Business KTM: from red to orange !
In the panade in 2009, KTM published very positive 2011 results: + 22.4% in volume, + 13.4% in turnover and + 30.2% in net income … The meters are green, or rather orange! Supported by Bajaj Auto, the Austrians aim high.
At the very end of the 2000s, KTM looked gloomy: the orange brand, of which off-roading represents the core business, took the crisis in full swing, leisure – recreational motorized two-wheelers in particular – no longer doing part of the priorities of American and European households…
In early 2010 however, "after the most difficult exercise in its history (2008/2009)", the Austrian manufacturer signaled that it was returning to profits"thanks to the restructuring measures undertaken immediately and successfully", and simultaneously proposed an increase in its capital (read).
|
KTM: 40% Indian |
| It was in 2008 that the Dutch branch of Bajaj Auto (Bajaj Auto International Holdings) took a bite out of its first "orange quarter": "BAIH invested 98.36 million euros to acquire 24.45% of KTM Power Sports AG in Austria, the second largest manufacturer of sports motorcycles", Bajaj Auto recalled in its last annual report (March 2011). At this date, the Indians calculated to have injected 153.71 million euros, thus owning 39.71% of KTM. Cross Industries (Austria) remains at majority today with 50.1% of the shares. |
Bajaj Auto, an Indian giant specializing in motor vehicles and motorcycles (!), Had also jumped at the opportunity to increase its stake in the company KTM Power Sports AG (see box opposite). However the partnership between these two complementary companies was to lead to an undeniable success: the "Mini" Duke (read our) !
"The successful launch of the Duke 125 and the new generation of Enduro models were crucial for these increases", insists Stefan Pierer, Chairman of the Executive Board of KTM Power Sports AG."KTM’s market share in Europe increased by 30%, from 4.9% to 6.3% compared to the previous year. Therefore, KTM is the most successful brand, it clearly ahead of its competitors".
In France, the Austrians even posted an insolent + 44.6%: "the KTM 125 Duke atomized the 125 market, a market that was waiting for something new like this. KTM has never seen such enthusiasm for a new product launch, with more than 1,300 registrations in just eight months ! ", welcomed Reinhold Zens, president of KTM France, during our interview (read our).
"Despite a declining market for motorcycles in Europe and the United States of around 5%", the fiscal year 2011 proved to be productive for KTM: 81,200 Katoches were sold worldwide (+ 22.4% compared to the previous year), while the turnover reached 526 , 8 million euros (+ 13.4%) !
"In fiscal year 2011, KTM achieved an EBIT (Profit before tax, Editor’s note) of 31.0 million euros. Net profit increased significantly by 30.2% compared to the same period in 2010, reaching 20.7 million euros".
"As of December 31, 2011, the capital amounted to 219.8 million euros, and the equity ratio had fallen from 39.7% to 45.2%", proudly added the Austrians! They nevertheless admitted that with"a debt ratio of 56.9% at the same date, KTM’s financial stability could be further strengthened".
While forecasts indicate "a slight decrease and stagnation of the European and American markets in 2012", KTM is now turning to emerging markets … This is also how on January 24, 2012 in New Delhi, the (Indo-) Austrian manufacturer presented its Duke 200, its first truly" international "model (read our).
"With this model, KTM – in cooperation with Bajaj – enters the Indian market for the first time", shudder the managers of the brand! According to their calculations, more than 20,000 copies should find buyers.
Enough to maintain the good rhythm of the Oranges: "in 2012, KTM further expects to increase both turnover and sales", they conclude. To be continued: stay connected !
Related articles
-
Business – KTM to propose a capital increase – KTM occasions
KTM to propose a capital increase While the Indian daily The Economic Time announced at the end of the week that the giant Bajaj was about to become the…
-
Business – New records for KTM (and Husqvarna) in 2014 – Used HUSQVARNA KTM
New records for KTM (and Husqvarna) in 2014 KTM increased sales for the fourth year in a row. With 158,760 motorcycles sold around the world in 2014…
-
Business – BMW passes the milestone of 10,000 motorcycles sold in France – Used BMW
BMW passes the milestone of 10,000 motorcycles sold in France For the first time in its history, BMW Motorrad crossed the 10,000 motorcycle mark in…
-
Business – BMW beats its sales record for motorcycles in the world – Used BMW
BMW breaks record for worldwide motorcycle sales The German motorcycle manufacturer BMW has made its – good – accounts for the year 2016: in all, 145,032…
-
Business – BMW Motorrad reaped the jackpot in 2012 – Used BMW
BMW Motorrad hit the jackpot in 2012 Beaten on the wire by KTM in the number of motorcycles sold last year, BMW crushes its Austrian competitor in terms…
-
Business – Harley expects to save $ 150 million per year – Used HARLEY-DAVIDSON
Harley plans to save $ 150 million a year Following its decision to discontinue Buell and sell MV Agusta (read Site of October 15: Erik Buell announces…
-
Business life – Would Kawasaki have an interest in buying Bimota? – Used BIMOTA KAWASAKI
Kawasaki would it be in his interest to buy Bimota ? While according to an insistent rumor Kawasaki could buy the small Italian manufacturer of…
-
Faced with the crisis, Honda is playing the card of transparency and rising prices In front of the main representatives of the motorcycle press, the CEO…
-
Business – Motorcycle situation: Suzuki worries … – Used SUZUKI
Motorcycle situation: Suzuki worried… Apart from the concept which is apparently well advanced for the new V-Strom 1000 , Suzuki did not present any…
-
Business – Over a billion euros in turnover for KTM in 2015 – Used KTM
Over one billion euros in turnover for KTM in 2015 With 183,170 motorcycles sold worldwide in 2015, KTM not only broke its previous record but also – and…