Porsche CEO Blume Has Departed, and a Recognizable Name Takes Over | Carscoops

      It seems that investors were dissatisfied with the halving of Porsche's stock since 2022 under Oliver Blume, even though he will remain at the helm of the VW Group.

      Porsche CEO Oliver Blume is resigning after a decade in the position. He will be succeeded by Michael Leiters, who recently left McLaren. Blume will continue his role as CEO of Volkswagen, a position he has held alongside running both companies.

      A shift is occurring in Stuttgart, and it extends beyond just a focus on combustion vehicle development. Oliver Blume, who has long led Porsche, is stepping down as CEO of the sports car manufacturer, with former McLaren head Michael Leiters set to take over.

      Blume has led Porsche for ten years and assumed the additional role of Volkswagen chief three years ago. However, shareholders have expressed concern that his dual leadership is stretching him too thin, as evidenced by their plummeting assets.

      During Blume’s tenure, Volkswagen shares have dropped nearly 30 percent, while Porsche's stock has seen a 50 percent decrease since its 2022 IPO. This decline was exacerbated by another profit warning, disappointing sales in China, and a slow transition to electric vehicles that the market feels has not progressed swiftly enough.

      Employees have also voiced their discontent, with VW Works Council Chair Daniela Cavallo stating weeks ago, “The CEO cannot be a part-time boss in Wolfsburg and spend the rest of his time at Porsche. This situation must end,” according to Germany's Bild.

      In an official statement, the Supervisory Board of Porsche AG expressed gratitude for Blume's leadership during challenging times, stating: “As CEO of Porsche AG, Dr. Oliver Blume has taken great responsibility and successfully managed the company. We look forward to continuing to work closely and trustingly with him as CEO of Volkswagen Group.”

      Consequently, Blume will step back from Porsche while remaining VW’s chief, and Leiters will assume the top role at Porsche.

      Leiters joined McLaren in 2022 after contributing to the development of Ferrari's SF90 and 296 hybrids. He is originally from Germany and is familiar in Stuttgart, having worked at Porsche from 2000 to 2013, where he helped develop the Cayenne Hybrid.

      Leiters' appointment may mark a return to Porsche's core strengths. With his engineering expertise, a solid luxury-sport focus, and insider knowledge of the brand, he might help refocus Porsche on its core competencies.

      The company recently updated its electrification strategy, committing to invest more in new combustion vehicles and extending the life cycles of current models.

      A new high-end SUV, known as K1 and originally intended as an EV, will now feature combustion and hybrid powertrains instead. Additionally, Porsche is working on a replacement for the gasoline-powered Macan to be sold alongside the new Macan Electric, and it has announced plans to modify the new 718 Boxster and Cayman EVs to also offer combustion powertrains for affluent buyers.

      Blume’s exit will likely not affect these plans and serves as a strategic move to demonstrate to investors that Porsche is actively working to turn things around.