Q1 2023 Ferrari NV Earnings Call
The first question on just to go back to something you just mentioned.
<unk>. Another one is the power density. So we don't have a single chemistry, we are a different kind of chemistry and little bit more tailored for our needs considering the two vectors of energy and power.
And as I said at the beginning we are on track with our plan that we should we view the 16 June last year.
First question.
Which is a trend you'll see we don't see any specific trends by models.
We don't have any specific trends by by countries.
It's.
Really it's very much personal like I was telling you the our clients are making more and more personal the Ferrari.
One they want to drive and the one they want to Geneva.
So this is the question so the answer to the question for the China's fleet and labor costs, and Tania can be a little bit more specific on this.
Hi, Monica on China.
Our deliveries in China, Hong Kong and Shanghai.
Our deliveries in the course of the year more or less than a bit less than 10% of total deliveries.
And in terms of distribution by quarter, the first and the third quarter are the ones that currently are a bit more loaded than the other two.
Don't take it.
Granted because we may have.
Changes in the allocation, but that's more or less directionally. This should develop over the course of the year and the last one is other costs that we are not on gauge accurately completed the negotiation. So it's an 11% increase on accumulative basis over 2023, and 2024, which is impacting this year in the region of 6% and is off.
Please in the numbers.
Okay.
Thank you.
Okay.
We will now take the next question.
It comes from the line of Thomas Besson from Kepler Cheuvreux. Please go ahead. Your line is open.
Thank you so much.
I have a few questions.
Is it possible for you to confirm overwhelming request US you plan to deliver.
Data in us with your customers.
The first question Nobody said differently.
The units, we should expect per quarter.
Thank you Paul.
Second question.
There was a bigger tailwind from Forex.
In the first quarter is it still remains.
So now you have obviously broadly neutral for you or do you think we should know.
Yes.
Forex boost.
Sorry.
And the.
Leslie.
You mentioned the issues.
The positive element.
For you.
The midterm as it gives the user proceeds to offer.
Just kind of.
<unk> solutions for your customers.
Tom.
Could you.
Share with us what is the.
Initial thinking about.
The long term proportion of.
Vehicles that could stay.
With that kind of.
Porphyry modes.
Students with Geos.
It will lead to just goes off.
Okay. Okay.
The first one the number of deaths on a per quarter would it be more or less we can 13 and 14.
The second I think the third one the FX Antonio elaborated the third one is about the fuel.
Yes.
Yeah.
Last year before our capital market day, we thought extensively on this on this point because.
We believe the rate at the time that the ice can can can deliver still a lot of things I mean, there is a lot of way to go. So this is why we said if you remember that in 2620 <unk>, we were always having in mind and we shared our plan what is our offering in terms of IC. The D C.
<unk> recent decision of European Union.
About the fuel is very much welcomed by US. If you want is a confirmation of the goodness of the strategy that we shared with you last year. So we haven't we have not changed we have no change that we have.
The reason why last year, we presented the debt.
The split between the different propulsion was because based on our.
Her experience, let's say the transition that technology transition, especially when they touch the energy side are not digital is not something that can come from one data and others. It takes time.
So we are really we welcomed a lot the decision.
Avi fuel because.
<unk>.
As a further substantiation of our strategy.
Antonio about SaaS deal on the FX.
I think.
Take it up with the benefit of all of US, leaving in award of Finance significant financial volatility.
If the spot rates all of U S dollar to euro remains more or less where we are today.
We expect this to remain to have a more of a neutral impact year over year.
The defense EBIT goes.
If the euro.
Strength becomes much stronger.
Be an.
On assumption to be reviewed.
Thank you very much.
Yes.
Thank you.
We will now take the next question.
It comes from the line of Adam Jonas from Morgan Stanley . Please go ahead. Your line is open.
File mismatches Ciara on behalf of Adam So, China, Hong Kong, and Taiwan, 11% of deliveries this quarter.
We know that you guided to some frontloading of Frontloading of that in the region. Just curious how you see this heading.
And just wanted 25 based on your forward book.
Thanks.
May I take this one.
