Core Insights - Ferrari operates on a model of scarcity, producing approximately 13,640 cars annually, with a waiting list extending to the end of 2027, emphasizing exclusivity over volume [2][3] Financial Performance - For FY 2025, Ferrari reported net revenues of €7.146 billion, a 7% increase year-over-year, with an EBIT margin of 29.5% [4] - Industrial free cash flow increased by 50% to over €1.5 billion, showcasing strong financial health [4] Market Positioning - Ferrari trades at approximately 31 times trailing earnings and has a price-to-sales ratio of 8.67, significantly higher than competitors like Toyota [5] - The company's beta is 0.52, indicating stability during market downturns, which is characteristic of asset behavior rather than typical automotive cycles [5] Pricing Strategy - Ferrari's pricing power is driven by continuous innovation and the introduction of desirable features, with the personalization program contributing around 20% to revenues from cars and spare parts [5] Future Developments - The debut of Ferrari's first full-electric sports car, the Luce, is scheduled for May 25, 2026, which will test the brand's emotional connection with customers amid a powertrain transition [6] - A €3.5 billion multi-year buyback program has been initiated, reflecting management's confidence in the long-term value of the business [6]

Core Insights - Ferrari operates as a luxury brand, focusing on scarcity rather than volume, producing approximately 13,640 cars annually with a waiting list extending to the end of 2027 [1] - The company reported €7.146 billion in revenue for FY 2025, a 7% increase year-over-year, with an EBIT margin of 29.5% and free cash flow rising 50% to €1.5 billion [1] - Ferrari's stock trades at a premium, with a price-to-earnings ratio of 31x and a price-to-sales ratio of 8.67x, contrasting sharply with competitors like Toyota [1] Financial Performance - Revenue for FY 2025 reached €7.146 billion, marking a 7% increase from the previous year [1] - EBIT margin stood at 29.5%, indicating strong profitability [1] - Free cash flow increased by 50% to over €1.5 billion, showcasing robust cash generation capabilities [1] Market Positioning - Ferrari's pricing strategy is driven by continuous innovation and product desirability, with personalization programs contributing approximately 20% to revenues [1] - The company is set to launch its first full-electric sports car, the Ferrari Luce, in May 2026, which will be a critical test of brand loyalty amid a powertrain transition [1] - A €3.5 billion multi-year buyback program has been initiated, reflecting management's confidence in the long-term value of the business [1] Investment Considerations - Ferrari's beta is 0.52, indicating lower volatility compared to the broader market, which is characteristic of asset-like behavior rather than typical automotive cycles [1] - The consensus target price for Ferrari's stock is $452.45, suggesting ongoing debate about its valuation relative to its luxury asset positioning [1]

Group 1: Market Demand and EV Strategy - High-end luxury sports car makers are assessing the demand for electric vehicles (EVs), with Lamborghini indicating a minimal market for electric supercars, while Ferrari is moving forward with its EV plans despite downsizing them [1][4] - The global push for electrification is challenging automakers to balance investments in EV technology with the preferences of customers who may be hesitant or uninterested in EVs [2] Group 2: Ferrari's Market Position and Sales - Ferrari sells approximately 14,000 cars annually, yet its market value surpasses that of Lamborghini's parent company, Volkswagen Group, due to the high price range of its vehicles, starting from the low hundreds of thousands to millions [3] - Ferrari has revised its expectations for EV sales to 20% of total sales, halving its previous target, while continuing to produce internal combustion vehicles, including its renowned 12-cylinder engines [4] Group 3: Analyst Insights - Analysts recognize Ferrari as one of the most successful companies in Europe, not just in the automotive sector, highlighting its overall success [4] - The strategy of Ferrari is seen as a way to hedge its bets and cater to a diverse customer demographic while maintaining its core identity centered around internal combustion engine cars [5]

