Want to dig deeper on Ferrari NV and thousands of companies?
Rapidly search an extensive universe of public and private content — earnings transcripts, company filings, equity research, trade journals, and more.
Request a Free TrialCompanies by industry
Aerospace & DefenseAutomobile ComponentsAutomobilesBanksBeveragesBiotechnologyBroadline RetailCapital MarketsChemicalsCommunications EquipmentConsumer FinanceConsumer Staples Distribution & RetailContainers & PackagingElectric UtilitiesElectronic Equipment, Instruments & ComponentsEnergy Equipment & ServicesEntertainmentFinancial ServicesFood ProductsGround TransportationHealth Care Equipment & SuppliesHealth Care Providers & ServicesHotels, Restaurants & LeisureHousehold DurablesHousehold ProductsIT ServicesIndustrial ConglomeratesIndustrial REITsInsuranceInteractive Media & ServicesLife Sciences Tools & ServicesMachineryMediaMetals & MiningMulti-UtilitiesOil, Gas & Consumable FuelsPersonal Care ProductsPharmaceuticalsSemiconductors & Semiconductor EquipmentSoftwareSpecialized REITsSpecialty RetailTechnology Hardware, Storage & PeripheralsTextiles, Apparel & Luxury GoodsTobaccoWireless Telecommunication Services
Ferrari NV Earnings - Analysis & Highlights for Q4 2024
Overview
PositivesNegativesOutlook
- The company returned more than €1 billion to shareholders through a combination of dividends and share repurchases throughout the year.
- The strength of the business is confirmed by the order book on current models, which is evolving as expected and covers the entire 2026, with the Dodici Cilindri Coupe and Spider guiding the order intake.
- The company has made significant progress in both the development of its infrastructure and its product offering.
- The company has accelerated the construction of the new paint shop for additional personalizations.
- The company has a positive country mix in Q4 compared to Q3.
- SG&A increased due to continuous initiatives in software and digital infrastructure, organizational development, and brand investments.
- The company had a negative net impact from currency.
- Some suppliers in the automotive industry are having some troubles due to the lower demand of the big OEM.
- The company expects to develop its activities resulting in gradual progression of percentage margins due to continuous brand investment, higher racing and digital transformation expenses, and higher costs implied by the ongoing supply chain challenges.
- The company estimates the effective tax rate to be higher at around 22.5% due to the new Patent Box regime.
- The company does not intend to do any acceleration of sales through US or elsewhere due to duties or what.
- Lifestyle activities are expected to increase their support to the top line, accelerating their growth rate while investing a larger share of resources to speed up the pace of development and the expansion of the retail network.
Q&A Highlights from Ferrari NV Earnings Call Q4 2024
- Analyst asked about the company's concerns regarding launching too many models in one year, and if the focus is on reaching new customers or existing customers.
- The company is always pushing for new clients, and the 2024 model year saw 51% of their cars being hybrid. They are not concerned about too many models causing confusion, as they are targeting different kinds of clients with different kinds of cars. The company's strategy is to offer a strategic and horizontal approach to their models, and they plan to reach 14 models by the end of the decade. The mix includes product mix, country mix, and contribution of personalization and pricing. The company has seen an increasing contribution by all categories, including the special series and strictly limited cars. The country mix has been relevant, with North America and Europe contributing more than China. Pricing has been a significant contributor in 2023 and 2024, but will be limited in 2025. Personalization has been a positive contributor to the P&L, with a progressive increase in weight from 18% before 2022 to 19%, 19.5% in 2023, and 2024.
- The company is always pushing for new clients, and the 2024 model year saw 51% of their cars being hybrid. They are not concerned about too many models causing confusion, as they are targeting different kinds of clients with different kinds of cars. The company's strategy is to offer a strategic and horizontal approach to their models, and they plan to reach 14 models by the end of the decade. The mix includes product mix, country mix, and contribution of personalization and pricing. The company has seen an increasing contribution by all categories, including the special series and strictly limited cars. The country mix has been relevant, with North America and Europe contributing more than China. Pricing has been a significant contributor in 2023 and 2024, but will be limited in 2025. Personalization has been a positive contributor to the P&L, with a progressive increase in weight from 18% before 2022 to 19%, 19.5% in 2023, and 2024.
