Ferrari Earnings Show Robust Core Growth Amid Steady Forecasts
In a recent financial disclosure, Ferrari (RACE.MI), the esteemed
Benedetto Vigna, Ferrari’s Chief Executive, expressed satisfaction with the company’s performance, highlighting the double-digit growth in both revenue and profits. “This was achieved through an even stronger product and country mix as well as a greater contribution from personalisation,” Vigna stated. He reaffirmed the company’s commitment to its ‘value over volume’ strategy, which continues to yield success.
Analysts from Bernstein praised the quality of Ferrari’s results, emphasizing the importance of mix and pricing as key factors in the company’s margin development. As Ferrari progresses through its 2022-26 plan, these elements are expected to remain central to financial performance.
Ferrari’s adjusted earnings before interest, tax, depreciation, and amortisation (EBITDA) hit 605 million euros for the January-March period, aligning with analyst expectations from a Reuters poll. However, shipments saw a slight decrease of seven units to 3,560, with a notable 20 percent drop in the China, Hong Kong, and Taiwan region.
Despite confirming its full-year forecasts, with an anticipated increase in full-year adjusted EBITDA to at least 2.45 billion euros by 2024, Ferrari’s shares experienced a downturn. Analysts suggest that this decline could be due to investor disappointment over the company’s decision not to raise its full-year 2024 guidance. At 1210 GMT, shares fell by 4.4 percent but remained near their all-time high of 410 euros reached at the end of March, following an approximate 50 percent surge since last September.
