Core Insights - Ferrari's stock is experiencing its worst trading day since its listing on the Milan stock exchange nearly 10 years ago, with shares down 14.4% as of 12:15 p.m. ET [1] - The company updated its revenue guidance for this year to approximately 7.1 billion euros, slightly above previous estimates, but long-term sales projections for 2030 disappointed analysts [3][5] - Ferrari plans to launch an average of four new models annually through 2030 and has reduced its electrification targets, now expecting only 20% of its lineup to be electric by 2030, down from a previous estimate of 40% [4][8] Financial Guidance - The updated revenue guidance for 2023 is set at about 7.1 billion euros, which is an increase from prior guidance [3] - For 2030, Ferrari projects sales of 9 billion euros, falling short of analysts' expectations of 9.8 billion euros [3] Electrification Strategy - Ferrari unveiled its first electric vehicle, the Ferrari elettrica, with deliveries expected to start late next year [4] - The company now anticipates a model mix of 20% electric, 40% internal combustion engine, and 40% hybrid by 2030, a significant reduction from earlier plans [4][8]

Core Viewpoint - Ferrari has scaled back its electrification ambitions, now targeting a sports car model line-up for 2030 consisting of 40% internal combustion engine (ICE) cars, 40% hybrids, and 20% fully electric vehicles, a shift from its previous goal of 40% EV sales by the end of the decade [2][3]. Group 1 - The revised target reflects a client-centric approach and is influenced by the current market environment and its expected evolution [2]. - Ferrari unveiled the production-ready chassis and powertrain for its first fully electric vehicle, the elettrica, during a technology and innovation workshop, with deliveries expected to start in late 2026 [3]. - The completed elettrica is set to have a global premiere next year [3]. Group 2 - Following the announcement, Milan-listed shares of Ferrari dropped by 13%, while U.S.-listed shares fell by 11.3% in premarket trading [3]. - John Elkann, executive chairman of Ferrari, emphasized the company's commitment to progress through the integration of technology, design, and manufacturing craftsmanship [4].

Core Insights - Ferrari presented its 2030 Strategic Plan, emphasizing continuous innovation, product diversification, and a commitment to sustainability and education [4][5][39]. Group 1: Product Strategy - The company plans to launch an average of four new car models per year from 2026 to 2030, with a product line-up consisting of approximately 40% internal combustion engines (ICE), 40% hybrids, and 20% electric vehicles by 2030 [6][13]. - The introduction of the Ferrari elettrica marks a significant addition to the product range, designed to deliver exceptional driving experiences while maintaining the brand's unique philosophy [14][24]. - The breadth of the model line-up, tailored to various client needs, is a competitive advantage, allowing for a horizontal product diversification strategy while preserving exclusivity [15][22]. Group 2: Client Engagement - Ferrari has seen a 20% increase in active clients, reaching 90,000, with a notable acquisition of approximately 32,300 new clients since 2022 [20]. - The company is enhancing its client experience through the opening of new Tailor Made centers in Tokyo and Los Angeles, as well as flagship stores in London and New York [16][32]. - The brand's dual nature of inclusivity and exclusivity is reflected in its lifestyle offerings, which aim to engage a wide audience, from 180,000 Ferraristi to over 400 million tifosi [30]. Group 3: Sustainability Initiatives - Ferrari has reduced its Scope 1 and 2 greenhouse gas (GHG) emissions by approximately 30% from 2021 to 2024, with a target to achieve at least a 90% reduction by 2030 [33][34]. - The company aims to cut Scope 3 emissions by at least 25% in absolute terms by 2030 compared to 2024, reflecting its commitment to continuous improvement in sustainability [35][36]. - Investments in new materials, such as recycled aluminum, are part of Ferrari's strategy to lower environmental impact and enhance sustainability [28][38]. Group 4: Educational Commitment - The M-TECH Alfredo Ferrari initiative will be established in Maranello as an advanced technical training center, aimed at inspiring the next generation of technicians and engineers [39][40][41]. - This educational project is a collaboration between Ferrari, Fondazione Agnelli, and local government entities, reinforcing the company's commitment to community and innovation [40][41].