Porsche’s car making business has seen profits rise by 22 per cent. The company’s overall profits took a huge dent thanks to the Volkswagen takeover saga but the company’s car making business is showing fully taking advantage of the current booming luxury car demand.
Porsche earnings before tax increased to €2.05 billion which is an increase from €1.67 billion one year earlier. Sale profits also increased to €10.9 billion with an 18 per cent increase.
The Porsche Cayenne SUV
The Porsche Cayenne SUV has played a huge part in that statistics with demand for luxury SUV’s increasing in 2011. This model in particular is helping drive profits higher. With the car being so expensive, profits margins are naturally larger. Porsche sold 59,873 of them in 2011.
The Porsche Panamera
The spectacular Porsche Panamera four door coupe managed to sell 28,218 units which represents a 20 per cent increase from 2010.
Overall the Porsche Cayenne and the Porsche Panamera helped Porsche record a profit margin of 19 per cent in terms of revenue.
Another target for 2018
Porsche have set a target just like their majority shareholder Volkswagen for 2018. Whereas Volkswagen aim to become the world’s number one car producer by 2018, Porsche are aiming to sell 200,000 by the same year. Both targets go hand in hand.
Another sales recorded targeted for this year
By the end of this year alone Porsche hope to sell a record 140,000 cars. Last year saw total sales hit a record of 116,978.
The only way is up
This year Porsche have claimed that the only is up in terms of profits. With the demand for the new generation Porsche 911 and the new Porsche Boxter (showcased at the Geneva Motor Show) Despite a massive debt crisis throughout Europe and other parts of the world Porsche still expect to deliver on all fronts.
Stock prices increased
Following the news, Porsche’s stock prices have also risen showing that the company are showing strong growth at present.
The Volkswagen and Porsche saga
Volkswagen currently own half of Porsche after purchasing 49.9 per cent for €3.9 billion back in 2009. Originally it was Porsche who got too far ahead of themselves and attempted to buy Europe’s largest car producer outright. This attempt at a takeover was disastrous and ended up with top executives losing their jobs. Porsche ended up in debt and were almost made bankrupt.