Q3 2018 Results November 5 , 2018 - Ferrari Corporate · Q3 2018 Results November 5th, 2018 3 SUSTAIN DELIVERY OF 2018 TARGETS Note:(1) Reconciliations to non-GAAP financial measures

1 Q3 2018 Results November 5th, 2018

Q3 2018 Results

November 5th, 2018


SAFE HARBOUR STATEMENT

This document, and in particular the section entitled “Confirming 2018 Guidance” contains forward-looking statements. These statements may include terms such as “may”, “will”, “expect”, “could”, “should”, “intend”, “estimate”, “anticipate”, “believe”, “remain”, “continue”, “on track”, “successful”, “grow”, “design”, “target”, “objective”, “goal”, “forecast”, “projection”, “outlook”, “prospects”, “plan”, “guidance” or similar terms. Forward-looking statements are not guarantees of future performance. Rather, they are based on the Group’s current expectations and projections about future events and, by their nature, are subject to inherent risks and uncertainties. They relate to events and depend on circumstances that may or may not occur or exist in the future and, as such, undue reliance should not be placed on them. Actual results may differ materially from those expressed in such statements as a result of a variety of factors, including: the Group’s ability to preserve and enhance the value of the Ferrari brand; the success of Ferrari’s Formula 1 racing team and the expenses the Group incurs for Formula 1 activities; the Group’s ability to keep up with advances in high performance car technology and to make appealing designs for its new models; the challenges and costs of integrating hybrid technology more broadly into Group’s car portfolio over time; the Group’s ability to preserve its relationship with the automobile collector and enthusiast community; the Group’s low volume strategy; the ability of Maserati, the Group’s engine customer, to sell its planned volume of cars; changes in client preferences and automotive trends; changes in the general economic environment, including changes in some of the markets in which we operate, and changes in demand for luxury goods, including high performance luxury cars, which is highly volatile; the impact of increasingly stringent fuel economy, emission and safety standards, including the cost of compliance, and any required changes to its products; the Group’s ability to successfully carry out its growth strategy and, particularly, the Group’s ability to grow its presence in emerging market countries; the Group’s ability to achieve its key financial targets and financial policy; the Group’s ability to service and refinance its debt; competition in the luxury performance automobile industry; reliance upon a number of key members of executive management, employees and the ability of its current management team to operate and manage effectively; the performance of the Group’s dealer network on which the Group depend for sales and services; increases in costs, disruptions of supply or shortages of components and raw materials; disruptions at the Group’s manufacturing facilities in Maranello and Modena; the Group’s ability to provide or arrange for adequate access to financing for its dealers and clients, and associated risks; the performance of the Group’s licensees for Ferrari-branded products; the Group’s ability to protect its intellectual property rights and to avoid infringing on the intellectual property rights of others; product recalls, liability claims and product warranties; continued compliance with customs regulations of various jurisdictions; labor relations and collective bargaining agreements; exchange rate fluctuations, interest rate changes, credit risk and other market risks; changes in tax, tariff or fiscal policies and regulatory, political and labor conditions in the jurisdictions in which the Group operates, including possible future bans of combustion engine cars in cities and the potential advent of self-driving technology; ability to ensure that its employees, agents and representatives comply with applicable law and regulations; the adequacy of its insurance coverage to protect the Group against potential losses; potential conflicts of interest due to director and officer overlaps with the Group’s largest shareholders; ability to maintain the functional and efficient operation of its information technology systems, including our ability to defend from the risk of cyberattacks on our in-vehicle technology, and other factors discussed elsewhere in this document. The Group expressly disclaims and does not assume any liability in connection with any inaccuracies in any of the forward-looking statements in this document or in connection with any use by any third party of such forward-looking statements. Any forward-looking statements contained in this document speak only as of the date of this document and the Company does not undertake any obligation to update or revise publicly forward-looking statements. Further information concerning the Group and its businesses, including factors that could materially affect the Company’s financial results, is included in the Company’s reports and filings with the U.S. Securities and Exchange Commission, the AFM and CONSOB.