On China I think this quarter has been rather frontloaded, meaning that we have.
Chan costs of deliveries to China, which has been comparatively higher.
Within.
Let me say a sort of target for the year of about 10% of total deliveries to that region.
When looking at the future years, I think we stated already at the capital markets day that we expect our shares of deliveries to China to not exceed significantly the 10% Mark.
So it's a quarter it is fully in line with our strategy.
Great. Thank you so much.
Thank you.
Thank you.
Okay.
We will now take the next question.
It comes from John Murphy from Bank of America.
Please go ahead your line is open.
Hi, This is actually John Babcock on the line for John Murphy, just one question could you talk about the opportunity you have to take a price on your vehicles.
Opportunities were taken to take up prices.
Okay.
So good question.
As we said through all of the year in the last year and the work we are doing now we are at.
We said that we were going to increase mid single digits selected model.
On.
And Thats, what we are doing so we said we saw this opportunity and we are we are using it. So I think it's also important that debt.
We value appropriately what we.
We are offering to our our client and they fully understand it.
Okay. Thank you.
Thank you.
We will now take the next question.
It comes from the line of Tom Narayan from RBC. Please go ahead. Your line is open.
Hi, Yes, Tom Narayan RBC, thanks for taking the questions. So hybrids were 35% of shipments in Q1 curious if you could talk about the demographics of these customers.
Age are there.
Specifically are they new to the brand.
Just curious if there's any read throughs as we can think about your electrification path.
Ahead.
And then just a quick follow up on on the pure song way relaunch in 2026 could the pricing be raised I know the initial pricing given.
Given the strong demand would suggest you could raise it just curious if the price it could be could be raised and then lastly, a follow up on E fuels.
One hurdle potentially for <unk> is the infrastructure needed for fueling et cetera.
So if you could share any comments on how you think that might develop I know the debt.
Use our governments are definitely supportive of it.
But certainly it would require an investment there. Thank you.
Okay. So Tom and thank you for your question, let's talk let's start from the demographics of the hybrid.
This is.
Something that we are looking carefully because we are also interested to understand what's happening and I can tell you that any any quarter. We have a look at these numbers and we don't see there is specific pattern. So we have.
If you want we have the.
The same client that is buying into hybrid and IC.
We have a client that entered the sidra rewarded through the hybrid and then they buy the IC or vice versa.
And also if you see the pattern across.
The continents all across.
Good.
But today, we don't see really a pattern.
So this is.
Very interesting question that we are almost making our SaaS.
We wanted to report in this quarter. This important target basically 35% of them out at a hybrid we also check the average age of the clients that buy hybrid or the red yellow and the charge for that.
Anthony was presenting there is no difference.
So this is the first question the.
The second question is.
They put a sandwich today, we said that we are reopening with deliveries in 2026.
Usually we do not.
Comment about the price increases so long in the time you make it you can make your own assumptions, but we do not.
Want to disclose specific on visa on this point the last one.
I misunderstood your question about the fuel is something that can fit in our engine entities.
We are already doing a test with different kind of.
Fuels that are not for sale there either.
The infrastructure is the same clearly you have to produce it. So you have to combine this year two of the atmosphere to leave nitrogen coming from the waters, but infrastructural entertainments in area, where we are working a lot to get our partners is to make sure that in case in case, there is a clear mandate to recognize.
The fuel.
Because it needed to feed that issuer in the cash where we need to work and we are working on a new partner to make sure that the fuel is properly recognize it.
<unk>.
<unk> fuel.
This is there is no really no modification required in infrastructure.
Yes, I guess I wasn't referring to your infrastructure, but more of the fueling infrastructure.
Petrol stations et cetera.
At the same time, there isn't clear.
Earlier in the production of the fuel there is a difference because you don't have to dig a hole.
In the us.
Total to take the oiler, but you have to let's say like a centralize US you have to take this year two from the atmosphere.
But there is no difference in the distribution network.
Okay got it thank you.
Thank you.
Thank you.
Okay.
We will now take the next question.
It comes from the line of Anthony <unk>.
<unk> BHF. Please go ahead your line is open.
