On Tuesday, Ferrari NV stocks decreased in its fiscal third quarter but remained positive with its full-year guidance.
Its stock price declined by -7.36% to $441.00 per piece on November 05’s Asian afternoon session. In contrast, it is anticipated to rebound by 0.35% to $442.56 a share in the after-hours trading.
The automaker’s earnings per share (EPS) dropped to $2.08, well below the analysts’ $2.18 forecast and the previous $2.29 data.
At the same time, its revenue plunged to $1.64 billion, falling behind the experts’ $1.80 billion outlook and the $1.71 billion in the earlier quarter.
For this reason, investors at Ferrari NV are not satisfied after expecting the company to demonstrate resilience against the challenges in the industry.
However, the Italian corporation’s third-quarter revenue still registered a 6.50% year-over-year growth, despite the miss. Likewise, its adjusted Earnings Before Interest and Taxes recorded a 10.30% to €467 million ($501.57) gain.
Correspondingly, Ferrari NV noted the key drivers of the results, including a solid product mix and increased personalization.
According to Chief Executive Officer Benedetto Vigna, the data in the current quarter reveals growing results for the supercar-maker.
More importantly, Ferrari NV showed more confidence in its complete guidance for the year with expectations of €6.55 ($7.03 billion) revenue.
China Logs Slump, Ferrari Shipments Fall
As indicated by reports, the shipments of Ferrari slipped by 2.00% in the third quarter following slumps in China.
Subsequently, overall vehicle deliveries dipped by 2.20% to 3,383 units year-on-year. These echoes deliberate geographic allocations for the Italian carmaker.
In connection with this, Ferrari incurred a 29.00% delivery fall in China, where it holds a smaller presence compared to Porsche AG.
Nevertheless, the company’s shares are still higher than its industry rivals, despite having less exposure in the Asian country.
Furthermore, manufacturers including Mercedes-Benz Group AG and Porsche are facing waning sales in China, issuing profit warnings.
