Analyst Note| Richard Hilgert |
Wide-moat rated Ferrari, Formula 1 racer and maker of ultraluxury and exotic sports cars, reported third-quarter diluted earnings per share of EUR 1.11, EUR 0.09 better than the EUR 1.02 FactSet consensus and up EUR 0.19 from the COVID-19-affected year-ago result. Third-quarter revenue increased 19% to EUR 1.053 billion from EUR 888 million reported last year and 15% higher versus the third quarter of 2019. Unit volume was also strong, jumping 19% to 2,750 from 2,313 a year ago, with all regions posting positive year-over-year growth. China was the strongest performer in the quarter with shipments jumping 109%, followed by the Americas region reporting a 40% increase. Third-quarter adjusted EBITDA was EUR 371 million, up from EUR 330 million last year. That said, adjusted EBITDA margin came in at 35.2%, a 200-basis-point decrease compared with the 37.2% margin a year ago as operating expenses weighed on margins.