Volkswagen holding company Porsche SE recorded a net loss after tax of €923m ($1.08bn) in the first quarter of 2026, driven largely by a €1.3bn non-cash impairment charge against its stake in Volkswagen.

Porsche SE management board chairman Hans Dieter Pötsch said: “The start to the fiscal year is in line with our expectations. At the same time, the business models that have served our core investments well for a long time now need to be realigned. This requires the consistent implementation of intelligent solutions to sustainably strengthen competitiveness and profitability.”

Volkswagen and Porsche AG are part of the group’s “core investments”.

The adjusted result after tax came in at €382m for the January–March period, down from €484m in the same quarter a year earlier, though the net loss represented an improvement on the €1.08bn recorded in Q1 2025.

The impairment on the Volkswagen holding reflected a value-in-use assessment of €36.1bn as of 31 March 2026, against €36.6bn at the close of 2025.

The Porsche AG investment moved in the opposite direction, with its carrying amount rising by €39m following the reversal of a prior write-down; value in use was placed at €5.7bn.

At Volkswagen Group level, first-quarter revenue slipped to €75.7bn from €77.6bn a year earlier.

Operating profit declined by €0.4bn year on year to €2.5bn, with the operating return on sales contracting to 3.3% from 3.7%.

The results absorbed roughly €0.5bn in costs tied to the wind-down of ID.4 production at the Chattanooga plant in the US, which ceased in mid-April 2026.

Group-wide vehicle deliveries fell 4% year on year to 2.05 million units.

Porsche AG Group reported a 5.2% fall in revenue to €8.4bn over the same period. Operating profit dropped to €0.6bn, with operating return on sales narrowing to 7.1% from 8.6%.

Net debt edged up marginally to €5.15bn from €5.10bn at the 2025 year-end.

Porsche SE left its full-year 2026 outlook unchanged, projecting an adjusted group result after tax of between €1.5bn and €3.5bn and year-end net debt in the range of €4.7bn to €5.2bn.

Both Volkswagen Group and Porsche AG also held firm on their 2026 operating forecasts, though each noted that potential effects of the US administration's planned 25% tariff on EU car and truck imports – announced on 1 May 2026 – as well as ongoing Middle East conflict disruptions, had been excluded from those projections.