Bloomberg named Porsche 911 the most profitable car of the year
The eighth generation of the legendary Porsche 911 brought the German manufacturer a record share of profits – over the year, no other elite car earned so much for its automaker. These revenues will help balance the costs Porsche will need to produce the first Taycan electric car.
The latest version of the Porsche 911, known as the 992 series, has become the most profitable of all cars presented in a year, Bloomberg reports. The eighth generation of sports cars brought Porsche AG 30% of the total profit the company received, while it accounted for only 11% of sales.
In terms of the share of profit brought to the manufacturer, the latest Porsche 911 model exceeded the Ferrari F8 Tributo, Aston Martin DBX, Mercedes-Benz GLE or BMW X5. The F8 Tributo, for example, accounted for 50% of Ferrari sales, but it provided only 17% of the company’s profits. Aston Martin in 2020 plans to double sales of the DBX model (up to 4,500), but the machine will provide only 21% of the company’s revenue. BMW X5 will provide the German automaker no more than 16% of the profits.
All of these cars really allow companies to get “a disproportionately high level of profit,” points out Bloomberg Intelligence analyst Michael Dean. But the new generation Porsche 911, he said, stands out even against their background. “This is a very simple calculation: the Porsche 911 is very profitable in itself, and when you take into account all new generations of the model, the profit becomes huge,” says Dean. He explains that installing ceramic brakes, turbocharging technologies, or other expensive technologies in cars allows the automaker to increase retail prices without raising costs.
In addition, “the appearance of the Turbo model [equipped with a more powerful engine – approx. Forbes] is essentially net profit, ”Dean notes. “Suppose Porsche sells 10,000 Turbo cars, plus some GT3 and Turbo S. In this case, the company will make $ 500 million on Turbo alone,” he explains.
The profit brought by the Porsche 911 will allow the company to balance expenses for the production of the first Taycan electric car introduced in early September, Bloomberg writes. Porsche intends to produce between 20,000 and 30,000 of these machines, which will cost her $ 6.6 billion if we take into account the construction of the new plant necessary for this.
On Tuesday, Porsche also introduced another modification for the 992 series – the Porsche Carrera 4, Kommersant wrote. The cost of the coupe and convertible Carrera 4 on the Russian market has not yet been announced. Rear-wheel drive versions of the model went on sale at a price of 7.2 million rubles and 8 million rubles, respectively.