Sergio Takes the Helm at Ferrari; Confirms Record Profits and a LaFerrari Spider

Steph Willems
by Steph Willems

Sergio Marchionne added another CEO title to his résumé yesterday, taking control of Ferrari, where the Fiat-Chrysler head already served as chairman.

He replaces former CEO Amedeo Felisa, who retired after 26 years with the company. Felisa remains on the independent automaker’s board of directors, where he will serve as a technical advisor.

Marchionne now has full control of the company he spun off from Fiat Chrysler Automobiles at the beginning of the year. Two years ago, he succeeded former chairman Luca di Montezemolo, who stepped down in protest of Marchionne’s plans for the brand’s future.

Those profitability plans are twofold, and include an expansion of the brand’s presence in non-automotive luxury goods, a direction started by di Montezemolo. Last year, the automaker said it would increase annual vehicle production to 9,000 units by 2019.

The news of Marchionne’s appointment comes as the company announced a record first-quarter profit, spurred by a 15 percent increase in sales. That translates into a 19 percent boost in net profits — 78 million euros, or $89.5 million.

Marchionne was clearly pleased at the company’s numbers, assuring investors during a speech on Wall Street that the good times were just beginning.

“I was the one that pitched the Ferrari case on the road. It’s not going to be a different case than the one that I presented to the capital markets at the end of last year,” Marchionne said in the Detroit Free Press. “We are beginning, just now, to define the true potential on the passenger car side of what this house can actually deliver.”

The 1,882 vehicles Ferrari sold during the first quarter were part of the reason for the company’s record profit; cost-saving efficiencies were the other.

Marchionne said demand remains high for Ferrari vehicles, with orders extending into 2017. In an interview with Automobile Magazine, he confirmed that the LaFerrari Spider is a go, with potential customers already approached about the drop-top version of the brand’s supercar.

Steph Willems
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  • Eyeflyistheeye Eyeflyistheeye on May 03, 2016

    If Luca di Montezemolo ran FCA, they might have had a honest, product-focused recovery instead of Sergio's accounting shell games. After renting a Cherokee the other day and being smitten with it, I was doing further research and the most fitting epitaph seems to be that it's a well-executed vehicle built with the typical FCA approach to quality, either you get a great one that will last you forever or one that has niggling problems throughout its life. Since Sergio never gave a damn about quality with his penny-wise and pound-foolish cost-cutting, this doesn't bode well for Ferrari.

  • VenomV12 VenomV12 on May 03, 2016

    The LaFerrari Spider was confirmed eons ago by potential owners.

  • AMcA My theory is that that when the Big 3 gave away the store to the UAW in the last contract, there was a side deal in which the UAW promised to go after the non-organized transplant plants. Even the UAW understands that if the wage differential gets too high it's gonna kill the golden goose.
  • MKizzy Why else does range matter? Because in the EV advocate's dream scenario of a post-ICE future, the average multi-car household will find itself with more EVs in their garages and driveways than places to plug them in or the capacity to charge then all at once without significant electrical upgrades. Unless each vehicle has enough range to allow for multiple days without plugging in, fighting over charging access in multi-EV households will be right up there with finances for causes of domestic strife.
  • 28-Cars-Later WSJ blurb in Think or Swim:Workers at Volkswagen's Tennessee factory voted to join the United Auto Workers, marking a historic win for the 89- year-old union that is seeking to expand where it has struggled before, with foreign-owned factories in the South.The vote is a breakthrough for the UAW, whose membership has shrunk by about three-quarters since the 1970s, to less than 400,000 workers last year.UAW leaders have hitched their growth ambitions to organizing nonunion auto factories, many of which are in southern states where the Detroit-based labor group has failed several times and antiunion sentiment abounds."People are ready for change," said Kelcey Smith, 48, who has worked in the VW plant's paint shop for about a year, after leaving his job at an Amazon.com warehouse in town. "We look forward to making history and bringing change throughout the entire South."   ...Start the clock on a Chattanooga shutdown.
  • 1995 SC Didn't Chrysler actually offer something with a rearward facing seat and a desk with a typewriter back in the 60s?
  • The Oracle Happy Trails Tadge
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