Because of shifting market dynamics and a delay in releasing its first electric vehicle, Bentley Motors is delaying its intentions to provide only all-electric vehicles by the end of this decade.
The renowned British luxury carmaker, according to CEO Adrian Hallmark, is still dedicated to providing only electric vehicles (EVs) and being carbon neutral, but it now intends to achieve so a few years later. According to Hallmark, Bentley will keep selling plug-in hybrids in addition to BEVs, or battery electric vehicles, after its initial 2030 deadline passes.
At a media briefing, he stated, “Whether we deliver all the BEVs by 2031 or not, we still may have some hybrids that we wouldn’t have had post-2030.” “But not for ten years; perhaps just for a few as we exhaust them.”
Since EV adoption is expanding more slowly than many had anticipated worldwide, Bentley is one of many automakers that have changed, postponed, or canceled ambitious EV ambitions.
As part of a plan to invest $3.4 billion by 2030, Bentley was scheduled to produce its first electric vehicle (EV) the following year, and then one new all-electric model annually after that. The company has rescheduled the release of its subsequent vehicles and now anticipates that its first electric vehicle will be available in 2026.
According to Hallmark, software problems and the challenge of building the vehicle’s design to Bentley’s standards caused the first all-electric Bentley to be delayed. He claimed that these difficulties, not shifting market dynamics, were the main reason behind the company’s decision to postpone its EV plans.
According to Hallmark, Bentley plans to invest hundreds of millions of dollars more in plug-in hybrid vehicles in the future. He stated that in order to obtain the intended return on investment, the business must “run them a bit longer” in light of the increase in investment.
Bentley presently sells plug-in hybrid versions of the Flying Spur sedan for $221,200 and the Bentayga SUV for $203,200. Both have engines in addition to EV parts and electric range.
Including its renowned V-12 engines, Bentley still intends to stop producing conventional internal combustion engines next month and its non-hybrid V-8s by July or August.
The Volkswagen-owned company’s 2023 financial results were released along with an update to Bentley’s electric vehicle plans.
13,560 automobiles were delivered globally as a result of such outcomes, an 11% decrease from the record of over 15,200 vehicles in 2022. In comparison to the prior year, revenue decreased by 13% to $3.21 billion, and operating profit decreased by 17% to $644.7 million.
2023 was a fantastic year for Hallmark, but it was also “a year of massive swings in performance across the overall luxury” industry, which had an impact on sales. He listed difficulties such as shifting sales patterns in China, worries about the macroeconomic situation, and increased interest rates for the 30% of customers who lease their cars.
Bentley did far better in 2023 than it did in 2021, when it sold more cars but made less money. According to Hallmark, the rise in income and earnings as compared to the previous two years is a direct consequence of consumers choosing to give their cars greater personalization and accessories.
