Ferrari turbocharges profits in quarter
02 Nov 2017 - 15:19
Milan: Italian luxury carmaker Ferrari said Thursday net profit surged by nearly a quarter in the three months to September, outpacing expectations, and predicted a smooth ride for the rest of the year.
Adjusted net profit came in at 141 million euros ($164 million), leaving in the dust analysts' forecasts which had centred on 128 million euros, according to the Factset data provider.
Ferrari shares have had a strong run since the automaker floated them just under two years ago, rising from an initial price of 43 euros to over 100 euros this week.
On Thursday however, they slipped back to double digits, trading at 99.30 euros in Milan after the results announcement, down 4.3 percent on the day.
Ferrari said it expected to ship around 8,400 cars this year, leading to net revenues of 3.4 billion euros, up from a previous 3.3 billion estimate.
EBITDA, a measure of operating profit, was on course for 1 billion euros, Ferrari said.
In the third quarter alone, car deliveries rose 3.4 percent year on year, thanks partly to a 27-percent surge in sales of its V12 models.
Overall Ferrari sales in France and Italy rose by double digits, in the UK by mid-single digits and were stable in Germany.
Sales in the Americas were up five percent, while China, Hong Kong and Taiwan posted a combined 15.6 percent drop as a new dealership in Hong Kong had not been fully operational in the quarter, the group said.
The rest of the Asia-Pacfic region rose 7.1 percent.