Ferrari N.V. Earnings - Q3 2026 Analysis & Highlights
Ferrari reported Q3 2025 revenue growth and strong cash generation, while discussing model changeovers, tariffs and foreign exchange, its powertrain strategy, and long-term financial ambitions.
Key financial results
Q3 revenue was approximately €1.8 billion, up 7.4% year over year; growth was 9.9% at constant currency.
Deliveries were flat year over year. EBIT exceeded €500 million, with an EBIT margin of 28.4% and an EBITDA margin of 37.9%.
Industrial free cash flow was €365 million for the quarter. Net industrial debt stood at €116 million at the end of September.
Revenue and profitability were supported by product mix, personalizations, and racing revenues; Ferrari also cited lower-than-expected costs as a factor in its improved outlook.
Personalizations accounted for approximately 20% of revenue from cars and spare parts.
Business segment results
Cars and spare parts benefited from richer product mix and higher personalization, despite lower Daytona SP3 deliveries.
Sponsorship, commercial and brand revenues increased, supported by higher sponsorships, improved lifestyle activity, and commercial revenues linked to the prior year’s stronger Formula One ranking.
Racing and lifestyle activities contributed positively to the “Other” component of the EBIT bridge, while higher racing development expenses affected costs.
Ferrari did not provide separate revenue or profit figures for these activities in the call.
Capital allocation
Ferrari said it expected to complete its current share repurchase program by year-end, one year earlier than planned.
The quarter’s €365 million industrial free cash flow was partly offset by capital expenditures, mainly for product development and progress on construction of the new paint shop.
Net industrial debt was €116 million at the end of September, also reflecting share repurchases during the quarter.
No dividend or debt repayment plans were discussed in the call.
Industry trends and dynamics
Ferrari said adoption of electric technology across the market has been more gradual than anticipated in 2022, while demand for thermal and hybrid models has been more sustainable.
Management framed electrification as an addition to Ferrari’s powertrain offering rather than a transition, and said product plans would adapt to client preferences.
Ferrari said its order book extended well into 2027, with the Amalfi and 849 Testarossa launches initially contributing to order intake.
Hybrid deliveries were lower because of the model lineup and changeover; the CEO cautioned against extrapolating a trend or linking the change to the propulsion technology itself.
Competitive landscape
Ferrari emphasized its distinctiveness through the combination of heritage, technology and racing, alongside an exclusive product strategy intended to preserve scarcity for each model.
The CEO said Ferrari’s pricing power remained intact and attributed it to increasingly innovative products that delight clients, rather than simply raising the price of an unchanged product.
Ferrari described innovation in vehicle dynamics, user interface and vehicle architecture as areas it expects to apply across models to support client appeal and pricing power.
The call did not discuss specific competitors or provide market-share comparisons.
Macroeconomic environment
Management described the macroeconomic environment as uncertain and extremely volatile.
The incremental U.S. import tariff became visible in Q3, alongside a greater foreign-exchange headwind, particularly related to U.S. dollar dynamics.
Ferrari said U.S. tariffs had moved from 25% to 15% and that it updated its commercial policy accordingly: the price increase was described as up to 5%, compared with up to 10% when tariffs were 25%.
The CFO said dealer agreements allow pricing to be changed, in principle, with 90 days’ notice; decisions depend on the country and the size of currency movements.
Growth opportunities and strategies
Ferrari plans to offer an average of four new models per year from 2026 through 2030, spanning internal-combustion, hybrid and electric powertrains.
Ferrari recalibrated its planned 2030 powertrain mix to 40% ICE, 40% hybrid and 20% electric, from its prior plan of 20%, 40% and 40%, respectively.
The company said its e-building can manufacture vehicles across all three powertrains, supporting a flexible approach to product planning.
Ferrari said it had 90,000 active clients and intends to grow its client community through experiences spanning track, road and brand activities.
The company said the Ferrari Elettrica reveal would proceed in stages: its interior design concept in Q1 2026 and the complete car in Q2 2026.
Ferrari reported that 40% of people in the Amalfi order book were new to the brand; the CEO said the car was progressing better than its predecessor.
Ferrari said hybrid warranty uptake had risen to more than 20%, with further potential as dealers improve how they explain the program.
Ferrari reported approximately 30% lower Scope 1 and 2 emissions and approximately 10% lower Scope 3 emissions per car in 2024 versus 2021; it targets a tenfold reduction in Scope 1 and 2 emissions by 2030 versus 2021 and a 25% reduction in absolute Scope 3 emissions by 2030 versus 2024.
Financial Guidance and Outlook
Ferrari confirmed its 2025 guidance, which it had revised upward at its October 9 Capital Markets Day, citing solid performance, improved sports-car revenues including personalizations, a lighter-than-expected cost base, and increased headwinds from foreign exchange and U.S. tariffs.
The company presented its 2030 financial ambitions as a floor: €9 billion in revenue, a 40% EBITDA margin and a 30% EBIT margin.
For Q4, Ferrari projected lower year-over-year deliveries because of the model changeover, positive but sequentially lighter product mix, higher SG&A, a seasonal increase in racing R&D expenses, and higher D&A as new models enter production.
Management said the F80 production ramp-up would be gradual, take a couple of quarters, and have an expected lifecycle of around three years; the cadence and model changeovers would make 2026 more back-end-loaded.
Ferrari said it aimed for a smooth, as-linear-as-possible expansion of profitability in absolute terms in 2026.
The company said the share repurchase program was expected to be completed by year-end, one year ahead of plan.
