Ferrari N.V. Common Shares

Good day and thank you for standing by. Welcome to the Ferrari 2024 Q1 results conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1 on your telephone. You will then hear an automatic message advising your hand is raised. To answer your question, please press star 1 and 1 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Nicoletta Russo, Head of Investor Relations. Please go ahead.

Thank you, Sandra, and welcome to everyone who is joining us. Today we plan to cover the Group Q1 2024 operating results and the duration of the call is expected to be around 60 minutes. Today's call will be hosted by the Group CEO, Mr. Benedetto Vigna, and Group CFO, Mr. Antonio Piccapiccon. All relevant materials are available in the investor section of the Ferrari corporate website, and at the end of the presentation, we will be available to answer your questions. Before we begin, let me remind you that any forward-looking statements we might make during today's call are subject to the risks and uncertainties mentioned in the safe harbor statement. included on page two of today's presentation, and the call will be covered by this language. With that said, I'd like to turn the call over to Benedetto.

Thank you, Nicoletta, and thank you everyone for joining us today. I just came back from Miami, where I spent one week together with our clients, the fans, the sponsors, including HP, our new title sponsor, and all brand enthusiasts. You should have been there with me and all Ferrari colleagues. you would have been experiencing the brand power of the Prancing Horse. Indeed, for the first time in our history, we saw our company racing, sport cars, and lifestyles have been working in unison together to provide all the people in Miami a truly unique experience. But before sharing with you more detail about this fantastic event, I would like to thank our Ferrari colleagues for their outstanding work and dedication, our clients, for their loyalty to our brand, and all our partners, suppliers, dealers, and sponsors. Without their tireless effort and dedication, the strong result we present today would not have been possible. So let's start with the financial result of the first quarter. We can say that it is a strong start to the year, with double-digit growth on key metrics. Thanks to an even more robust product mix, and a strong trend in personalization. Three are the key highlights. One, total revenues reached approximately 1.6 billion euro with flat deliveries. This, once again, plays testament to our strategy of value over volume. Two, we enjoyed a strong profitability with EBITDA at 605 million euro. And three, industrial free cash flow generation reached more than €320 million in the quarter. The order book on our current models continues to be very strong, with a normalization in line with our expectations, with almost all models substantially sold out. And in the last week, we opened the order book for the dodici cilindri, coupe and spider. For the first time for our range models, We unveiled the Coop and the Spider together because we want to leave the freedom of selection to our clients. The first feedback from our two new models has been extremely positive. Several clients have said, it's not a matter of either or. We love both. I talked with a client from all over the world, from China, from Korea, from US, from Europe. They were all astonished by both models. Our new Dodici Cilindri are amazingly beautiful and high performance. They are the perfect blend of tradition and innovation, elegance and sportiness. Our clients' opinions are obviously paramount, but I am also proud to say that the Roma Spider has been recognized with a Rode Dot Award, best of the best in the product design category. And the Ferrari SF90 XX Stradale and one of kc23 have also been awarded red dot awards all these are truly innovative vehicles enabled by our nd innovation and in fact in 2023 just in italy we submitted 181 patent applications one every two days and always on the subject of innovation Last month, we inaugurated the E-Cell Lab in collaboration with the University of Bologna and NXP Semiconductors. This laboratory will make a significant contribution to research in electrochemistry, and the project reflects the importance of collaboration between the academic and the business world. But there is much more in it. This lab will foster innovation in our local area and help us to build the skills of the future. Talking of technology collaboration, we have renewed our partnership with SK Yon, a leader in the field of high-performance cell manufacturing with whom we have collaborated for many years, and we will continue to innovate further. As you can see, we are fighting on all cylinders in the execution of our business plan and product development, but perhaps I should instead say we are charging ahead because in 2024 we will set another significant milestone in our electrification journey. In fact, on the 21st of June, exactly two years since our last capital market day, and as we promised you during all our previous calls and meetings, we will inaugurate our new building. This state of the art and highly flexible plan will assure us of the flexibility and technical capacity in excess of our needs for years to come. Here, we will handcraft the dedicated electric axles and batteries that will power future Ferraris, exactly like we promised you two years ago. A special thank goes to all the colleagues that have been able to maintain the building schedule despite all the difficulties we experienced in these turbulent times. It has not been easy, believe me, but they made it happen. Grazie. Moving to the next page, the pictures show clearly the essence of one Ferrari ethos. And believe me, there is no better way to exemplify it than our recent activities in the United States. As I told you at the beginning, last week Ferrari hosted an unforgettable series of brand experiences in Miami, which immersed international clients, sponsors, tifosi, dealers, and brand enthusiasts into the Ferrari universe. It began with Cavalcade International, one of our most prestigious driving events, which attracted about 70 Ferraris and their owners from all over the world as they drove together through the scenic landscape of Nashville, in Tennessee first, and later in Florida. The journey culminated in Miami with the world premiere of the Ferrari 12-cylinder and the Ferrari 12-cylinder Spyder. our new two-seater Berlinettes powered by front-mid naturally-accurated V12. These models are the perfect embodiment of the Prancing Horse DNA, offering incomparable performance and handling with sophisticated design. You should have seen the emotion of all our clients. My words would never be capable to transmit to you those emotions. These events were accompanied by a privileged view of the latest fashion capsule collection inspired by the story of racing on American tracks and the vibrant energy of Miami. The capsule collection had a warm reception. It was nice to see most of our clients wearing many pieces of our lifestyle collections during the long weekend. And last but not least, a fortunate few clients had the opportunity leave the miami grand prix to its fullest with exclusive and elegant hospitality of casa ferrari right at the heart of the race i am also proud to say that the miami grand prix was the start of a new partnership hp has become our title sponsor with a multi-year collaboration that encompasses a shared commitment to innovation trust and excellence, as well as commitment to sustainable futures, from carbon neutrality to the education of the next generation. In HP, we have found the same values which make it an ideal partner. I know them since more than 20 years, and for both our companies, people are the center of whatever we do, because it is only people, it is only people who are able to blend together the tradition and innovation. Not all of our clients, T4C and brand enthusiasts were able to attend the event in person. Thus, we reached them through social media channels to nurture their sense of belonging. Lastly, before moving on, I would like to thank you, our shareholders, for your continued trust. And among you, I'm delighted to welcome around 4,700 new shareholders among our dear colleagues. Indeed, Around 98% of our employees have taken advantage of the broad-based share ownership plan launched by Ferrari that I described to you a few calls ago. This initiative demonstrates our desire to foster the sense of belonging that makes us unique and underlines once more how we continuously strive for excellence. And on this note, I hand over to Antonio to review the Q1 2024 financial results. Please, Antonio.