Among the four-strong membership of Volkswagen’s Brand Group Progressive upmarket portfolio, Ducati was one of three losers in half-yearly results to 30 June. Its revenue, profitability and worldwide retail unit sales volume were all on the back foot. BDN financial editor Roger Willis reports.
During the six months in question, Ducati’s turnover fell by 8.6% to £510.8m. Resultant operating profit was a painful 21.2%, down to £77.5m. Operating margin dropped to 15.1% from 17.6%. Global motorcycle deliveries to retail customers also sank by 8.6% to 32,098 units.
Within that, Scrambler sub-brand sales were 18.3% lower at 3528. The Naked/Sport Cruiser segment spanning Diavel, Monster and Streetfighter models suffered a 22.1% decline to 8917. Sport sales — Supersport and Panigale Superbike models — were 17.3% in arrears on 5478. Only Dual/Hyper products prospered, as the cash-cow Multistrada, Desert X and Hypermotard ranges rose by 11.4% to 14,175. The overall negative outcome was blamed on supply challenges and logistics issues. In particular, significantly decreased deliveries in China were an excuse. At least overall sales in high-season Q2 were firmer, 3% down to 19,711.Â
However, six-monthly total production remained pretty much stable, 0.1% up to 36,591 (just 40 additional motorcycles) compared to the first half of 2023. Star of the show was Multistrada-led Dual/Hyper, of course, climbing by 32.6% to 15,411. Scrambler dived by 27.1% to 4085, Naked/Sport Cruiser incurred a 10% loss at 10.503 and Sport retreated by 14% to 6592. No doubt Bologna is relying on a healthy Q3 to suck up excess inventory.
Across the six months to date, Europe accounted for 64% of Ducati retail sales, a 2% increase. The USA took 12%, 1% down. Other regions also fell by 1% to 20%. China, including Hong Kong, flatlined year-on-year at a mere 4%.
Set in the wider Brand Group Progressive context, parent Volkswagen’s slice of revenue action fell by 9.5% to £20.1bn, with operating profit plummeting by 42% to about £1.66bn. Overall operating margin slid to 6.4% from 10%. Audi cars were largely responsible for the worst, their profit contribution sinking to 59% (£993.7m) from 72%. Lamborghini ascended from 13% to a plump 23% (£358.8m), while Bentley added 2% to 13% (£219.9m). Ducati’s aforementioned modest £77.5m actually represented 5%, an improvement from 3%.
€-£ currency translation at forex rates applicable on 25 July Â