COVER PAGE
COVER PAGE | 12 Months Ended |
Dec. 31, 2021shares | |
Entity Addresses [Line Items] | |
Document Type | 20-F |
Document Registration Statement | false |
Document Annual Report | true |
Document Period End Date | Dec. 31, 2021 |
Current Fiscal Year End Date | --12-31 |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-37596 |
Entity Registrant Name | Ferrari N.V. |
Entity Address, Address Line One | Via Abetone Inferiore n. 4 |
Entity Address, Postal Zip Code | I-41053 |
Entity Address, City or Town | Maranello (MO) |
Entity Address, Country | IT |
Title of 12(b) Security | Ordinary Shares (par value of €0.01 each) |
Trading Symbol | RACE |
Security Exchange Name | NYSE |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Emerging Growth Company | false |
ICFR Auditor Attestation Flag | true |
Document Accounting Standard | International Financial Reporting Standards |
Entity Shell Company | false |
Entity Central Index Key | 0001648416 |
Amendment Flag | false |
Document Fiscal Year Focus | 2021 |
Document Fiscal Period Focus | FY |
Entity Incorporation, State or Country Code | P7 |
Common Shares | |
Entity Addresses [Line Items] | |
Entity Common Stock, Shares Outstanding | 183,843,396 |
Special Voting Shares | |
Entity Addresses [Line Items] | |
Entity Common Stock, Shares Outstanding | 63,344,922 |
Business Contact | |
Entity Addresses [Line Items] | |
Entity Address, Address Line One | Via Abetone Inferiore n. 4 |
Entity Address, Postal Zip Code | I-41053 |
Entity Address, City or Town | Maranello (MO) |
Entity Address, Country | IT |
Contact Personnel Name | Antonio Picca Piccon |
Country Region | +39 |
City Area Code | 0536 |
Local Phone Number | 949111 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2021 | |
Audit Information [Abstract] | |
Auditor Firm ID | 1521 |
Auditor Name | EY S.p.A. |
Auditor Location | Milan, Italy |
CONSOLIDATED INCOME STATEMENT
CONSOLIDATED INCOME STATEMENT - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Profit or loss [abstract] | |||
Net revenues | € 4,270,894 | € 3,459,790 | € 3,766,615 |
Cost of sales | 2,080,613 | 1,686,324 | 1,805,310 |
Selling, general and administrative costs | 348,024 | 336,126 | 343,179 |
Research and development costs | 768,104 | 707,385 | 699,211 |
Other expenses/(income), net | 5,561 | 18,475 | 4,991 |
Result from investments | 6,896 | 4,647 | 3,522 |
EBIT | 1,075,488 | 716,127 | 917,446 |
Net financial expenses | 33,257 | 49,092 | 42,082 |
Profit before taxes | 1,042,231 | 667,035 | 875,364 |
Income tax expense | 209,095 | 58,155 | 176,656 |
Net profit | 833,136 | 608,880 | 698,708 |
Net profit attributable to: | |||
Owners of the parent | 830,767 | 607,817 | 695,818 |
Non-controlling interests | € 2,369 | € 1,063 | € 2,890 |
Basic earnings per common share (in € per share) | € 4.50 | € 3.29 | € 3.73 |
Diluted earnings per common share (in € per share) | € 4.50 | € 3.28 | € 3.71 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of comprehensive income [abstract] | |||
Net profit | € 833,136 | € 608,880 | € 698,708 |
Items that will not be reclassified to the consolidated income statement in subsequent periods: | |||
(Losses)/Gains on remeasurement of defined benefit plans | (463) | 34 | (2,078) |
Related tax impact | 110 | 1 | 456 |
Total items that will not be reclassified to the consolidated income statement in subsequent periods | (353) | 35 | (1,622) |
Items that may be reclassified to the consolidated income statement in subsequent periods: | |||
(Losses)/Gains on cash flow hedging instruments | (64,130) | 40,109 | (2,272) |
Exchange differences on translating foreign operations | 14,229 | (11,731) | 2,652 |
Related tax impact | 17,960 | (11,291) | 610 |
Total items that may be reclassified to the consolidated income statement in subsequent periods | (31,941) | 17,087 | 990 |
Total other comprehensive (loss)/income, net of tax | (32,294) | 17,122 | (632) |
Total comprehensive income | 800,842 | 626,002 | 698,076 |
Total comprehensive income attributable to: | |||
Owners of the parent | 797,988 | 625,053 | 695,075 |
Non-controlling interests | € 2,854 | € 949 | € 3,001 |
CONSOLIDATED STATEMENT OF FINAN
CONSOLIDATED STATEMENT OF FINANCIAL POSITION - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Assets | ||
Goodwill | € 785,182 | € 785,182 |
Intangible assets | 1,138,173 | 979,290 |
Property, plant and equipment | 1,353,165 | 1,226,630 |
Investments and other financial assets | 54,509 | 42,841 |
Deferred tax assets | 168,757 | 152,221 |
Total non-current assets | 3,499,786 | 3,186,164 |
Inventories | 540,575 | 460,617 |
Trade receivables | 185,000 | 184,260 |
Receivables from financing activities | 1,143,968 | 939,607 |
Current tax receivables | 14,306 | 12,438 |
Other current assets | 122,224 | 76,471 |
Current financial assets | 13,500 | 40,084 |
Cash and cash equivalents | 1,344,146 | 1,362,406 |
Total current assets | 3,363,719 | 3,075,883 |
Total assets | 6,863,505 | 6,262,047 |
Equity and liabilities | ||
Equity attributable to owners of the parent | 2,205,898 | 1,785,186 |
Non-controlling interests | 5,518 | 4,018 |
Total equity | 2,211,416 | 1,789,204 |
Employee benefits | 101,200 | 59,985 |
Provisions | 150,868 | 155,335 |
Deferred tax liabilities | 95,973 | 113,474 |
Debt | 2,630,011 | 2,724,745 |
Other liabilities | 726,775 | 687,462 |
Other financial liabilities | 36,520 | 2,140 |
Trade payables | 797,832 | 713,807 |
Current tax payables | 112,910 | 15,895 |
Total equity and liabilities | € 6,863,505 | € 6,262,047 |
CONSOLIDATED STATEMENT OF CASH
CONSOLIDATED STATEMENT OF CASH FLOWS - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of cash flows [abstract] | |||
Cash and cash equivalents at the beginning of the year | € 1,362,406 | € 897,946 | € 793,664 |
Cash flows from operating activities: | |||
Profit before taxes | 1,042,231 | 667,035 | 875,364 |
Amortization and depreciation | 455,989 | 426,637 | 351,946 |
Provision accruals | 30,284 | 25,805 | 14,253 |
Result from investments | (6,896) | (4,647) | (3,522) |
Net finance costs | 33,257 | 49,092 | 42,082 |
Other non-cash expenses, net | 23,941 | 39,073 | 38,987 |
Change in inventories | (81,309) | (67,797) | (40,627) |
Change in trade receivables | 1,771 | 44,477 | (22,377) |
Change in trade payables | 72,568 | 8,594 | 53,940 |
Change in receivables from financing activities | (122,746) | (69,376) | (76,694) |
Change in other operating assets and liabilities | (29,840) | (137,313) | 145,547 |
Finance income received | 1,679 | 2,109 | 3,274 |
Finance costs paid | (29,202) | (54,427) | (42,600) |
Income tax paid | (109,001) | (91,051) | (33,480) |
Total cash flows from operating activities | 1,282,726 | 838,211 | 1,306,093 |
Cash flows used in investing activities: | |||
Investments in property, plant and equipment | (352,316) | (357,018) | (352,154) |
Investments in intangible assets | (384,827) | (351,978) | (353,458) |
Proceeds from the sale of property, plant and equipment and intangible assets | 4,405 | 969 | 4,539 |
Total cash flows used in investing activities | (732,738) | (708,027) | (701,073) |
Cash flows (used in)/from financing activities: | |||
Repayment of bonds and notes | (500,000) | 0 | (315,395) |
Proceeds from bonds and notes | 149,495 | 640,073 | 298,316 |
Net change in borrowings to banks and other financial institutions | 121,385 | (1,740) | (3,516) |
Proceeds from securitizations, net of repayments | 71,444 | 44,126 | 92,173 |
Repayment of lease liabilities | (21,605) | (20,035) | (3,896) |
Net change in other debt | (8,037) | 18,081 | 12,322 |
Dividends paid to owners of the parent | (160,101) | (208,100) | (192,664) |
Dividends paid to non-controlling interests | (1,354) | (2,929) | (2,120) |
Share repurchases | (230,899) | (129,793) | (386,749) |
Total cash flows (used in)/from financing activities | (579,672) | 339,683 | (501,529) |
Translation exchange differences | 11,424 | (5,407) | 791 |
Total change in cash and cash equivalents | (18,260) | 464,460 | 104,282 |
Cash and cash equivalents at the end of the year | € 1,344,146 | € 1,362,406 | € 897,946 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY - EUR (€) € in Thousands | Total | Share capital | Retained earnings and other reserves | Cash flow hedge reserve | Currency translation differences | Remeasurement of defined benefit plans | Equity attributable to owners of the parent | Non-controlling interests | |
Equity at beginning of period at Dec. 31, 2018 | € 1,353,839 | € 2,504 | € 1,319,478 | € (2,992) | € 37,850 | € (8,118) | € 1,348,722 | € 5,117 | |
Net profit | 698,708 | 695,818 | 695,818 | 2,890 | |||||
Other comprehensive income/(loss) | (632) | (1,662) | 2,541 | (1,622) | (743) | 111 | |||
Dividends to owners of the parent | (193,238) | (193,238) | (193,238) | ||||||
Dividends to non-controlling interests | (2,120) | (2,120) | |||||||
Share repurchases | (386,749) | (386,749) | (386,749) | ||||||
Share-based compensation | 17,480 | 17,480 | 17,480 | ||||||
Special voting shares issuance | [1] | 69 | (69) | ||||||
Equity at end of period at Dec. 31, 2019 | 1,487,288 | 2,573 | 1,452,720 | (4,654) | 40,391 | (9,740) | 1,481,290 | 5,998 | |
Net profit | 608,880 | 607,817 | 607,817 | 1,063 | |||||
Other comprehensive income/(loss) | 17,122 | 28,818 | (11,617) | 35 | 17,236 | (114) | |||
Dividends to owners of the parent | (208,765) | (208,765) | (208,765) | ||||||
Dividends to non-controlling interests | (2,929) | (2,929) | |||||||
Share repurchases | (129,793) | (129,793) | (129,793) | ||||||
Share-based compensation | 17,401 | 17,401 | 17,401 | ||||||
Equity at end of period at Dec. 31, 2020 | 1,789,204 | 2,573 | 1,739,380 | 24,164 | 28,774 | (9,705) | 1,785,186 | 4,018 | |
Net profit | 833,136 | 830,767 | 830,767 | 2,369 | |||||
Other comprehensive income/(loss) | (32,294) | (46,170) | 13,744 | (353) | (32,779) | 485 | |||
Dividends to owners of the parent | (160,272) | (160,272) | (160,272) | ||||||
Dividends to non-controlling interests | (1,354) | (1,354) | |||||||
Share repurchases | (230,899) | (230,899) | (230,899) | ||||||
Share-based compensation | 13,895 | 13,895 | 13,895 | ||||||
Other movements | 0 | (418) | 418 | ||||||
Equity at end of period at Dec. 31, 2021 | € 2,211,416 | € 2,573 | € 2,192,453 | € (22,006) | € 42,518 | € (9,640) | € 2,205,898 | € 5,518 | |
[1] | See Note 20 “Equity” for additional details. |
BACKGROUND AND BASIS OF PRESENT
BACKGROUND AND BASIS OF PRESENTATION | 12 Months Ended |
Dec. 31, 2021 | |
Background and Basis of Presentation [Abstract] | |
