Porsche AG Targets Greater Exclusivity, Profitability Under New Strategy

05:53 AM EDT, 10/07/2026 (MT Newswires) -- Porsche AG (P911.F) is setting its sights on increasing its profitability and making its vehicles even more exclusive as part of its new strategy through 2035 to further strengthen its sports car brand. At its capital markets day held Wednesday, the German automaker laid out plans to raise the average selling price of its top-end models by 20% in the medium term and expand into higher-margin segments under its Sportwagenschmiede '35 strategy. The company also intends to boost its offering of highly individualized vehicles to help increase sales and enhance the brand's exclusivity. Porsche aims to achieve group sales of between 41 billion euros and 45 billion euros in the medium term and reaffirmed its target of 10% to 15% in operating return on sales. Over the long term, the group is targeting operating return on sales of 15%. "Our strategy will lay the groundwork to make Porsche significantly more efficient, productive and profitable in three phases. At the moment, the main focus is on reducing costs and making the company more financially robust. We have already achieved some important milestones," Executive Board Chairman Michael Leiters said in a statement. The company confirmed that it reached an agreement with employee representatives to cut 9,000 jobs as part of its strategy, including a commitment to secure its core workforce's jobs until 2035. In the medium term, Porsche also intends to reduce production personnel costs by up to 30%, management positions by 40%, and sales and distribution costs by 20%, among other cost-cutting measures. "Our strategy focuses very much on our medium-term ambition so that the measures and the associated results take effect as early as possible," Leiters added. "Our goal is to be attractive to all stakeholders: our customers, our workforce, our partners and our investors."