Porsche Plans 25% Workforce Reduction, Sets Automotive Cash Flow Margin Target at 9%-12%

At its Capital Markets Day event, Porsche stated that the group's medium-term target for sales operating return is 10%-15%, with an automotive business net cash flow margin target of 9%-12%. The long-term targets are a group sales operating return of 15% and an automotive business net cash flow margin of 12%. The group's medium-term revenue target range is €41 billion to €45 billion, with expected cash generation growth exceeding the proportion. The company plans to lower its break-even point to below 200,000 units through lean operations and cost cuts. Porsche also plans to cut middle management positions by 40% as part of a medium-term strategy, aiming for an overall workforce reduction of 25%, with a strategic goal of cutting 30%.