Bentley latest luxury OEM to trim staff despite 2025 profit

Bentley Motors reported a seventh consecutive year of profitability on 17 March, but also announced plans to cut up to 275 jobs—roughly 6% of its workforce—through a consultation process targeting management and non-manufacturing roles. Revenue fell just 1% to €2.62bn (US$3bn) despite a 5% decline in customer deliveries, with the shortfall in volume offset by stronger pricing, a richer model mix, and growing demand for custom orders.

Operating profit came in at €216m, although the figure was weighed down by non-recurring costs tied to the discontinuation of a Volkswagen D-segment platform, US tariff impacts, and adverse currency movements. US tariffs cost Bentley approximately €42m last year—a far sight better than the losses accrued by other OEMs—but Chief Executive Frank-Steffen Walliser still described the industry as “in every aspect under pressure”.

Despite Bentley’s respectable performance, Walliser emphasised that the present situation demands scrutiny of cost structures and efficiency. The job cuts are framed as preparation for the luxury brand’s next phase of electrification more so than an explicit crisis response, with Bentley continuing to self-fund transformation of its facility in Crewe, including a near-complete battery-electric vehicle (BEV) assembly building, a new design centre opened in July 2025, and a paint shop due later in 2026. 

Despite Walliser’s framing, Bentley’s situation is less than desirable. As with most of Western automotive, China remains the most persistent demand headwind for the automaker. The market’s contraction drove the bulk of the volume decline, and Bentley has subsequently joined a growing list of ultra-luxury brands walking back earlier electrification timelines in response to tepid interest among wealthy Chinese buyers. 

The automaker previously targeted an all-electric lineup by 2030 but indicated in November it may continue producing internal combustion engine models beyond 2035. Whether this entails hybrid models or purely gasoline-powered vehicles is unclear. What has been confirmed is that, following the launch of its debut BEV later this year, no further models will arrive before 2030.

The wider luxury segment is under considerable strain. Porsche reported a 91% drop in annual profit and is restructuring within the broader Volkswagen Group cost-cutting programme. Meanwhile, compatriot marque Aston Martin is in the process of shedding up to 600 roles—fully one-fifth of its workforce—after a pre-tax loss of £363.9m (US$486m) in 2025, with US tariffs and subdued Chinese demand cited as the primary causes there too. 

Ferrari and Lamborghini are exceptions to the trend, with both posting record results, suggesting the pressure is falling hardest on brands whose volume strategies left them more exposed to the China pullback. The Iran conflict has added a further layer of uncertainty, and Bentley said it is not currently shipping vehicles into the Middle East region. The automaker confirmed that this does not inherently mean production cuts, indicating that it intends to monitor the situation for the time being.