Ferrari, the renowned Italian sports-car maker, announced impressive financial results for the fourth quarter of the year. Despite a slight decrease in shipments, the company's revenue and after-tax profit exceeded expectations.
Profit and Revenue Figures
Ferrari reported an after-tax profit of €294 million ($318.1 million), surpassing last year's profit of €221 million. Analysts had predicted a profit of €271 million, demonstrating Ferrari's strong performance. The company's revenue stood at €1.52 billion, representing an 11% increase compared to the previous year. Analysts' estimates were close, with a prediction of €1.51 billion.
Shipments and Key Financial Indicators
Although shipments experienced a minor decline of 2%, they remained positive with a 3% increase for the whole year. Earnings before interest and taxes (EBIT) saw substantial growth, rising by 25% to reach €372 million. Moreover, earnings before interest, taxes, depreciation, and amortization (EBITDA) reached €558 million, reflecting an impressive 19% increase. Analysts had estimated EBITDA at €555 million, which closely aligns with Ferrari's actual performance.
Future Projections
Looking ahead, Ferrari has set ambitious targets for the upcoming year. Its full-year revenue is projected to exceed €6.4 billion, following last year's revenue of €5.97 billion. Furthermore, the company expects to achieve an EBIT margin of over 27%, building upon its margin of 27.1% achieved in 2023.
Strong Cash Flow Expectations
Ferrari forecasts industrial free cash flow to surpass €900 million, demonstrating its financial stability and ability to generate substantial cash reserves.
These exceptional financial results solidify Ferrari's position as a leader in the luxury sports-car market. The company's continuous drive for excellence and strong financial performance remains unmatched.
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