Yes, hi, Thanks for taking my question and congrats for the great results.
Just a couple of follow ups on my side, especially on the Daytona.
Could you actually give us the number of data centers that were delivered in Q1 like you did previously for the month.
So when you talked about.
The ramp up of between 30 to 40 units.
Sort of the maximum capacity that you can produce or is that just the way that you want to sequence. These deliveries.
And then a second question follow up on the personalization rates.
Again, as we should see a ramp up in Daytona deliveries do you expect to maintain that 80% personalization.
Considering the much higher ASP.
These costs. Thank you.
Okay. So.
Anthony The first question Daytona we delivered in Q1, we said before is 30.
We keep staying in the quarter around 30 40. This is.
Consider that in our case the line is pretty much flexible and this is flexible either in terms of equipment that you need to produce the gas matters in terms of our ability of our employees to manage a different kind of steps. So.
So there is no relation with maximum capacity.
And the last point.
Personal edition rate, maybe year I can provide a little bit more color that will help you in the previous call lead that made this question one big change, we need and the personalization rate is that we and reach of the <unk>.
The caribou Luke components that are available to our clients.
If you want there is.
There are more options available for our clients that are carbon Luke and usually if you want the cable new components are more expensive than the others.
But.
These are the three I think.
The rest are all of them the three question.
You gave us.
Okay perfect. Thanks very much.
Thank you. Thank you.
Yeah.
We will now take the last question.
It comes from the line of gender Beartooth so from into Montana. San. Please go ahead. Your line is open.
Hi, everybody and thank you for taking my question.
Want to jump back on the price mix.
On a full year basis, do you expect mix or price to be the biggest contributor in terms of growth for the average selling price.
And a second one.
On the Daytona I don't want to anticipate too much but.
Do we expect there.
It would be.
A time lag between.
The current Daytona in the next one.
As was the case.
The SD Wan in the SPT are it will be more satisfactory Sean Thank you.
Okay. This is the last question is so we split 50 50 between me and okay. Okay.
Antonio will take a bit what I said.
So I think the answer is mix.
So very fast.
No I think.
We gave you I understand that you want to.
So of all the possible detail.
So as we said a third in Q1, 30, 40 more or less in the next quarters.
And.
We add to that.
Planning this production. According let me say to what is also the.
Yes.
Which are the needs of the clients also in terms of personalization.
There are a lot of our carbon Luca components that are really important in this in this kind of model.
And if your question was for the period after Daytona Please wait and see.
Thank you Lucy is important.
We have to.
IDP is a is very important so we have.
Of course.
Last one if I may.
Is your assumption in terms of cost inflation for this year. Thank you.
Okay.
So I think there's one difficult to dimension percentage wise anyway, I would say high single digit.
But it's really a mix of components last year, we have seen.
The energy and metals being the beginning of the year. Nowadays. These two components are not anymore. The most relevant inflation is going through a number of commodities and products and components and on top of that level of cost is a journey. So that's an assumption we'll see a theater we saw more on analyst decided it is easing down.
Now while this year, we see supply are suffering a little bit more on the labor cost impact that observation delay of one year.
Thank you very much so thank you very much Antonio.
Thank you. Thank you thank.
Thank you I would like to hand back over to <unk> for closing remarks.
Yes.
Thank you all thank you for the time you spent with US today and also thank you for your interest in the first quarter of 2023 represents really another strong start to a very robust years and we look ahead with.
I think it's clear from the.
The question and answer.
We look ahead, we are enthused as many of the agility and also the confidence humility.
I think the services required when you are in challenging times.
And having said this I wish you all of you a good afternoon and thanks, a lot for your time for your question and for your attention and meet you in a quarter time. Thanks.
That does conclude our conference for today. Thank you for participating you may now disconnect.
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Yes.
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Okay.
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Thank you Sandra and welcome to either the one who is joining US today, we plan to call. The group's Q1, 'twenty 'twenty operating results and the duration of the call is expected to be around 60 minutes today's call would be offset by the group CEO , Mr. Benedict Davina and group CFO , we set of alcohol in Utica.