Ferrari's revenue and market capitalization
Ferrari is an Italian company that has been building luxury cars for many years. It operates in more than 60 markets around the world. In 2020, the group's business slowed down due to the coronavirus pandemic. However, the trend has changed completely since 2021. The same dynamics can also be observed at the beginning of 2022. Indeed, in the first three months of this year, the car manufacturer has recorded solid results. You will find the details in the lines below.
Photo credits: David Long - Flickr
Overall point of the group's activity in 2021
The Covid-19 health crisis had penalised Ferrari's business in 2020. At the time, the pandemic forced the group to temporarily suspend production. This had a logical impact on the number of cars delivered that year and on the company's financial results in general.
But in 2021, things have improved significantly for the carmaker. As a result, Ferrari has achieved a record 2021 financial year. That's right! For the whole of this year, it delivered 11,155 vehicles, compared to 9,119 delivered in 2020. This means that vehicle sales have increased by 22.3% year-on-year.
In the year 2021, the luxury car manufacturer has recorded a good double-digit increase in all regions of the world. The Europe-Middle East-Africa region recorded an increase of 14%. The American continent, meanwhile, posted growth of 21.8%.
On the other hand, growth was stronger in the China-Hong Kong-Taiwan region. It was 97.1%. Over the twelve months of the 2021 financial year, the prestigious horse brand achieved an annual turnover (CA) of 4.7 billion euros, compared with 3.46 billion euros in 2020.
This is an increase of 23.4% year-on-year. Compared to 2019, this turnover is up by 13.4%. This good performance shows the clear development of the group's activity during 2021. In detail, revenues from the sale of cars and spare parts are estimated at 3.57 billion euros, up 26%.
Revenues from sponsorship and branding amounted to 431 million euros. 431 million, up 10.4% on the previous year. This increase was driven by a relatively favourable Formula 1 calendar.
The upward trend in the 2021 financial year was also observed in the company's profits. For the year as a whole, the Italian group generated a net profit of €833 million, compared to €609 million in 2020.
First quarter 2022 results
Italian luxury car manufacturer Ferrari has made an excellent start to the 2022 financial year. This is illustrated by the strong performance in the first quarter. In the first three months of this year, the group's turnover reached 1.18 billion euros, compared to 1.011 billion euros in the same period a year earlier.
1.011 billion a year earlier in the same period. This represents an increase of 17.3% compared to Q1-2021. For the first quarter of 2022, revenues from the sale of cars and spare parts rose by 18% to €1.01 billion. 109 million in the quarter, an increase of 17%.
In addition, the Maranello-based group posted a net profit of 239 million euros in Q1-2022, compared with 206 million euros a year earlier. It reported a 16% year-on-year growth. For the first quarter of 2022 as a whole, the group's Ebitda came to €423 million, compared with €376 million in Q1-2021. 376 million in Q1 2021. It is up 12% year-on-year.
Increase in vehicle deliveries in Q1-2022
Between January and March 2022, the carmaker delivered a total of 3,251 cars, compared to 2,771 in the same period last year. At this level, the Italian group has thus recorded an increase of 17.3% compared to the first quarter of 2021.
With regard to the details of vehicle deliveries by zone, it should be noted that the Europe-Middle East-Africa region remained the car manufacturer's main market in the first few months of this year. Here, the number of cars delivered reached 1,743, an increase of 19 percent.
In the China-Hong Kong-Taiwan region, vehicle deliveries increased by 47% in Q1 of this year. In contrast, the poor performance this quarter was recorded in the Americas. Car deliveries in this region fell by 13%.
Outlook for 2022
On the strength of the good results recorded since the start of the 2022 financial year, the Italian group has a solid financial outlook for the year as a whole. Thus, the luxury car manufacturer (Ferrari) is targeting good performances for this financial year.
It expects to achieve an annual turnover of around 4.8 billion euros this year. Also, the prestigious brand with the horse is expecting an Ebitda of between 1.65 billion euros and 1.70 billion euros.
About Ferrari's dividend and market capitalisation
The Italian luxury car manufacturer Ferrari is one of the companies in the automotive sector that pays a dividend to its shareholders. For the financial year 2021, the Italian manufacturer proposed to shareholders at the General Meeting held on 13 April 2022, the payment of a coupon of 1.362 euros per share, compared to 0.867 euros per share for the previous financial year.
This increase in the dividend has a good meaning. This is due to the strong results achieved by the car manufacturer in 2021. Ferrari also has a strong presence in the equity markets. The company is listed on the Milan Stock Exchange. As of May 2022, its market capitalisation is estimated at over 30 billion euros.
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