Posts Tagged ‘car’

Squashing the KTM Rumor Mill

February 26, 2009

Austrian firm KTM says it is preparing to launch a hardtop X-Bow and “green” off-road four-wheeled vehicle. It’d make sense, but a glimpse at the OEM’s financials don’t show much room for the production of such units.

KTM ended its 2007/2008 business year Aug. 31 with sales of 92,385 motorcycles, up from 90,306 units sold during the 2006/2007 business year. Car sales numbered about 100 units.ktm_xbow_cross1

While recent year-end revenues were €605.7 million (about $776.9 million), up 7 percent from €566.1 million in the prior year, a drop in the U.S. dollar exchange rate to the euro brought earnings down 49.4 percent from the comparable period, to €20.1 million (about $25.8 million).

Then, in November, feeling the pinch of the global economic slowdown, the OEM announced a plan to cut motorcycle production by 10 percent and lay (more…)