CFMOTO<\/a> are already involved in production.\u00a0 These measures are intended to reduce costs and increase efficiency, but the personnel cuts have also affected the team at KTM Forschungs- und Entwicklungs GmbH, which has been reduced from 850 to around 600 employees.<\/p>\n\u00a0<\/p>\n
Share price and investor reactions<\/h3>\n
The financial challenges and the ongoing restructuring measures have also had a severe impact on Pierer Mobility’s share price.\u00a0 In November 2024, the share price fell by around 38%, having already lost more than 90% of its peak value since January 2022.\u00a0 Florian Beckermann, board member of the Interessenverband f\u00fcr Anleger (IVA), sees the development as a consistent restructuring, which nevertheless shows that even experienced industrial companies such as Pierer Mobility are exposed to major risks.\u00a0 Bank Vontobel points to the possibility that debt could be converted into equity, which would lead to a dilution of the shareholdings of existing shareholders.\u00a0 This could be part of the planned restructuring to strengthen the company’s financial base.<\/p>\n
\u00a0<\/p>\n
Future prospects and market development<\/h3>\n
Pierer Mobility is confronted with a weak economic environment, which is having a negative impact on the important German market in particular.\u00a0 While the European market for motorcycles remains stable overall, demand in the low-price segment is stagnating and a rapid recovery does not currently appear to be in sight.\u00a0 In the first half of 2024, Pierer Mobility recorded a net loss for the period of EUR 172 million (approx. USD 183 million), with the motorcycle segment posting a loss of EUR 78 million.<\/p>\n
In addition to the operational adjustments, the company will introduce measures to secure its long-term competitiveness.\u00a0 This includes adjusting production volumes and implementing a leaner operating model.\u00a0 The aim is to keep costs and sales stable at a redimensioned level and thus create the basis for sustainable profitability.\u00a0 The company management announced that further details on the planned development in the coming years will be published at a later date.<\/p>\n
\u00a0<\/p>\n
Conclusion<\/h3>\n
KTM AG and its parent company Pierer Mobility AG are facing a year of restructuring and stabilization.\u00a0 The bridge financing and the planned measures are intended to create the basis for an economically sustainable future.\u00a0 It remains to be seen how successful the planned steps will be in their implementation and whether KTM can maintain its status as one of Europe’s leading motorcycle manufacturers.<\/p>\n
[amazon bestseller=”KTM” items=”3″]<\/p>\n","protected":false},"excerpt":{"rendered":"
KTM AG, a subsidiary of Pierer Mobility AG, finds itself in a challenging financial situation and is forced to undertake a comprehensive restructuring.\u00a0 In order to secure liquidity for the year 2025, Pierer Mobility AG requires bridge financing in the three-digit million range.\u00a0 This measure is part of a strategy to restore the company’s economic stability and secure its long-term competitiveness.\u00a0 In the midst of declining sales figures, growing debts and a tense market situation in Europe and the USA, drastic steps are being taken to put KTM back on a solid footing.<\/p>\n","protected":false},"author":4,"featured_media":149732,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"iawp_total_views":15,"footnotes":""},"categories":[711],"tags":[724,714],"class_list":["post-149728","post","type-post","status-publish","format-standard","has-post-thumbnail","category-news-en","tag-ktm-en-2","tag-news-en"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/posts\/149728","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/comments?post=149728"}],"version-history":[{"count":0,"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/posts\/149728\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/media\/149732"}],"wp:attachment":[{"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/media?parent=149728"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/categories?post=149728"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.motorcycles.news\/en\/wp-json\/wp\/v2\/tags?post=149728"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}