KTM reports 10 percent rise in new unit sales
An increase in new unit sales has fueled KTM Power Sports AG’s rise in revenue and net income.
The manufacturer reported a 10 percent boost in new unit sales in its third-quarter financial report. Together with that increase came a 14.4 percent rise in revenue and nearly a 30 percent boost in its net income to euro 15.1 million ($20.8 million).
The company said its street segment sales were especially strong in the third quarter, helping it gain market share after the introduction of the 690 Supermoto and the 990 Super Duke, the latter of which is already sold out.
KTM also reports a rising business for its OEM motors and related products.
The company is reporting its biggest revenue increase from Europe, where sales jumped 16 percent to euro 447.7 million ($619 million) for its first three quarters in comparison to the year-ago period. Its North American market also has grown, although not quite as fast (nearly 10 percent) nor is it as large sales-wise as Europe at euro 102 million ($141 million).
Looking ahead, the company expects a double-digit increase in sales and profit for its entire fiscal year. Helping grow that 2007 business will be the presentation of new 2-stroke and 4-stroke engines that will meet the strict air quality standards in Europe.
The company also said it will develop a sport car division after showcasing a sport car concept at the Geneva International Motor Show in March.
Dover Corp. reports second quarter, upcoming changes
Dover Corp., which owns Warn, Wiseco and other powersports manufacturers, announced upcoming organization changes after a record-setting second quarter.
Dover’s overall revenue for the second quarter was $1.8 billion, an increase of 12 percent over the same period a year ago. Earnings for the company’s first six months rose by 8 percent to $314 million.
The company’s Diversified segment, which includes Wiseco, had a revenue increase of
9.5 percent for its first six months. Its Resources segment, which includes Warn, posted a 23 percent sales increase for its first half.
Dover CEO Ronald Hoffman said in a press release the company will announce a new organizational structure late in its third quarter. The new structure “better aligns Dover’s operating companies with broadly served markets, enhances our strategic acquisition focus and increases our shareholder transparency,” Hoffman said.
Piaggio sales up 7.2 percent in first half, CEO?reports
Piaggio SpA sales topped $1.3 billion for the first half of 2007, marking a 7.2 percent increase over the same period in 2006, Chairman and CEO Roberto Colaninno said in a press release July 25.
The company’s net financial position for the first half, ended June 30, was $384 million, down from $436 million at Dec. 31, 2006 and $447 million at the end of the first six months of 2006.
GE reports record-breaking second quarter
Both GE Money and Commercial Finance registered sales and profit increases in the company’s second quarter, according to the company’s financial report.
As a whole, GE reported a record-breaking second quarter, with $5.4 billion in earnings, up 12 percent from a year ago. The company said the second quarter marked the 10th straight quarter of organic revenue growth.
GE Money boosted its second-quarter revenue by 17 percent to $6.1 billion and through the first half of its fiscal year is 15 percent ahead of its 2006 earnings.
“For the quarter, GE Money had strong global growth in revenues and assets, and increased segment profit 8 percent despite a loss at its U.S. mortgage business,” GE Chairman and CEO Jeff Immelt said in a press release.
GE’s Commercial Finance had an 18 percent increase in its profits in the second quarter and is 20 percent ahead of last year.
Immelt said GE is forecasting third-quarter earnings to top last year’s numbers by 15-19 percent.
RpmOne debuts a Web-based F&I system
RpmOne Inc., a provider of F&I products and dealer development services for powersports dealers, introduced its I.Q. System, a Web-based solution for streamlining the sale and administration of F&I products.
RpmOne’s new I.Q. System standardizes the F&I process and promotes compliance by providing dealers with a single, easy-to-use online interface that presents users with a comprehensive menu of all available F&I products, coverage options and pricing based upon the vehicle type selected.
Users are able to quickly create and store quotes and contracts; select profit margins and quickly assess overall deal profitability; print contracts on plain paper; generate accurate invoices and electronically remit contracts. The system allows users to electronically process and view the status of claims and contracts.
In addition to its sales and administrative features, the I.Q. System simplifies managing and tracking of the F&I process for dealers. The system increases visibility by allowing managers to run reports on the information contained within the system, including quotes, contracts, customer information, product information and claims.
“By leveraging our system, dealerships will be able to instantaneously receive updated pricing and product eligibility while printing all contracts with one click of the mouse,” said Barry Miller, president of RpmOne.
“Additionally, dealers will never run out of contracts, lose another contract that should have been remitted, fill out another remit sheet, go through the nuisance of mailing contracts, or experience printing problems with carbon forms.”
RpmOne’s new I.Q. System is Web-based and accessible from any Web-enabled device, it does not require any upfront capital investment in hardware or software. The system has undergone beta testing with a sampling of customers to ensure usability.
Wells Fargo exits powersports industry
Wells Fargo Specialty Finance alerted its dealers that it would discontinue offering indirect financing to RV, motorcycle, marine and powersports dealers, the company said in a statement July 13.
The statement included the text of a letter it sent to affected dealers, in which it announced it was terminating its dealer agreements as of Oct. 3. Wells Fargo will stop processing applications Aug. 4. Contracts approved as of Aug. 3 will be processed and funded in the ordinary course through Oct. 3.
“We regret that we will not be able to provide our financing services to you after these dates,” the letter stated. “What’s most important is you have sufficient time to identify alternative lending sources, and please keep in mind that Wells Fargo will continue to provide all our existing business banking services.”
ADP reports strong business growth in year-end report
ADP reported 14 percent revenue growth for its fiscal year, which ended June 30.
Net earnings grew 21 percent for the company to more than $1 billion.
ADP said 1 percent of its revenue growth from its fiscal year came from acquisitions and another 1 percent came from favorable foreign exchange rates.
Its dealer services segment increased its revenue by 8.5 percent for the fourth quarter and 14 percent over the past year. Its new business sales growth in North America was reported as strong.