BACKGROUND AND BASIS OF PRESENTATION | BACKGROUND AND BASIS OF PREPARATION Background Ferrari is among the world’s leading luxury brands. The activities of Ferrari N.V. (herein referred to as “Ferrari” or the “Company” and together with its subsidiaries the “Group”) and its subsidiaries are focused on the design, engineering, production and sale of luxury performance sports cars. The cars are designed, engineered and produced in Maranello and Modena, Italy and sold in more than 60 markets worldwide through a network of 172 authorized dealers operating 191 points of sale. The Ferrari brand is licensed to a selected number of producers and retailers of luxury and lifestyle goods, with Ferrari branded merchandise also sold through a network of 16 Ferrari-owned stores and 14 franchised stores (including 12 Ferrari Store Junior), as well as on Ferrari’s website. To facilitate the sale of new and pre-owned cars, the Group provides various forms of financing to clients and dealers, including through cooperation and other agreements with certain financial institutions. Ferrari also participates in the Formula 1 World Championship through Scuderia Ferrari. The activities of Scuderia Ferrari are a core element of Ferrari marketing and promotional activities and an important source of innovation to support the technological advancement of Ferrari range models. Basis of preparation Authorization of consolidated financial statements and compliance with International Financial Reporting Standards These consolidated financial statements of Ferrari N.V. were authorized for issuance by the Board of Directors on February 25, 2022. The consolidated financial statements have been prepared in accordance with the International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”), as well as IFRS as adopted by the European Union. There is no effect on these consolidated financial statements resulting from differences between IFRS as issued by the IASB and IFRS as adopted by the European Union. The designation IFRS also includes International Accounting Standards (“IAS”) as well as the interpretations of the International Financial Reporting Interpretations Committee (“IFRIC” and “SIC”). The consolidated financial statements are prepared on a going concern basis and applying the historical cost method, modified as required for the measurement of certain financial instruments, which are generally measured at fair value. The Group’s presentation currency is the Euro, which is also the functional currency of the Company, and unless otherwise stated information is presented in thousands of Euro. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2021 | |
Significant Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | SIGNIFICANT ACCOUNTING POLICIES Format of the financial statements The consolidated financial statements include the consolidated income statement, consolidated statement of comprehensive income, consolidated statement of financial position, consolidated statement of cash flows, consolidated statement of changes in equity and the accompanying notes (referred to collectively as the “Consolidated Financial Statements”). For presentation of the consolidated income statement, the Group uses a classification based on the function of expenses, as it is more representative of the format used for internal reporting and management purposes and is consistent with international practice. In the consolidated income statement, the Group presents a subtotal for Earnings Before Interest and Taxes (EBIT). EBIT distinguishes between the profit before taxes arising from operating items and those arising from financing activities. EBIT is one of the primary measures used by the Board of Directors (the Group’s “Chief Operating Decision Maker” as defined in IFRS 8 — Operating Segments) to assess performance. For presentation of the consolidated statement of financial position, a mixed format has been selected to present current and non-current assets and liabilities, as permitted by IAS 1 paragraph 60. More specifically, the Consolidated Financial Statements include both industrial and financial services activities. Receivables from financing activities are included in current assets as the investments will be realized in their normal operating cycle. The funding for financial services activities is primarily obtained through securitization programs and funding from certain of the Group’s operating companies. This financial service structure within the Group does not allow the separation of financial liabilities funding the financial services operations (whose assets are reported within current assets) and those funding the industrial operations. Presentation of financial liabilities as current or non-current based on their date of maturity would not facilitate a meaningful comparison with financial assets, which are categorized on the basis of their normal operating cycle. Disclosure as to the due date of the various components of debt is provided in Note 24. The consolidated statement of cash flows is presented using the indirect method. New standards and amendments effective from January 1, 2021 The following new amendments that are applicable on or subsequent to January 1, 2021 were adopted by the Group for the preparation of these Consolidated Financial Statements. The Group adopted a package of amendments to IFRS 9 — Financial Instruments , IAS 39 — Financial Instruments: Recognition and Measurement , IFRS 7 — Financial Instruments: Disclosures , IFRS 4 — Insurance Contracts and IFRS 16 — Leases in response to the reform of inter-bank offered rates (IBOR) and other interest rate benchmarks. The amendments aim at helping companies to provide investors with useful information about the effects of the reform on those companies’ financial statements. These amendments focus on the effects on financial statements when a company replaces the old interest rate benchmark with an alternative benchmark rate as a result of the reform. The new amendments relate to: • changes to contractual cash flows – a company is not be required to derecognize or adjust the carrying amount of financial instruments for changes required by the interest rate benchmark reform, but will instead update the effective interest rate to reflect the change to the alternative benchmark rate; • hedge accounting – a company does not have to discontinue its hedge accounting solely because it makes changes required by the interest rate benchmark reform if the hedge meets other hedge accounting criteria; and • disclosures – a company is required to disclose information about new risks that arise from the interest rate benchmark reform and how the company manages the transition to alternative benchmark rates. There was no effect from the adoption of these amendments. The Group adopted the amendments to IFRS 4 — Insurance Contracts which deferred the expiry date of the temporary exemption from applying IFRS 9 to annual periods beginning on or after January 1, 2021. There was no effect from the adoption of these amendments. The Group adopted the amendments to IFRS 16 for COVID-19-related rent concessions beyond 30 June 2021 . The amendment extended the applicability of a previous amendment to IFRS 16 in 2020 that permits lessees, as a practical expedient, not to assess whether particular rent concessions occurring as a direct consequence of the COVID-19 pandemic are lease modifications and instead to account for those rent concessions as if they are not lease modifications, thus giving the possibility to the lessees to recognize the entire economic benefit of such discounts immediately through profit or loss. There was no significant effect from the adoption of this amendment. New standards, amendments and interpretations not yet effective The standards, amendments and interpretations issued by the International Accounting Standards Board (“IASB”) that will have mandatory application in 2022 or subsequent years are listed below: In May 2017 the IASB issued IFRS 17 — Insurance Contracts , which establishes principles for the recognition, measurement, presentation and disclosure of insurance contracts issued as well as guidance relating to reinsurance contracts held and investment contracts with discretionary participation features issued. In June 2020 the IASB issued amendments to IFRS 17 aimed at helping companies implement IFRS 17 and make it easier for companies to explain their financial performance. The new standard and amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In January 2020 the IASB issued amendments to IAS 1 — Presentation of Financial Statements: Classification of Liabilities as Current or Non-Current to clarify how to classify debt and other liabilities as current or non-current, and in particular how to classify liabilities with an uncertain settlement date and liabilities that may be settled by converting to equity. These amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In May 2020 the IASB issued amendments to IFRS 3 — Business combinations to update a reference in IFRS 3 to the Conceptual Framework for Financial Reporting without changing the accounting requirements for business combinations. These amendments are effective on or after January 1, 2022. The Group does not expect any material impact from the adoption of these amendments. In May 2020 the IASB issued amendments to IAS 16 — Property, Plant and Equipment . The amendments prohibit a company from deducting from the cost of property, plant and equipment amounts received from selling items produced while the company is preparing the asset for its intended use. Instead, a company should recognize such sales proceeds and the related cost in the income statement. These amendments are effective on or after January 1, 2022. The Group does not expect any material impact from the adoption of these amendments. In May 2020 the IASB issued amendments to IAS 37 — Provisions, Contingent Liabilities and Contingent Assets , which specify which costs a company includes when assessing whether a contract will be loss-making. These amendments are effective on or after January 1, 2022. The Group does not expect any material impact from the adoption of these amendments. In May 2020 the IASB issued Annual Improvements to IFRSs 2018 - 2020 Cycle . The improvements have amended four standards with effective date January 1, 2022: i) IFRS 1 — First-time Adoption of International Financial Reporting Standards in relation to allowing a subsidiary to measure cumulative translation differences using amounts reported by its parent, ii) IFRS 9 — Financial Instruments in relation to which fees an entity includes when applying the ‘10 percent’ test for derecognition of financial liabilities, iii) IAS 41 — Agriculture in relation to the exclusion of taxation cash flows when measuring the fair value of a biological asset, and iv) IFRS 16 — Leases in relation to an illustrative example of reimbursement for leasehold improvements. The Group does not expect any material impact from the adoption of these amendments. In February 2021 the IASB issued amendments to IAS 1 — Presentation of Financial Statements and IFRS Practice Statement 2: Disclosure of Accounting policies which require companies to disclose their material accounting policy information rather than their significant accounting policies and provide guidance on how to apply the concept of materiality to accounting policy disclosures. These amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In February 2021 the IASB issued amendments to IAS 8 — Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates which clarify how companies should distinguish changes in accounting policies from changes in accounting estimates. These amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In May 2021 the IASB issued amendments to IAS 12 — Income Taxes: Deferred Tax related to Assets and Liabilities Arising From a Single Transaction that clarify how companies account for deferred tax on transactions such as leases and decommissioning obligations. These amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In December 2021 the IASB issued an amendments to IFRS 17 — Insurance Contracts: Initial Application of IFRS 17 and IFRS 9 - Comparative Information , which provides a transition option relating to comparative information about financial assets presented on initial application of IFRS 17. The amendment is aimed at helping entities to avoid temporary accounting mismatches between financial assets and insurance contract liabilities, and therefore improve the usefulness of comparative information for users of financial statements. The amendment is effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of this amendment. Basis of consolidation Subsidiaries Subsidiaries are entities over which the Group has control. Control is achieved when the Group has power over the investee, when it is exposed to, or has rights to, variable returns from its involvement with the investee, and has the ability to use its power over the investee to affect the amount of the investor’s returns. Subsidiaries are consolidated on a line by line basis from the date on which the Group achieves control. The Group reassesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control listed above. The Group recognizes any non-controlling interests (“NCI”) in the acquiree on an acquisition-by-acquisition basis, either at fair value or at the non-controlling interest’s share of the recognized amounts of the acquiree’s identifiable net assets. Net profit or loss and each component of other comprehensive income/(loss) are attributed to the owners of the parent and to the non-controlling interests. Total comprehensive income/(loss) of subsidiaries is attributed to owners of the parent and to the non-controlling interests even if this results in the non-controlling interests having a deficit balance. All significant intra-group balances and transactions and any unrealized gains and losses arising from intra-group transactions are eliminated in preparing the Consolidated Financial Statements. Subsidiaries are deconsolidated from the date when control ceases. When the Group ceases to have control over a subsidiary, it derecognizes the assets (including any goodwill) and liabilities of the subsidiary at their carrying amounts, derecognizes the carrying amount of non-controlling interests in the former subsidiary and recognizes the fair value of any consideration received from the transaction. Any retained interest in the former subsidiary is then remeasured to its fair value. In 2016 the Group sold a majority stake in Ferrari Financial Services GmbH. From such date, the Group’s remaining interest has been remeasured at fair value and accounted for using the equity method. Interests in associates An associate is an entity over which the Group has significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee but without having control or joint control over those policies. Associates are accounted for using the equity method of accounting from the date significant influence is obtained. Under the equity method, the investments are initially recognized at cost and adjusted thereafter to recognize the Group’s share of the profit/(loss) and other comprehensive income/(loss) of the investee. The Group’s share of the investee’s profit/(loss) is recognized in the consolidated income statement. Distributions received from an investee reduce the carrying amount of the investment. Post-acquisition movements in other comprehensive income/(loss) are recognized in other comprehensive income/(loss) with a corresponding adjustment to the carrying amount of the investment. Unrealized gains on transactions between the Group and its associates are eliminated to the extent of the Group’s interest in the associate. Unrealized losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. When the Group’s share of the losses of an associate exceeds the Group’s interest in that associate, the Group discontinues recognizing its share of further losses. Additional losses are provided for, and a liability is recognized, only to the extent that the Group has incurred legal or constructive obligations or made payments on behalf of the associate. The Group discontinues the use of the equity method from the date the investment ceases to be an associate or when it is classified as available-for-sale. Interests in joint operations A joint operation is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the assets and obligations for the liabilities, relating to the arrangement. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control. When the Group undertakes its activities under joint operations, it recognizes in relation to its interest in the joint operation: (i) its assets, including its share of any assets held jointly, (ii) its liabilities, including its share of any liabilities incurred jointly, (iii) its revenue from the sale of its share of the output arising from the joint operation, (iv) its share of the revenue from the sale of the output by the joint operation, and (v) its expenses, including its share of any expenses incurred jointly. Foreign currency transactions The functional currency of the Group’s entities is the currency of their primary economic environment. In individual companies, transactions in foreign currencies are recorded at the exchange rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are translated at the foreign currency exchange rate prevailing at that date. Exchange differences arising on the settlement of monetary items or on reporting monetary items at rates different from those at which they were initially recorded during the period or in previous financial statements are recognized in the consolidated income statement. Consolidation of foreign entities All assets and liabilities of foreign consolidated companies with a functional currency other than the Euro are translated using the closing rates at the date of the consolidated statement of financial position. Income and expenses are translated into Euro at the average foreign currency exchange rate for the period. Translation differences resulting from the application of this method are classified as currency translation differences within other comprehensive income/(loss) until the disposal of the investment. Average foreign currency exchange rates for the period are used to translate the cash flows of foreign subsidiaries in preparing the consolidated statement of cash flows. Goodwill, assets acquired and liabilities assumed arising from the acquisition of entities with a functional currency other than the Euro are recognized in the Consolidated Financial Statements in the functional currency and translated at the foreign currency exchange rate at the acquisition date. These balances are translated at subsequent balance sheet dates at the relevant foreign currency exchange rate. The principal foreign currency exchange rates used to translate other currencies into Euro were as follows: 2021 2020 2019 Average At December 31, Average At December 31, Average At December 31, U.S. Dollar 1.1827 1.1326 1.1422 1.2271 1.1195 1.1234 Pound Sterling 0.8596 0.8403 0.8897 0.8990 0.8778 0.8508 Swiss Franc 1.0811 1.0331 1.0705 1.0802 1.1124 1.0854 Japanese Yen 129.8767 130.3800 121.8458 126.4900 122.0058 121.9400 Chinese Yuan 7.6282 7.1947 7.8747 8.0225 7.7355 7.8205 Australian Dollar 1.5749 1.5615 1.6549 1.5896 1.6109 1.5995 Canadian Dollar 1.4826 1.4393 1.5300 1.5633 1.4855 1.4598 Singapore Dollar 1.5891 1.5279 1.5742 1.6218 1.5273 1.5111 Hong Kong Dollar 9.1932 8.8333 8.8587 9.5142 8.7715 8.7473 Intangible assets Goodwill Goodwill is not amortized, but is tested for impairment annually or more frequently if events or changes in circumstances indicate that it might be impaired. After initial recognition, goodwill is measured at cost less any accumulated impairment losses. Development costs Development costs for car project production and related components, engines and systems are recognized as an asset if, and only if, both of the following conditions under IAS 38 — Intangible Assets are met: that development costs can be measured reliably and that the technical feasibility of the product, volumes and pricing support the view that the development expenditure will generate future economic benefits. Capitalized development costs include all direct and indirect costs that may be directly attributed to the development process. All other research and development costs are expensed as incurred, net of any government grants received. Capitalized development costs are amortized on a straight-line basis from the start of production over the estimated lifecycle of the model or the useful life of the related components or other assets (generally between four The Group incurs significant research and development costs through the Formula 1 racing activities. These costs are considered fundamental to the development of the range and track car models and prototypes. Technological developments and changes in the regulations of the Formula 1 World Championship generally require the Group to design, develop and construct a new racing car to be used for one year only. The costs incurred for the design, development and construction of a new racing car are generally expensed as incurred unless the technology will be used for more than one year and the costs meet the capitalization criteria in IAS 38. Patents, concessions and licenses Separately acquired patents, concessions and licenses are initially recognized at cost. Patents, concessions and licenses acquired in a business combination are initially recognized at fair value. Patents, concessions and licenses are amortized on a straight-line basis over their useful economic lives, which is generally between three Other intangible assets Other intangible assets mainly relate to the registration of trademarks and have been recognized in accordance with IAS 38 — Intangible Assets , where it is probable that the use of the asset will generate future economic benefits for the Group and where the cost of the asset can be measured reliably. Other intangible assets are measured at cost less any impairment losses and amortized on a straight-line basis over their estimated life, which is generally between three Property, plant and equipment Cost Property, plant and equipment is initially recognized at cost which comprises the purchase price, any costs directly attributable to bringing the assets to the location and condition necessary to be capable of operating in the manner intended by management, capitalized borrowing costs and any initial estimate of the costs of dismantling and removing the item and restoring the site on which it is located. Self-constructed assets are initially recognized at production cost. Subsequent expenditures and the cost of replacing parts of an asset are capitalized only if they increase the future economic benefits embodied in that asset. All other expenditures are expensed as incurred. When such replacement costs are capitalized, the carrying amount of the parts that are replaced is recognized as a loss in the period of replacement in the consolidated income statement. Depreciation Depreciation is calculated on a straight-line basis over the estimated useful lives of the assets, as follows: Depreciation rates Industrial buildings 3% - 20% Plant, machinery and equipment 5% - 22% Other assets 12% - 25% Land is not depreciated. If the asset being depreciated consists of separately identifiable components whose useful lives differ from that of the other parts making up the asset, depreciation is charged separately for each of its component parts through application of the ‘component approach’. Leases With the adoption of IFRS 16, the Group recognizes a right-of-use asset and a corresponding lease liability at the date at which the leased asset is available for use. Each lease payment is allocated between the principal liability and finance costs. Finance costs are charged to the income statement over the lease period using the effective interest rate method. The right-of-use asset is depreciated on a straight-line basis over the lease term. Right-of-use assets are measured at cost comprising