Porsche to post operating profit, will produce more than 100,000 units next fiscal year

Claus Schmiedel, a member of parliament in Porsche’s home-state of Baden-Wuerttemberg, told the Stuttgarter Nachrichten that Porsche will sell around 80,000 units in the current fiscal year and expects to post a full-year operating profit of between 700 million euros ($979.5 million) and 800 million.

Schmiedel, who said he had spoken to Porsche’s finance chief and taken a look at the sports car maker’s books, says that Porsche is having no problem at an operating level. He said that “the company will achieve an operating margin of 12 percent.”

Schmiedel says that Porsche is looking to sell more than 100,000 cars in the next fiscal year and is aiming at more than 1 billion euros. We’re guessing the new target increase is due to the introduction of the Porsche Panamera, of which Porsche hopes to sell 20,000 units of annually.

Separately, Porsche board of management said yesterday that they still favor a merger with Volkswagen and don’t want to limit the deal to a specific time frame.

As statement release by the board said: “We are convinced that the targeted integrated car-manufacturing group is the best industrial solution for all stakeholders involved. That is the case for the companies as well as for the respective workforce. Thus we do not want to put anybody under time pressure.”

– By: Kap Shah

Source: Reuters