While Skirting Bankruptcy, Porsche Makes Profits

It's all your fault, VW! (Err, actually.....it's Porsche's fault)Porsche's financial problems have been making headlines lately, with the company burdened by a massive $12 billion debt accumulated in the company's ill-advised attempt at taking over Volkswagen.

That hasn't been working out too well for them, with the the company forced to raise cash through investors and German government loan guarantees. A bridge loan from VW was required to keep the company operating. Consider that Porsche is the majority shareholder in VW. Kind of odd, isn't it?

Some have speculated that Porsche's problems also have something to do with weaknesses in it's core operating business, but that is not the case. Even in the midst of this recession, the Porsche profit machine is still alive and well. Porsche  expects to post a $975,000,000 operating profit for the full fiscal year.

Nearly a $1 billion dollars, on 80,000 cars sold! That is an extremely impressive figure and Porsche very well could still remain the world's most profitable; all while skirting bankruptcy! Insane, huh.

With numbers like that, I think Porsche is going to be OK if it can somehow find a way to reduce it's massive debt. The worse thing though would be Porsche integration into VW. An independent Porsche is the only way to go!