Ferrari Q1 core earnings up 27% as sportscar maker reopens Purosangue orders

FERRARI’S first quarter core earnings rose 27 per cent, beating forecasts, as the Italian luxury sports car maker on Thursday (May 4) said demand for its cars stretched into the next two years.

“Our order book already extends into 2025 with an award-winning product portfolio,” chief executive Benedetto Vigna said, adding that Ferrari was reopening orders for its Purosangue four-door, four-seater, which had been suspended due to initial “unprecedented” demand.

Deliveries of the petrol-powered 12-cylinder car, which was launched last year and costs 390,000 euros, are due to start in the current quarter.

Ferrari has pledged to keep sales of the model below 20 per cent of total group shipments over the car’s life-cycle to retain a degree of exclusivity.

The company, which unveiled the Roma Spider in March, plans a total of four new models this year.

Adjusted earnings before interest, tax, depreciation and amortisation (Ebitda) in the first three months of the year came to 537 million euros (S$786.4 million), topping analyst expectations of 508 million euros, according to a Reuters poll.

Ferrari’s Milan-listed shares reversed earlier losses and were 3.3 per cent higher by 1230 GMT.

Higher shipments, led by the Portofino M, the 296 GTB and the 812 Competizione models drove the results, as well as pricing capacity which the company said mainly reflected increased personalisations, a richer product mix and a positive country mixed sustained by the Americas and Mainland China, Hong Kong and Taiwan.

Bernstein analysts noted that Ferrari’s “extremely strong” product mix, proven pricing power and lengthy order book protected the company against any potential recession-driven order cancellations.

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Ferrari, which has promised its first fully electric model in 2025, confirmed its full-year forecasts, although the Bernstein analysts said they expected them to be raised later in the year.

Vigna said the company’s electrification plans were “on track” for both the development of vehicles and production infrastructure in its hometown of Maranello in northern Italy. REUTERS