Ducati First Half Sales Slip 14.6%
Ducati Motor Holding S.p.A. reported a loss of Euro 3.5 million for the first six months of 2005, down from a profit of Euro 2.6 million during the first half of 2004, as sales slipped 14.6% to Euro 188.1 million from the same period last year.
Revenues from motorcycles for the period decreased 15.7% to Euro 147.4 million and accounted for 78.4% of revenues. Motorcycle-related products, including spare parts, accessories and apparel, were down by 7.7% to Euro 39.0 million over the comparable period in the previous year.
Ducati said operating profit, at 2.4% of sales, was Euro 4.6 million, down 62.3% from Euro 12.1 million.
First half unofficial Ducati registrations were down 6.7% from the same period last year, although registrations in the U.S. were up by 18%. Registrations were down in Italy (-10%), Japan (-14%), Germany (-18%), Benelux (-25%), and the UK (-25%).
“While the first semester 2005 results seem negative in absolute terms, they are only slightly below our expectations which forecast a 2005 back-loaded to the last quarter, because of the shipping of approximately 4,000 pre-sold SportClassic bikes,” Federico Minoli, Ducati Chairman and Chief Executive Officer, said in a prepared statement.
“A prevision for 2005 will largely depend on our ability to deliver and invoice as many of the pre-sold SportClassic bikes as possible,” said Enrico D’Onofrio, Ducati Chief Financial Officer. “At the moment, we foresee is a pre-tax loss of around Euro 2 million and a net financial position in line with last year. An accurate forecast will be possible, once we announce our third quarter results, in mid-November, when the SportClassic deliveries will have been entirely planned.”
