Polestar is gearing up for a transformative phase, unveiling a strategy that targets profitability and global expansion by 2025. With a strong focus on sustainability, innovation, and an expanding product lineup, the Swedish EV brand plans to cement its position in the premium electric vehicle market. The company anticipates achieving a 30-35% compound annual sales growth and positive adjusted EBITDA by 2025, while introducing the Polestar 7, a premium compact SUV, to its European manufacturing network.
Key Highlights:
- Ambitious Growth Targets: Aiming for 30-35% annual retail sales growth and positive free cash flow by 2027.
- Expanding Product Lineup: Launching the Polestar 5 performance grand tourer in 2025 and the Polestar 7, a European-made compact SUV, to enter the fastest-growing premium EV segment.
- Dealership Expansion: Plans to increase retail spaces by 75% globally by 2026, with sales beginning in France in 2025.
- Sustainability Goals: Aiming to halve per-vehicle greenhouse gas emissions by 2030 and achieve climate neutrality across its value chain by 2040.
Polestar’s Updated Strategy
Polestar CEO Michael Lohscheller emphasized the brand’s commitment to innovation and efficiency, stating: “We are building on the strong Polestar brand with design and performance at its core. Significant changes are needed to make this well-respected progressive brand a successful and viable business.”
The Polestar 7, targeting the premium compact SUV market, will be manufactured in Europe, adding to Polestar’s asset-light manufacturing model, which already spans the USA, South Korea, and China. This model enhances global production flexibility while reducing costs and complexity.
Commercial Expansion and Revenue Streams
Polestar is transitioning to an active sales model, expanding retail partnerships and spaces in key regions like Europe and North America. Online direct-to-consumer sales remain a priority, offering flexibility for customers. Revenue from CO2 credit sales is also expected to grow significantly, contributing to the brand’s financial stability.
New Customer Offerings
The Polestar Energy app, launching in multiple European markets, promises smarter, more affordable home charging with potential savings of up to 30%. On-the-road charging is also improving, with Polestar owners gaining access to Tesla Superchargers in both North America and Europe.
About Polestar
With headquarters in Gothenburg, Sweden, Polestar operates in 27 markets worldwide. Its model range includes the Polestar 2, 3, and 4, with future launches of the Polestar 5, 6, and 7. By integrating sustainability, design, and innovation, Polestar aims to redefine the premium EV experience while achieving its ambitious environmental goals.
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