the following: (i) the amount of the initial measurement of lease liability; (ii) any lease payments made at or before the commencement date less any lease incentives received; (iii) any initial direct costs and, if applicable, (iv) restoration costs. Payments associated with short-term leases and leases of low-value assets are recognized as an expense in the income statement on a straight-line basis. Lease liabilities are measured at the net present value of the following: (i) fixed lease payments, (ii) variable lease payments that are based on an index or a rate and, if applicable, (iii) amounts expected to be payable by the lessee under residual value guarantees, and (iv) the exercise price of a purchase option if the lessee is reasonably certain to exercise that option. Lease liabilities do not include any non-lease components that may be included in the related contracts. Lease payments are discounted using the interest rate implicit in the lease. If that rate cannot be determined, the Group’s incremental borrowing rate is used, being the rate that the Group would have to pay to borrow the funds necessary to obtain an asset of similar value in a similar economic environment with similar terms and conditions. Some lease contracts contain variable payment terms that are linked to sales generated from Ferrari stores. Variable lease payments that depend on sales are recognized in the income statement in the period in which the condition that triggers those payments occurs. Extension and termination options are included in a number of leases related to Ferrari stores, warehouses and machinery and equipment of the Group. In determining the lease term, management considers all facts and circumstances that create an economic incentive to exercise an extension option, or not exercise a termination option. Extension options (or periods after termination options) are only included in the lease term if the lease is reasonably certain to be extended (or not terminated). Borrowing costs General and specific borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use. All other borrowing costs are expensed in net financial expenses if related to the Group’s industrial activities or cost of sales if related to the Group’s financial services activities in the consolidated income statement, as incurred. Impairment of assets The Group continuously monitors its operations to assess whether there is any indication that its intangible assets (including development costs) and its property, plant and equipment may be impaired. Goodwill is tested for impairment annually or more frequently, if there is an indication that an asset may be impaired. If indications of impairment are present, the carrying amount of the asset is reduced to its recoverable amount, which is the higher of fair value less costs of disposal and its value in use. The recoverable amount is determined for the individual asset, unless the asset does not generate cash inflows that are largely independent of the cash inflows from other assets or groups of assets, in which case the asset is tested as part of the cash-generating unit (“CGU”) to which the asset belongs. A CGU is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. In assessing the value in use of an asset or CGU, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset or CGU. An impairment loss is recognized if the recoverable amount is lower than the carrying amount. Where an impairment loss for assets other than goodwill, subsequently no longer exists or has decreased, the carrying amount of the asset or CGU is increased to the revised estimate of its recoverable amount, but not in excess of the carrying amount that would have been recorded had no impairment loss been recognized. The reversal of an impairment loss is recognized in the consolidated income statement immediately. Financial instruments Presentation Current financial assets include trade receivables, receivables from financing activities, derivative financial instruments, other current financial assets and cash and cash equivalents. Investments and other financial assets include investments accounted for using the equity method as well as other securities and non-current financial assets. Financial liabilities include debt (which primarily includes bonds, notes, asset-backed financing (securitizations) and borrowings from banks), trade payables and other financial liabilities, which mainly include derivative financial instruments. Measurement Financial assets, other than investments accounted for using the equity method, and financial liabilities are measured in accordance with IFRS 9 - Financial Instruments . Except for investments accounted for using the equity method, the Group initially measures financial assets at fair value plus, in the case of financial assets not measured at fair value through profit or loss, transaction costs. Equity instruments held by the Group are recognized at fair value through profit or loss. When market prices are not directly available, the fair value is measured using appropriate valuation techniques (e.g. discounted cash flow analysis based on market information available at the balance sheet date). As permitted by IFRS 9, equity investments for which there is no quoted market price in an active market and there is insufficient financial information in order to determine fair value may be measured at cost as an estimate of fair value. Trade receivables and receivables from financing activities are originated in the ordinary course of business and held within a business model with the objective to hold the receivables in order to collect contractual cash flows that meet the ‘solely payments of principal and interest’ criterion under IFRS 9, therefore they are measured at amortized cost using the effective interest rate method. Receivables with maturities greater than one year are discounted to present value. Assessments are made regularly as to whether there is any objective evidence that a financial asset or group of financial assets may be impaired and, if any such evidence exists, an impairment loss is recognized within financial expenses. Under IFRS 9, a forward-looking expected credit loss model must be applied when assessing impairment. In making impairment assessments, the Group applies the standard simplified approach to estimate the lifetime expected credit losses and considers its historical credit loss experience, adjusted for forward-looking factors specific to the nature of the Group’s receivables and economic environment, which may be different for the Group’s trade receivables compared to receivables from financing activities. If any such evidence exists, an impairment loss is recognized within financial expenses. The Group considers a default to occur and a significant increase in credit risk to occur when the counterparty fails to make contractual payments within a certain number of days of when they fall due. For example, for receivables from financing activities this typically occurs when the counterparty fails to make contractual payments within 60 days of when the related receivables fall due, while for trade receivables this is assessed on a case by case basis. Financial assets and trade receivable are written off when the counterparty fails to make contractual payments and there is no reasonable expectation of recovery, and in any circumstance no later than 360 days. When trade receivables or receivables from financing activities have been written off, the Company may continue to engage in enforcement actions to attempt to recover the receivables. Financial liabilities, with the exception of derivative financial instruments, are measured at amortized cost using the effective interest rate method. Derivative financial instruments Derivative financial instruments are used for economic hedging purposes only in order to reduce financial risks and in particular, foreign currency risks. Derivative financial instruments qualify for hedge accounting only when at the inception of the hedge there is formal designation and documentation of the hedging relationship, the hedge is expected to be highly effective, its effectiveness can be reliably measured and it is highly effective throughout the financial reporting periods for which it is designated. All derivative financial instruments are measured at fair value. When derivative financial instruments qualify for hedge accounting, the following accounting treatments apply: Cash flow hedges — Where a derivative financial instrument is designated as a hedge of the exposure to variability in future cash flows of a recognized asset or liability or a highly probable forecasted transaction and could affect the consolidated income statement, the effective portion of any gain or loss on the derivative financial instrument is recognized directly in other comprehensive income/(loss). The cumulative gain or loss is reclassified from other comprehensive income/(loss) to the consolidated income statement at the same time as the economic effect arising from the hedged item affects the consolidated income statement. The gain or loss associated with a hedge or part of a hedge that has become ineffective is recognized in the consolidated income statement immediately within net financial income/expenses. When a hedging instrument or hedge relationship is terminated but the hedged transaction is still expected to occur, the cumulative gain or loss realized to the point of termination remains in other comprehensive income/(loss) and is recognized in the consolidated income statement at the same time as the underl |
SCOPE OF CONSOLIDATION
SCOPE OF CONSOLIDATION | 12 Months Ended |
Dec. 31, 2021 | |
Scope of Consolidation [Abstract] | |
SCOPE OF CONSOLIDATION | SCOPE OF CONSOLIDATION Ferrari N.V. is the parent company of the Group and it holds, directly and indirectly, interests in the Group’s main operating companies. The Group’s scope of consolidation at December 31, 2021 and 2020 was as follows: At December 31, 2021 At December 31, 2020 Name Country Nature of business Shares held by the Group Shares held by NCI Shares held by the Group Shares held by NCI Directly held interests Ferrari S.p.A. Italy Manufacturing 100 % — % 100 % — % Indirectly held through Ferrari S.p.A. Ferrari North America Inc. USA Importer and distributor 100 % — % 100 % — % Ferrari Japan KK Japan Importer and distributor 100 % — % 100 % — % Ferrari Australasia Pty Limited Australia Importer and distributor 100 % — % 100 % — % Ferrari International Cars Trading (Shanghai) Co. L.t.d. China Importer and distributor 80 % 20 % 80 % 20 % Ferrari (HK) Limited Hong Kong Importer and distributor 100 % — % 100 % — % Ferrari Far East Pte Limited Singapore Service company 100 % — % 100 % — % Ferrari Management Consulting (Shanghai) Co. L.t.d. China Service company 100 % — % 100 % — % Ferrari South West Europe S.a.r.l. France Service company 100 % — % 100 % — % Ferrari Central Europe GmbH Germany Service company 100 % — % 100 % — % G.S.A. S.A. in liquidation Switzerland Service company 100 % — % 100 % — % Mugello Circuit S.p.A. Italy Racetrack management 100 % — % 100 % — % Ferrari Financial Services, Inc. USA Financial services 100 % — % 100 % — % Indirectly held through other Group entities Ferrari Auto Securitization Transaction LLC (1) USA Financial services 100 % — % 100 % — % Ferrari Auto Securitization Transaction - Lease, LLC (1) USA Financial services 100 % — % 100 % — % Ferrari Auto Securitization Transaction - Select, LLC (1) USA Financial services 100 % — % 100 % — % Ferrari Financial