Ferrari Nv · MIL:RACE
Ferrari Nv — FY2023 Earnings Presentation
31 slides from Ferrari Nv's earnings presentation, Feb 1, 2024
Slide 1: FY 2023 Results
FY 2023 RESULTS MARANELLO, FEBRUARY 1, 2024
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT This document, and in particular the section entitled “2024 guidance”, contain forward-looking statements. These statements may include terms such as “may”, “will”, “expect”, “could”, “should”, “intend”, “estimate”, “anticipate”, “believe”, “remain”, “continue”, “on track”, “su
Slide 3: Record 2023 Results Strengthen the Foundation for Continuous Growth
RECORD 2023 RESULTS STRENGHTEN THE FOUNDATION FOR CONTINUOUS GROWTH Record results with Adj. EBITDA(1) margin at 38.2%, Net Profit above €1.2Bn and Industrial free cash flow(1) at €932M Year of emotions in our racing activities, culminating with the 24 Hours of Le Mans victory in the WEC Championshi
Slide 4: 5 Models Launched in 2023
rs Q Ww I 0 Zz 5 q | M N (e) N 5 MODELS
Slide 5: 5
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Slide 6: 2024: A Year of Execution in Line with Our Growth Trajectory
2024: A YEAR OF EXECUTION IN LINE WITH OUR GROWTH TRAJECTORY RACING: • Compete at the top in Formula 1 and WEC SPORTS CARS: • Inauguration of the e-building and 3 new model launches • Enhance experiences for both new and long standing clients LIFESTYLE: • Building scale while elevating and expanding
Slide 7: FY 2023 Highlights
FY 2023 HIGHLIGHTS SHIPMENTS(2) NET REVENUES (UNITS) (€M) FY '23 13,663 FY '23 5,970 +3.3% +17.2% FY '22 13,221 FY '22 5,095 ADJ. EBIT(1) ADJ. DILUTED EARNINGS PER SHARE(1) (€M and margin %) (€) FY '23 1,617 27.1% FY '23 6.90 +31.8% +35.6% FY '22 1,227 24.1% FY '22 5.09 ADJ. EBITDA(1) INDUSTRIAL FRE
Slide 8: FY 2023 – Shipments
FY 2023 – SHIPMENTS(2) SHIPMENTS BY REGION(3) SHIPMENTS BREAKDOWN (FY 2023 VS FY 2022) Total shipments up 442 units or 3.3% vs (FY 2023) FY 2022: EMEA +1.8% INTERNAL (44% vs 45% PY) COMBUSTION • Hybrid share doubled, led by 296 and ENGINE (ICE) 56% AMERICAS(4) SF90 families +10.6% (28% vs 26% PY) •
Slide 9: Net Revenues Bridge FY 2022 – 2023
NET REVENUES BRIDGE FY 2022 – 2023 (€M) Net revenues reported +17.2% Net revenues at constant currency +17.1% (10) +18.5% +12.6% -18.4% +29.4% 64 35 6,049 5,970 812 155 152 (28) 127 (79) 127 577 572 5,095 71 5,166 120 120 155 155 499 513 5,190 5,119 4,321 4,378 FY 2022 FX hedges FY 2022 FY 2022 w/o
Slide 10: Adjusted EBIT Bridge FY 2022 – 2023
ADJUSTED EBIT(1) BRIDGE FY 2022 – 2023 (€M) 461 1,673 81 1,617 (166) (56) (43) 42 71 1,298 1,227 Margin Margin 27.7% 27.1% Margin Margin 25.1% 24.1% ADJ. EBIT FY 2022 FX hedges ADJ. EBIT FY 2022 Volume Mix / Price Ind. Costs / R&D SG&A Other ADJ. EBIT FY 2023 Change in FX 2022 ADJ. EBIT FY 2023 FY 2
Slide 11: Industrial FCF and Net Industrial Debt Bridges
INDUSTRIAL FCF(1) AND NET INDUSTRIAL DEBT(1) BRIDGES DEC 31, 2022 – DEC 31, 2023 (€M) 2,243 (207) 932 (150) (461) (29) (99) (292) 932 (869) (334) Adj. EBITDA Change in Net cash Capex (11) Industrial FCF (Industrial working interest & FY 2023 December 31, Industrial FCF Dividends Share Currency, Dece
