At the company’s annual general meeting (AGM) this week, Porsche confirmed it will “expand its product portfolio to include additional models with combustion engines and plug-in hybrid-drive systems”.
Under the previous model plan, Porsche was essentially going to be an electric vehicle (EV) only manufacturer by 2030 with the exception of the 911 line, which constitutes about 20 per cent of the company’s sales.
That idea is now being officially cast aside and the famed German performance car maker will instead continue to develop its existing internal combustion engine (ICE) models, while also forging ahead with its planned EVs.
In his opening remarks to the AGM, CEO Oliver Blume said the change of tack was because “the ramp-up of electromobility has slowed considerably”.
In 2024, EVs accounted for 26 per cent of all Porsches sold, up from 13 per cent the year before. A further 12 per cent of 2024’s sales came from plug-in hybrid models, up from 12 per cent in 2023.
Hundreds of new car deals are available through CarExpert right now. Get the experts on your side and score a great deal. Browse now.
The Porsche CEO also revealed the company was “examining a new model series” for its SUV range, which will debut “towards the end of the decade”, and will be powered by internal combustion and hybrid drivetrains.
It’s known the company is developing a large flagship SUV to be positioned above the Cayenne.
Reports also indicate Porsche is developing a second-generation petrol-powered Macan to be sold alongside the new EV version. This Macan will reportedly be based on the Volkswagen Group’s Premium Platform Combustion (PPC), and be a close relation to the third-generation Audi Q5.
On top of this, Mr Blume reiterated Porsche’s plan to continue developing and selling the petrol and hybrid versions of the Cayenne crossover and Panamera sedan. These models will continue to be sold “well into the 2030s”.
Over on the EV side of the ledger, Porsche is developing an electric Cayenne, as well as an EV replacement for the 718 Boxster convertible and 718 Cayman coupe.
Developing more models than it initially planned isn’t Porsche’s only stress point. According to Mr Blume, the company’s sales in China have “literally collapsed”, and there are new and uncertain tariff barriers being erected in the US, as well as “trade conflicts and unstable supply chains”.
To mitigate these financial impacts, the company will cut 3900 jobs by 2029, mostly through attrition and allowing contracts to expire. There will be cuts elsewhere, too, to ensure Porsche remains profitable even if only 250,000 vehicles are sold per year – in 2024 Porsche sold 311,000 cars worldwide.
Porsche estimates that increased development costs, global uncertainty, and restructuring will cost it €1.3 billion this year.
Despite the confluence of unfortunate events, Porsche remains profitable, just less so than before, with the company turning a profit of €5.6 billion (A$9.9 billion) last year.
MORE: Everything Porsche