Services Titling Trust (1) USA Financial services 100 % — % 100 % — % 410 Park Display, Inc. (2) USA Retail 100 % — % 100 % — % _____________________________ (1) Shareholding held by Ferrari Financial Services Inc. (2) Shareholding held by Ferrari North America Inc. Non-controlling interests The non-controlling interests at December 31, 2021 and 2020 and the net profit attributable to non-controlling interests for the years ended December 31, 2021, 2020 and 2019 relate to Ferrari International Cars Trading (Shanghai) Co. L.t.d. (“FICTS”), in which the Group holds an 80 percent interest. At December 31, 2021 2020 (€ thousand) Equity attributable to non-controlling interests 5,518 4,018 For the years ended December 31, 2021 2020 2019 (€ thousand) Net profit attributable to non-controlling interests 2,369 1,063 2,890 The non-controlling interests in FICTS are not considered to be significant to the Group for the periods presented in these Consolidated Financial Statements. Restrictions The Group may be subject to restrictions which limit its ability to use cash in relation to its interest in FICTS. In particular, cash held in China is subject to certain repatriation restrictions and may only be repatriated as a repayment of payables or debt, or through a payment of dividends or capital distributions. The Group does not believe that such transfer restrictions have any adverse impacts on its ability to meet liquidity requirements. Cash held in China at December 31, 2021 amounted to €89,611 thousand (€55,566 thousand at December 31, 2020). Cash collected from the settlement of receivables under securitization programs is subject to certain restrictions regarding its use and is principally applied to repay principal and interest of the related funding. Such cash amounted to €47,742 thousand at December 31, 2021 (€36,935 thousand at December 31, 2020). |
NET REVENUES
NET REVENUES | 12 Months Ended |
Dec. 31, 2021 | |
Analysis of income and expense [abstract] | |
NET REVENUES | NET REVENUES Net revenues are as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Cars and spare parts 3,573,119 2,835,170 2,925,721 Engines 189,432 150,655 198,308 Sponsorship, commercial and brand 430,579 390,002 538,238 Other 77,764 83,963 104,348 Total net revenues 4,270,894 3,459,790 3,766,615 Other net revenues primarily relate to financial services activities, management of the Mugello racetrack and other sports-related activities. Interest and other financial income from financial services activities included within net revenues in 2021, 2020 and 2019 amounted to €55,043 thousand, €65,878 thousand and €66,386 thousand, respectively. |
COST OF SALES
COST OF SALES | 12 Months Ended |
Dec. 31, 2021 | |
Analysis of income and expense [abstract] | |
COST OF SALES | COST OF SALES Cost of sales in 2021, 2020 and 2019 amounted to €2,080,613 thousand, €1,686,324 thousand and €1,805,310 thousand, respectively, consisting mainly of the cost of materials, components and labor related to the manufacturing and distribution of cars and spare parts and, to a lesser extent, engines sold to Maserati and engines rented to other Formula 1 racing teams. The remaining costs mainly include depreciation, insurance and transportation costs, as well as warranty and product-related costs, which are estimated and recorded at the time of shipment. Interest and other financial expenses from financial services activities included within cost of sales in 2021, 2020 and 2019 amounted to €16,639 thousand, €36,628 thousand and €45,083 thousand, respectively. |
SELLING, GENERAL AND ADMINISTRA
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 12 Months Ended |
Dec. 31, 2021 | |
Analysis of income and expense [abstract] | |
SELLING, GENERAL AND ADMINISTRATIVE COSTS | SELLING, GENERAL AND ADMINISTRATIVE COSTS Selling costs in 2021, 2020 and 2019 amounted to €168,466 thousand, €171,900 thousand and €173,512 thousand, respectively, consisting mainly of costs for sales personnel, marketing and events, and retail stores. Costs for marketing and events primarily relate to trade shows and media and client events for the launch of new models, including the use of digital solutions, as well as sponsorship and indirect marketing costs incurred through the Formula 1 racing team, Scuderia Ferrari. General and administrative costs in 2021, 2020 and 2019 amounted to €179,558 thousand, €164,226 thousand and €169,667 thousand, respectively, consisting mainly of administrative and other general expenses, including for personnel, that are not directly attributable to manufacturing, sales or research and development activities. |
RESEARCH AND DEVELOPMENT COSTS
RESEARCH AND DEVELOPMENT COSTS | 12 Months Ended |
Dec. 31, 2021 | |
Analysis of income and expense [abstract] | |
RESEARCH AND DEVELOPMENT COSTS | RESEARCH AND DEVELOPMENT COSTS Research and development costs are as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Research and development costs expensed during the year 573,632 526,831 559,582 Amortization of capitalized development costs 194,472 180,554 139,629 Total research and development costs 768,104 707,385 699,211 Research and development costs expensed during the period primarily relate to Formula 1 activities and research and development activities to support the innovation of our product range and components, in particular, in relation to hybrid and electric technology. Amortization of capitalized development costs have increased in recent years as a result of our strategy to update and broaden our product range and significantly increase our efforts relating to hybrid and other advanced technologies. Research and development costs for the year ended December 31, 2020 and, to a lesser extent, for the year December 31, 2021 are recognized net of technology-related government incentives. |
OTHER EXPENSES_(INCOME), NET
OTHER EXPENSES/(INCOME), NET | 12 Months Ended |
Dec. 31, 2021 | |
Analysis of income and expense [abstract] | |
OTHER EXPENSES/(INCOME), NET | OTHER EXPENSES/(INCOME), NET Other expenses, net are as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Other expenses 13,666 25,067 14,288 Other income (8,105) (6,592) (9,297) Other expenses, net 5,561 18,475 4,991 Other expenses primarily include indirect taxes, provisions and other miscellaneous expenses. Other income primarily includes rental income, gains on the disposal of property plant and equipment and other miscellaneous income. Other expenses, net in 2021 and 2019 include releases of provisions relating to legal disputes following developments favorable to Ferrari. |
NET FINANCIAL EXPENSES
NET FINANCIAL EXPENSES | 12 Months Ended |
Dec. 31, 2021 | |
Net financial (expenses)/income [Abstract] | |
NET FINANCIAL EXPENSES | NET FINANCIAL EXPENSES The following table sets out details of financial income and expenses, including the amounts reported in the consolidated income statement within the net financial expenses line item, as well as interest income from financial services activities, recognized under net revenues, and interest expenses and other financial charges from financial services activities, recognized under cost of sales. For the years ended December 31, 2021 2020 2019 Financial income: (€ thousand) Interest income from bank deposits 399 610 1,690 Other interest income and financial income 4,741 517 4,116 Interest income and other financial income 5,140 1,127 5,806 Finance income from financial services activities 55,043 65,878 66,386 Total financial income 60,183 67,005 72,192 Total financial income relating to: Industrial activities (A) 5,140 1,127 5,806 Financial services activities (reported in net revenues) 55,043 65,878 66,386 Financial expenses: Capitalized borrowing costs 1,874 2,591 2,671 Other interest and financial expenses (3,315) (3,258) (2,427) Interest expenses and other financial expenses (1,441) (667) 244 Interest expenses from banks and other financial institutions (11,310) (14,330) (27,432) Interest and other finance costs on bonds and notes (22,947) (20,116) (20,703) Write-downs of financial receivables (1,467) (9,502) (4,739) Other financial expenses (5,991) (14,580) (13,949) Total financial expenses (43,156) (59,195) (66,579) Net expenses from derivative financial instruments and foreign currency exchange rate differences (11,880) (27,652) (26,392) Total financial expenses and net expenses from derivative financial instruments and foreign currency exchange rate differences (55,036) (86,847) (92,971) Total financial expenses and net expenses from derivative financial instruments and foreign currency exchange rate differences relating to: Industrial activities (B) (38,397) (50,219) (47,888) Financial services activities (reported in cost of sales) (16,639) (36,628) (45,083) Net financial expenses relating to industrial activities (A+B) (33,257) (49,092) (42,082) Interest and other finance costs on bonds and notes for the year ended December 31, 2019 includes costs of €8,142 thousand for the partial repurchase of bonds following a cash tender offer in July 2019 (in particular the repurchase price and premium incurred, as well as previously unamortized issuance costs). |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2021 | |
Income taxes [Abstract] | |
INCOME TAXES | INCOME TAXES Income tax expense is as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Current tax expense 218,540 120,115 137,303 Deferred tax (benefit)/expense (12,001) (62,474) 32,145 Taxes relating to prior periods 2,556 514 7,208 Total income tax expense 209,095 58,155 176,656 The Italian Group’s entities participate in a group Italian tax consolidation under Ferrari N.V. Income tax expense amounted to €209,095 thousand, €58,155 thousand and €176,656 thousand for the years ended December 31, 2021, 2020 and 2019, respectively. Income taxes for the years ended December 31, 2021, 2020 and 2019 benefited from the application of the Patent Box tax regime, which provides tax benefits for companies that generate income through the use, both direct and indirect, of intangible assets. Starting in 2020 the Group has applied the Patent Box tax regime for the period from 2020 to 2024, in line with the tax regulations applicable in Italy, and determined the income eligible for the Patent Box regime with recognition of the Patent Box tax benefit in three equal annual installments. The Law Decree (Decree) n. 146 enacted by the Italian authorities, effective from October 22, 2021 and as amended by the 2022 Italian budget law, introduces a series of urgent economic and tax measures and will replace the current Patent Box tax regime with a 110% “super tax deduction” for certain costs related to eligible intangible assets. The Decree provides for a specific transitional procedure between the two regimes. The Decree and related amendments should not have any impact on income taxes of the Group for the years ended December 31, 2021 and management will continue to follow updates in the legislation as they become known. In the fourth quarter of 2020, Ferrari benefited from the measures introduced in Italy by the art. 110 of the Law Decree n. 104/2020, converted in the Law n. 126/2020, enacting “Urgent measures to support and relaunch the economy”, which reopened the voluntary step up of tangible and intangible assets, with the application of a substitute tax at a rate of 3 percent. In particular, Ferrari S.p.A. benefited from the one-time partial step-up of its trademark for tax purposes, which resulted in the recognition in 2020 of deferred tax assets for €83,700 thousand and a substitute tax liability for €9,000 