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doom and gloom - at ktm

Taffy

Taffy

Joined Nov 2001
17K Posts | 774+
Ely, England
just been reading the monthly dealer news and it reports that the ktm group are reporting losses of £72M for the year sept 1 to aug 31st. not sure in which area they claim these things and who is to blame except that they say that they made a profit of £5M for the previous year.

turnover fell by 32% to £405M. US sales "plummeted" 39% to £79M while european sales were down 24% to £266M.

after an extensive period short time work for 450 members of staff, they are optimistic.

in a different table and view point: uk sales for next year are predicted to be 2100 x KTM and just 40x husabergs.

sad innit!

regards

Taffy
 
KTM made some big market moves prior to the recession and I think are really paying for it. Been following their stock and it's very poor. Nobody has been buying new stuff, lots of dealers sitting on 2008 bikes yet with dealers in the states hurting particularly bad. Lots of bikes crossing the border here and getting sold off in Vancouver dealerships.
I know Alberta dealers are feeling the pain as the oil patch money has dried up and no toys bieng bought.
Anyways if the recovery is real and going to last KTM is in the position to take a majority share in the motorcycle market and they should recover although I am no accountant. On the front lines the smaller dealers will feel the pain first, paying interest on lines of credit on bikes that they will have to sell at cost or less. They will be the first to go. It's a buyers market right now lots of 08's getting sold off at heavily discounted prices. We'll see in January if the upside still has wings after the free money has dried up.
 
i tell you it also hurts to think of some of the new kit that's coming out. husky have just made a genuine 600 called a 650, KTM now make a genuine 690 single. also the TM 300 and as mentioned before - KTM350 abounding soon it really is a case of making the wrong bikes.

regards

Taffy
 

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