Porsche Planning for Electrified Cars to Account for 25 Percent of Car Sales by 2025
【Summary】To account for the increase in EV and hybrid sales, the German automaker will to double its investment in “trends for the future.”
Porsche is one of the few automakers in the world that has made a name for itself by sticking to high-performance sports cars and supercars. The brand has even got against the grain by fitting its engines in the rear, unlike any other brand in the world. The automaker has been in the news recently for its latest supercars — the 700-hp 911 GT2 RS and 520-hp 911 GT3 RS. While the brand is known for its powerful track-ready machines, it's gearing up for the electric future.
Shift In Investments To Take Place
According to a report by The Detroit News, Porsche is looking to make the transition from gasoline-powered machines — as the brand already stated that it would stop making diesels earlier this year — to electrically-assisted ones by doubling its investments in "trends for the future," as it expects all-electric and plug-in hybrids to account for 25 percent of new car sales by 2025.
As the outlet claims, Porsche's been doing extremely well recently, riding the curtails of the extremely popular Macan crossover. With expansions in its sales, profits, and employee base over the past few years, Porsche has amassed a financial cushion, which it will use to help it make the transition.
"We are using our high earnings level to support an unprecedented future development plan," said Porsche Chairman Oliver Blume in the automaker's annual earnings meeting.
And when Blume says high earnings, he really means it. As the outlet states, Porsche sold 246,375 vehicles last year. That helped the brand generate a revenue of $21 billion, four percent higher than in 2016. The automaker's operating profit rose to by seven percent to $5 billion, as well, which comes out to $20,000 on every vehicle.
With its profits, Porsche will reportedly invest $3.75 billion in electrifying a fair share of vehicles in its lineup, stated Blume. Specifically, the money will go towards different versions of the brand's upcoming all-electric Mission E sedan, expanding its lineup with hybrid variants of gasoline cars, improving its electric charging technology, and introducing new digital services.
Just like everyone else, Porsche is under the gun to meet emissions and fuel economy regulations. Porsche may have become famous for its gasoline-powered vehicles, but high-level executives believe that electric vehicles are not only the way forward, but will still appeal to the brand's loyal buyers.
Porsche EVs Will Still Be Porsches
Detlev von Platen, head of sales and marketing for Porsche, claimed that initially, he wasn't sold on the idea of an EV, as he thought the battery-powered powertrain wouldn't be able to match that of a car with a combustion engine. Apparently, a test-drive in a high-end EV changed that.
Porsche, a brand that's synonymous for making performance vehicles that can handle well, is looking to do the same when it comes to EVs. Unlike other brands that are looking for blistering zero-to-60-mph times, the automaker is looking to put its offerings and others against one another around race tracks.
The Mission E is expected to come out in 2019 with 600 hp, a range of approximately 300 miles, and a zero-to-62-mph time of 3.5 seconds. The brand also unveiled a crossover variant of the vehicle at the Geneva Motor Show earlier this month. The German automaker will also unveil a 800-volt home charger that's capable of giving 215 miles of range to a vehicle in just 15 minutes.
Porsche may be working on electric vehicles and even autonomous cars, but it won't leave its fans or buyers high-and-dry with something that doesn't perform on the track.
via: The Detroit News
Vineeth Joel Patel
Joel Patel has been covering all aspects of the automotive industry for four years as an editor and freelance writer for various websites. When it comes to cars, he enjoys covering the merger between technology and cars. In his spare time, Joel likes to watch baseball, work on his car, and try new foods
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