Ferrari boosts guidance after beating third quarter forecasts
Luxury carmaker Ferrari has upped its 2020 earnings guidance after beating forecasts in the third quarter with record quarterly volumes, revenues and Ebitda.
Chief executive Louis Camilleri said the guidance implied a “very strong” fourth quarter. The company said it expects adjusted core earnings of approximately €1.125bn compared with €1.075-1.125bn previously, assuming conditions are not further dented by the pandemic.
With record quarterly volumes, revenues and Ebitda, Camilleri said it was “solid proof that we are now running on all cylinders… We’ll enter 2021 with a very strong order book, we should have a pretty strong year.”
Ferrari has been boosted by new models such as the €430,000 hybrid SF90 Stradale. “Deliveries of the SF90 Stradale and the Ferrari Roma are on track to start in Q4 2020”.
The carmaker is recovering from a freeze in its operations during the first wave of the pandemic, and said shipments were recovering in line with its production plan.
However shipments were down 6.5 per cent year-on-year in the third quarter as some models approached the end of their lifecycle.
Profit was €171m in the quarter, up slightly from €169m in the same period last year. Car renues dropped three per cent to €888m from €915m but salesof the Monza SP1 and SP2 special editions models rose.
Sponsorship, commercial and brand revenues took a hit from the pandemic
The Milan-listed shares jumped 7.06 per cent.