Ferrari CEO Benedetto Vigna recently announced the company’s plans to launch its first fully electric vehicle in the final quarter of 2025. The luxury carmaker is set to open a new production site in Maranello, Italy, in June to manufacture electric motors, battery packs, and power inverters. With an ambitious forecast that 60% of its sales will come from fully electric and hybrid cars by 2026, Ferrari aims to establish a strong market presence with a new lineup of high-performance electric supercars.
Vigna emphasized that despite the shift towards electric vehicles, Ferrari will not compromise on its core values of performance, design, and driving experience. Unlike other electric cars that are known for their silence, Vigna assured that Ferrari’s electric cars will still deliver the emotional experience that the brand is renowned for. He stated, “Electric cars are not silent. When we talk about luxury cars like our cars, we are talking about the emotion that we are able to deliver to our client.”
One of the challenges Ferrari engineers are currently tackling is recreating the iconic roar of the combustion engines that have been synonymous with Ferrari sports cars since 1947. While traditional electric powertrains are quiet, Ferrari is working on developing “sound signatures” for its electric vehicles to mimic the distinctive sound that enthusiasts associate with the brand.
Ferrari’s shares have experienced significant growth, with a nearly 29% increase year-to-date in 2024 following a 59% surge in 2023. The company reported record earnings last year, with annual net profit surpassing 1 billion euros for the first time. Despite its strong financial performance, research firm CFRA recently downgraded Ferrari’s stock rating to hold from buy due to the substantial increase in its valuation. CFRA senior equity analyst Garrett Nelson highlighted Ferrari’s industry-leading gross margins, pricing power, and strong backlog but noted that the current stock valuation may already reflect these positive aspects.
Ferrari’s venture into electric vehicles represents a significant shift for the iconic luxury carmaker. While the company is committed to preserving its signature performance and driving experience, the successful integration of electric powertrains and the replication of the distinctive Ferrari roar will be crucial for maintaining the brand’s allure among enthusiasts and collectors. As Ferrari navigates the evolving landscape of the automotive industry, striking a balance between tradition and innovation will be key to its continued success.
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