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By Benjamin Chiou
Date: Wednesday 13 Aug 2025
LONDON (ShareCast) - (Sharecast News) - Frankfurt-listed holding company Porsche Automobil Holding, otherwise known as Porsche SE, on Wednesday slashed its profit forecasts for 2025 and announced a diversification of the business to focus further on the defence sector.
Due to downgraded outlooks for Volkswagen AG (Porsche SE is the German auto group's largest shareholder) and namesake brand Porsche AG, the company now expects adjusted net profit to be somewhere between €1.6bn-3.6bn, cutting the guidance range by €800m.
Adjusted profits totalled €1.1bn over the first six months of the year, down from €2.1bn in the first half of 2024.
Bottom-line, unadjusted results showed just €0.3bn in net profits in the first half, compared with €2.1bn a year before.
Porsche SE chair Hans Dieter Pötsch said the company was closely monitoring the areas of "defence capability, security and European resilience", and is looking to increase involvement in defence-related sectors going forward - starting with investments into up-and-coming tech companies.
Porsche SE, which already operates in the sectors through investments in companies like Isar Aerospace and Quantum Systems, said it was "intensively examining possible investment options in the defence sector as a future field of strategic importance".
"The planned development of debt, the strengthened financing profile and the unchanged high level of gross liquidity provide Porsche SE with the financial headroom to continue diversifying," the company said in a statement.
"Against the backdrop of a changing geopolitical situation and growing security policy requirements, Porsche SE sees considerable development potential in the defence and security sector and intends to capitalise on this."
Porsche SE shares were down 0.9% at €36.20 by 1113 CEST.
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