Ferrari’s profits fell 28% in 2009, sales down 5%

Italian supercar maker Ferrari SpA said that its operating profits fell 28 percent in 2009, due to “unfavorable exchange rates” including a weak dollar. Ferrari said sales were down 5 percent, to 6,250 units, while revenue fell 7 percent to $2.4 billion. Operating profit fell from $465 million in 2008 to $334 million.

Ferrari Chairman Luca di Montezemolo said that the “challenging economic climate” will make 2010 a difficult year “and the first small signs of recovery will not come until next autumn.”

The brightest spot for Ferrari last year was the new California, bringing in 60 percent of new customers to the brand. The new Ferrari 458 Italia went on sale late last year, thus having a minimal contribution to revenue in 2009.

Ferrari plans on having 60 retail stores open by the end of 2011.

– By: Kap Shah

Source: Inside Line