Crown

Board: Ferrari Language: English Region: Worldwide Share/Save/Bookmark Close

Forum - Thread

    May 21, 2023 3:06:14 PM

    SSO. Offline
    Senior
    SSO.
    Loc: USA , United States
    Posts: 540, Gallery
    Registered on: Apr 20, 2020

    Ferrari’s Q1 2023 Results – The Galloping Horse

    Just posted up the analysis on Ferrari's Q1 2023 Results:

    Ferrari had a spectacular year in 2022 and that momentum has continued to build in 2023.  Every single key financial indicator, bar one, grew double digits vs. Q 1 2022.  The only hiccup, Free Cash Flow, was down by 9.9% but even there are good reasons for the decline which can be seen as a strong indication for more upcoming growth.  The order book is very healthy, extending now into 2025, and Ferrari indicated that Q2 will be another strong quarter.  Ferrari management then indulged in a bit of sand bagging and tried to downplay expectations for the back half of the year by indicating they expected Q4 to be the weakest quarter in 2023.

    Full article: Ferrari's Q 1 2023 Results

    Thoughts and comments?

    May 22, 2023 10:19:57 AM

    crayphile
    Rennteam Pro
    crayphile
    Loc: England , United Kingdom
    Posts: 2861, Gallery
    Registered on: Jun 16, 2004
    Reply to: SSO.

    Re: Ferrari’s Q1 2023 Results – The Galloping Horse

    Excellent analysis as ever . Agree, complacency and hubris are the greatest threat along with, of course, a macroeconomic meltdown . Your list of competitive threats are less of an issue - GMA?? Pretty much every GMA buyer will have several Ferraris in the garage now and going forward. Aston & McLaren are minor irritants rather than a significant threat.

    May 22, 2023 12:15:48 PM

    SSO. Offline
    Senior
    SSO.
    Loc: USA , United States
    Posts: 540, Gallery
    Registered on: Apr 20, 2020
    Reply to: crayphile

    Re: Ferrari’s Q1 2023 Results – The Galloping Horse

    crayphile:

    Excellent analysis as ever . Agree, complacency and hubris are the greatest threat along with, of course, a macroeconomic meltdown . Your list of competitive threats are less of an issue - GMA?? Pretty much every GMA buyer will have several Ferraris in the garage now and going forward. Aston & McLaren are minor irritants rather than a significant threat.

    On McLaren, today it is a minor irritant but back in 2016/2017 it was a major PIA for Ferrari.  History can repeat itself.  On GMA, if they go down market one more notch to the $1 mil range and up production they could steal quite a few sales from Ferrari.  For these buyers it is a choice on capital allocation and capital that's allocated to GMA is capital that could have gone to Ferrari.

    May 22, 2023 12:49:57 PM

    crayphile
    Rennteam Pro
    crayphile
    Loc: England , United Kingdom
    Posts: 2861, Gallery
    Registered on: Jun 16, 2004
    Reply to: SSO.

    Re: Ferrari’s Q1 2023 Results – The Galloping Horse

    SSO.:
    crayphile:

    Excellent analysis as ever . Agree, complacency and hubris are the greatest threat along with, of course, a macroeconomic meltdown . Your list of competitive threats are less of an issue - GMA?? Pretty much every GMA buyer will have several Ferraris in the garage now and going forward. Aston & McLaren are minor irritants rather than a significant threat.

    On McLaren, today it is a minor irritant but back in 2016/2017 it was a major PIA for Ferrari.  History can repeat itself.  On GMA, if they go down market one more notch to the $1 mil range and up production they could steal quite a few sales from Ferrari.  For these buyers it is a choice on capital allocation and capital that's allocated to GMA is capital that could have gone to Ferrari.

    In the spirit of debate  - I think you have your McLaren blinkers on again and I think GMA buyers are blind SmileySmileySmiley. More seriously, GMA will struggle with volume and margins if it goes downwards.

    May 22, 2023 3:15:08 PM

    WhoopsyM Offline
    Rennteam Moderator
    Whoopsy
    Loc: Vancouver,BC , Canada
    Posts: 16151, Gallery
    Registered on: Sep 19, 2006
    Reply to: SSO.

    Re: Ferrari’s Q1 2023 Results – The Galloping Horse

    SSO.:
    crayphile:

    Excellent analysis as ever . Agree, complacency and hubris are the greatest threat along with, of course, a macroeconomic meltdown . Your list of competitive threats are less of an issue - GMA?? Pretty much every GMA buyer will have several Ferraris in the garage now and going forward. Aston & McLaren are minor irritants rather than a significant threat.

    On McLaren, today it is a minor irritant but back in 2016/2017 it was a major PIA for Ferrari.  History can repeat itself.  On GMA, if they go down market one more notch to the $1 mil range and up production they could steal quite a few sales from Ferrari.  For these buyers it is a choice on capital allocation and capital that's allocated to GMA is capital that could have gone to Ferrari.