Slide 12: 2024 Guidance and Stronger Confidence on High-End of 2026 Targets
2024 GUIDANCE AND STRONGER CONFIDENCE ON HIGH-END OF 2026 TARGETS (€B, unless otherwise stated) 2023 2024 ACTUAL GUIDANCE Based on the following assumptions for the year: • Positive product and country mix along with strong NET REVENUES 6.0 >6.4 personalizations • Racing activities impacted by lower
Slide 13: Q&A
Q&A 13
Slide 14: Appendix
APPENDIX 14
Slide 15: Notes to the Presentation
NOTES TO THE PRESENTATION 1. Reconciliations to non-GAAP financial measures are provided in the Appendix. The 9. Primarily relates to financial services activities, management of the Mugello term EBIT is used as a synonym for operating profit. There were no adjustments racetrack and other sports-rel
Slide 16: Strong Track-Record in New Models Introduction
STRONG TRACK-RECORD IN NEW MODELS INTRODUCTION RANGE MODELS INTRODUCED Model / year of delivery 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 RANGE MODELS California 458 Italia 458 Spider FF F12berlinetta California 30 California T 488 GTB 488 Spider GTC4LUSSO 812 Superfast G
Slide 17: Strong Track-Record in New Models Introduction
STRONG TRACK-RECORD IN NEW MODELS INTRODUCTION SPECIAL SERIES AND LIMITED EDITION MODELS INTRODUCED Model / year of delivery 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 SPECIAL SERIES 599 GTO SA APERTA 458 Speciale 458 Speciale A F12tdf 488 Pista 488 Pista Spider 812 C
Slide 18: Group Shipments by Region
GROUP SHIPMENTS BY REGION(2)(3) 13,663 13,221 2,299 3,327 3,245 2,264 491 1,490 508 1,552 478 360 3,447 3,811 831 884 5,958 6,063 1,527 1,493 Q4 2022 Q4 2023 FY 2022 FY 2023 EMEA Americas(4) Mainland China, Hong Kong and Taiwan(5) Rest of APAC Note: (2) (3) (4) (5) Refer to notes to the presentation
Slide 19: Debt and Liquidity Position
DEBT AND LIQUIDITY POSITION NET INDUSTRIAL DEBT NET INDUSTRIAL DEBT (€M) (€M) At Dec. 31 2023 2022 2021 2020 (99) Debt (2,477) (2,812) (2,630) (2,725) Cash and Cash Equivalents (A) 1,122 1,389 1,344 1,362 (1,355) (1,256) Net Debt (1,355) (1,423) (1,286) (1,363) Net Debt of Financial Services Activit
Slide 20: Financial Leverage Historical Trend
FINANCIAL LEVERAGE(16) HISTORICAL TREND Total available liquidity at €1,722M as of December 31, 2023 (€2,058M as of December 31, 2022), including undrawn committed credit lines of €600M Net Debt / Adj. EBITDA(1) Net Industrial Debt(1) / Adj. EBITDA(1) (Industrial Activities only) 1.2x 1.1x 1.0x 0.9x
Slide 21: Capex and R&D
CAPEX AND R&D Q4 '23 Q4 '22 €M, unless otherwise stated FY '23 FY '22 316 310 Capital expenditures(11) 869 806 125 128 of which capitalized development costs(17) (A) 448 416 Research and development 158 131 539 518 costs expensed (B) 283 259 Total research and development (A+B) 987 934 Amortization
Slide 22: Non-GAAP Financial Measures
NON-GAAP FINANCIAL MEASURES Operations are monitored through the use of various non-GAAP financial measures reflective of ongoing operational activities. that may not be comparable to other similarly titled measures of other companies. • Adjusted Earnings Before Interest and Taxes or “Adjusted EBIT”
Slide 23: Key Performance Metrics and Reconciliations of Non-GAAP Measures
