Porsche plans to release a new all-electric SUV after reporting a recent rise in sales and profits.
- Porsche is targeting wealthy customers by announcing a new all-electric SUV and other electric lineups.
- Details of the SUV have not yet been released, but the company says it also plans to release an all-electric version of the popular Macan next year.
- It is also planning releases of an all-electric version of the 718 sports car and a new electric generation of its Cayenne SUV.
Why it’s news
Luxury EVs have been the leader in sales among all other EVs. Leveraging this position, the long-standing luxury brand Porsche is attempting to step further into the market by introducing a new luxury electric SUV.
“We are underlining and strengthening our sporty luxury positioning,” Porsche CEO Oliver Blume tells The Wall Street Journal. “We see there are growing profit pools in this segment, especially in China and the U.S.”
Porsche merged with its parent company Volkswagen in 2011, with VW holding 75% of the company. Volkswagen took the luxury brand public in September 2022, and it reported a rise in sales and profit in its first earnings report.
Porsche sold 309,884 vehicles in 2022, up 2.6% from the year before.The company’s largest markets were China, with 30% of sales, and the U.S., with 26% of all sales, according to its earnings report.
After reporting its first rise in sales and profits since going public, the company announced that it wants to continue marketing to the luxury crowd and is attempting to compete with other luxury car brands by releasing a new all-electric SUV.
Porsche says the new luxury SUV will be a cornerstone of its plan to boost profitability by having a sharper, strategic focus on high-end automotive consumers, according to The Wall Street Journal.
In 2022 the company had an 18% return on sales, up from the 16% of the previous year, and hopes to see the number hit 20% this year after pushing the new electric models.
The new SUV will be the top luxury car available from the company. The vehicle is still being tested, and no launch date has been announced yet, but the design will feature the distinctive Porsche curved front look and multiple electric amenities.