thousand, resulting in a net tax benefit of €74,700 thousand. There was no cash effect in 2020 from the step-up of the trademark. The deferred tax asset will be utilized over a 50-year period (following the introduction of the 2022 Italian budget law (Law 234/2021) which provides for an extension from 18 years to 50 years of the amortization period for tax purposes for any trademarks and goodwill that benefited from the step-up regime) and the substitute tax will be paid in three equal annual installments starting in 2021. The table below provides a reconciliation between actual income tax expense and the theoretical income tax expense, calculated on the basis of the applicable corporate tax rate in effect in Italy, which was 24.0 percent for each of the years ended December 31, 2021, 2020 and 2019. For the years ended December 31, 2021 2020 2019 (€ thousand) Theoretical income tax expense 250,136 160,088 210,088 Tax effect on: Permanent and other differences (79,267) (129,016) (76,187) Italian Regional Income Tax (IRAP) 32,422 22,662 27,997 Effect of changes in tax rates and tax regulations 633 800 733 Differences between foreign tax rates and the theoretical Italian tax rate and tax holidays 2,077 1,734 3,457 Taxes relating to prior years 2,556 514 7,208 Withholding tax on earnings 539 1,373 3,360 Income tax expense 209,095 58,155 176,656 Effective tax rate 20.1 % 8.7 % 20.2 % The increase in the effective tax rate from 8.7 percent in 2020 to 20.1 percent in 2021 was primarily attributable to the tax benefits from the measures introduced in Italy by the art. 110 of the Law Decree No. 104/2020, converted in the Law n. 126/2020, enacting “ Urgent measures to support and relaunch the economy”, which allowed Ferrari a one-time partial step-up of its trademark for tax purposes resulting in a net tax benefit of €74,700 thousand in 2020 (as further described above) and to a lesser extent, the effects of deductions for eligible research and development costs. The net benefit from the step up is included within “permanent and other differences” for 2020 in the tax rate reconciliation above. The Patent Box benefit relating to 2021, 2020 and 2019 is included within “permanent and other differences” in the tax rate reconciliation above. The Italian Regional Income Tax (“IRAP”) is only applicable to Italian entities and is calculated on a measure of income defined by the Italian Civil Code as the difference between operating revenues and costs, before financial income and expense, and in particular before the cost of fixed-term employees, credit losses and any interest included in lease payments. IRAP is calculated using financial information prepared under Italian accounting standards. IRAP is applied on the tax base at 3.9 percent for each of the years ended December 31, 2021, 2020 and 2019. The analysis of deferred tax assets and deferred tax liabilities at December 31, 2021 and 2020, is as follows: At December 31, 2021 2020 (€ thousand) Deferred tax assets: To be recovered after 12 months 94,808 95,209 To be recovered within 12 months 73,949 57,012 168,757 152,221 Deferred tax liabilities: To be realized after 12 months (78,496) (96,179) To be realized within 12 months (17,477) (17,295) (95,973) (113,474) Net deferred tax assets/(liabilities) 72,784 38,747 The movements in deferred income tax assets and liabilities during the year, without taking into consideration the offsetting of balances within the same tax jurisdiction, are as follows: At December 31, 2020 Recognized in consolidated income statement Charged to equity Translation differences and other changes At December 31, 2021 (€ thousand) Deferred tax assets arising on: Provisions 90,663 12,712 — 606 103,981 Deferred income 52,241 (606) — — 51,635 Employee benefits 2,931 — 110 — 3,041 Foreign currency exchange rate differences 516 95 — (1) 610 Cash flow hedge reserve — — 8,455 — 8,455 Inventory obsolescence 61,726 7,131 — 250 69,107 Allowances for doubtful accounts 5,643 (474) — 9 5,178 Depreciation 17,551 7 — (3) 17,555 Trademark step-up 83,700 837 — — 84,537 Patent box 27,902 37,791 — — 65,693 Other 6,027 3,927 — 4,374 14,328 Total deferred tax assets 348,900 61,420 8,565 5,235 424,120 Deferred tax liabilities arising on: Depreciation (7,550) 1,217 — (448) (6,781) Capitalization of development costs (264,087) (47,349) — (2) (311,438) Employee benefits (844) (209) — — (1,053) Foreign currency exchange rate differences (559) 33 — — (526) Cash flow hedge reserve (9,505) — 9,505 — — Tax on undistributed earnings (15,861) (1,543) — — (17,404) Other (11,747) (1,568) — (819) (14,134) Total deferred tax liabilities (310,153) (49,419) 9,505 (1,269) (351,336) Total net deferred tax assets/(liabilities) 38,747 12,001 18,070 3,966 72,784 At December 31, 2019 Recognized in consolidated income statement Charged to equity Translation differences and other changes At December 31, 2020 (€ thousand) Deferred tax assets arising on: Provisions 100,298 (8,748) — (887) 90,663 Deferred income 53,843 (1,602) — — 52,241 Employee benefits 2,930 — 1 — 2,931 Foreign currency exchange rate differences 1,437 (920) — (1) 516 Cash flow hedge reserve 1,786 — (1,786) — — Inventory obsolescence 51,972 10,032 — (278) 61,726 Allowances for doubtful accounts 5,407 239 — (3) 5,643 Depreciation 17,564 (10) — (3) 17,551 Trademark step-up — 83,700 — — 83,700 Patent box — 27,902 — — 27,902 Other 17,695 (8,298) — (3,370) 6,027 Total deferred tax assets 252,932 102,295 (1,785) (4,542) 348,900 Deferred tax liabilities arising on: Depreciation (8,881) 764 — 567 (7,550) Capitalization of development costs (224,851) (39,238) — 2 (264,087) Employee benefits (750) (94) — — (844) Foreign currency exchange rate differences (399) (160) — — (559) Cash flow hedge reserve — — (9,505) — (9,505) Tax on undistributed earnings (13,983) (1,878) — — (15,861) Other (12,593) 785 — 61 (11,747) Total deferred tax liabilities (261,457) (39,821) (9,505) 630 (310,153) Total net deferred tax assets/(liabilities) (8,525) 62,474 (11,290) (3,912) 38,747 The decision to recognize deferred tax assets is made for each company in the Group by assessing whether the conditions exist for the future recoverability of such assets by taking into account the basis of the most recent forecasts from budgets and business plans. Deferred taxes on the undistributed earnings of subsidiaries have not been recognized, except in cases where it is probable the distribution will occur in the foreseeable future. At December 31, 2021, the aggregate amount of temporary differences related to remaining distributable earnings of the Group’s subsidiaries where deferred tax liabilities have not been recognized amounted to €186,806 thousand (€164,803 thousand at December 31, 2020). |
OTHER INFORMATION BY NATURE
OTHER INFORMATION BY NATURE | 12 Months Ended |
Dec. 31, 2021 | |
Other information by nature [Abstract] | |
OTHER INFORMATION BY NATURE | OTHER INFORMATION BY NATURE Personnel costs in 2021, 2020 and 2019 amounted to €483,747 thousand, €389,927 thousand and €385,182 thousand, respectively. These amounts include costs that were capitalized in connection with product development activities. In 2021, 2020 and 2019 the Group had an average number of employees of 4,571, 4,428 and 4,164, respectively. Depreciation amounted to €230,097 thousand, €217,952 thousand and €191,482 thousand for the years ended December 31, 2021, 2020 and 2019, respectively, and amortization amounted to €225,892 thousand, €208,685 thousand and €160,464 thousand for the years ended December 31, 2021, 2020 and 2019, respectively. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 12 Months Ended |
Dec. 31, 2021 | |
Earnings per share [abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE Basic earnings per share Basic earnings per share is calculated by dividing the profit attributable to equity holders of Ferrari by the weighted average number of common shares issued and outstanding during the period. The following table provides the amounts used in the calculation of basic earnings per share for the years ended December 31, 2021, 2020 and 2019: For the years ended December 31, 2021 2020 2019 Profit attributable to owners of the Company € thousand 830,767 607,817 695,818 Weighted average number of common shares for basic earnings per common share thousand 184,446 184,806 186,767 Basic earnings per common share € 4.50 3.29 3.73 Diluted earnings per share For the years ended December 31, 2021, 2020 and 2019, the weighted average number of shares for diluted earnings per share was increased to take into consideration the theoretical effect of the potential common shares that would be issued for the Group’s equity incentive plans (assuming 100 percent of the target awards vested). See Note 21 “Share-Based Compensation” for additional details related to the Group’s equity incentive plans. The following table provides the amounts used in the calculation of diluted earnings per share for the years ended December 31, 2021, 2020 and 2019: For the years ended December 31, 2021 2020 2019 Profit attributable to owners of the Company € thousand 830,767 607,817 695,818 Weighted average number of common shares for diluted earnings per common share thousand 184,722 185,379 187,535 Diluted earnings per common share € 4.50 3.28 3.71 |
GOODWILL
GOODWILL | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill [Abstract] | |
GOODWILL | GOODWILL At December 31, 2021 and 2020 goodwill amounted to €785,182 thousand. In accordance with IAS 36, goodwill is not amortized and is tested for impairment annually, or more frequently if facts or circumstances indicate that the asset may be impaired. Impairment testing is performed by comparing the carrying amount and the recoverable amount of the CGU. The recoverable amount of the CGU is the higher of its fair value less costs of disposal and its value in use. The assumptions used in this process represent management’s best estimate for the period under consideration. The estimate of the value in use of the CGU for purposes of performing the annual impairment test was based on the following assumptions: • The expected future cash flows covering the period from 2022 through 2025 have been derived from the Ferrari business plan. In particular the estimate considers expected EBITDA adjusted to reflect the expected capital expenditure. These cash flows relate to the CGU in its condition when preparing the financial statements and exclude the estimated cash flows that might arise from restructuring plans or other structural changes. Volumes and sales mix used for estimating the future cash flows are based on assumptions that are considered reasonable and sustainable and represent the best estimate of expected conditions regarding market trends for the CGU over the period considered. • The expected future cash flows include a normalized terminal period used to estimate the future results beyond the time period explicitly considered, which were calculated by using the specific medium/long-term growth rate for the sector equal to 2.0 percent in 2021 (2.0 percent in 2020 and 2019). • The expected future cash flows have been estimated in Euro, and discounted using a post-tax discount rate appropriate for that currency, determined by using a base WACC of 6.84 percent in 2021 (6.83 percent in 2020 and 6.80 percent in 2019). The WACC used reflects the current market assessment of the time value of money for the period being considered and the risks specific to the CGU under consideration. |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of detailed information about intangible assets [abstract] | |