Core Viewpoint - Ferrari NV is positioned as one of the top Italian stocks to invest in for 2026, despite a mixed performance in Q4 2025 results, with strong full-year growth indicators [1][4]. Financial Performance - In Q4 2025, Ferrari's earnings and revenue fell short of analysts' expectations, but full-year revenue increased by 7% to €7.1 billion, and EBITDA rose by 38.8% to €2.8 billion [1][2]. - The company's industrial free cash flow generation exceeded €1.5 billion, achieving over 55% cash conversion [1]. Product and Market Strategy - The full-year results were supported by a richer product mix, price improvements, and the launch of six new models in 2025, including the Ferrari Luce, the company's first electric vehicle [2][5]. - Ferrari has a strong order book extending to the end of 2027, with notable demand for the Amalfi and 849 Testarossa models [3]. Future Projections - For 2026, Ferrari projects revenue of approximately €7.5 billion and adjusted EBITDA of €2.93 billion, while also forecasting at least €1.5 billion in industrial free cash flow generation [3]. Analyst Ratings - Deutsche Bank analysts raised their price target for Ferrari to €460 from €450, maintaining a Buy rating based on the company's strong results and anticipated continued positive performance [4].

Group 1 - Ferrari N.V. reported full-year 2025 results with revenues increasing by 7% to over €7.1 billion, EBIT margin rising by 120 basis points to 29.5%, and industrial free cash flow exceeding €1.5 billion [1] - Management attributes positive trends to product mix, sponsorships, and personalizations, indicating strong demand for Ferrari and a disciplined management approach in every market [1] - The order book for Ferrari extends towards the end of 2027, reflecting the company's exclusivity model [1] Group 2 - Ferrari unveiled the interior design and name of its new full-electric sports car, Ferrari Luce, marking a significant milestone in the company's history [2] - The world première of Ferrari Luce is scheduled to take place in Rome on May 25, 2026 [2] Group 3 - Ferrari operates as a manufacturer, designer, and retailer of luxury sports cars, producing one-off and limited-series cars under the Ferrari brand [3] - The company has a presence in over 60 markets globally through a network of authorized dealers [3]

Financial Data and Key Metrics Changes - In 2025, the company achieved revenues exceeding EUR 7.1 billion, with EBIT growing to over EUR 2.1 billion, marking a double-digit growth [10] - Industrial cash flow generation surpassed EUR 1.5 billion, reflecting a significant increase of approximately 50% compared to the previous year [22] - The EBITDA margin reached 38.8%, while the EBIT margin stood at 29.5%, indicating strengthened percentage margins despite external challenges [22] Business Line Data and Key Metrics Changes - The sports car segment saw an improved overall mix, contributing positively to revenue growth, despite the phase-out of the Daytona SP3 [17] - Revenues from racing increased due to new partnerships and enhanced sponsor contributions [17] - The lifestyle segment maintained a growth pace aligned with the company's development investments [17] Market Data and Key Metrics Changes - The company reported a solid order book extending towards the end of 2027, indicating strong demand dynamics [11] - Residual values remained stable and solid, supported by recent auction results [11] - The company noted a decline in deliveries to the U.S. market, attributed to model changeovers rather than demand weakness [73] Company Strategy and Development Direction - The company launched six new sports cars in 2025, including the Ferrari Luce, as part of its strategy for horizontal product diversification and technology neutrality [6] - Future plans include the complete introduction of the Ferrari Luce and the launch of four new models in 2026 [14] - The company aims to enhance client experiences through craftsmanship and quality, emphasizing a client-centric approach [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term opportunities despite ongoing global uncertainties [25] - The company anticipates 2026 to be a year of growth, with expectations for a stronger product mix and continued investment in brand development [15][24] - Management highlighted the importance of maintaining a disciplined approach in the current economic context [16] Other Important Information - The company completed its EUR 2 billion share buyback program one year ahead of schedule [18] - A competitive award of up to EUR 14,900 was announced for employees in Italy, reflecting the company's strong performance [10] Q&A Session Summary Question: Margin expectations for 2026 - Management indicated that operating margins are expected to be flat to up in the second half of 2026, with a stronger product mix anticipated [30] Question: Guidance for 2026 and cost offsets - Management expects mix and pricing to offset higher SG&A and industrial costs in 2026 [36] Question: Models driving the order book - The 296 Speciale and Testarossa models are significant contributors to the order book, with new clients attracted by the Amalfi model [41] Question: Impact of FX on bottom line - A headwind of about EUR 200 million is anticipated due to foreign exchange rates, primarily from the US dollar and Japanese yen [62] Question: R&D and government grants - R&D expenses are expected to remain stable, with additional government grants anticipated in future years [116] Question: Free cash flow expectations - Free cash flow is expected to be strong, with net working capital contributions being more neutral compared to 2025 [78]

