[Venkatesh]

Ferrari CEO Louis Camilleri announces retirement due to personal reasons. Louis Camilleri took over the post of Ferrari CEO following the death of Sergio Marchionne in 2018.



Executive Chairman John Elkann will act as interim CEO for now, Ferrari said in a statement. Camilleri will also give up his board seat.

Speaking about his retirement, Louis Camilleri said, "Ferrari has been a part of my life and serving as its chief executive has been a great privilege. My admiration for the extraordinary men and women of Maranello and for the passion and dedication they apply to everything they do, knows no bounds. I'm proud of the company's numerous achievements since 2018 and know that Ferrari's best years are still to come."

Source

[Aditya]

Ferrari CEO Louis Camilleri announces retirement - Post moved to a new thread.

[Darkviper]

Surprised to hear he’s leaving Ferrari- he’s done a good job managing Ferrari during a challenging environment.

This is what a serial supercar owner has to say on the Q3 results of Ferrari - he owns an F40, F50 and does an brief analysis on quarterly results of Aston Martin (which is a train wreck according to him) McLaren and Ferrari.

On the Ferrari Q3 2020 Earnings Call, CEO Louis Camilleri comes off as both understated and completely in control. The earning’s call webcast is posted: Ferrari Q3 Earnings Call. There were some specific comments that I found interesting:



Electric Vehicles: Longer term Ferrari sees the move towards hybrid/EV as being margin accretive but has no plans to move to 100% EV and Camilleri doesn’t even see them reaching 50% in his tenure.

Portfolio: This year Ferrari has introduced two new models, the Roma and SF90 Stradale which are additions to their portfolio and not replacements of older models. While the Roma appears to be targeted at younger and new users, the hybrid SF90 has been dropped into a no man’s land between supercars and hypercars. Both add a considerable amount of production complexity and are unlikely to be margin accretive to the total portfolio. As a reference on the added complexity in the Ferrari supply chain, they will produce a total of 14 different models in 2020, up from 6 in 2010.

Product Mix & Profitability: Ferrari’s Q3
profits were €171 million up €2 million vs. Q3 2019. Reading through the report and comments, it would appear that it’s the Icona range Monza SP1 & SP2 that’s driving the gain. Icona was 2% of Ferrari’s Q3 production mix but over delivers on profitability per unit (in 2019 Icona was less than 1% of total production). 42% of the Monza SP1s & SP2s delivered YTD came in Q3 and that increase in units would certainly have swung Ferraris profitability from a potential year on year decline to a gain. Ferrari also flexed production to favor all the more profitable V12s with the mix rising from 24% in 2019 to 27% in Q3 2020 (total car revenues increased by €19 million Q3 2020 vs Q3 2019). If the reliance on the Icona range to goose profitability sounds familiar it’s because it’s a similar situation to the one McLaren put itself into. In McLaren’s case they became heavily dependent on the margins generated by the Ultimate Series and as a result ended up producing far too many models too quickly. In Ferraris case, unlike the LaFerrari where demand far outstripped supply, the Monza SP1 & SP2 were a much harder sell and Ferrari got plenty of push back from some of their longest term, most loyal, customers. In the call, it was mentioned that Ferrari would be launching one more model this year. This new model will most likely be in the Icona range and rumors point to it being a 21st century homage to the “F40”. What the demand is for a rebodied F8 or SF90 at $1.5-2 million right now is highly questionable.
Manufacturing Shutdown: The Covid-19 shut down cost Ferrari 2000 units in terms of lost production. Currently Ferrari is on track to recover 500 of these 2000 units. This is a clear indication that Ferrari has little to no excess manufacturing capacity in the system, but they do have the ability to switch the capacity across models as V8 production was down 12.8% and the more profitable V12s up by 15.4%

Order Backlog & Waitlist: The current waitlist for new cars is around two years which sounds like a great problem to have. In this case it does come with considerable risk. Ferrari has spent considerable efforts attracting new and younger consumers especially in the Asian markets. The Roma is doing very well against this target with orders running 50% above where the Portofino was in the equivalent time post launch. The risk and concern here is that it’s likely that a number of these people get tired of waiting, drop off, and look for alternative options.

