Automobile key for the Ferrari Purosangue SUV.
Adam Jeffery | CNBC
Luxury sports automotive manufacturer Ferrari topped Wall Street’s top- and bottom-line earnings expectations for the fourth quarter to complete off a record 12 months 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, through the fourth quarter. Its adjusted earnings before interest and taxes, or EBIT, was 1.62 billion euros, or $1.75 billion, for the 12 months, including 372 million euros, or $402.3 million, within the last quarter. Each were yearly records for the corporate.
Ferrari’s revenue last 12 months increased 17% to five.97 billion euros, or $6.46 billion, including an 11% increase within the fourth quarter from 1.37 billion euros a 12 months earlier in 2022.
Such records are expected to be short-lived, as Ferrari is forecasting to top lots of those leads to 2024. The corporate’s forecast for this 12 months calls for revenue of greater than 6.4 billion euros, or $6.9 billion, and adjusted per share profit of not less than 7.50 euros, with an adjusted EBIT margin of not less than 38%. Its adjusted profit margins are expected to be in line or barely lower than 2023.
Shares of Ferrari reached a recent 52-week high Thursday, gaining roughly 12% to just about $390 a share on the Recent York Stock Exchange. The corporate’s previous 52-week high of $372.42 occurred on Dec. 11.
Here’s how the corporate performed within the fourth quarter, in comparison with average estimates compiled by LSEG, formerly often 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 12 months to 13,663 vehicles in 2023, including 3,245 units within the fourth quarter.
“We now have an important 12 months ahead of us within the execution of our marketing strategy, which continues on schedule along its rigorously planned path,” Ferrari CEO Benedetto Vigna said in a release. “The record 2023 results, the ambitions that we now have on 2024, along with the exceptional visibility on our order book allow us to take a look at the high-end of 2026 targets with stronger confidence.”
Individually, in other Ferrari news, multiple media outlets reported that Formula 1 star Lewis Hamilton is getting ready to making a surprising move from Mercedes over to the Ferrari racing team for the 2025 season.