Financial Data and Key Metrics Changes - In 2025, the company achieved revenues exceeding EUR 7.1 billion, with EBIT growing to over EUR 2.1 billion, marking a double-digit growth [10] - Industrial cash flow generation surpassed EUR 1.5 billion, reflecting a 50% increase compared to the previous year [22] - The EBITDA margin was reported at 38.8%, while the EBIT margin stood at 29.5%, indicating strengthened percentage margins despite external pressures [22] Business Line Data and Key Metrics Changes - The sports car segment saw an improved overall mix, contributing positively to revenue growth, despite the phase-out of the Daytona SP3 [17] - Revenues from racing increased due to new partnerships and enhanced sponsor contributions [17] - The lifestyle segment maintained a growth pace aligned with development investments, with successful client activations driving engagement [9][17] Market Data and Key Metrics Changes - The company reported a solid order book extending into late 2027, with stable residual values evidenced by strong auction results [11] - The Americas market experienced a decline in deliveries, attributed to model changeovers rather than demand weakness [73] Company Strategy and Development Direction - The company launched six new sports cars in 2025, including the Ferrari Luce, as part of a strategy focused on horizontal product diversification and technology neutrality [6] - Future plans include the complete introduction of the Ferrari Luce and the launch of four new models in 2026, alongside continued investment in brand and lifestyle retail networks [15][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in long-term opportunities despite ongoing global uncertainties, emphasizing a disciplined approach to growth [16][25] - The company anticipates 2026 to be a year of growth, with expectations for a stronger product mix and continued support from sponsorships and lifestyle activities [24][25] Other Important Information - The company completed its EUR 2 billion share buyback program one year ahead of schedule, reflecting strong financial performance [18] - A competitive award of up to EUR 14,900 was announced for employees in Italy, aligning employee rewards with company performance [10] Q&A Session Summary Question: Margin expectations for 2026 - Management indicated that operating margins are expected to be flat to down in H1 2026, with an anticipated increase in the second half due to a stronger product mix [29][31] Question: 2026 guidance on mix and pricing - Management expects mix and pricing to offset higher SG&A and industrial costs in 2026 [35][36] Question: Models driving the order book - The 296 Speciale, Testarossa, and Amalfi models are currently driving the order book, with new clients attracted to the brand [40][41] Question: F80 shipments in Q4 - A few units of the F80 were shipped in Q4, with production ramping up as planned [51] Question: Foreign exchange impact on bottom line - The company anticipates a EUR 200 million headwind from foreign exchange rates in 2026, primarily due to the lack of hedging benefits compared to 2025 [62][90] Question: R&D and government grants - R&D expenses are expected to remain stable, with additional government grants anticipated in future years [116] Question: Residual values and dealer confidence - Residual values are reported as stable and solid, with strong dealer confidence in the brand [50][56]

