- Ferrari raised its guidance for full-year revenue and profit.
- The supercar maker’s third-quarter earnings beat estimates on a jump in deliveries of its high-priced sports cars.
- But Ferrari’s profit margin dipped from a year ago, as the mix of cars shipped leaned more toward relatively lower-priced models.
Ferrari on Wednesday again raised its guidance for the full year after shipments, revenue and earnings per share all rose by double-digit percentages during the third quarter.
Still, Ferrari’s profit margin fell as it shipped a less profitable mix of vehicles during the period.
The Italian supercar maker now expects revenue of about 5 billion euros and adjusted earnings per share of about 5 euros for the full year. It last raised its 2022 guidance in August, telling investors to expect revenue of about 4.9 billion euros and adjusted earnings per share of between 4.80 euros and 4.90 euros for the year.
Ferrari’s shares fell about 1% in premarket trading. Here are the key numbers from the third-quarter earnings report:
- Earnings per share: 1.23 euros vs. 1.18 euros expected by Wall Street analysts polled by Refinitiv.
- Revenue: 1.25 billion euros vs. Wall Street’s estimate of 1.16 billion euros per Refinitiv.
“Today, we continue to manage an outstanding order book: with the exception of few models, our entire range is sold out,” CEO Benedetto Vigna said in a statement.
Ferrari shipped 3,188 vehicles in the third quarter, up 16% from a year ago. The increase in deliveries was driven by the ramp-up in production of the six-cylinder hybrid 296 GTB sports car, Ferrari said. But those gains were partially offset by lower shipments of the higher-priced eight-cylinder hybrid SF90.
The change in mix led to a decline in Ferrari’s EBIT (earnings before interest and tax) margin, to 23.9% from 25.7% in the third quarter of 2021.
This story is developing. Please check back for updates.
Source: Business - cnbc.com
