Porsche Hungaria to Strengthen Position in Hungary

The recently appointed Managing Director of Porsche Hungaria (PH), Tamás Wachtler expects an increase in sales of its brands next year. This, he says, will further strengthen the company's share of the Hungarian new car market, which already exceeds 20%.

At a press conference in Budapest on Thursday, Tamás Wachtler said that this is partly due to the fact that the supply chain disruptions in the sector in recent years are beginning to be resolved, which is why many orders are now coming in and more cars are being delivered to customers. He also has high hopes for the model range: PH will launch 23 new and refreshed models in 2024.

Porsche Hungaria's brands have had an outstanding year this year, with 27,661 vehicles delivered in the first 11 months, 12.9% more than in the same period last year. Of the vehicles sold, 977 were electrically powered, a segment that grew by 40.8%.

The CEO is less optimistic about the Hungarian new car market. While the European market is already growing this year, there is still a slight decline in Hungary, with around 130,000 new cars expected to be sold this year, he said, and he expects this to repeat next year. He pointed out that the Hungarian market, like the European one, is already turning into a supply-side market, but that there are still several factors that are pushing it down, such as the high interest rate environment.

Among the market trends for next year, Tamás Wachtler expects a significant upturn in sales of electric vehicles as a result of the new subsidy scheme. According to him, 5% of cars sold in the domestic market in 2023 will be electric, with PH brands accounting for 17% of electric car sales. In the medium term, Tamás Wachtler expects PH brands to take a leading position in the electric vehicle market, as electric models will increasingly dominate their model range.

The CEO pointed out that the market for alternative propulsion vehicles is becoming increasingly crowded, but that all brands can benefit from a surge in customer interest. Competing with the majority of Asian manufacturers is not only about quality, but also about technology-related services. He recalled that the company's MOON brand is already present in Hungary, offering efficient charging options for electric vehicles for private and business customers. The service is already closing its first year with a turnover of EUR 2 million, he added.

Porsche Hungaria is the Hungarian importer of the German Volkswagen Group's brands (Audi, SEAT, CUPRA, Skoda, Volkswagen, Volkswagen commercial vehicles, MOON electric car charging systems) while its used car business is Das WeltAuto. A group of companies has been built up over the past 30 years to support the car trade, including the Porsche Finance Group, Porsche Property Management, Europcar car rental and a logistics center for spare parts.

According to data from the Electronic Reporting Portal, Porsche Hungaria Kereskedelmi Kft. closed the 2022 financial year with net sales of HUF 421 billion and a profit after tax of HUF 3 billion. In the 2021 financial year, the company achieved net sales of HUF 401 billion and a profit after tax of HUF 4.7 billion.