Ferrari topped Wall Street’s top- and bottom-line earnings expectations for the fourth quarter to finish off a record year of profits for the luxury sports car manufacturer.
The automaker reported a net profit of 1.26 billion euros ($1.36 billion) for 2023, including 294 million euros ($317.9 million) during the fourth quarter. Its adjusted earning before interest and taxes (EBIT) was 1.62 billion euros ($1.75 billion) for the year, including 372 million euros ($402.3 million) during the last quarter. Both were yearly records for the company.
Ferrari’s revenue last year increased 17% to 5.97 billion euros ($6.46 billion), including an 11% increase during the fourth quarter from 1.37 billion a year earlier in 2022.
Such records are expected to be short-lived, as Ferrari is forecasting to top many of those results in 2024. The company’s forecast for this year calls for revenue of more than 6.4 billion euros ($6.9 billion), and adjusted per-share profit of at least 7.50 euros, with an adjusted EBIT margin of at least 38%. Its adjusted profit margins are expected to be in-line or slightly lower than 2023.
Shares of Ferrari reached a new 52-week high during trading Thursday morning. Shares were up by roughly 10% to more than $380 a share on the New York Stock Exchange. The company’s previous 52-week high of $372.42 occurred on Dec. 11.
Here’s how the company performed in the fourth quarter, compared with average estimates compiled by LSEG, formerly known as Refinitiv:
- Adjusted earnings per share: 1.62 euros versus 1.50 euros expected
- Revenue: 1.523 billion euros versus 1.506 billion expected
Ferrari shipments were up 3% last year to 13,663 vehicles in 2023, including 3,245 units in the fourth quarter.
“We now have a very important year ahead of us in the execution of our business plan, which continues on schedule along its carefully planned path,” Ferrari CEO Benedetto Vigna said in a release. “The record 2023 results, the ambitions that we have on 2024, together with the exceptional visibility on our order book allow us to look at the high-end of 2026 targets with stronger confidence.”
Separately, in other Ferrari news, multiple media outlets reported that Formula 1 star Lewis Hamilton is on the brink of making a surprising move from Mercedes over to Ferrari racing team for the 2025 season.