Porsche Cuts 500 Jobs and Exits Non-Core EV Ventures to Strengthen Core Automotive Business

[Company Update] Porsche is shutting down three non-core businesses, cutting over 500 jobs, and plans to continue divesting assets.

Key Developments: Cellforce, Cetitec, and E-Bike Business Discontinued

Porsche has announced the termination of operations at battery R&D company Cellforce, software subsidiary Cetitec, and its high-performance electric bicycle business, citing insufficient market prospects and a strategic realignment. This move will affect over 500 employees in Germany and Croatia, representing approximately 1.25% of its global workforce of around 40,000.

Key Metrics: Q1 Operating Profit Down 22% Year-over-Year

In the first quarter of 2026, Porsche’s operating profit fell to €595 million, with its operating margin shrinking from 8.6% to 7.1%. CEO Michael Lohscheller stated the company plans to eliminate 3,900 positions by 2030 and reduce R&D spending related to electric vehicles.

Strategic Foundation: Divesting Non-Core Assets to Refocus on Premium Vehicles

Following the April sale of its 45% stake in the joint venture between Bugatti and Rimac, Porsche is accelerating its exit from peripheral businesses to address weak sales in the U.S. and Chinese markets and mounting U.S. tariff pressures, thereby revitalizing its core brand competitiveness.