(Reuters) – Porsche AG on Tuesday cut its sales forecast for this year and warned of weaker production due to a shortage of aluminium alloys affecting several suppliers.
The carmaker said it now expects sales of between 39 billion and 40 billion euros ($43.56 billion) amid flooding at one of its aluminium suppliers’ production facilities. It had previously forecast revenue of between 40 billion and 42 billion euros.
Porsche said the supply shortage has affected production across all of its vehicle lines and could lead to the halt of production of one or more vehicle series.
The automaker said the delay in vehicle production and delivery is not expected to be fully recovered within the next year.
Porsche, owned by Volkswagen (ETR:), added that it now expects a return on sales of between 14% and 15% for this year, down from its previous forecast of between 15% and 17%.
The announcement comes as the company faces weak demand in China, which has seen global deliveries fall 7% in the first half of the year.
Porsche is also struggling with falling electric car sales this year. It tempered its electric ambitions on Monday, explicitly linking them to customer demand and developments in the electric mobility sector.
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