Porsche AG Faces Market Backlash After Earnings Disappointment

In a surprising turn of events, Porsche AG saw its shares tumble by over 7% following the announcement of its first-quarter results, which fell significantly short of market expectations. The luxury carmaker reported a staggering 44% drop in profit after tax, amounting to €518 million, alongside a 44.5% decrease in earnings per share to €0.56.

Revised Forecasts Signal Tough Road Ahead

Adding to the concerns, Porsche has also revised its 2025 revenue outlook downwards from the previously anticipated €39-€40 billion range to €37-€38 billion. The company's return on sales guidance has been adjusted from 10%-12% to a more conservative 6.5%-8.5%, reflecting the challenges ahead.

By 9:18 am CET, the impact was evident as Porsche's stock price dropped to €43.35, marking a 7.6% decline. This development has left investors and market analysts closely watching the company's next moves.