Ferretti’s order intake shrinks on macro woes
Italian luxury yacht maker Ferretti reported a sharp 10% decline in new order intakes at the end of first half of 2025 as the company continues to battle US tariff threats and geopolitical tensions in the Middle East.
Order intake fell to $543m at the end of first half of 2025. The group, which besides its head office in Italy, operates subsidiaries in US, China, Singapore, Monaco and United Arab Emirates, said the decline was pronounced in the Middle East and Africa region as orders fell 21.9%YoY to $152.2m from $194m last year.
New orders from Europe and the Americas were also in red while those from Asia-Pacific were up 82.9%YoY. However, it only accounted for 3% of the total orders since on absolute basis the total order intake from the APAC region stood at $15m.
Ferretti operates three boat segments, including composite, made-to-measure and superyachts. New order intakes for superyachts were down 32.7%YoY to $75.4m from $112.1m. Meanwhile, composite yachts and made-to-measure yachts saw relatively modest declines in new order intakes.
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The group’s overall net revenue of new yachts increased by approximately 1.5% from $709.9m for the six months ended June 30, 2024 underpinned by a solid order backlog, with the main contribution driven by made-to-measure and super yachts.
Regional breakdown showed a significant improvement from the Middle East and Africa region which accounted for 35.4% of the revenue – an improvement from 18.5% from the corresponding period last year. All of the other three regions including Europe, APAC and Americas witnessed declines in terms of their contribution to the revenue.
The group’s net profit for the period remained relatively flat at $50.6m at the end of first half of 2025.
Riva, Pershing, Custom Line
The company warned of continuing risks to revenue during the remainder of 2025. Against this, Ferretti still sees potential in some segments. The company said that “top-tier luxury clients continue to exhibit spending behaviours that defy market trends” whereas the aspirational luxury segment remains sensitive to macroeconomic uncertainty and geopolitical tensions.
To counter some of the downturn, Ferretti said it will “enhance and expand its product offering and product mix” with the aim to “consolidate its market leadership position in both composite and made-to-measure segment”.
“The Group will expand its made-to-measure offering into larger alloy yachts, developing new alloy-hulled superyacht models under its iconic Riva, Pershing and Custom Line brands,” it added.
Ferretti capital expenditure on both expansion and maintenance saw a massive decline during the first half of 2025. Against the average of $149.1m capex during the first half of each of the last three years, the same declined to $48.8m in the comparable period of 2025. The company also reaffirmed its guidance of maintaining capex below $104.6m for the fiscal year.
Beyond that, the group reaffirmed its full-0year revenue outlook at $1.42-1.44bn followed by $233.5-240.5m adjusted EBITDA guidance.
