Porsche 911 Is (Sort Of) The Most Profitable Car Of The Year

16 September 2019 - motor1

Porsche 911 Is (Sort Of) The Most Profitable Car Of The Year

Porsche's 911 is a profit machine.

The new 992 Porsche 911 is already proving to be a huge sales success based on 2019 earnings. According to an analysis of top-selling highly profitable cars, the 911 is clearly the most financially successful and Porsche is just getting started.

When the 992 911 debuted earlier this year, it promised to be a more useful 911 that retains the characteristics that made the previous car great. According to a report shared by Auto News Europe, the Porsche 911 has a 47% profit margin and contributes 29% of Porsche's revenue.

The only other car on earth with a higher profit margin is Ferrari's F8 Tributo which nets a 50% profit margin. The F8 Tributo is only limited to 50 units meaning it makes up a tiny 17% of Ferrari's revenue.

It's also important to note that the base model 911 is the least profitable version of Porsche's iconic coupe. The real money lies in expensive option packages and special edition trims. The 911's greatest strength has always been its versatility and we don't expect that to change with the latest generation.

Michael Dean, Automotive Equity Research Analyst for Bloomberg Intelligence explained to Auto News Europe, "If you assume they sell 10,000 Turbos anyway, plus GT3 and Turbo S's, just the Turbo variants of the 911 alone could actually mean half a billion dollars in terms of profit for Porsche."

With Porsche's strong foothold in the growing Chinese car market, the brand expects huge growth even in the face of slowing car sales in Europe. Porsche's global recognition and the 911's icon status means this highly profitable car is in demand globally and Porsche's just getting started.

Although the base model is the least profitable trim of the 911, Porsche is already seeing an incredible effect on its bottom line. Once the more profitable performance trims become available we expect a massive return on investment for the team at Porsche.

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