SUSTAIN DELIVERY OF 2018 TARGETS

Note:(1) Reconciliations to non-GAAP financial measures are provided in the Appendix

(2) The Italian Patent Box regime provides for a tax relief for a five-year period from 2015 to 2019. The Patent Box benefit for the three-year period 2015-2017

is Euro 141 million, of which Euro 139 million from direct and Euro 2 million from indirect use of copyrights, patents, trademarks, designs and know-how.

Solid industrial free cash flow(1) generation of €100 million, with net industrial debt already in line with full year guidance, and adj. EPS(1) of €0.78

Patent Box agreement signed Three-year period 2015-2017 benefit €141 million(2), with positive cash impact which will be realized in Q4

New special series 488 Pista Spider presented at the Paris Motorshow

New Icona pillar unveiled with the Ferrari Monza SP1 and SP2

Confirming 2018 guidance

Capital Markets Day held on September 18, 2018, Management outlined the plans and initiatives to achieve its key financial targets and its financial policy to 2022

ON THE WAY TO ANOTHER STRONG YEAR


0.74

0.78 0.74 1.52

Q3 '17

Q3 '18

Q3 2018 HIGHLIGHTS

Note: (1) Reconciliations to non-GAAP financial measures are provided in the Appendix

266

278

Q3 '17

Q3 '18 33.2%

31.8%

(473)

(342) (30) (372)

Dec. 31, 2017

Sept. 30, 2018

147

100

Q3 '17

Q3 '18

836

838

Q3 '17

Q3 '18

2,046

2,262

Q3 '17

Q3 '18

SHIPMENTS

(UNITS)

Adjustments

Adjusted EPS(1)

Buyback

Net Industrial Debt(1) excluding buyback

+10.6%

NET REVENUES

(€M)

+0.3%

ADJUSTED EBITDA(1)

(€M and margin %)

+4.7%

INDUSTRIAL FREE CASH FLOW(1)

(€M)

-32.0%

+105.4%

-21.4%

EARNINGS PER SHARE(1)

(€)

NET INDUSTRIAL DEBT(1)

(€M)


Q3 2018 – SHIPMENTS BY REGION(3)

Note: (3) Refer to notes to the presentation in the Appendix

ALL REGIONS POSITIVELY CONTRIBUTING

Americas +4.6% (34% vs. 36% PY)

EMEA +11.3% (45% vs. 44% PY)

Rest of APAC +27.5% (14% vs. 13% PY)

China, Hong Kong and Taiwan, on a

combined basis +6.6% (7% vs. 7% PY)

Total shipments increased by 216 units (+10.6%

vs. PY) supported by a 7.9% increase in V12

models and an 11.4% increase in V8 models:

The 488 family in line with prior year with first

few deliveries of the 488 Pista

Strong deliveries for the 812 Superfast

The newly launched Ferrari Portofino is

ramping up

LaFerrari Aperta is finishing its limited series

run


NET REVENUES BRIDGE Q3 2017-2018

Cars and spare parts: higher volumes led by the

ramp up of the Ferrari Portofino as well as the 812

Superfast together with pricing and deliveries of the

strictly limited edition Ferrari J50. Negative mix due

to higher V8 models as well as lower sales of

LaFerrari Aperta, that is finishing its limited series

run.

Engines: decrease in sales to Maserati due to lower

engine volumes

Sponsorship, commercial and brand: increased

revenues from higher 2017 championship ranking

compared to 2016 as well as stronger revenues

from sponsorship, partially offset by brand related

activities

+0.3%, +€2 million at current currency

+2.2%, +€18 million at constant currency(8)

Note: (4) (5) (6) (7) Refer to notes to the presentation in the Appendix

(8) The constant currency presentation eliminates the effects of foreign currency transaction and translation impacts and foreign currency hedging .

