Ferrari is still without a permanent CEO and during its quarterly earnings call today said it wouldn’t make its stated profit target for 2022, pushing it off until 2023.
It sounds like the beginning of a rough call, but instead it was just the low lights as the Italian sports car maker reported its net profit was $247.7 million for the first quarter, representing a 24% increase compared to year ago results.
It was just the first of several positives acting CEO John Elkann revealed, adding that its revenue was up 8.5% to $1.2 billion and its EBITDA came in at $452.8 million, which was good for an 18.6% jump year over year.
Additionally, the company’s full-year profit target range of $2.2 billion to $2.4 billion was delayed largely because issues arising from the COVID pandemic, not anything structural that the company did wrong.
Optimism reigns supreme
“This strong start augurs well for the rest of 2021 and is testimony to the resilience of our business model as well as the extraordinary work of the women and men of Ferrari,” Elkann said in a statement.
“Looking ahead, we expect the prudent steps we took in 2020 and are continuing in 2021 to adjust our expenditure in response to the COVID-19 emergency, will postpone by one year the achievement of our year-end 2022 guidance. However, the robustness of our order book and the wonderful new models we will launch in the coming years provide a strong base on which to build our ambitious future.”
He noted the pandemic hampered the company’s diversification efforts in other areas such as Formula One and the luxury segment. One item that did not change was the commitment to produce its first fully electric vehicle by 2025.
“Our 2022 results will be better than 2021, which … we believe will be very strong,” Elkann said during the call with analysts, according to Reuters.
Ferrari sent out a total of 2,771 units in the first quarter of 2021, which was 33 more than Q1 20220. It’s a small 1.2% increase.
Sales of 8-cylinder models rose 8.1%, while 12-cylinder models fell 19.6%. The deliveries of the quarter were driven by the F8 family and the 812 GTS. The SF90 Stradale and the Ferrari Roma remain in ramp up phase, while the 488 Pista family and the Ferrari Portofino have been phased out.
The Ferrari Monza SP1 and SP2 continued to be delivered in line with production planning, the company noted. Elkann also noted the company was on track to roll out its first-ever SUV, the Purosangue, next year. The company will premiere its newest limited-edition vehicle, the 812 Superfast, May 5. It’s a naturally aspirated V-12 approaching 800 horsepower.