INTANGIBLE ASSETS | INTANGIBLE ASSETS Externally Development Patents, Other Total (€ thousand) Gross carrying amount at 1,567,080 678,989 207,491 48,603 2,502,163 Additions 236,913 83,190 26,867 5,008 351,978 Reclassifications — — 3,337 (3,337) — Translation differences and other movements — (1,846) (98) 2 (1,942) Balance at December 31, 2020 1,803,993 760,333 237,597 50,276 2,852,199 Additions 261,457 101,682 17,151 4,537 384,827 Reclassifications — — 3,200 (3,200) — Translation differences and other movements — — (59) 7 (52) Balance at December 31, 2021 2,065,450 862,015 257,889 51,620 3,236,974 Accumulated amortization at January 1, 2020 1,034,368 410,930 176,301 42,626 1,664,225 Amortization 139,546 41,008 26,048 2,083 208,685 Translation differences and other movements — — (2) 1 (1) Balance at December 31, 2020 1,173,914 451,938 202,347 44,710 1,872,909 Amortization 146,664 47,808 29,495 1,925 225,892 Balance at December 31, 2021 1,320,578 499,746 231,842 46,635 2,098,801 Carrying amount at: January 1, 2020 532,712 268,059 31,190 5,977 837,938 December 31, 2020 630,079 308,395 35,250 5,566 979,290 December 31, 2021 744,872 362,269 26,047 4,985 1,138,173 |
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
PROPERTY, PLANT AND EQUIPMENT | PROPERTY, PLANT AND EQUIPMENT Land Industrial Plant, machinery and equipment Other Advances and assets under construction Total (€ thousand) Gross carrying amount at 23,609 408,658 2,361,520 192,528 201,396 3,187,711 Additions 5,805 22,210 114,839 24,445 214,706 382,005 Divestitures — (791) (11,423) (5,048) (127) (17,389) Reclassifications — 2,795 79,937 3,500 (86,232) — Translation differences and other movements (23) (2,417) (36) (1,881) — (4,357) Balance at December 31, 2020 29,391 430,455 2,544,837 213,544 329,743 3,547,970 Additions 16,936 17,852 122,893 20,930 186,846 365,457 Divestitures (13) (3,412) (46,067) (5,586) (135) (55,213) Reclassifications 3,722 40,046 144,684 2,573 (197,599) (6,574) Translation differences and other movements 20 1,736 376 1,633 45 3,810 Balance at December 31, 2021 50,056 486,677 2,766,723 233,094 318,900 3,855,450 Accumulated amortization at January 1, 2020 — 167,132 1,823,839 127,088 — 2,118,059 Depreciation — 17,778 180,868 19,306 — 217,952 Divestitures — (602) (10,654) (2,713) — (13,969) Translation differences and other movements — (138) 1,426 (1,990) — (702) Balance at December 31, 2020 — 184,170 1,995,479 141,691 — 2,321,340 Depreciation — 17,875 191,247 20,975 — 230,097 Divestitures — (608) (43,991) (4,892) — (49,491) Reclassifications — (284) (1,123) 284 — (1,123) Translation differences and other movements — 692 12 758 — 1,462 Balance at December 31, 2021 — 201,845 2,141,624 158,816 — 2,502,285 Carrying amount at: January 1, 2020 23,609 241,526 537,681 65,440 201,396 1,069,652 of which right-of use assets under IFRS 16 — 15,834 7,612 34,319 — 57,765 December 31, 2020 29,391 246,285 549,358 71,853 329,743 1,226,630 of which right-of use assets under IFRS 16 — 25,574 5,041 29,127 — 59,742 December 31, 2021 50,056 284,832 625,099 74,278 318,900 1,353,165 of which right-of use assets under IFRS 16 — 21,613 3,484 28,661 — 53,758 The following table summarizes the changes in the carrying amount of right-of-use assets for the year ended December 31, 2021 and 2020: Industrial buildings Plant, machinery and equipment Other assets Total (€ thousand) Balance at January 1, 2020 15,834 7,612 34,319 57,765 Additions 16,214 2,578 6,194 24,986 Disposals — (24) (2,303) (2,327) Depreciation (6,564) (5,159) (8,436) (20,159) Translation differences and other movements 90 34 (647) (523) Balance at January 1, 2021 25,574 5,041 29,127 59,742 Additions 3,987 1,409 7,745 13,141 Disposals (2,780) — (473) (3,253) Depreciation (5,753) (1,348) (8,247) (15,348) Translation differences and other movements 585 (1,618) 509 (524) Balance at December 31, 2021 21,613 3,484 28,661 53,758 Amounts recognized in the income statement in relation to leases for the year ended December 31, 2021 and 2020 were as follows: For the year ended December 31, 2021 2020 (€ thousand) Depreciation of right-of-use assets 15,348 20,159 Interest expense on lease liabilities 868 943 Variable lease payments not included in the measurement of lease liabilities 1,622 1,190 Expenses relating to short-term leases and leases of low-value assets 3,671 4,312 Total expenses recognized 21,509 26,604 For the year ended December 31, 2021 depreciation of right-of-use assets amounted to €15,348 thousand and interest expense on lease liabilities amounted to €868 thousand (€20,159 thousand and €943 thousand, respectively, for the year ended December 31, 2020 ). At December 31, 2021, the Group had contractual commitments for the purchase of property, plant and equipment amounting to €73,681 thousand (€101,361 thousand at December 31, 2020). |
INVESTMENTS AND OTHER FINANCIAL
INVESTMENTS AND OTHER FINANCIAL ASSETS | 12 Months Ended |
Dec. 31, 2021 | |
Investments and other financial assets [Abstract] | |
INVESTMENTS AND OTHER FINANCIAL ASSETS | INVESTMENTS AND OTHER FINANCIAL ASSETS The composition of investments and other financial assets is as follows: At December 31, 2021 2020 (€ thousand) Investments accounted for using the equity method 42,927 34,663 Other securities and financial assets 11,582 8,178 Total investments and other financial assets 54,509 42,841 Investments accounted for using the equity method Changes in the carrying amount of investments accounted for using the equity method during the period were as follows: (€ thousand) Balance at January 1, 2020 30,012 Proportionate share of net profit for the year ended December 31, 2020 4,647 Proportionate share of remeasurement of defined benefit plans 4 Balance at December 31, 2020 34,663 Additions 1,285 Proportionate share of net profit for the year ended December 31, 2021 6,896 Proportionate share of remeasurement of defined benefit plans 83 Balance at December 31, 2021 42,927 Investments accounted for using the equity method mainly relate to the Group’s investment in Ferrari Financial Services GmbH, a German entity that offers retail client financing in certain markets in EMEA (primarily the UK, Germany and Switzerland). Additions relate to FS China Limited, a new joint venture formed in China in 2021 to manage certain brand activities in the local market, which had not yet commenced operations as of December 31, 2021. Summarized financial information relating to FFS GmbH at and for the years ended December 31, 2021 and 2020 is presented below: At December 31, 2021 2020 (€ thousand) Assets Non-current assets 4,037 3,390 Receivables from financing activities 908,362 782,880 Other current assets 5,096 4,130 Cash and cash equivalents 14,046 5,406 Total assets 931,541 795,806 Equity and liabilities Equity 81,156 67,352 Debt 763,563 653,748 Other liabilities 86,822 74,706 Total equity and liabilities 931,541 795,806 For the year ended December 31, 2021 2020 2019 (€ thousand) Net revenues 46,103 37,764 34,680 Cost of sales 16,971 14,864 15,655 Selling, general and administrative costs 8,565 8,494 8,892 Other expenses/(income), net 2,730 1,213 (963) Profit before taxes 17,837 13,193 11,096 Income tax expense 4,045 3,898 3,010 Net profit 13,792 9,295 8,086 Other securities and financial assets Other securities and financial assets primarily include Series C Liberty Formula One shares (the “Liberty Media Shares”) of Liberty Media Corporation (the group responsible for the promotion of the Formula 1 World Championship), which are measured at fair value and amounted to €10,559 thousand at December 31, 2021 (€7,163 thousand at December 31, 2020 ). |
INVENTORIES
INVENTORIES | 12 Months Ended |
Dec. 31, 2021 | |
Inventories [Abstract] | |
INVENTORIES | INVENTORIES At December 31, 2021 2020 (€ thousand) Raw materials 99,382 96,900 Semi-finished goods 121,201 94,619 Finished goods 319,992 269,098 Total inventories 540,575 460,617 The increase in inventories is mainly due to higher car volumes. The amount of inventory write-downs recognized as an expense within cost of sales during 2021 was €9,392 thousand (€21,155 thousand in 2020 and €14,512 thousand in 2019 ). Changes in the provision for slow moving and obsolete inventories were as follows: 2021 2020 (€ thousand) At January 1, 96,707 83,673 Provision 9,392 21,155 Use and other changes (4,001) (8,121) At December 31, 102,098 96,707 |
CURRENT RECEIVABLES AND OTHER C
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS | 12 Months Ended |
Dec. 31, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS | CURRENT RECEIVABLES AND OTHER CURRENT ASSETS At December 31, 2021 2020 (€ thousand) Trade receivables 185,000 184,260 Receivables from financing activities 1,143,968 939,607 Current tax receivables 14,306 12,438 Other current assets 122,224 76,471 Total 1,465,498 1,212,776 Trade receivables The following table sets forth a breakdown of trade receivables by nature: At December 31, 2021 2020 (€ thousand) Trade receivables due from: Dealers 58,446 62,301 Stellantis Group (*) companies 23,737 37,906 Sponsorship and commercial activities 29,666 31,917 Brand activities 23,902 21,886 Other 49,249 30,250 Total 185,000 184,260 ______________________________ (*) Previously referred to as Fiat Chrysler Automobiles N.V. or FCA prior to the merger between FCA and Peugeot S.A. completed on January 16, 2021, which resulted in the creation of Stellantis N.V. Trade receivables due from dealers relate to receivables for the sale of cars across the dealer network and are generally settled within 30 to 40 days from the date of invoice. Trade receivables due from Stellantis Group companies mainly relate to the sale of engines and car bodies to Maserati S.p.A. and Officine Maserati Grugliasco S.p.A. (together “Maserati”) which are controlled by the Stellantis Group. For additional information, see Note 28, “ Related Party Transactions ”. Trade receivables due from sponsorship and commercial activities mainly relate to the Group’s participation in the Formula 1 World Championship. Trade receivables due from brand activities relate to amounts receivable for licensing and merchandising activities. The Group is not exposed to significant concentration of third party credit risk. The following table sets forth a breakdown of trade receivables by currency: At December 31, 2021 2020 (€ thousand) Trade receivables denominated in: Euro 78,286 111,191 U.S. Dollar 84,590 51,295 Pound Sterling 3,908 6,560 Chinese Yuan 2,478 1,398 Japanese Yen 11,348 8,921 Other currencies 4,390 4,895 Total 185,000 184,260 Trade receivables are shown net of an allowance for doubtful accounts determined on the basis of insolvency risk and historical experience, adjusted for forward-looking factors specific to the receivables and the economic environment. Additional provisions to the allowance for doubtful accounts are recorded within selling, general and administrative costs in the consolidated income statement. Changes in the allowance for doubtful accounts of trade receivables during the year were as follows: 2021 2020 (€ thousand) At January 1, 28,312 27,171 Additional provisions 2,094 5,743 Utilizations (1,835) (2,860) Releases (2,741) (1,595) Other changes 154 (147) At December 31, 25,984 28,312 Receivables from financing activities Receivables from financing activities are as follows: At December 31, 2021 2020 (€ thousand) Client financing 1,132,979 925,878 Dealer financing 10,989 13,729 Total receivables from financing activities 1,143,968 939,607 Receivables from financing activities relate to the financial