605 628 616

88 70 70

124 132 12819 24 24

(18) (16)

23 8 5

Q3 2017 Cars and spare

parts

Engines Sponsorship,

commercial

and brand

Other Q3 2018 at

constant

currency

Currency Q3 2018 at

current

currency

Cars and spare parts Engines Sponsorship, commercial and brand Other

836 838

(€M)

(4)

(5)

(6)

(7)

+3.8% -19.9% +6.5% +21.0%

854

(8)


ADJ. EBIT BRIDGE Q3 2017 – 2018(1)

Volume increase thanks to the ramp up of the Ferrari

Portofino as well as the 812 Superfast

Mix / price negatively impacted by strong

performance from V8 models and lower sales of

LaFerrari Aperta, that is finishing its limited series

run. This was partially offset by pricing and deliveries

of the strictly limited edition Ferrari J50.

Industrial costs / R&D slightly decreased mainly due

to lower spending in F1 activities

SG&A lower than prior year mainly due to lower

costs related to the 70th anniversary celebrated in

2017

Currency(8) negatively impacted mainly by USD

depreciation vs. Euro

Note: (1) Reconciliations to non-GAAP financial measures are provided in the Appendix.

(8) The constant currency presentation eliminates the effects of foreign currency transaction and translation impacts and foreign currency hedging

(€M)

Adj. EBITDA Adj. EBITDA

Adj. EBITDA at constant curr. at current curr.

266 297 278

31.8% 33.2%

(12)(19)

202 23 5 4 0 222 203

Adj. EBIT Q3

2017

Vol. Mix / Price Ind. Costs /

R&D

SG&A Other Adj. EBIT Q3

2018 at

constant

currency

Currency Adj. EBIT Q3

2018 at

current

currency(8)

Margin Margin24.2% 24.2%

(8)


(€M)

(442)

(342)(372)

June 30, 2018

Net Industrial

Debt excl.

Buyback

Adj. EBITDA Net ∆ working

capital

Tax paid Capex Other Dividends paid Currency and

other

September 30,

2018

Net Industrial

Debt excl.

buyback

Buyback September 30,

2018

Net Industrial

Debt

Industrial FCF €100m

278

(3) (155)

(17)(0) (0)

(3)

(30)

NET INDUSTRIAL DEBT BRIDGE(1) JUN 30, 2018 – SEPT 30, 2018

Note: (1) Reconciliations to non-GAAP financial measures are provided in the Appendix

Industrial free cash flow(1) driven by strong adjusted EBITDA(1) partially offset by solid capex to support broadening and hybridization of our product range

Q4 2018 industrial free cash flow(1) will benefit from the Patent Box


CONFIRMING 2018 GUIDANCE

Note: (9) Including hypercars

(10) Including dividends already distributed to the holders of common shares and excluding shares buyback.

NET REVENUES

SHIPMENTS(9)

> €3.4 billion

> 9,000

ADJ. EBITDA ≥ €1.1 billion

NET INDUSTRIAL DEBT(10) < €350 million

CAPITAL EXPENDITURES ~ €650 million

As announced at the Capital Markets Day on September 18, 2018


F1: WORKING DILIGENTLY FOR THE 2018 SEASON

1st place at the Australia, Bahrain, Canada, Great Britain, Belgium

and United States GPs

22 podiums so far

S. Vettel currently 2nd in Driver’s Championship with 294 points

Constructor ’s Championship

1. Mercedes 585

2. Ferrari 530

3. Red Bull Racing Tag Heuer 362

4. Renault 114

5. Haas Ferrari 84

Driver’s Championship

1. Lewis Hamilton - Mercedes 358

2. Sebastian Vettel - Ferrari 294

3. Kimi Räikkönen - Ferrari 236

4. Valtteri Bottas - Mercedes 227

5. Max Verstappen - Red Bull 216

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=2ahUKEwiKltqi0sTcAhVHhRoKHcWSCkYQjRx6BAgBEAU&url=http://www.autoexpress.co.uk/car-news/94879/haas-f1-team-2018&psig=AOvVaw3yTSRHF4reU26x2K2SyMZZ&ust=1532965106103960


