Ferrari NV (NYSE: RACE; BIT: RACE) is making its first foray into the fully electric vehicle market, unveiling plans for its debut electric car, scheduled for a global reveal on October 9 at the company’s headquarters in Maranello, Italy. This marks a significant milestone for the luxury sports car manufacturer, renowned for its high-performance gasoline engines.
The announcement comes on the back of strong financial results for Ferrari. For the fourth quarter of 2024, the company reported earnings per share (EPS) of $2.14, surpassing analysts’ expectations of $1.82 by a notable $0.32. Total revenue for the quarter was €6.7 billion ($6.9 billion), a solid 11.8% increase year-over-year, aligning closely with market forecasts.
Looking ahead, Ferrari’s EBITDA (earnings before interest, taxes, depreciation, and amortization) is expected to rise from €2.56 billion ($2.64 billion) in 2024 to at least €2.68 billion ($2.77 billion) in 2025, reflecting the company’s ongoing growth trajectory.
While details on the new electric car remain scarce, Ferrari’s CEO Benedetto Vigna has promised it will be launched in an “innovative and unique way.” The price tag is expected to be approximately €500,000 ($520,000), positioning the vehicle as a luxury electric offering with cutting-edge technology and Ferrari’s signature performance.
This development follows Ferrari’s introduction of hybrid models in 2019, with hybrids now accounting for more than half of the company’s car sales in 2024. Vigna emphasized that Ferrari is not undergoing a full “electric transition,” but instead is focusing on “electric addition,” suggesting that the company’s core identity remains rooted in performance-driven combustion engines alongside its growing electric offerings.
The electric car is one of six new models Ferrari plans to release this year, which will include gasoline-powered, gasoline-hybrid, and plug-in hybrid variants, reinforcing Ferrari’s commitment to innovation across different powertrains.
At the time of this report, Ferrari’s Milan-listed shares were up by 0.8%, trading at €447.20, while shares on the NYSE saw a slight decline of 0.6%, standing at $461.56.
As Ferrari ventures into the electric vehicle space, the company’s careful expansion into this new segment signals its intent to blend traditional luxury and performance with the emerging trend of sustainable mobility.
References:
- Ferrari’s Q4 Earnings Report (2024)
- Ferrari press release on EV launch plans
