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The Markets
by Proactive
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The Markets
by Proactive
Proactive UK has moved.
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Ferrari shares fall as guidance held despite better profit

Ferrari (NYSE:RACE) fell over 3% on Tuesday after sticking with guidance despite reporting double-digit revenue and profit growth for the first quarter.

Adjusted earnings climbed 12.7% to €605 million over the three months to March, Ferrari (NYSE:RACE) reported, as margins expanded from 37.6% to 38.2%.

This came on the back of a 10.9% increase in revenue to €1.59 billion, despite a seven unit fall in car shipments to 3,560 for the quarter.

“This was achieved through an even stronger product and country mix as well as a greater contribution from personalisations,” chief executive Benedetto Vigna commented.

“Our value over volume strategy continues to be successful,” he added, with orders for Ferrari (NYSE:RACE)’s €2 million Daytona SP3 model said to be rising.

Bernstein analysts dubbed the results “high quality,” noting they “clearly demonstrate how mix and pricing are going to be the principal drivers of margin development”.

That said, a fall in Ferrari's shares after the results announcement likely came in the absence of an increase to guidance for the year, analysts added.

Ferrari had doubled down on guidance for adjusted earnings to grow by 38% over the year to €2.45 billion.

Shares fell 3.4% to €384.

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