The luxury automaker announced in February it had shelved plans for its all-electric Lanzador, a 1,341-horsepower “Ultra GT” first announced in 2023. The car, originally slated for a 2029 release, had an estimated price tag of $300,000—about the average pricepoint for a Lamborghini, regardless of power source. Instead, Lamborghini will pivot to developing plug-in hybrid models.

Lamborghini reported record-breaking earnings on Thursday, including 10,747 deliveries in 2025, its highest ever tally. While the company reached $3.7 billion (€3.2 billion) in revenue—a 3.3% year-over-year increase—operating income fell to $885 million (€768 million) from a record of $962 million (€835 million) in 2024. The company attributed the dented profits to Lamborghini’s pivot away from an EV model, as well as uncertainty around tariffs and an unfavorable U.S. exchange rate. 

In an interview with Fortune ahead of the company’s earnings presentation, Winkelmann said part of the sluggish demand for its EV was a lack of developed infrastructure to support all-electric cars on the road.

“We have a lot of customers [who] bought electric cars, and they told us—I spoke to a lot around the globe—that in terms of infrastructure, in terms of charging time, in terms of range…it is very disappointing,” Winkelmann said.

According to an analysis from Motointegrator and DataPulse Research, the European Union has about 910,000 publicly accessible charging stations, despite 3.5 million, or 26%, needed to support the region’s decarbonization efforts. In the U.S., Lamborghini’s largest market, EV charging stations often experience reliability issues, with a Harvard Business School report finding drivers are able to fully recharge their cars using non-residential EV equipment just 78% of the time.

But customers’ reluctance to buy a luxury EV goes beyond logistical issues. “On top of that, the emotional part is very important,” Winkelmann said. 

EVs lack the roar of a traditional internal combustion engine which has been closely aligned with not just the Lamborghini brand, but sports cars more broadly. The lack of vibrations and noisiness of a gas-powered car was a turn-off for customers with a clear picture in their mind of what a Lamborghini is, Winkelmann noted.

“You don’t buy a Lamborghini because you need one, but because you want to have a childhood dream fulfilled,” he added.

How to make a successful luxury EV

The luxury car sector has largely struggled to roll out a fully electric car that resonates with consumers. In 2024, Bentley delayed its electric-only goal from 2030 to 2035—and then scrapped that, saying it will offer hybrid vehicles by then. Porsche announced last September it would no longer build its own EV battery and scale back its electrification plans. Premium carmakers such as Stellantis and Ford both took a step back from EVs, taking $26 billion and $19.5 billion charges, respectively, to pivot away from all-electric cars.

RBC Capital analyst Tom Narayan said it would be an oversimplification to say there’s no demand in the entire sector for high-end EVs, or that the lack of interest in the cars is a result of infrastructure issues.

“There are buyers who want electric-high performance vehicles,” Narayan told Fortune. “Maybe that number isn’t as big as what folks thought. Maybe that number is lower, but to say charging infrastructure is a problem, or, nobody wants a luxury EV, I don’t think that’s really accurate.”

Narayan looks to the highly anticipated Ferrari Luce, the Maranello-based automaker’s EV offering, which will be available to order come late May. Ferrari, which sells about 14,000 cars a year, is able to justify its EV because it can save on research and development for specific components thanks to a connection to its Formula 1 team already heavily investing in parts optimization. 

Ferrari is also a standalone company, in contrast to Lamborghini, which is owned by the Volkswagen Group through its subsidiary Audi. Ferrari has to appeal to a wider audience, making it more strategic to have an EV, Narayan noted. Meanwhile, Volkswagen has doubled-down on its EV plans, reviving its Scout Motors brand to appeal to American audiences, despite evidence of cooling demand.

Because Lamborghini’s ownership is already investing elsewhere in EVs, its own luxury model may not be the most prudent use of resources, Narayan suggested.

“In the context of VW Group,” he said, “it may not be necessary for Lamborghini to electrify.”