Although Piaggio Group’s global powered two-wheeler sales volume fell during its first financial quarter of 2015, a better model mix boosted revenue.
In developed markets, volume was down by 6.1% to 47,500 units, driven by weaker scooter sales in Europe and the US. However, high-end scooter products and motorcycles improved, with the MP3 range and Moto Guzzi posting double-digit growth. Associated revenue therefore rose marginally by 0.2% to £112.7m (€154.7m).
Asia Pacific countries experienced a more modest decline, down by 1.2% to 19,600 units. A sharp drop in Indonesia was countered by recovery in Vietnam and strong performances in China and Malaysia. Again, higher-priced model mix played its part, yielding a 17.1% revenue growth to £31.8m (€43.7m). India was more positive. Volume climbed by 17.4% to 7,100 units and revenue was up by 43.2% to £4.2m (€5.7m).
Once the contribution from Piaggio’s light commercial vehicle operations was added in, quarterly group revenue increased by 9.1% to £220m (€302m). Nevertheless, operating profit for the period dropped by 7.7% to £7.9m (€10.8m). A fairly anaemic net profit was up by 8.7% to £874,000 (€1.2m).
Net debt in the quarter grew by 15.3% to £414.1m (€568.4m), reflecting seasonal working capital requirements.Â