Q3 2018 – CLIENT RELATIONS ACTIVITIES

August 22 – 26 Casa Ferrari, Pebble Beach

488 PISTA SPIDER WORLD PREMIERE

September 17 – 18 Italy, Maranello Ferrari Monza SP1 and SP2 unveiling

ICONA FERRARI WORLD PREMIERE

June 18 – 22

Italy, Sardinia

CAVALCADE CLASSICHE


WEC: 6h Silverstone 1st - LM GTE Class

PWC: wins GT SprintX Title

ELMS: 4h Silverstone 1st - LMGTE Class

Le Mans Cup: wins R5, R6 - GT3 class

International GT Open: wins R5, R6 - PRO

VdeV Endurance: wins GTV1 Title

Q3 2018 – ATTIVITA’ SPORTIVE GT

COMPETIZIONI GT

Average 488 Ch. entries per round

UPDATED ROUND 6

EUROPE 45

NORTH AMERICA 50 (18 458 Ch.)

ASIA PACIFIC 33

FERRARI CHALLENGE

Average entries per round

UPDATED ROUND 9 – Paul Ricard (FRA)

XX: 18

F1: 8

The On-track debut in FGC area of the

FXX-K EVO

XX PROGRAMS / F1 CLIENTI

CONTINUOUSLY ENGAGING WITH OUR CUSTOMERS

APPENDIX


NOTES TO THE PRESENTATION 1. Reconciliations to non-GAAP financial measures

are provided in the Appendix

2. The Italian Patent Box regime provides for a tax relief for a five-year

period from 2015 to 2019. The Patent Box benefit for the three-year

period 2015-2017 is Euro 141 million, of which Euro 139 million from

direct and Euro 2 million from indirect use of copyrights, patents,

trademarks, designs and know-how

3. Shipments geographical breakdown

EMEA includes: Italy, UK, Germany, Switzerland, France, Middle East

(includes the United Arab Emirates, Saudi Arabia, Bahrain, Lebanon,

Qatar, Oman and Kuwait) and Rest of EMEA (includes Africa and the

other European markets not separately identified);

Americas includes: United States of America, Canada, Mexico, the

Caribbean and Central and South America;

China, Hong Kong and Taiwan includes, on a combined basis: China,

Hong Kong and Taiwan;

Rest of APAC includes: Japan, Australia, Singapore, Indonesia, South

Korea, Thailand and Malaysia

4. Includes the net revenues generated from shipments of our cars,

including any personalization revenue generated on these cars and

sales of spare parts

5. Includes the net revenues generated from the sale of engines to

Maserati for use in their cars, and the revenues generated from the

rental of engines to other Formula 1 racing teams

6. Includes the net revenues earned by our Formula 1 racing team through

sponsorship agreements and our share of the Formula 1 World

Championship commercial revenues and net revenues generated

through the Ferrari brand, including merchandising, licensing

and royalty income

7. Primarily includes interest income generated by our financial services

activities and net revenues from the management of the Mugello

racetrack

8. The constant currency presentation eliminates the effects of foreign

currency transaction and translation impacts and foreign currency

hedging

9. Including hypercars

10. Including dividends already distributed to the holders of common shares

and excluding shares buyback


Model / Year of delivery 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

SPORT RANGE

F430

F430 Spider

599 GTB Fiorano

458 Italia

458 Spider

F12berlinetta

488 GTB

488 Spider

812 Superfast

GRAN TURISMO RANGE

612 Scaglietti

California

FF

California 30

California T

GTC4Lusso

GTC4Lusso T

Portofino

STRONG TRACK-RECORD IN NEW MODELS INTRODUCTION Range model introduced or announced

Special series and one-offs not included


STRONG TRACK-RECORD IN NEW MODELS INTRODUCTION Special and Limited edition introduced or announced

