ANALYSIS — Porsche's decline from crown jewel to millstone for parent Volkswagen

Volkswagen cuts 2026 margin forecast to 1% at best Profit warning triggered largely by Porsche weakness Concerns over former profit drivers China and US Group-wide overhaul targets 9% margin and sweeping cuts By Rachel More, Christoph Steitz and Christina Amann BERLIN/FRANKFURT, Sept 21 (Reuters) — Long Volkswagen's most reliable profit driver, luxury sports car maker Porsche has become its biggest problem, creating a road bump for CEO Oliver Blume's restructuring plans at Europe's biggest carmaker. Less than four years after its record listing, Porsche has turned into a poster child for the broader group's woes, dethroned in the once-lucrative Chinese market and bruised from costly missteps in the transition to electric. With thousands of workers protesting against cuts at car plants across Germany on Monday, the crisis goes beyond Porsche and the rest of the sprawling Volkswagen empire, reflecting how Germany's car sector is being squeezed by Chinese rivals and US tariffs. 'Negative Signal' And 'Fragile Situation' Volkswagen issued its latest profit warning on Friday, tying it to a €6 billion ($6.9 billion) writedown on its 75% stake in Porsche only weeks after agreeing heavy.