The old adage that “what goes up must come down” doesn’t always hold true. Sometimes, gravity plays unusual tricks on the mind’s eye. In the world of Lamborghini, their accountants must forgo Newton’s laws of physics and turn to the cold, hard truth of statistics: what goes up can often flatline.

Lamborghini’s revenue surged by 14 percent to €1.62 billion ($1.76 billion) in the first half of the year. Yet, despite this impressive rise, profits remained steady, and margins declined as the brand transitions its entire lineup to hybrid powertrains.

The success of the Urus SUV, priced above €230,000, has bolstered Lamborghini’s production, driven by strong demand from affluent clients. This expansion has allowed the brand to gain ground on rival Ferrari, which sold 13,663 cars last year. Deliveries in the first half increased by 4 percent, reaching 5,558 cars, putting Lamborghini on track to exceed last year’s record of over 10,000 annual sales for the first time.

The U.S. remains Lamborghini’s largest market, with over 1,600 units delivered during the same period. The Europe, Middle East, and Africa (EMEA) region led sales in the first half, with nearly 2,500 deliveries, while the Chinese market accounted for 337 units.

Drive Towards Full Hybridisation

Orders for the Lamborghini Revuelto, the company’s first plug-in hybrid launched last year, are strong, covering more than two years’ worth of production. By the end of 2024, Lamborghini’s lineup will be entirely hybrid. In April, the brand introduced the hybrid Urus, set to debut later this year.

To complete the hybridization process, Lamborghini will unveil a new eight-cylinder hybrid next month to replace the Huracan. Lamborghini’s operating profit remained steady at €458 million in the first half, while its operating profit margin decreased to 28.2 percent from 32.1 percent the previous year.

The company’s mixed financial results reflect substantial investments in hybrid technology, an even distribution of costs throughout the year, and a negative foreign exchange impact.

Lamborghini plans to launch its first fully electric model, a 2+2-seater grand tourer, in 2028. will be followed by a battery-powered version of the Urus in 2029.