Financial Data and Key Metrics Changes - In 2025, the company achieved revenues exceeding EUR 7.1 billion, with double-digit growth in EBIT reaching over EUR 2.1 billion and industrial cash flow generation surpassing EUR 1.5 billion [9][20][22] - The EBITDA margin was reported at 38.8% and EBIT margin at 29.5%, despite challenges from increased U.S. import duties and currency headwinds [20][22] - The industrial free cash flow generation increased by approximately 50% compared to the previous year [20] Business Line Data and Key Metrics Changes - The sports car segment saw an improved mix, contributing positively to revenue growth, despite the phase-out of the Daytona SP3 [15][17] - Revenues from racing increased due to new partnerships and improved sponsor contributions [15] - The lifestyle segment maintained a growth pace, supported by successful client activations and increased engagement [15] Market Data and Key Metrics Changes - The company reported a solid order book extending towards the end of 2027, indicating strong demand dynamics [10] - The residual values of vehicles remained stable, supported by strong auction valuations [10] Company Strategy and Development Direction - The company launched six new sports cars in 2025, including the Ferrari Luce, as part of its strategy for horizontal product diversification and technology neutrality [5][6] - Plans for 2026 include the complete introduction of the Ferrari Luce and the launch of four additional models, focusing on innovation and craftsmanship [10][12] - The company aims to enhance its lifestyle retail network with new flagship stores in London and New York [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the brand's momentum and the ability to navigate persistent global uncertainties [10][14] - The company anticipates continued growth in 2026, with a focus on model changeovers and maintaining a strong product mix [22][24] - Management emphasized the importance of client centricity and the unique experience offered to customers [7][9] Other Important Information - The company successfully concluded its EUR 2 billion share buyback program one year ahead of schedule [16] - A competitive award of up to EUR 14,900 was announced for employees in Italy, reflecting the company's strong performance [9] Q&A Session Summary Question: Margin expectations for 2026 - Management indicated that operating margins are expected to be flat to up in the second half of 2026, with a stronger product mix anticipated [27][30] Question: 2026 guidance on mix and pricing - Management expects mix and pricing to offset higher SG&A and industrial costs in 2026 [34][35] Question: Models driving the order book - The 296 Speciale and Testarossa models are significant contributors to the order book, with new clients attracted by the Amalfi model [38][39] Question: Residual value trends - Residual values are stable and solid, with actions taken in the UK to stabilize values through reduced shipments [49][50] Question: FX impact on EBIT - A EUR 200 million headwind from foreign exchange is anticipated for 2026, primarily due to the lack of hedging benefits compared to 2025 [62][92] Question: R&D and CapEx expectations - R&D expenses are expected to remain stable, with CapEx anticipated to be slightly higher in 2026 [35][129]

. FY 2025 RESULTS MARANELLO, FEBRUARY 10, 2026 STRONG PERFORMANCE IN 2025 SETS THE FOUNDATION FOR CONTINUED GROWTH IN 2026 Revenues at ~€7.1B, EBIT(1) at ~€2.1B with +12% growth YoY and industrial free cash flow(1) generation above €1.5B Further enrichment of product line-up with 6 new models, among which the initial steps of reveal of the Ferrari Luce FORWARD LOOKING STATEMENT This document, and in particular the section entitled "2026 Guidance", contain forward-looking statements. These statements may inc ...

Core Insights - Ferrari has officially unveiled its first electric supercar named "Luce," designed by former Apple design head Jony Ive [1][2] Group 1: Vehicle Specifications - The Luce is powered by four electric motors, delivering over 1,000 horsepower [2] - It features a 122 kWh battery, a 0-60 mph acceleration time of 2.5 seconds, and a range of 330 miles [2] - The vehicle weighs 5,100 lbs and includes four doors and four seats [2] Group 2: Design and Features - The Luce incorporates physical buttons and a retro-inspired steering wheel [2] - It includes a 10-inch infotainment screen similar to an iPad and a 12.5-inch instrument cluster with a physical needle in the digital speedometer [3] - Paddle shifters are located behind the steering wheel to control torque delivery, simulating gear-shifting sensations [3] Group 3: Market Reaction - Following the announcement, Ferrari's stock (RACE) increased by 0.70% to $336.13 at market close and further rose by 0.26% to $337.00 in after-hours trading [4]