     

    I wouldn't called it a major PITA, in Ferrari's eyes in was a minor hiccup. For those buyers that crossed shop McLaren and the Ferrari 488 back then, those are the people that can only afford ONE supercar, aka the casual Ferrari buyer, That's not Ferrari's bread and butter customers. These aren't on Ferrari dealers priority list so they only buy a McLaren when they can't get a 488.

    And then for the market of 7 figure cars. On average they would have 10-15+ cars already. a GMA car would just be an addition, they aren't choosing between GMA or Ferrari, GMA aren't stealing anyone's sales. GMA picked the correct timeframe, no one else has a product in that price range right now, everyone else is in between products. 

    Between the 4 confirmed GMA buyers that I know, they are within the 918 owners circle, one has a warehouse full of Ferraris old and new,  another start buying historic race cars at 7 figures each when there aren't road cars to buy. One has a warehouse full of cars, Ferrari Porsche McLaren Aston, Pagani you name it. And the last one, he bought a place in Switzerland just so he can keep his AMG ONE allocation when the car isn't coming to North America. 

    The very top end of the car market isn't easily rationalized, those people spend millions like how we spend hundreds, it's hard to comprehend for normal people. 

     


    --

     

     

     
    Edit

    Forum

    1. All 

    Boards

     
    Board Subject Last post Rating Views Replies
    Porsche Sticky SUN'S LAST RUN TO WILSON, WY - 991 C2S CAB LIFE, END OF AN ERA (Part II) 5/15/24 8:44 AM
    art.italy     		808650 1808
    Porsche Sticky Welcome to Rennteam: Cars and Coffee... (photos) 4/7/24 11:48 AM
    Boxster Coupe GTS     		450229 565
    Porsche Sticky OFFICIAL: Porsche 911 (992) GT3 RS - 2022 3/12/24 8:28 AM
    DJM48     		267628 323
    Porsche Sticky The new Macan: the first all-electric SUV from Porsche 1/30/24 9:18 AM
    RCA     		90854 45
    Porsche Sticky OFFICIAL: Taycan 2024 Facelift 3/15/24 1:23 PM
    CGX car nut     		7765 50
    Porsche The moment I've been waiting for... 2/1/24 7:01 PM
    Pilot
     
     
     
     
     
    		 888272 1364
    Porsche 992 GT3 7/23/23 7:01 PM
    Grant     		837399 3868
    Porsche GT4RS 4/21/24 11:50 AM
    mcdelaug     		402291 1454
    Porsche Welcome to the new Taycan Forum! 2/10/24 4:43 PM
    nberry     		398414 1526
    Others Tesla 2 the new thread 12/13/23 2:48 PM
    CGX car nut     		385856 2401
    Porsche Donor vehicle for Singer Vehicle Design 7/3/23 12:30 PM
    Porker     		372017 797
    Porsche Red Nipples 991.2 GT3 Touring on tour 5/12/24 6:23 PM
    blueflame     		294453 669
    Porsche Collected my 997 GTS today 10/19/23 7:06 PM
    CGX car nut
     
     
     
     
     
    		 268093 812
    Lambo Huracán EVO STO 7/30/23 6:59 PM
    mcdelaug     		244751 346
    Lotus Lotus Emira 6/25/23 2:53 PM
    Enmanuel     		239220 101
    Others Corvette C8 10/16/23 3:24 PM
    Enmanuel     		223203 488
    Others Gordon Murray - T.50 11/22/23 10:27 AM
    mcdelaug     		173748 387
    Porsche Back to basics - 996 GT3 RS 6/11/23 5:13 PM
    CGX car nut     		145500 144
    BMW M 2024 BMW M3 CS Official Now 12/29/23 9:04 AM
    RCA     		121889 303
    Motor Sp. 2023 Formula One 12/19/23 5:38 AM
    WhoopsyM     		113683 685
    Porsche 2022 992 Safari Model 3/7/24 4:22 PM
    WhoopsyM     		86377 239
    AMG Mercedes-Benz W124 500E aka Porsche typ 2758 2/23/24 10:03 PM
    blueflame     		76601 297
    Porsche 992 GT3 RS 3/3/24 7:22 PM
    WhoopsyM     		55596 314
    Motor Sp. Porsche 963 5/18/24 9:44 PM
    Wonderbar     		27496 249
    Ferrari Ferrari 296 GTB (830PS, Hybrid V6) 1/21/24 4:29 PM
    GT-Boy     		22268 103
    BMW M 2022 BMW M5 CS 4/8/24 1:43 PM
    Ferdie     		20889 140
    AMG G63 sold out 9/15/23 7:38 PM
    Nico997     		17533 120
    AMG [2022] Mercedes-AMG SL 4/23/24 1:24 PM
    RCA     		15426 225
    Porsche Porsche Mission X Hypercar 12/3/23 8:52 AM
    996FourEss     		11439 63
    Others An unassuming homologation special - 205 Rallye 5/31/23 12:23 PM
    Enmanuel     		11275 35
    120 items found, displaying 1 to 30.