Porsche AG Faces Market Backlash After Earnings Report

In a shocking turn of events, Porsche AG saw its shares tumble by over 7% following the announcement of its first-quarter earnings, which fell significantly short of market expectations. The luxury carmaker also revised its 2025 forecast downwards, sending ripples through the investor community.

Financial Performance Takes a Hit

The company reported a 44% plunge in profit after tax, amounting to €518 million, with earnings per share also dropping by 44.5% to €0.56. This disappointing performance has raised concerns among stakeholders about the company's short-term financial health.

Revised Outlook Sparks Concern

Adding to the woes, Porsche has adjusted its revenue outlook for 2025, narrowing it down from the previously estimated €39-€40 billion range to €37-€38 billion. Furthermore, the return on sales guidance has been significantly lowered from 10%-12% to 6.5%-8.5%, indicating potential challenges ahead in maintaining profitability.

At 9:18 am CET, Porsche's stock was trading at €43.35, marking a 7.6% decline from the previous close.