Porsche SE (PSHG) Stock Falls as Profit Drops 14.5% and VW Crisis Deepens

TLDR

• Porsche SE reported a 14.5% drop in adjusted half-year earnings after tax to €949 million
• The reported group result swung to a net loss of €2.2 billion
• Porsche SE is calling on Volkswagen to act “swiftly” to restore competitiveness
• VW faces a restructuring plan that threatens 50,000 more job cuts and possible closure of four German plants
• Porsche SE confirmed its full-year outlook of €1.5 billion to €3.5 billion adjusted profit

Porsche SE, the holding company controlled by the Porsche and Piech families, reported a steep drop in earnings on Friday. Adjusted half-year profit after tax fell 14.5% to €949 million, while the reported group result swung to a loss of €2.2 billion.

Porsche Automobil Holding SE, POAHY

The results were driven lower by weaker contributions from its two main equity stakes. Volkswagen AG contributed €0.8 billion versus €1.2 billion a year ago. Porsche AG contributed €0.1 billion, unchanged year-on-year.

Porsche SE holds 31.9% of Volkswagen and 12.5% of Porsche AG. Both have seen their valuations slide sharply in recent years.

… Continue reading the full article at the original source below.