By Scott Kanowsky
Investing.com -- Ferrari (NYSE: RACE ) NV (BIT: RACE ) has risen its full-year financial guidance and posted record quarterly earnings , as the supercar maker was boosted by positive foreign exchange impacts and stronger revenues from customers souping up their vehicles.
The Maranello, Italy-based company now expects adjusted earnings margin before interest, tax, depreciation, and amortization this year to come in at between 1.70-1.73%. That is up from Ferrari's prior annual outlook of between 1.65-1.70%. Net revenues are also seen increasing to €4.9B from €4.8B.
"2022 guidance revised upward on all metrics thanks to stronger contribution from personalizations as well as a tailwind from FX," Ferrari said in a statement, adding that these assumptions do not take into account potential trading conditions hit by COVID-19 pandemic restrictions.
For the second quarter, Ferrari reported a 22% increase in net income to €251M, thanks to a sharp uptick in shipments versus the previous year that helped offset higher research and development expenses. Diluted earnings per share jumped to €1.36, above analyst expectations.
Net revenues for the three months ended June 30 also jumped by nearly a quarter to €1.29B, beating estimates, supported in part by strengthening of the U.S. Dollar and Chinese yuan . Improved performance at the company's vaunted Formula 1 racing team also helped contribute to a surge in sponsorship, commercial, and brand revenues.
The results come as Ferrari attempts to revamp its long-term strategy to take advantage of the growing demand for electric vehicles. In June, the company said it expects as much as 60% of its fleet of cars will be hybrid and fully electric in four years.
Milan-listed shares in Ferrari were trading marginally lower following the release. They are down by more than 12% over the past one-year period.
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