(Reuters) -Shares in Porsche were seen 6.2% lower in early Frankfurt trade on Monday, after the German luxury sports carmaker dialled back the rollout of electric models due to weak demand and slashed its 2025 profitability outlook.
Its parent Volkswagen and holding company Porsche SE, Volkswagen’s biggest shareholder, fell by 4.0% and 2.7% respectively in early Frankfurt trade.
On Friday, Porsche announced a delay in the launch of some all-electric models and said that it expected as a result its profit margin this year to reach a maximum of 2%, down from a previously guided range of 5-7%.
Volkswagen, Europe’s top carmaker, said it would take a 5.1 billion euro ($6 billion) hit from the far-reaching product overhaul at its 75.4%-owned subsidiary.
Volkswagen cut its profit margin outlook to 2-3% from 4-5%, while Porsche SE also cut its outlook for profit after tax.
(Reporting by SimonFerdinand Eibach, Editing by Rachel More)
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