Chrysler 2008 Annual Report Download - page 77

Report on Operations Ferrari76
Operating Performance
For Ferrari, 2008 was an important year in which its exclusivity
and the extraordinary appeal of its products in its primary
markets was reconfirmed. The various versions of the F430
models, including the 430 Scuderia launched at year-end 2007,
and the 599 GTB Fiorano were the most sold models in 2008.
Joining the existing product line up was the new Ferrari
California, launched with a highly innovative and effective
marketing campaign which used the internet as its principal
platform.
The opening of new Ferrari Stores in major international cities
also continued according to plan. In 2008, stores were opened
in Singapore, Miami, Honolulu, Johannesburg, San Francisco
and at Venice airport.
Also of note was the prestigious conclusion to the Formula 1
season, with Ferrari winning its 16th constructors’ world
championship, the eighth such win in the past ten years.
Sales to end customers totalled 6,587 type-approved vehicles,
an approximate 2% increase over 2007 (including non-type
approved vehicles, intended for on-track racing only, the total
comes to 6,662 units, +1.2% over 2007). North America
remained Ferrari’s leading market with 1,700 vehicles sold
(26% of the global total), substantially in line with sales for
2007. This result not only confirms the exclusivity of the
marque in the North American market, but is all the more
significant given the negative conditions in that market in
2008.
In Europe, overall performance was in line with 2007. In
Germany, 714 type-approved vehicles were delivered to end-
customers (in line with the previous year) and in Italy a total of
721 units was reached (+8.9% over 2007). Growth in Eastern
Europe continued (+23%). The Middle East also made a
significant contribution, with 366 units being sold (+11.6% over
2007), as did the 1,089 type-approved vehicles sold in the Asia-
Pacific region (+3.6% over 2007), including 433 units to Japan
(+15.2%) and 212 to China (+19.8%).
In 2008, 6,452 type-approved vehicles were delivered to the
network, an increase of 1.3% year on year (6,527 including
non-type approved vehicles, up 0.6%).
Innovation and Products
Two new models were presented during the year. The
8-cylinder Maranello line-up was expanded with the release
of the new California, the marque’s first ever coupé-cabriolet
model. This model’s highly innovative features include: a
folding hardtop, a central front-mounted engine and a 7-speed
dual-clutch transmission and F1-style controls. The 430
Scuderia Spider 16M was also introduced. This high-
performance, limited-edition model was produced to celebrate
Ferrari’s 16th Formula 1 constructors’ title. Deliveries will begin
in 2009.
In 2008, Ferrari also inaugurated the exclusive “One-to-One
Personalisation Programme” for the 612 Scaglietti and the 599
GTB Fiorano. Managed directly by the design studio at
Maranello, this programme offers customers the ability to fully
personalise their car.
Through Ferrari Financial Services, Ferrari also offers car
financing to customers in several European countries
(Germany, Switzerland, France, Belgium, Austria and Italy).
During 2008, financial services activities were also expanded in
the U.S. (having been established in late 2007), which is
becoming Ferrari’s most important market for financial services
as well as cars.
Highlights
(€ millions) 2008 2007
Net revenues 1,921 1,668
Trading profit 339 266
Operating profit (*) 341 266
Investments in tangible and intangible assets 311 246
- of which, capitalised R&D costs 117 93
Total R&D expenditure (**) 164 147
Type-approved vehicles delivered to the network
(no. of units) 6,452 6,368
No. of employees at year end 3,017 2,926
(*) Includes restructuring costs and net unusual income/(expense).
(**) Includes capitalised R&D and R&D charged directly to the income statement.
Ferrari