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Porsche Holding records a drop in profits in 2024 but reduces debt

A difficult start for Porsche Holding

Porsche Automobile Holding SE recently announced its financial results for the first nine months of 2024, showing a significant decline in profits. Net profit amounted to 2.5 billion euros, down from 3.8 billion euros in the same period of the previous year. This decrease was mainly influenced by the results of investments in its main investments, Volkswagen and Porsche AG. The company said that automotive market challenges had a direct impact on financial performance
.

Debt management and future prospects

Despite the decline in profits, Porsche Holding recorded a reduction in net debt, down to 5.1 billion euros from 5.7 billion euros in December 2023. This is a positive sign for investors, as it indicates effective management of corporate finances. The holding company expects that for the full year of 2024, the net result will be between 2.4 and 4.4 billion euros, while net debt should be in the range of 5-5.5
billion euros.

Strategies to face market challenges

Porsche Holding’s forecasts suggest a prudent and careful management of financial resources, despite the current challenges of the automotive market. The company continues to work on strategies to improve its financial position and address economic uncertainties. Analysts are watching with interest how Porsche Holding will adapt to changing market dynamics and what measures it will take to optimize its investments. Debt reduction is an important step towards financial stability, but it will also be essential to monitor the earnings trend in the coming quarters
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