326967_OFFROAD KEY VISUAL 2020_323540_Sam Sunderland 3019-11-07 KTM DAKAR RALLY STAGE_(c)ktm ag

PIERER Mobility

SW: PMAG

€1178.8m market cap

€52.3 last close

PIERER Mobility (previously KTM Industries) is a leading manufacturer of powered two wheelers, focusing on premium motorcycles and two-wheeled electric vehicles. With its well-known brands – KTM, HUSQVARNA and GASGAS – it is the largest sports motorcycle manufacturer in Europe.

Investment summary

PIERER Mobility is a leading manufacturer of powered two wheelers (PTWs) focused on premium markets through the KTM, HUSQVARNA and GASGAS motorcycle brands. It has added e-bikes as a new organic growth stream as urban e-mobility markets continue to develop. Disruption from COVID-19 led to pre-emptive production stoppages in March, but Pierer returned to full production in May. On 29 May management indicated strong initial levels of demand in several markets and that it was adding workforce to meet it.

Y/E Dec
Revenue (€m)
EBITDA (€m)
PBT (€m)
EPS (fd) (c)
P/E (x)
P/CF (x)
2018A 1462.0 211.0 112.0 182.3 28.7 13.8
2019A 1520.0 241.0 118.0 241.8 21.6 4.6
2020E 1431.0 200.0 57.0 100.5 52.0 6.4
2021E 1698.0 270.0 118.0 207.2 25.2 5.9
Industry outlook

PIERER Mobility’s historic target PTW market has been for motorcycles greater than 120cc that retail for over €2,500. The segment represents six million units or around 11% of the global PTW market. PIERER had a market share of around 9.5% of this market in 2019 with a record 280.9k registrations, up 10% on 2018. 66.2k were through the Indian jv partner Bajaj. The market for e-bikes and scooters has grown strongly in Europe, supported by structural long-term trends especially cleaner transport solutions.

Last updated on 13/07/2020
Sector
Industrials
Share price graph
Balance sheet
Forecast net debt (€m) 385
Forecast gearing ratio (%) 112
Price performance
%
1m
3m
12m
Actual 13.7 74.3 (9.5)
Relative* 8.1 60.0 (14.2)
52-week high/low €60.0/€25.0
*% relative to local index
Key management
Stefan Pierer CEO
Friedrich Roithner Vorstand CFO
Josef Blazicek Chairman of the Supervisory Board
Michaela Friepess Investor Relations