Cash Flow: I was a bit surprised that there was no discussion around the major drop in free cash flow and the potential impact going forward. Current 2020 guidance is €150 million down from €700 million in 2019. This will likely have a significant major negative impact on investments in the short term.
Racing & Stores: The Formula 1 team is a major drag on Ferrari’s finances this year as are the Ferrari Stores where in store traffic has dropped significantly. The combination of store traffic declines and the lack of general competitiveness in F1, in particular Vettel’s SF1000 looks like its running on only half the cylinders in most races, will result in a financial hit of somewhere around €130 million in my estimation.


Overall, Ferrari has, and continues to be, very well managed.

Source : https://karenable.com/ferraris-q3-2020-results/

Sounds like Louis Camilleri was doing a good job managing Ferrari (from a business point of view) Will his replacement be as good as him? Only time will tell. Under his leadership, Ferrari shares rose around 50% and have hit record levels.


Also the 3 cars developed under him (Roma, SF90 Stradale and Monza SP1/SP2) are seriously impressive. Lamborghini, McLaren and Aston Martin have reason to be worried.

@BHPian Meta - any inputs?

[Venkatesh]

Ferrari press note on Louis Camilleri retirement



Source

[TusharK]

Top Apple executives in race to become next Ferrari CEO

According to a media report, Apple CFO Luca Maestri and former Chief Design Officer Sir Jonathan Ive are in the race to become the next Ferrari CEO.



Luca Maestri has been Apple's CFO for over 6 years. Ive designed popular Apple products like the iPod, iPad, iPhone and the Apple Watch. He was also involved in the design of the spaceship-like Apple Park HQ.

Media reports suggest that the former Lamborghini CEO Stephano Domenicali is one of the potential candidates. However, FCA CEO Mike Manly is believed to be the favourite for the top job.

The news comes following the unexpected exit of Louis Camilleri, who announced his retirement, having lead Ferrari since 2018. Executive Chairman John Elkann has been appointed as the interim CEO of the company.

Source

Link to Team-BHP News

[Red Liner]

Honestly, i think Domenicali has to be the favorite for this job. A Ferrari veteran, has led the F1 team and is dearly loved by all the tifosi at Maranello.

[rahulcmoulee]

Originally Posted by Red Liner

Honestly, i think Domenicali has to be the favorite for this job. A Ferrari vetetan, has led the F1 team and is dearly loved by all the tifosi at Maranello.

Domenicali has already taken over as the CEO of F1. As of now Luca Maestri looks to be the favourite to takeover the reigns at Ferrari. Jony Ive is the other candidate in running.

[amoghchaphalkar]

Originally Posted by Red Liner

Honestly, i think Domenicali has to be the favorite for this job. A Ferrari veteran, has led the F1 team and is dearly loved by all the tifosi at Maranello.

I agree. However, he is already slated to take over as CEO of F1 from Chase Carey. Although, in all likelihood, Domenicali would have never taken up the F1 role if he knew Camilleri was planning to throw a hail mary. But you never know - this might be the opening Toto Wolff needed to take over as CEO of F1. Ferrari might use all their muscle power to get Domenicali back if they think he is the right guy for the job. And if they get Toto to owe them in the process, it might be something that gives the fixers at Maranello wet dreams.

[Nilesh5417]

Why would or should Ferrari hire a Apple exec - I mean what is the need? It is not like Ferrari is in the need of a complete turn around or radical evolution in their designs. CEO of a company like Ferrari with no legacy in auto industry or some kinda strong connect with it seems hard to digest. I understand Luca is Italian but still? :P

[SSO]

Originally Posted by TusharK

Top Apple executives in race to become next Ferrari CEO

According to a media report, Apple CFO Luca Maestri and former Chief Design Officer Sir Jonathan Ive are in the race to become the next Ferrari CEO.

