Ferrari (RACE) Q4 2023 earnings

Car key for the Ferrari Purosangue SUV.

Adam Jeffery | CNBC

Luxury sports car manufacturer Ferrari topped Wall Street’s top- and bottom-line earnings expectations for the fourth quarter to finish off a record year of profits.

The automaker reported a net profit of 1.26 billion euros, or $1.36 billion, for 2023, including 294 million euros, or $317.9 million, during the fourth quarter. Its adjusted earnings before interest and taxes, or EBIT, was 1.62 billion euros, or $1.75 billion, for the year, including 372 million euros, or $402.3 million, in the last quarter. Both were yearly records for the company.

Ferrari’s revenue last year increased 17% to 5.97 billion euros, or $6.46 billion, including an 11% increase in the fourth quarter from 1.37 billion euros a year earlier in 2022.

Such records are expected to be short-lived, as Ferrari is forecasting to top many of those results in 2024. The company’s forecast for this year calls for revenue of more than 6.4 billion euros, or $6.9 billion, and adjusted per share profit of at least 7.50 euros, with an adjusted EBIT margin of at least 38%. Its adjusted profit margins are expected to be in line or slightly lower than 2023.

Shares of Ferrari reached a new 52-week high Thursday, gaining roughly 12% to nearly $390 a share on the New York Stock Exchange. The company’s previous 52-week high of $372.42 occurred on Dec. 11.

Here’s how the company performed in the fourth quarter, compared to average estimates compiled by LSEG, formerly known as Refinitiv:

  • Earnings per share: 1.62 euros adjusted vs. 1.50 euros expected
  • Revenue: 1.523 billion euros vs. 1.506 billion expected

Ferrari shipments were up 3% last year to 13,663 vehicles in 2023, including 3,245 units in the fourth quarter.

“We now have a very important year ahead of us in the execution of our business plan, which continues on schedule along its carefully planned path,” Ferrari CEO Benedetto Vigna said in a release. “The record 2023 results, the ambitions that we have on 2024, together with the exceptional visibility on our order book allow us to look at the high-end of 2026 targets with stronger confidence.”

Separately, in other Ferrari news, multiple media outlets reported that Formula 1 star Lewis Hamilton is on the brink of making a surprising move from Mercedes over to the Ferrari racing team for the 2025 season.

Read More: Ferrari (RACE) Q4 2023 earnings

Leave a comment

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Get more stuff like this
in your inbox

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.

Thank you for subscribing.

Something went wrong.