- Analyst asked about the number of Daytona's shipped in the fourth quarter and the shape of that.
- Mike, Antonio is retrieving the information.
- Mike, Antonio is retrieving the information.
- Analyst asked about the company's plans for the F80 model and the Daytona model in the first half of 2024.
- Antonio Picca Piccon explained that the Daytona model will be slightly lower every quarter from Q1 to Q3, and will be down to nil in Q4. The swap between the SF90 XX Coupe and Spider with the 812 Competizione will grow in Q2 and provide accretion from Q3 onwards, but not offsetting the negative from losing the Daytona. The F80 model is expected to be introduced in the last quarter, but with a few units. The strength of the first half is expected to be higher compared to the second half due to the negative impact of losing the Daytona model.
- Antonio Picca Piccon explained that the Daytona model will be slightly lower every quarter from Q1 to Q3, and will be down to nil in Q4. The swap between the SF90 XX Coupe and Spider with the 812 Competizione will grow in Q2 and provide accretion from Q3 onwards, but not offsetting the negative from losing the Daytona. The F80 model is expected to be introduced in the last quarter, but with a few units. The strength of the first half is expected to be higher compared to the second half due to the negative impact of losing the Daytona model.
- Analyst asked about the company's view on residual values of hybrids around the world and how it affects the launch of the company's first EV.
- Benedetto Vigna responded by saying that the company's electric car will be unique in the sense that they are looking at all the dimensions, including style, performance, and driving thrill. He also mentioned that they are looking at all the dimensions that are below, which are sustaining the driving thrill. He emphasized that the company's electric car will be unique and different from other electric cars.
- Benedetto Vigna responded by saying that the company's electric car will be unique in the sense that they are looking at all the dimensions, including style, performance, and driving thrill. He also mentioned that they are looking at all the dimensions that are below, which are sustaining the driving thrill. He emphasized that the company's electric car will be unique and different from other electric cars.
- Analyst asked about the residual value trend on the hybrid model and the R&D budget for the current year.
- Benedetto Vigna answered that the residual values of the hybrid model vary depending on the region and model. The company is monitoring the situation and taking measures such as limiting the shipment of cars in some countries. Antonio Picca Piccon, Chief Financial Officer, stated that the R&D budget for the current year will be around 8% of revenues, which is in line with 2024.
- Benedetto Vigna answered that the residual values of the hybrid model vary depending on the region and model. The company is monitoring the situation and taking measures such as limiting the shipment of cars in some countries. Antonio Picca Piccon, Chief Financial Officer, stated that the R&D budget for the current year will be around 8% of revenues, which is in line with 2024.
- Analyst asked about the possibility of revising the plan for plug-in hybrid models in light of a muted reception from customers.
- Benedetto Vigna stated that the company is executing its plan for plug-in hybrid models according to its initial product plan, which was shared in 2022. He emphasized the importance of respecting different clients and offering them a new selection of products to stay coherent with the company's strategy of providing different Ferrari models for different moments and clients.
- Benedetto Vigna stated that the company is executing its plan for plug-in hybrid models according to its initial product plan, which was shared in 2022. He emphasized the importance of respecting different clients and offering them a new selection of products to stay coherent with the company's strategy of providing different Ferrari models for different moments and clients.
- Analyst asked about the expected pattern of markups versus predecessor and price increase versus predecessor.
- Benedetto Vigna stated that he doesn't want to comment on the technical or pricing features of the new cars. He mentioned that the company will start rolling out new cars soon, and the public will see what they have in the pipeline. He advised the analyst to be patient and wait for the company's announcement.
- Benedetto Vigna stated that he doesn't want to comment on the technical or pricing features of the new cars. He mentioned that the company will start rolling out new cars soon, and the public will see what they have in the pipeline. He advised the analyst to be patient and wait for the company's announcement.
- Analyst asked about the percentage of special deliveries in Q4, based on the provided information.
- The percentage of special deliveries in Q4 was 6%.
- The percentage of special deliveries in Q4 was 6%.
- Analyst asked about the large delta between depreciation and amortization and CapEx in recent years.
- The company is covering its depreciation and amortization expenses for the next few years, and the delta between the two is not a concern.
- The company is covering its depreciation and amortization expenses for the next few years, and the delta between the two is not a concern.