Note: (11) Models not included in the total shipments’ figure provided


SPECIAL SERIES

Superamerica

F430 Scuderia

Scuderia Spider 16M

599 GTO

SA APERTA

458 Speciale

458 Speciale A

F12tdf

488 Pista

488 Pista Spider

ICONA

Ferrari Monza SP1

Ferrari Monza SP2


HYPERCAR

LaFerrari

LaFerrari Aperta

TRACK CARS

FXX K(11)

FXX-K EVO(11)

FUORISERIE

F60 America(11)

J50(11)


GROUP SHIPMENTS(3)

2,938 3,181

2,078 2,189

453 522

912 961

6,381 6,853

9M 2017 9M 2018

3,737 >4,000

2,811 >3,000

617

>700 1,233

>1,300

8,398

FY 2017 FY 2018E

Note: (3) Refer to notes to the presentation in the Appendix.

Graphs not to scale. Shipments including hypercars LaFerrari and LaFerrari Aperta.

903 1,005

736 770

152 162 255 325

2,046 2,262

Q3 2017 Q3 2018

+10.6%

+7.4%

Americas EMEA China, Hong Kong and Taiwan,

on a combined basis Rest of APAC

>9,000


KEY PERFORMANCE METRICS Q3 '18 Q3 '17 €M, unless otherwise stated 9M '18 9M '17

2,262 2,046 Worldwide shipments (units) 6,853 6,381

838 836 Net revenues 2,575 2,577

278 266 EBITDA(1) 841 778

- - Adjustments (1) -

278 266 Adjusted EBITDA(1) 840 778

75 64 Amortization and depreciation 210 197

203 202 EBIT 631 581

203 202 Adjusted EBIT(1) 630 581

6 8 Net financial expenses 15 25

197 194 Profit before taxes 616 556

(90) 53 Income tax expense / (benefit) 20 155

n.m. 27.6% Effective tax rate 3.2% 28.0%

287 141 Net profit 596 401

146 141 Adjusted net profit(1) 454 401

1.52 0.74 Basic EPS (€) 3.15 2.11

1.51 0.74 Diluted EPS(1)

(€) 3.14 2.11

0.78 0.74 Adjusted Basic EPS(1)

(€) 2.40 2.11

0.77 0.74 Adjusted Diluted EPS(1)

(€) 2.39 2.11

Note: (1) Reconciliations to non-GAAP financial measures are provided in the Appendix.

Certain totals in the tables included in this document may not add due to rounding.


DEBT AND LIQUIDITY POSITION

Gross Debt Maturity Profile (€M) Cash and Marketable Securities (€M)

Net Industrial Debt (€M) Net Industrial Debt (€M)

Note: (12) After settlement of deposits on FCA Group cash management pools and financial liabilities with FCA.

(13) Portion of the Self-liquidating Financial Receivables Portfolio funded through securitizations.


Sept. 30 Jun. 30 Mar. 31 Adj.

(€M) 2018 2018 2018 FY 2017 FY 2016 FY 2015 (12)FY 2015

Euro 529 458 565 435 318 137 22

US Dollar 87 54 61 88 16 21 1

Chinese Yuan 85 75 78 62 58 106 106

Japanese Yen 27 27 10 26 37 41 41

Other Currencies 25 36 29 37 29 17 13

Total (€ equivalent) 753 650 743 648 458 322 183

At Sept. 30 At Jun. 30 At Mar. 31 At Dec. 31

(€M) 2018 2018 2018 2017 2016 2015

Total Debt (1,887) (1,853) (1,822) (1,806) (1,848) (2,260)

Cash & Cash Equivalents 753 650 743 648 458 183

Deposits in FCA Cash Management Pools - - - - 139

(Net Debt)/Net Cash (1,134) (1,203) (1,079) (1,158) (1,390) (1,938)

Funded Self-Liquidating Financial 762 731 666 685 737 1,141

Receivables Portfolio

(Net Industrial Debt)/Net Industrial Cash (372) (472) (413) (473) (653) (797)

Undrawn Committed Credit Lines 500 500 500 500 500 500

Total Available Liquidity 1,253 1,150 1,243 1,148 958 822

Cash Maturities

700500

60

363178

48

38

4

298

367

180

748

500

2018 2019 2020 2021 2023

Bond US Securitizations Other Financial Liabilities

(1,134)

