Ferrari Reports Strong Q1 Results, Confirms 2026 Guidance, and Boosts Industrial Cash Position
RACE is trading near its 52-week low of $312.51 (4.6% above the low).
Summary
Ferrari N.V. announced robust first-quarter 2026 results, with increased revenues, profits, and industrial free cash flow, leading to a significant shift to a net industrial cash position, while reaffirming its full-year guidance.
Key Events · Earnings and Guidance · RACE
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Strong Q1 Financial Performance
Net revenues increased 3% to Euro 1,848 million (6% at constant currency), Operating Profit (EBIT) rose 1% to Euro 548 million (8% at constant currency), and EBITDA grew 4% to Euro 722 million (9% at constant currency).
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2026 Guidance Confirmed
The company reaffirmed its full-year 2026 guidance, citing an enriched product mix, higher personalizations, and increased racing revenues, providing stability and confidence in future performance.
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Significant Balance Sheet Improvement
Ferrari shifted from a Net Industrial Debt of Euro 32 million at year-end 2025 to a Net Industrial Cash position of Euro 388 million, driven by strong industrial free cash flow of Euro 653 million.
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Ongoing Share Buyback Program
The company continues its multi-year share buyback program, having purchased 262,664 common shares for Euro 78.6 million between April 1 and May 1, 2026, as part of the second tranche of up to Euro 250 million.
Analysis · RACE · Manufacturing
Ferrari N.V. delivered a robust first quarter, exceeding expectations with growth across key financial metrics and a significant improvement in its balance sheet. The company's strategic management of deliveries, focusing on an enriched product mix and personalizations, allowed it to navigate model change-overs effectively. The shift from a net industrial debt to a substantial net industrial cash position underscores strong cash generation and financial health. Furthermore, the reaffirmation of the full-year 2026 guidance provides stability and confidence, especially as the stock is currently trading near its 52-week low, suggesting a potential disconnect between strong fundamentals and market valuation. The ongoing share buyback program also signals continued commitment to shareholder returns.
At the time of this filing, RACE was trading at $327.00 on NYSE in the Manufacturing sector, with a market capitalization of approximately $77.3B. The 52-week trading range was $312.51 to $519.10. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.