(Alliance News) - Piaggio & C Spa announced on Monday that it had achieved a net profit of EUR91.1 million in 2023, up 7.3 percent from EUR84.9 million in 2022. This is, the company pointed out, "the best result ever." The board will also propose a dividend balance of 8 cents per share, bringing the total dividend to 20.5 cents per share, up from 18.5 cents a year earlier.

As of Dec. 31, 2023, the Piaggio group had sold a total of 559,500 vehicles worldwide, with revenues thus falling to EUR1.99 billion, down 4.4 percent from EUR2.09 billion in 2022. Geographically, India showed a very positive performance by growing by 15 percent, EMEA and Americas achieved stable sales compared to the previous year, while Asia Pacific declined, down about 24 percent at constant exchange rates.

Ebitda amounted to EUR325 million, the highest ever, up 9.0 percent from EUR298.1 million in 2022. Ebitda margin increased to 16.3 percent from 14.3 percent in the previous year.

Ebit was EUR180.7 million up about 14% from EUR158.7 million in 2022. Ebit margin increased to 9.1% from 7.6% in 2022.

Income before taxes for the period was EUR135.3 million, up 6.4 million from EUR127.2 million in 2022. Taxes for the period were EUR44.3 million, accounting for about 33% of income before taxes.

Net financial debt as of December 31, 2023 was EUR434 million from EUR368.2 million recorded as of December 31, 2022.

As for the future, "although the formulation of forecasts still remains complex due to the continuation of critical issues related to geopolitical tensions and the global macroeconomic framework, Piaggio, thanks to a portfolio of iconic brands, confirms that it will continue to pursue marginality and productivity objectives in the management of production, logistics and procurement costs and in the management of all international markets," the company's note reads.

"The current difficulties in international transportation related to the Israeli-Palestinian conflict and the related increase in transportation costs and time will be managed through careful management of warehouses and procurement planning and the pursuit of greater efficiency. Because of this, the planned investments in new products in the two-wheeler and commercial vehicle sectors and the consolidation of its commitment to ESG issues are confirmed," the note concludes.

The BoD also resolved to propose to the shareholders' meeting the renewal of the authorization to purchase and dispose of treasury shares-which will expire on October 18-for an additional 18 months. As of today's date, the company holds 426,161 treasury shares.

Michele Colaninno, managing director - CEO of the Piaggio Group commented, "The global macroeconomic scenario is becoming more difficult to interpret each quarter and somewhat unstable, a condition that will persist for the current fiscal year. That said, the year 2023 has been characterized by consolidation in Europe and the U.S., a slowdown on the Asian continent, and a good recovery on the Indian continent. In these scenarios, the Piaggio group posted a record net profit of EUR91.1 million, its best result ever."

"The investments in new products," Colaninno continues, "and the continuous search for new technologies both in mechanics and in robotics and intelligent software allow us to prepare the near future with optimism, keeping cash generation under control. Constant attention to business processes and productivity improvement have generated very attractive margins, exceeding 16% Ebitda margin. In relation to ESG issues and green mobility, the group is staying on schedule and investing in production sites in Italy by implementing concrete actions to contribute to the achievement of climate goals set by the European Union."

Piaggio's stock trades in the red by 1.7 percent at EUR3.09 per share.

By Chiara Bruschi, Alliance News reporter

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