Porsche Appoints Michael Leiters as New CEO
Porsche AG announced on October 18, 2025, that Dr. Michael Leiters, the former CEO of McLaren Automotive, will succeed Oliver Blume as the company’s CEO starting January 1, 2026. Blume, who has led Porsche for the past decade, will step back to focus exclusively on his role as CEO of the Volkswagen Group, Porsche’s parent company, amid ongoing restructuring efforts at both organizations. This move allows for dedicated leadership at each entity, as investors have pushed for undivided attention during a period of financial and operational challenges.
Background on Michael Leiters
Leiters, 54, brings a wealth of experience in high-performance automotive engineering and executive leadership:
- Porsche (2000–2013): Spent 13 years at the company, rising to head of development for the successful Macan and Cayenne SUV lines, which became key profit drivers for Porsche.
- Ferrari (2014–2019): Served as Chief Technical Officer (CTO), overseeing vehicle engineering for models like the SF90 Stradale hybrid hypercar.
- McLaren (2022–2025): Led as CEO during a transformative period, including the April 2025 merger with EV startup Forseven, which aimed to bolster McLaren’s electrification efforts.
Wolfgang Porsche, Chairman of Porsche’s Supervisory Board, praised Leiters as “the ideal person to lead Porsche AG into a new era,” citing his technical expertise and leadership style to address electrification, profitability, and the brand’s sports car heritage. Blume echoed this, expressing full confidence in Leiters to guide Porsche’s next chapter after his own tenure that included the company’s 2022 stock market debut and record financial highs.
Reasons for the Leadership Change
The transition is part of a planned handover to tackle Porsche’s recent downturns. Under Blume’s dual role, Porsche achieved milestones like international expansion, but the company now requires focused executive oversight amid Volkswagen Group’s broader reforms. Blume will continue in both positions until the end of 2025 to ensure a smooth shift.
Challenges Ahead for Porsche
Leiters inherits a brand under pressure:
- Declining Sales and Profits: Profit margins have shrunk to 2%, with shares down nearly 50% from peaks. Sales in China dropped 26% year-over-year, as consumers shift toward affordable EVs from rivals like BYD and Xiaomi.
- Electrification and Costs: Balancing investments in new EV models with cost-cutting measures, while navigating hybrid and combustion engine transitions. Potential U.S. tariffs loom without a local factory to mitigate them.
- Market Pressures: Global sales slumps and rising production costs demand a revival strategy focused on efficiency and innovation.
Initial Reactions
The announcement has been met with optimism in industry circles, with executives and analysts highlighting Leiters’ track record in premium vehicles as a strong fit for Porsche’s turnaround. On X, users noted the “flag change” at the luxury automaker, emphasizing Leiters’ role in steering through EV challenges and sales pressures. Some expressed concerns over job cuts and the need for U.S. manufacturing adjustments, but overall sentiment views this as a strategic reset for the iconic brand.