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Porsche Weathers US Tariffs, China Slump With Robust Return

A sculpture featuring Porsche 911s at the Porsche AG factory and headquarters in Stuttgart, Germany.

Photographer: Krisztian Bocsi/Bloomberg

Porsche AG posted profitability at the upper end of its forecast for the year as the German luxury-car maker restructures to become leaner.

The Volkswagen AG brand on Wednesday evening reportedBloomberg Terminal operating profit of €595 million ($696 million) for the first quarter, yielding a return of 7.1%, close to the top of its annual range. The profit was lower than a year earlier, as expected, due in large part to US tariffs and lower deliveries, including a 21% slump in China.