Ferrari’s 2Q17 earnings
Previously in this series, we looked at some key factors that drove Ferrari’s (RACE) solid 2Q17 performance in Europe including its home country, Italy. With the help of higher demand for newly launched vehicles such as GTC4Lusso family cars, the company’s 2Q shipments to the region saw positive growth. The United Kingdom is the largest market for Ferrari within Europe. Let’s find out how Ferrari performed in the UK in 2Q17.
Solid UK shipments
The UK has been one of the oldest and most loyal markets for the luxury carmaker in the EMEA (Europe, the Middle East, and Africa) region. In 2Q17, the company’s vehicle shipments to the United Kingdom rose ~4% YoY (year-over-year).
Deliveries of Ferrari’s GTC4Lusso T began in the second quarter in the UK, and the model saw strong demand. At the same time, the 488 and other GTC4Lusso family cars continued to perform well in the market.
Moreover, the UK shipments of LaFerrari Aperta cars, which started shipping to the UK about a year ago, rose. The UK is also an important market for mainstream automakers (XLY) including Volkswagen (VLKAY), Ford (F), and Fiat Chrysler (FCAU).
Rest of Asia-Pacific region
In the Asia-Pacific region, excluding Greater China, Ferrari’s 2Q17 shipments stood at 394 vehicle units as compared to 327 units in the corresponding quarter last year. With this, the company’s second quarter shipments to the region rose 20.5% YoY.
This shipment increase drove the company’s Rest of Asia-Pacific region revenues higher by 19.2% YoY to 102 million euros, or about $121 million, in 2Q17.
In the next part, we’ll review Ferrari’s 2Q17 profit margins.