Porsche’s profit climbs on robust 911, Macan combustion-car sales

PORSCHE posted rising earnings in the first half, thanks to robust demand for lucrative combustion-engine models like the Macan sport utility vehicle and the 911 sports car.

Operating profit climbed 11 per cent to 3.85 billion euros (S$5.65 billion) on stable pricing for its vehicles, Porsche said on Wednesday (Jul 26). The key profit contributor to parent Volkswagen confirmed its full-year outlook but cited challenges including rising costs, limited parts availability and geopolitical tensions.

Porsche’s strength continues to be largely dependent on its legacy combustion-engine business. Whereas unit sales rose 15 per cent in the six months through June amid growth in all major regions, deliveries of its only fully electric model, the Taycan, declined 5 per cent as it was more affected by parts shortages.

Porsche has gained some independence from Volkswagen since its partial listing last year and is now implementing measures to bolster returns as it shifts to battery power. The luxury brand plans to launch an all-electric version of its Macan SUV next year, followed by battery versions of the 718 roadster and the Cayenne SUV.

It also struck a partnership with Mobileye Global on autonomous driving and took control of Cellforce, a venture that’s working on high-performance battery cells. BLOOMBERG