Monday, June 24, 2024
HomeNEWSFINANCIALKTM RACES AHEAD

KTM RACES AHEAD

Austria’s KTM Industries has delivered a sixth consecutive set of record full-year preliminary results for 2016, reinforcing its status as Europe’s largest motorcycle manufacturer, BDN financial editor Roger Willis reports.

Global retail sales volume for the KTM and Husqvarna brands grew by 12.5% to a fresh peak of 203,340 bikes, once again beating runner-up BMW Motorrad in European rankings by a considerable degree. Exports accounted for about 95%, with more than 50% sold outside Europe.

Annual revenue was 9.8% up to £1.15bn. That figure included input from KTM subsidiaries WP and Pankl. The former produces suspension units and exhaust systems while the latter makes engine and transmission assemblies. Operating profit for the period rose by 8.3% to £104.3m, with an operating margin of 9.1%. Net profit increased by 28.9% to £71.5m.

During the year, KTM invested £122.8m in model development, operating facilities and infrastructure. Targets for this investment included the WP exhaust production and motorsports centre in Munderfing, extension of capacity at the main KTM plant in Mattighofen and Pankl’s new high-performance drivetrain facility in Kapfenberg. KTM also increased its shareholding in Pankl from 55.9% to 94.5%.

KTM’s global workforce increased by 516 to 5069 staff, about 15% of whom are involved in R&D. Within the overall total, 428 were recruited in Austria, taking domestic head-count to 3916.

RELATED ARTICLES

Product News

SHARE PRICES AND MARKET ANALYSIS A snapshot of motorcycle and ATV industry share performance across key manufacturers and major global markets at the trading week...