KEY PERFORMANCE METRICS AND RECONCILIATIONS OF NON-GAAP MEASURES Q4 '23 Q4 '22 €M, unless otherwise stated FY '23 FY '22 1,523 1,368 Net revenues 5,970 5,095 780 727 Cost of sales 2,996 2,649 117 128 Selling, general and administrative costs 463 428 253 213 Research and development costs 882 776 3 3
Slide 24: Reconciliations: Total Net Revenues at Constant Currency
RECONCILIATIONS OF NON-GAAP MEASURES: TOTAL NET REVENUES AT CONSTANT CURRENCY(10) Q4 '23 at constant FY '23 at constant Q4 '23 €M, unless otherwise stated FY '23 currency currency 1,289 1,309 Cars and spare parts 5,119 5,190 150 151 Sponsorship, commercial and brand 572 577 39 39 Engines 127 127 45
Slide 25: Reconciliations: Adjusted EBITDA and EBIT at Constant Currency
RECONCILIATIONS OF NON-GAAP MEASURES: ADJUSTED EBITDA AND EBIT AT CONSTANT CURRENCY(10) Q4 '23 at constant FY '23 at constant Q4 '23 €M, unless otherwise stated FY '23 currency currency 558 575 Adjusted EBITDA 2,279 2,335 372 389 Adjusted EBIT 1,617 1,673 Note: (10) Refer to notes to the presentatio
Slide 26: Reconciliations: EBITDA and Adjusted EBITDA
RECONCILIATIONS OF NON-GAAP MEASURES: EBITDA AND ADJUSTED EBITDA Q4 '23 Q4 '22 €M, unless otherwise stated FY '23 FY '22 294 221 Net profit 1,257 939 73 60 Income tax expenses 345 239 5 17 Financial expenses/(income), net 15 49 186 171 Amortization and depreciation 662 546 558 469 EBITDA 2,279 1,773
Slide 27: Reconciliations: Adjusted EBIT
RECONCILIATIONS OF NON-GAAP MEASURES: ADJUSTED EBIT Q4 '23 Q4 '22 €M, unless otherwise stated FY '23 FY '22 372 298 EBIT 1,617 1,227 - - Adjustments - - 372 298 Adjusted EBIT 1,617 1,227 Certain totals in the tables included in this document may not add due to rounding February 1, 2024 27
Slide 28: Reconciliations: Adjusted Net Profit
RECONCILIATIONS OF NON-GAAP MEASURES: ADJUSTED NET PROFIT Q4 '23 Q4 '22 €M, unless otherwise stated FY '23 FY '22 294 221 Net profit 1,257 939 - - Adjustments - - 294 221 Adjusted Net profit 1,257 939 Certain totals in the tables included in this document may not add due to rounding February 1, 2024
Slide 29: Reconciliations: Adjusted Basic and Diluted EPS
RECONCILIATIONS OF NON-GAAP MEASURES: ADJUSTED BASIC AND DILUTED EPS Q4 '23 Q4 '22 €M, unless otherwise stated FY '23 FY '22 293 220 Net profit attributable to owners of the Company 1,252 933 Weighted average number 180,592 182,149 181,220 182,836 of common shares (thousand)(18) 1.63 1.21 Basic EPS
Slide 30: Reconciliations: Free Cash Flow and Industrial Free Cash Flow
RECONCILIATIONS OF NON-GAAP MEASURES: FREE CASH FLOW AND FREE CASH FLOW FROM INDUSTRIAL ACTIVITIES Q4 '23 Q4 '22 €M, unless otherwise stated FY '23 FY '22 527 430 Cash flow from operating activities 1,717 1,403 Investments in property, plant and equipment (316) (310) (869) (806) and intangible asset
Slide 31: Reconciliations: Net Industrial Debt
RECONCILIATIONS OF NON-GAAP MEASURES: NET INDUSTRIAL DEBT December 31, September 30, June 30, March 31, December 31, December 31, December €M, unless otherwise stated 2023 2023 2023 2023 2022 2021 31, 2020 Debt (2,477) (2,542) (2,681) (2,708) (2,812) (2,630) (2,725) of which: Lease liabilities as pe