A Ferrari logo is being installed on a Ferrari car at Ferrari’s new ‘e-building’ facility where the luxury sportscar maker is testing lines before an expected start of car production in early 2025, in Maranello, Italy, June 21, 2024.
Daniele Mascolo | Reuters
Shares of Ferrari experienced their worst daily performance since March 2022 after the company reported third-quarter results Tuesday that disappointed investors.
Ferrari said its core earnings rose 7% in the third quarter, despite a slight decrease in car shipments, as the luxury sports car maker continued to benefit from a richer product offer and increased demand for personalization.
Ferrari did not upgrade the forecasts for its full-year results it provided in August, including for adjusted EBITDA growing to at least 2.5 billion euros ($2.7 billion). The company said in a statement it was now even more confident of hitting its full-year targets.
U.S.-listed shares in the company closed Tuesday at $441, down 7.4% — marking their largest daily decline on a percentage basis since March 7, 2022. The stock remains up by roughly 30% in 2024.
In the July-September period, the Italian company posted adjusted earnings before interest, tax, depreciation and amortization (EBITDA) of 638 million euros, matching analysts’ average forecast of 635 million in a Reuters poll.
A richer product offer, including stronger pricing power, brought a 60 million euro positive contribution to the quarterly result, the company said in a statement.
This was supported by demand for the 2-million euro, 12-cylinder Daytona SP3, as well as a “few sales” of the limited series, track-only 499P Modificata, which costs 5.1 million euros.
Chief Executive Benedetto Vigna added the company enjoyed “exceptional order book visibility well into 2026.”
— CNBC’s Michael Wayland contributed to this report.
