of selling more cars.
Porsche aims to bring its break-even point below 200,000 cars a year and reach an operating margin of 10% to 15% in the medium term.
For its 10,000 most high-end models, the company wants to raise the average price from 270,000 euros to 330,000 euros.
The plan also includes reorganising management and reducing the workforce by 25%.
Porsche says the changes are intended to improve profitability and reassure investors.
Porsche has unveiled a strategy to make its range smaller, sportier and more expensive by 2035.
The plan, called “Sportwagenschmiede 35,” was presented by new chief executive Michael Leiters.
Porsche aims to focus on value rather than sales volume, strengthening profitability and reassuring investors.
The company is targeting a medium-term operating margin of 10% to 15%.
It plans to reduce its workforce by 25% and lower its break-even point to fewer than 200,000 cars a year.
- Who
- Porsche and its new chief executive, Michael Leiters.
- What
- Porsche unveiled a plan for a smaller, sportier and more expensive range by 2035.
- When
- The strategy was presented on October 7; the plan sets a horizon of 2035.
- Where
- At Porsche’s research and design centre in Weissach, near Stuttgart, Germany.
- Why
- Porsche aims to strengthen profitability and reassure investors.
This story does not have two clearly opposing sides.
No direct quotes in the coverage so far.
Michael Leiters became Porsche’s chief executive.
Porsche unveiled its medium-term strategy at its Weissach research and design centre.
Porsche plans to focus on a smaller, sportier range.
- Strategy name
- Sportwagenschmiede 35
- Target operating margin
- 10% to 15% in the medium term
- Break-even threshold
- Fewer than 200,000 cars per year
- Workforce reduction
- 25%
- Top-model average price target
- Increase from €270,000 to €330,000 for the 10,000 highest-end models sold
Sources
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