Virtual Porsche Shareholders Meeting: Dividends doubled

Second General Meeting of Shareholders

Porsche AG will hold its annual general meeting virtually on June 7, 2024.

※You can check all the details here →(Official) Porsche Annual General Meeting site

Let's take a look at the contents:

• Oliver Blume:
  • Porsche has achieved all of its ambitious predictions for 2023
  • Our financial position is strong and we remain profitable even in turbulent times
  • At the same time, sales balance across the globe has improved.
  • 2024 will be a year of new product launches for Porsche, marking the brand's biggest model launch programme in history
  • In the past five months, new models have been introduced in five model series.
  • Starting this year, Porsche will have its most powerful product lineup ever.
  • Launching so many new products in such a short period of time is a complex task and a challenge for the company.
  • We are now building momentum to move full speed ahead to 2025.
  • We are laying the foundation today for future profits and future dividends.

• Dr. Wolfgang Porsche:
  • Thank you to our 42,000 employees
  • On behalf of the Supervisory Board, I would like to offer my special thanks and praise.
  • Thanks to your exceptional individual commitment and sincerity, we have been able to deliver another successful year, despite numerous challenges, so that we will be able to set new standards with our products in 2023 as well.

Proposed dividend for 2023: €2.30 per ordinary share and €2.31 per preferred share

• In accordance with the dividend policy, the Board of Management and the Supervisory Board will propose to the Annual General Meeting a dividend of approximately €2.1 billion for the financial year 2023.
• This equates to a Group profit after tax of just under 411 TP1T, equivalent to €2.30 per ordinary share and €2.31 per preferred share.
• In the medium term, Porsche plans to pay out to shareholders approximately 501 TP1T of after-tax group profits.

• In addition to voting on the dividend proposal, the Annual General Meeting will also include the re-election of shareholder representatives to the Supervisory Board, whose terms will expire at the conclusion of the Annual General Meeting.
• The Supervisory Board will propose to the Annual General Meeting that all ten current shareholder representatives be further elected

• Yield per ordinary share is €5.66 and yield per preferred share is €5.67 in 2023
• Group sales in 2023 to increase by 7.71 TP1T year-on-year to 40.5 billion euros (previous year: 37.6 billion euros)
• Group operating profit increased by 7.61 TP1T year-on-year to 7.3 billion euros (previous year: 6.8 billion euros)
• Group operating margin remains stable at 18.01 TP1T despite global supply chain disruptions and significant investments in digitalisation, product innovation portfolio and brand experience
• Automotive division net cash flow of €4.0 billion in 2023 (previous year: €3.9 billion)

• Vehicles delivered in 2023 increased by 3.31 TP1T from the previous year to 320,221 units.
• The various sales regions are more evenly balanced than in FY2022.
• Porsche's biggest model launch program ever sees Cayenne, Panamera, Macan, Taycan and 911 fully updated
• This will halve the average age of the model lineup
• In terms of technology, the new products are setting new standards in the automotive industry.
• Porsche has many cards up its sleeve, and now is the time to play them.

※Isn't this a little exciting? Oliver said, "We hold many trump cards in our hand – and now is the time to play them."

• On the all-electric Macan, due for release in 2024: Porsche's long-standing bestseller is now all-electric and will remain the best-performing model in its segment.
• We are confident that the new 911 (992.2) will set new standards once again.
• First 911 with hybrid drive is inspired by motorsport and offers more power and improved driving dynamics
• On the Nürburgring Nordschleife, it is 8.7 seconds faster than the previous model (992.2 911 Carrera GTS).
• It is already clear that high-performance hybrid technology is a perfect fit for the 911 Carrera GTS

• Oliver Blume also explained the "V-shaped effect" in the market with the sale of each model.
• The predecessor model will be gradually reduced in terms of unit numbers, while the new model will be phased in based on market and variant.
• This sales and revenue V-curve is normal
• Porsche strives to control this as much as possible in each model series.
• Porsche has always forged its own path and always kept the customer in mind.
• We will face the headwinds and work harder

• Porsche is not just launching new products, it's also investing decisively in the future, even in (and especially in) difficult times.
• Last year alone, we invested almost 5 billion euros in research and development and the Porsche ecosystem – the largest investment in our history
• Porsche is determined to push ahead with digitalization within the company
• 4 billion euros to be invested over the next five years, of which more than 350 million euros will be invested in data and artificial intelligence

Porsche's long-term forecast

• We are pleased with our strong start to the second quarter and continued growth in demand across most regions.
• However, current demand for luxury goods in China is weak across all markets, both consumer goods and automobiles.
• The macroeconomic environment remains challenging, but Porsche AG sticks to its forecast unless the macroeconomic situation deteriorates significantly
• For the full year 2024, Group operating margin is expected to be between 15 and 17 percent (based on Group sales in a range of approximately €40 billion to €42 billion)
• We maintain our forecast that the Group's operating profit margin will be around 17-19% in the medium term
• In the long term, the group aims for an operating profit margin of 20% or more.

Disclaimer:

This press release contains forward-looking statements and information that reflect Dr. Ing. hc F. Porsche AG's current views about future events. These statements are subject to many risks, uncertainties, and assumptions. They are based on assumptions relating to the development of the economic, political, and legal environment in individual countries, economic regions, and markets, and in particular for the automotive industry, which we have made on the basis of the information available to us and which we consider to be realistic at the time of publication. If any of these risks and uncertainties materializes or if the assumptions underlying any of the forward-looking statements prove to be incorrect, the actual results may be materially different from those Porsche AG expresses or implies by such statements. Forward-looking statements in this presentation are based solely on the circumstances at the date of publication.We do not update forward-looking statements retrospectively. Such statements are valid on the date of publication and can be superseded. This information does not constitute an offer to exchange or sell or an offer to exchange or buy any securities.

Source:(Official)Porsche AG updates product range and doubles dividends

Related article:
◆2023 Porsche Summary: Annual Press Conference 2024
◆New car sales at Porsche (Japan & America) in 2023
◆Porsche's new car sales in 2023 (worldwide)

Rika (911supercars.com)

I'm Rika, the author of this article. Ever since Porsche 911 became my favorite car, I've become totally addicted to Porsche, and I can't stop loving Porsche, so I started this blog. My favorite cars are 911 Carrera (991.2), 911 Carrera Cabriolet (992.1), and 911 Carrera T (992.1).