Still No Plans for EV Model of Porsche 911, CEO Says IPO Option Is ‘Interesting’

By Mariliana Fotopoulou Friday, March 19, 2021

Porsche, a luxury car company owned by Volkswagen, said it expects a significant surge in all EV sales in the future, but the car company has no plans of making an EV model of its legendary Porsche 911 sports car.

Porsche logo on hood of car.

Leaving the Best for the End

The renowned luxury car Porsche 911 will be the “last Porsche which is going for full electrification,” said the company’s CEO Oliver Blume, despite the company’s newly-announced plan to electrify 80% of its models by 2030.

“The 911 is our icon. We will continue to build the 911 with a combustion engine. The concept of the 911 doesn’t allow a fully electric car because we have the engine in the rear. To put the weight of the battery in the rear, you wouldn’t be able to drive the car,” he said.

Porsche said 17% of the vehicles it sold in 2020 were EV models. The majority of the company’s car sales are set to become electric vehicles through 2030, Blume added.

He also said that the major part of the 20% of the company’s non-EV sales will be the 911. However, Blume added that Porsche is developing a “sporty hybridization” of the 911.

The German car business announced earlier that it will pour $24 million in “e-fuels,” which should facilitate its plans to become carbon-free through 2030. Porsche executives said that the e-fuels are carbon neutral and that they can serve just like gasoline.

“Porsche aims to have a carbon-neutral balance throughout the entire value chain by 2030,” Blume said. “We are the first major car manufacturer and we want to be an automotive role model to commit to this goal.”

In a separate call to the media, Porsche’s CFO, Lutz Meschke, said he expects the company’s shift to EVs to be profitable, despite the fact that the other businesses’ EV sales have been unprofitable over recent years.

He added that the Porsche Taycan model is already profitable now, and it is very likely that it will hit double-digit margins.

On the other hand, it seems that there are some disagreements within the bigger Volkswagen family on the initial public offers (IPO) plans for the company. Today, Blume said he is “open” to an “interesting” IPO idea, but he insists that it’s not his decision to make.

Three days ago, Volkswagen CEO Herbert Diess said he sees no need for a Porsche IPO, adding it was exactly a performance of this legendary car brand that helped Volkswagen survive its big crisis related to the company’s emissions scandal.

Summary

German car business Porsche said it expects all EV sales to significantly increase in the future. The business added that it has no plans of making an EV version of its legendary Porsche 911 model. Moreover, the CEO of the company says he remains open to the IPO idea, but the final decision will be made by the parent company Volkswagen.

About the Author


Headshot of Mariliana Fotopoulou

Mariliana has an MSC in Consumer Analytics and Business Strategy. She has a special interest in fast-moving industries and Big Data.

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