Lotus - summary of financial situation

A decent, simplified summary of Lotus' financial situation. Pretty bleak outlook. If I was a betting man I would say the brand will no longer exist by 2028 unless they build a game-changing model. I found this part of the article to be quite amusing:

In the first-quarter, Lotus delivered just 1,282 vehicles worldwide, or 42% fewer than the same period in the prior year; the shortfall may partly reflect efforts to clear dealer stocks to make room for updated models.

https://archive.is/20250512042043/https://www.bloomberg.com/opinion/articles/2025-05-12/trade-war-has-lotus-sportscars-driving-on-fumes#selection-2015.0-2019.151

 

[GrahamClark_60-68]

Love hearing all the inputs on this, and I hope Lotus is listening! Defintely been a rough patch in the last 4.5 years for any automaker, from Covid and the related supply chain issues, to hard EV mandates in many countries, only to be later recinded/diluted/delayed, causing many resets back to hybrids and even doubling back down on ICE (Mazda!). It's no wonder a small company like Lotus was left in the dust, wondering what the best strategy will be.

And Lotus has always been a low volume specialty manufacturer and has survived a long time this way. I don't have the exact numbers but a quick imperfect google search says this:

• Elise, Exige, and Evora (Model Lines): 51,738 (over 26 years)
• 2023 Deliveries: 6,970, including 63% BEV models
• 2024 (First Nine Months): 7,617 deliveries, up 136% year-on-year, primarily in Europe

So over 26 years of Elise, Exige and Evora production, Lotus sold an average of less than 2,000 cars per year and still stayed in business. 2023 and 2024 saw this production more than triple. Although I realize they've probably lost more money in the last couple of years than in ALL of those previous year combined, it does seem likely to me that either Geely will double down with their deep pockets and pull it through or they'll be sold off at fire-sale pricing to the next suitor committed to keeping the Lotus brand alive. Certainly a return to F1, depending on how that pans out, couldn't hurt in their market visibility/brand awareness. And I agree, time for Bond to be driving an Emira, preferably with skis mounted on top!!

 

[Jinba ittai]

It does seem the market has spoken. Emira good. Emeya and Eletre, not so much. Hopefully they can pivot (back to what they’ve always done)

 

[Nick in Sydney]

It does seem the market has spoken. Emira good. Emeya and Eletre, not so much. Hopefully they can pivot (back to what they’ve always done)

The strategy was deeply flawed, mostly because they launched it about ten years too early. The number of consumers who will buy an all-electric luxury vehicle is still absolutely tiny, and those who have (Taycan buyers) have been badly burned by technology issues and a collapse in residual values.

They should have slowly rebuilt Lotus around Emira and a sporty hybrid SUV aimed at the Macan customer. These could have been manufactured in the existing Hethel facilty. I wouldn't be surprised if that's exactly where they end up in a couple of years. They'll quietly discontinue Emeya and Eletre and launch the TYP 134 as a hybrid.

 

[Tteape0]

I 100% would have bought a sports hybrid for my wife. I love Porsche and the reliability but I do not have a good independent mechanic nearby and the cost of the 40k mile maintenance from the dealer is highway robbery. I enjoy lotus of their service prices. I’d love a Macan or even Cayenne competitor that was a hybrid.

 

[Carbuilder]

Yes, still wonder what some of these current CEO's are thinking, eg, no idea. My simply business rule has always been simple.
"Take care of your staff, take care of your customers and the money comes"

Nice in theory, but not in practice.

Keep in mind the 2 richest CEO's in the world got that way by "treat your staff like slave labor, ignore all your customer complaints, and you will get richer than any other CEO".

 

[Six Speed Stephen]

Nice in theory, but not in practice.

Keep in mind the 2 richest CEO's in the world got that way by "treat your staff like slave labor, ignore all your customer complaints, and you will get richer than any other CEO".

lol wrong

 

[RoryBellows]

Nice in theory, but not in practice.

Keep in mind the 2 richest CEO's in the world got that way by "treat your staff like slave labor, ignore all your customer complaints, and you will get richer than any other CEO".

I'm not sure that's accurate. My 2022 Model 3 was better in just about every way from my 2019 Model 3. The panels were straight, the paint was better, they removed the piano black from the interior. My only complaint was the switch from Michelin to Perellis which I found to be a bit of a downgrade.

 

[MTV]

Nice in theory, but not in practice.

Keep in mind the 2 richest CEO's in the world got that way by "treat your staff like slave labor, ignore all your customer complaints, and you will get richer than any other CEO".

True that is certainly the conception and when youve made a product that either controls the market or people just simply cant get enough of you get away with it. When things get tough Ill stick with my way and people stick with me.

 

[Tomwa]

I'm not sure that's accurate. My 2022 Model 3 was better in just about every way from my 2019 Model 3. The panels were straight, the paint was better, they removed the piano black from the interior. My only complaint was the switch from Michelin to Perellis which I found to be a bit of a downgrade.

What does Musk have to say about resale of his cars and about trade-in values, or experiences in delays getting cars repaired? Or lets be honest, anyone who is just critical of the cars today?

Not saying they don't seek improvements, but at times it seems improvements come despite of him not because of him.