Vigorous growth for Porsche Middle East and back home in Germany.Sept 29th, 2003
Over in Stuttgart the wheels are spinning. Porsche AG announced recently that the company achieved strong growth during the 2002/03 fiscal year that ended on July 31. This despite the overall slowdown in the sports car business in the USA and Germany, the result of a difficult general situation and a weakened economy. The Cayenne, Porsche’s SUV which was introduced in December 2002 proved to be a motor for growth. Its excellent road dynamics and off-road capabilities are earning it worldwide praise and resulting in successful sales.
According to Mark Bishop, managing director of Dubai-based Porsche Middle East, “Porsche in the Middle East is an equally interesting success story. In the fiscal year 2002/03 we sold 1,137 vehicles in the region, an increase of 171% over the previous fiscal year. 688 were Cayennes and 449 were sports cars, up 10% on the last year.
“Several factors contributed to that success, including of course the introduction of the Cayenne, which has received a phenomenal reception in all our markets. Of course, the tremendous devotion and dedication to the brand of our partners in the region, our importers, has also played a key role in that equation.
“And we are also very confident for the current fiscal year where our target is around 1500 vehicle,” he added. The future is also very active for Porsche in the region. Rigorous sales, after-sales and management training programmes are currently being implemented across the region to cope with the rise in sales. Combined with the opening of new showrooms and workshop facilities in most markets, it leaves little time for Bishop to enjoy the drive.
“However, the future for Porsche in the region is highly encouraging and with the continued support of our partners, we expect the coming years to be exciting and rewarding,” said Bishop.
Back in Germany and according to provisional figures, sales of Porsche AG rose by 23.2 percent to 66,803 vehicles in all (up from 54,234 units in the previous year). The Cayenne model range contributed 20,603 units to this figure, with sales of the Cayenne Turbo amounting to 4,744 units or 23 percent.
73,284 cars were produced altogether, 33.1 percent more than in the previous year (55,050 units). 24,925 Cayennes were built at the new Leipzig plant. 29,571 911s were manufactured, 10.6 percent fewer than the 33,061 units produced in the previous year, the total already including numerous Carrera 4S and Turbo convertibles to be launched this fall. 18,788 Boxsters were produced, 14.6 percent fewer that the previous year’s figure of 21,989 units.
New sales and profit records were achieved as well. The Porsche Group’s turnover went up by 15 percent to 5.6 billion Euros (4.86 billion Euros in the previous year). There was also a significant increase in profit before taxes, despite the investment needed for the start of Cayenne production and its world-wide market launch.
Despite the uncertain economic situation, Porsche is optimistic about the current 2003/04 fiscal year. New versions of its 911 model, including the Carrera 4S convertible, Turbo convertible, the GT3 RS and the “911 40th anniversary” special edition will contribute new sales impetus. The high-performance Carrera GT sports car will be the high-end addition to the sports car range. Porsche expects its sales and turnover to continue to rise, especially as a result of the addition of a six-cyclinder version to the Cayenne model program.
Report from 07/03/2004