Ferrari NV Q3 FY2024 earnings call

• Benedetto Vigna thanked the team, clients, and partners, highlighting Q3's strong financial results with revenues up 7%, EBIT at ~EUR 470M, EBIT margin 28.4%, net profit EUR 375M, and industrial free cash flow >EUR 360M. Mentioned strong order book with new 12Cilindri coupe Spider, client activities like Pebble Beach and Finali Mondiali, racing success with 2 victories in a day, and carbon neutrality progress by switching off the 3-generation plant.
• Antonio Piccon discussed financial highlights: Shipments few units less than prior year, revenues up 7% at constant currency. Net revenue bridge showed growth in cars, spare parts, and personalization. Adjusted EBIT explained by volume, mix/price, industrial/R&D, SG&A, other, and currency. Industrial free cash flow EUR 364M, industrial debt EUR 246M after share repurchase.

Revenues for Ferrari in Q3 2024 were EUR 1.6 billion, up 7% versus the previous year. EBIT was approximately EUR 470 million with an EBIT margin of 28.4%. Net profit was EUR 375 million, and industrial free cash flow generation was more than EUR 360 million. Shipments: The Purosangue, Roma Spider, and 296 GTS drove deliveries in the quarter. Commenced first deliveries of the SF90 XX Spider and increased deliveries of SF90 XX Stradale. Allocations of the Daytona SP3 grew in the quarter. Personalizations were approximately 20% of total revenues from cars and spare parts, significantly supported by the Purosangue and the Daytona SP3.

• Increased confidence in 2024 guidance. Q4 expected to have lower Daytona SP3 deliveries sequentially than previous quarters. Industrial free cash flow up to 950M, impacted by capital expenditures and taxes. SG&A increased due to digital initiatives, ERP integration, and brand investments.

• Macro environment monitoring. Residual value dynamics in certain markets, especially U.K., influenced by personalization levels. ERP transition impact on shipments, a deliberate decision to adjust units for transition.

Q: About F80 delivery timeline and mix gains decline A: Benedetto Vigna said F80 deliveries start Q4 2025, lasting 2-3 years; Antonio Piccon said sequential mix decline due to high personalization impact last year Q: On ERP volume impacts and Daytona deliveries in Q3 A: Antonio Piccon said ERP transition concluded, no Q4 impact; Daytona deliveries in Q3 were around 70 units