I think it is highly unlikely that a non-Italian is appointed to run Ferrari. Ferrari is an incredibly political atmosphere and a complete outsider is not going to survive for long.

Originally Posted by Darkviper

Surprised to hear he’s leaving Ferrari- he’s done a good job managing Ferrari during a challenging environment.

This is what a serial supercar owner has to say on the Q3 results of Ferrari - he owns an F40, F50 and does an brief analysis on quarterly results of Aston Martin (which is a train wreck according to him) McLaren and Ferrari.



Source : https://karenable.com/ferraris-q3-2020-results/

Sounds like Louis Camilleri was doing a good job managing Ferrari (from a business point of view) Will his replacement be as good as him? Only time will tell. Under his leadership, Ferrari shares rose around 50% and have hit record levels.


Also the 3 cars developed under him (Roma, SF90 Stradale and Monza SP1/SP2) are seriously impressive. Lamborghini, McLaren and Aston Martin have reason to be worried.

@BHPian Meta - any inputs?

Camilleri was doing a very good job running Ferrari, his leaving is basically due to his recent health scare. Camilleri has no interest in ending up like Sergio Marchionne. Its also a good time for Camilleri to be leaving, Ferrari's IPO has been a huge success, he has gotten them thru the worst of Covid, the model line up is strong, and the balance sheet is in great shape. The future is decidedly less certain with the transition to hybrids and EVs and one big miss on the earnings and Ferraris stock price will start looking more like that of a car company vs. the current luxury goods premium.

Also I sold the F50 a few years ago, still have the F40 though.

[Darkviper]

Originally Posted by SSO

I think it is highly unlikely that a non-Italian is appointed to run Ferrari. Ferrari is an incredibly political atmosphere and a complete outsider is not going to survive for long.

So would it make any sense to hire Luca Maestri? Would a Sillicon Valley executive be able to manage Ferrari as efficiently as Louis Camilleri?

Camilleri was doing a very good job running Ferrari, his leaving is basically due to his recent health scare. Camilleri has no interest in ending up like Sergio Marchionne. Its also a good time for Camilleri to be leaving, Ferrari's IPO has been a huge success, he has gotten them thru the worst of Covid, the model line up is strong, and the balance sheet is in great shape. The future is decidedly less certain with the transition to hybrids and EVs and one big miss on the earnings and Ferraris stock price will start looking more like that of a car company vs. the current luxury goods premium.

Also I sold the F50 a few years ago, still have the F40 though.

Oh right, I just remembered you sold the F50 when you moved from the UK to the US. Was taking the F50 to your American home not an option? Or were you looking to sell the car anyways?

Just wanted to add I’m a big fan of your blog

I read through it everyday as a part of my daily routine

And welcome to Team-BHP! This is primarily an Indian forum, but you’ll find many interesting threads on ‘The international automotive scene’ as well. You may want to post a thread in the Introduce yourself section.

[SSO]

Originally Posted by Darkviper

So would it make any sense to hire Luca Maestri? Would a Sillicon Valley executive be able to manage Ferrari as efficiently as Louis Camilleri?

Oh right, I just remembered you sold the F50 when you moved from the UK to the US. Was taking the F50 to your American home not an option? Or were you looking to sell the car anyways?

Just wanted to add I’m a big fan of your blog

I read through it everyday as a part of my daily routine

And welcome to Team-BHP! This is primarily an Indian forum, but you’ll find many interesting threads on ‘The international automotive scene’ as well. You may want to post a thread in the Introduce yourself section.

On Luca Maestri, he would not be my first choice either. I think it more likely they will promote an insider or someone who has close ties to the Angeli family.

On the F50, bringing it to the us was not an option. You can only import F50s into the US now once they are 25 years old. At the time ours was 15 and I didn't want to put it in storage in the UK for 10 years.

Thanks on the blog. Its been fun putting it together.

I just posted a thread in the Intro section.

[Yohan Poncha]

Ferrari announces its new CEO underlining the importance of chips and software in todays car technology
https://www.carandbike.com/news/bene...ew-ceo-2460378