Ferrari N.V. Q4 FY2025 earnings call

Management Statement and Operational Highlights

• Product Launches: 2025 saw the launch of 6 new sports cars, including the Ferrari Luce, enriching the product lineup with models across internal combustion, hybrid, and electric powertrains.
• Client Centricity: Emphasized through craftsmanship, high tailoring, and enhanced driver experiences, including a return to mechanical steering wheel buttons.
• Racing Achievements: The 499P hypercar secured the 2025 FIA World Endurance Championship, winning both manufacturer and driver titles.
• Financial Results: 2025 posted strong financials with revenues over EUR 7.1 billion, EBIT over EUR 2.1 billion, and industrial cash flow surpassing EUR 1.5 billion.

Segment Performance

• Sports Cars: In 2025, sports car revenues contributed significantly. The mix improved despite the phaseout of the Daytona SP3, and personalizations accounted for approximately 20% of total revenues from cars and spare parts.
• Racing: Revenues grew due to new partnerships and leveraging sponsor work.
• Lifestyle: Saw solid progress with successful client activations and museum visits reaching nearly 900,000 in 2025, indicating strong client engagement.

Guidance

• 2026 Priorities: Complete introduction of the Ferrari Luce, with 4 new model launches. Focus on sports car product mix improvement, supported by F80 and new models ramp-up.
• Financial Expectations: Anticipate 2026 to be a year of consistent growth with personalizations staying around 20% of cars and spare parts revenues. SG&A to increase due to brand investment and digital infrastructure, while CapEx is slightly higher than 2025 but industrial free cash flow sustained by profitability.

Risks

• Global Uncertainty: Persistent global environment uncertainty affecting order book visibility.
• Foreign Exchange: Headwinds from U.S. dollar and Japanese yen fluctuations impacting financial results.
• Regulatory Changes: Potential CO2 targets and other regulations posing challenges to production and product mix plans.

Question and Answer

Q: On the margin bit in Q4 and 2026 guidance, can you comment?

A: Antonio Picca Piccon mentioned lower cost base in Q4, product mix drove positive results, and 2026 mix expected stronger in second half.

Q: Comment on F80 ramp-up and residual value trends?

A: Benedetto Vigna said F80 production started, residual values stable and solid, U.K. residual values stabilizing.

Q: Which models are driving the order book, and impact of Amalfi on new clients?

A: Benedetto Vigna stated models like the '26 Speciale, Testarossa, and Amalfi are driving the order book, and the Amalfi is attracting new clients to the brand.

Q: Impact of FX on 2026 bottom line and consideration of pricing FX to customers?

A: Antonio Picca Piccon mentioned a EUR 200 million FX headwind in 2026, and no current plan to price FX to customers.