(372)

762

September 30, 2018

Net Industrial Debt

Funded Self-liquidating

Financial

Receivables Portfolio

September 30, 2018

Net Debt

o/w 81%

securitized(13)


non-GAAP FINANCIAL MEASURES

Operations are monitored through the use of various non-GAAP

financial measures that may not be comparable to other similarly

titled measures of other companies

Accordingly, investors and analysts should exercise appropriate

caution in comparing these supplemental financial measures to

similarly titled financial measures reported by other companies

We believe that these supplemental financial measures provide

comparable measures of our financial performance which then

facilitate management’s ability to identify operational trends, as well

as make decisions regarding future spending, resource allocations

and other operational decisions

Reconciliations are only provided to the most directly comparable

IFRS financial statement line item for Adjusted EBITDA, Adjusted EBIT

and Adjusted EPS diluted for historical periods, as the income or

expense excluded from these non-GAAP financial measures in

accordance with our policy are, by definition, not predictable and

uncertain

Total Net Revenues, EBITDA, adj. EBITDA, EBIT and adj. EBIT at constant currency eliminate

the effects of foreign currency transaction and translation impacts and foreign currency

hedging.

EBITDA is defined as net profit before income tax expense, net financial expenses and

depreciation and amortization. Adjusted EBITDA is defined as EBITDA as adjusted for

income and costs, which are significant in nature, but expected to occur infrequently.

Adjusted Earnings Before Interest and Taxes (“Adjusted EBIT”) represents EBIT as adjusted

for income and costs, which are significant in nature, but expected to occur infrequently

Adjusted net profit represents net profit as adjusted for income and costs net of tax, which

are significant in nature, but expected to occur infrequently

Adjusted earnings per share diluted represents earnings per share as adjusted for income

and costs net of tax, which are significant in nature, but expected to occur infrequently

Net Industrial Debt defined as Net Debt excluding the funded portion of the self-

liquidating financial receivables portfolio, is the primary measure to analyze our financial

leverage and capital structure, and is one of the key indicators used to measure our

financial position

Free Cash Flow and Free Cash Flow from Industrial Activities are two of management’s

primary key performance indicators to measure the Group’s performance. Free Cash flow

is defined as net cash generated from operations less cash flows used in investing

activities. Free Cash Flow from Industrial Activities is defined as Free Cash Flow adjusted for

the change in the self-liquidating financial receivables portfolio.

non-GAAP financial measures


RECONCILIATIONS OF non-GAAP MEASURES: TOTAL NET REVENUES AT CONSTANT

AND CURRENT CURRENCY(8)

Q3 '18 at current

currency

Q3 '18 at constant

currency€M

9M '18 at current

currency

9M '18 at constant

currency

616 628 Cars and spare parts 1,898 1,980

70 70 Engines 227 227

128 132 Sponsorship, commercial and brand 380 393

24 24 Other 70 73

838 854 Total Net Revenues 2,575 2,673

Note: (8) The constant currency presentation eliminates the effects of foreign currency transaction and translation impacts and foreign currency hedging.



