Ferrari (RACE) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenues reached €1.712 billion, up 16.2% year-over-year, with adjusted EBITDA at €669 million (39.1% margin) and net profit at €413 million, all showing double-digit growth.

• Shipments rose 2.7% to 3,484 units, driven by Purosangue, Roma Spider, and 296 GTS, with hybrid models accounting for 48% of shipments.

• The order book extends well into 2026, supported by strong demand for new models and robust personalization.

• The E-building was inaugurated, enabling flexible production of ICE, hybrid, and electric models, and supporting in-house EV component development.

• Major milestones included a second consecutive Le Mans victory and enhanced company cohesion through racing and lifestyle activities.

Financial highlights

• Net revenues for Q2 2024 were €1,712M, up 16.2% year-over-year; at constant currency, up 18.9%.

• Adjusted EBIT for Q2 2024 was €511M (29.9% margin), up 17% from Q2 2023.

• Adjusted EBITDA for Q2 2024 was €669M (39.1% margin), up 13.7% from Q2 2023.

• Adjusted diluted EPS for Q2 2024 was €2.29, up 25.1% from €1.83 in Q2 2023.

• Industrial free cash flow was €121M, with net industrial debt at €441M as of June 30, 2024.

Outlook and guidance

• 2024 guidance was upgraded: net revenues expected to exceed €6.55B, adjusted EBIT ≥€1.82B, adjusted EBITDA ≥€2.50B, and industrial FCF up to €0.95B.

• Positive product and country mix, stronger personalizations, and increased lifestyle activities expected to drive results.

• Cost inflation and higher capex anticipated, with robust cash flow generation.

• Softer Q3 anticipated due to ERP transition and planned volume/model mix.

• Full-year ASP expected to be about 10% higher than last year.