RECONCILIATIONS OF non-GAAP MEASURES: EBIT AND ADJ. EBIT AT CONSTANT


Q3 '18 €M 9M '18

203 EBIT 631

203 Adjusted EBIT 630

19 Currency 89

222 EBIT at constant currency 720

222 Adjusted EBIT at constant currency 719




RECONCILIATIONS OF non-GAAP MEASURES: EBITDA AND ADJ. EBITDA AT CONSTANT


Q3 '18 €M 9M '18

278 EBITDA 841

278 Adjusted EBITDA 840

19 Currency 89

297 EBITDA at constant currency 930

297 Adjusted EBITDA at constant currency 929




RECONCILIATIONS OF non-GAAP MEASURES: ADJUSTED EBIT

Q3 '18 Q3 '17 €M 9M '18 9M '17

203 202 EBIT 631 581

- -Release of charges related to Takata

airbag inflator recalls(1) -

203 202 Adjusted EBIT 630 581



RECONCILIATIONS OF non-GAAP MEASURES: EBITDA

Q3 '18 Q3 '17 €M 9M '18 9M '17

287 141 Net profit 596 401

(90) 53 Income tax expense / (benefit) 20 155

6 8 Net financial expenses 15 25

75 64 Amortization and depreciation 210 197

278 266 EBITDA 841 778



RECONCILIATIONS OF non-GAAP MEASURES: ADJUSTED EBITDA

Q3 '18 Q3 '17 €M 9M '18 9M '17

278 266 EBITDA 841 778


airbag inflator recalls(1) -

278 266 Adjusted EBITDA 840 778



Q3 '18 Q3 '17 €M 9M '18 9M '17

287 141 Net profit 596 401


airbag inflator recalls (net of tax effect)(1) -

(141) -Patent Box benefit

for the period 2015-2017(141) -

146 141 Adjusted net profit 454 401


RECONCILIATIONS OF non-GAAP MEASURES: ADJUSTED NET PROFIT


Q3 '18 Q3 '17 €M (unless otherwise stated) 9M '18 9M '17

287 140 Net profit attributable to owners

of the Company595 400

188,646 188,954 Weighted average number of common

shares (thousand)188,712 188,951

1.52 0.74 Basic EPS (€) 3.15 2.11

189,434 189,759

Weighted average number of common

shares for diluted earnings per common

share (thousand)

189,500 189,759

1.51 0.74 Diluted EPS (€) 3.14 2.11


BASIC AND DILUTED EPS


Q3 '18 Q3 '17 € per common share 9M '18 9M '17

1.52 0.74 Basic EPS 3.15 2.11


airbag inflator recalls (net of tax effect)(0.01) -

(0.74) -Patent Box benefit

for the period 2015-2017(0.74) -

0.78 0.74 Adjusted EPS 2.40 2.11

1.51 0.74 Diluted EPS 3.14 2.11


airbag inflator recalls (net of tax effect)(0.01) -

(0.74) -Patent Box benefit

for the period 2015-2017(0.74) -

0.77 0.74 Adjusted diluted EPS 2.39 2.11


RECONCILIATIONS OF non-GAAP MEASURES: ADJUSTED EPS


RECONCILIATIONS OF non-GAAP MEASURES: FREE CASH FLOW AND FREE CASH FLOW

FROM INDUSTRIAL ACTIVITIES

Q3 '18 Q3 '17 €M 9M '18 9M '17

234 227 Cash flow from operating activities 620 515

(155) (93) Cash flows used in investing activitie s(14) (403) (247)

79 134 Free Cash Flow 217 268

21 13 Change in the self-liquidating financial

receivables portfolio71 47

100 147 Free Cash Flow from Industrial

Activities(15 )288 315

Note: (14) Cash flow used in investing activities for the nine months ended September 30, 2017 excludes proceeds from exercising the Delta Topco option of Euro 8 million

(15) Free cash flow from industrial activities for the three and nine months ended September 30, 2018 includes Euro 1 million of quick refund to shareholders due to eligibility for withholding exemption.



RECONCILIATIONS OF non-GAAP MEASURES: NET INDUSTRIAL DEBT

€M September 30, 2018 June 30, 2018 March 31, 2018 December 31, 2017

Net Industrial Debt (372) (472) (413) (473)

Funded portion of the self-liquidating

financial receivables portfolio762 731 666 685

Net Debt (1,134) (1,203) (1,079) (1,158)

Cash and cash equivalents 753 650 743 648

Total Debt (1,887) (1,853) (1,822) (1,806)


Documents

Q3 2018 Results November 5 , 2018 - Ferrari Corporate · Q3 2018 Results November 5th, 2018 3 SUSTAIN DELIVERY OF 2018 TARGETS Note:(1) Reconciliations to non-GAAP financial measures