services portfolio in the United States and are generally secured on the title of cars or other guarantees. Receivables from financing activities are shown net of an allowance for doubtful accounts determined on the basis of insolvency risks, adjusted for forward-looking factors specific to the receivables and the economic environment. Additional provisions to the allowance for doubtful accounts are recorded within cost of sales in the consolidated income statement. Changes in the allowance for doubtful accounts of receivables from financing activities during the year are as follows: 2021 2020 (€ thousand) At January 1, 13,195 7,480 Additional provisions 2,737 9,502 Utilizations (4,507) (3,078) Releases (1,270) — Other changes 1,049 (709) At December 31, 11,204 13,195 Client financing Client financing relates to financing provided by the Group to Ferrari clients to finance their car acquisitions. During 2021 the average contractual duration at inception of such contracts was approximately 66 months (67 months in 2020) and the weighted average interest rate was approximately 5.2 percent (approximately 5.5 percent in 2020). Receivables for client financing are generally secured on the titles of the related cars or other personal guarantees. Client financing relates entirely to financial services activities in the United States and is denominated in U.S. Dollars. Dealer financing In 2021 the Group discontinued dealer financing secured by the titles of the cars sold through the dealer network. The Group still carries one existing longer term loan bearing a rate based on LIBOR plus a variable spread based on dealer's performance. Other current assets Other current assets are detailed as follows: At December 31, 2021 2020 (€ thousand) Italian and foreign VAT credits 61,278 31,620 Prepayments 36,084 38,826 Other 24,862 6,025 Total other current assets 122,224 76,471 Other includes security deposits, amounts due from personnel and other receivables. At December 31, 2021, the Group had provided guarantees through third parties amounting to €226,878 thousand (€169,186 thousand at December 31, 2020), principally to (i) banks for a U.S. Dollar denominated credit facility of FFS Inc., (ii) tax authorities for VAT reimbursements according to Italian legislation and (iii) customs authorities for duties on import and export activities. The analysis of receivables and other current assets by due date (excluding prepayments) is as follows: At December 31, 2021 Due within one year Due between one and five years Due beyond five years Overdue Total (€ thousand) Trade receivables 137,694 70 — 47,237 185,000 Receivables from financing activities 197,207 820,363 73,665 52,733 1,143,968 Client financing 196,018 810,563 73,665 52,733 1,132,979 Dealer financing 1,189 9,800 — — 10,989 Current tax receivables 14,306 — — — 14,306 Other current assets 84,417 998 155 570 86,140 Total 433,624 821,431 73,820 100,540 1,429,414 At December 31, 2020 Due within one year Due between one and five years Due beyond five years Overdue Total (€ thousand) Trade receivables 137,564 69 — 46,627 184,260 Receivables from financing activities 159,778 657,073 57,202 65,554 939,607 Client financing 156,154 646,968 57,202 65,554 925,878 Dealer financing 3,624 10,105 — — 13,729 Current tax receivables 10,314 2,124 — — 12,438 Other current assets 36,971 247 180 247 37,645 Total 344,627 659,513 57,382 112,428 1,173,950 Overdue amounts represent receivables and other current assets where payments are past their due date. |
CURRENT FINANCIAL ASSETS AND OT
CURRENT FINANCIAL ASSETS AND OTHER FINANCIAL LIABILITIES | 12 Months Ended |
Dec. 31, 2021 | |
Financial Instruments [Abstract] | |
CURRENT FINANCIAL ASSETS AND OTHER FINANCIAL LIABILITIES | CURRENT FINANCIAL ASSETS AND OTHER FINANCIAL LIABILITIES At December 31, 2021 2020 (€ thousand) Financial derivatives 11,565 38,636 Other financial assets 1,935 1,448 Current financial assets 13,500 40,084 Current financial assets and other financial liabilities mainly relate to foreign exchange derivatives. The following table sets forth a breakdown of derivative assets and liabilities at December 31, 2021 and 2020 . At December 31, 2021 2020 Positive fair Negative fair Positive fair Negative fair (€ thousand) Cash flow hedges: Foreign currency derivatives 4,437 (34,973) 37,214 (2,060) Commodities 182 (1,162) 271 — Interest rate caps 6,053 — 497 — Total cash flow hedges 10,672 (36,135) 37,982 (2,060) Other foreign currency derivatives 893 (385) 654 (80) Total 11,565 (36,520) 38,636 (2,140) Foreign currency derivatives that do not meet the requirements to be recognized as cash flow hedges are presented as other foreign currency derivatives. Interest rate caps relate to derivative instruments required as part of certain securitization agreements. The following tables provide an analysis of outstanding derivative financial instruments by foreign currency based on their fair value and notional amounts: At December 31, 2021 At December 31, 2020 Fair Value Notional Amount Fair Value Notional Amount (€ thousand) Currencies: U.S. Dollar (17,588) 1,773,022 31,474 1,363,667 Pound Sterling (2,343) 154,353 450 118,795 Japanese Yen 116 282,482 3,533 197,170 Swiss Franc (2,754) 76,953 535 76,282 Chinese Yuan (1,125) 91,248 490 37,644 Other (1) (1,261) 108,822 14 105,159 Total amount (24,955) 2,486,880 36,496 1,898,717 ______________________________ (1) Other mainly includes the Australian Dollar, the Hong Kong Dollar and the Canadian Dollar. At December 31, 2021 and 2020, substantially all derivative financial instruments had a maturity of twelve months or less. Cash flow hedges The effects recognized in the consolidated income statement mainly relate to currency risk management and in particular the exposure to fluctuations in the Euro/U.S. Dollar exchange rate for sales in U.S. Dollars. The policy of the Group for managing foreign currency risk normally requires hedging of a portion of projected future cash flows from trading activities and orders acquired (or contracts in progress) in foreign currencies that will occur within the following 12 months. Derivatives relating to foreign currency risk management are treated as cash flow hedges where the derivative qualifies for hedge accounting. The amounts recorded in the cash flow hedge reserve within other comprehensive income will be recognized in the consolidated income statement according to the timing of the flows of the underlying transactions. Management believes that substantially all of the hedging effects arising from these derivative contracts and recorded in the cash flow hedge reserve will be recognized in the consolidated income statement within the following 12 months from the reporting date. The Group reclassified gains and losses, net of the related tax effects, from other comprehensive income/(loss) to the consolidated income statement as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Net revenues/(costs) 7,275 19,557 (22,055) Income tax (expense)/benefit (2,030) (5,456) 6,153 Total recognized in the consolidated income statement 5,245 14,101 (15,902) |
EQUITY
EQUITY | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of Share Capital Reserves and Other Equity Interests [Abstract] | |
EQUITY | EQUITY Share capital At December 31, 2021 and 2020 the fully paid up share capital of the Company was €2,573 thousand, consisting of 193,923,499 common shares and 63,349,112 special voting shares, all with a nominal value of €0.01. At December 31, 2021 , the Company had 10,080,103 common shares and 4,190 special voting shares held in treasury, while at December 31, 2020, the Company had 9,175,609 common shares and 2,190 special voting shares. Shares in treasury include shares repurchased under the Group’s share repurchase program, which are recorded based on the transaction trade date. The increase in common shares held in treasury primarily reflects the repurchase of shares by the Company through its share repurchase program, partially offset by shares assigned under the Group’s equity incentive plans. The Company restarted its multi-year share repurchase program on March 12, 2021 following its temporary suspension from March 30, 2020 as part of actions implemented by management to prudently manage liquidity as a result of the COVID-19 pandemic. At December 31, 2021 and 2020 the Company held in treasury 3.92 percent and 3.57 percent of the total issued share capital of the Company, respectively. (1) ______________________________________ (1) The percentage of shares held in treasury compared to total issued share capital remains substantially the same if calculated considering only common shares held in treasury or if calculated considering common shares and special voting shares held in treasury. The following table summarizes the changes in the number of outstanding common shares and outstanding special voting shares of the Company for the years ended December 31, 2021 and 2020: Common Shares Special Voting Shares Total Outstanding shares at December 31, 2019 185,283,323 63,346,921 248,630,244 Common shares repurchased under share repurchase program (1) (819,483) — (819,483) Common shares assigned under equity incentive plans (2) 284,050 — 284,050 Other changes — 1 1 Outstanding shares at December 31, 2020 184,747,890 63,346,922 248,094,812 Common shares repurchased under share repurchase program (3) (1,167,592) — (1,167,592) Common shares assigned under equity incentive plans (4) 263,098 — 263,098 Other changes (5) — (2,000) (2,000) Outstanding shares at December 31, 2021 183,843,396 63,344,922 247,188,318 _______________________________________ (1) Includes shares repurchased between January 1, 2020 and December 31, 2020 based on the transaction trade date, for a total consideration of €119,771 thousand including transaction costs. (2) On March 16, 2020, 366,199 common shares, which were previously held in treasury, were assigned to participants of the equity incentive plans as a result of the vesting of certain performance share unit and retention restricted share unit awards. On March 17, 2020, the Company purchased 82,149 common shares, for a total consideration of €10,022 thousand, from a group of those employees who were assigned shares in order to cover the individual’s taxable income as is standard practice (Sell to Cover) in an over-the-counter transaction. See Note 21 “Share-Based Compensation” for additional details relating to the Group’s equity incentive plans. (3) Includes shares repurchased under the share repurchase program between January 1, 2021 and December 31, 2021 based on the transaction trade date, for a total consideration of €231,024 thousand, including transaction costs. (4) On March 16, 2021, 356,571 common shares, which were previously held in treasury, were assigned to participants of the equity incentive plans as a result of the vesting of certain performance share unit and retention restricted share unit awards. On March 17, 2021, the Company purchased 93,473 common shares, for a total consideration of €15,432 thousand, from a group of those employees who were assigned shares in order to cover the individual’s taxable income as is standard practice (Sell to Cover) in an over-the-counter transaction. See Note 21 “Share-Based Compensation” for additional details relating to the Group’s equity incentive plans. (5) Relates to the deregistration of certain special voting shares under the Company’s special voting shares term and conditions. The loyalty voting structure The purpose of the loyalty voting structure is to reward ownership of the Company’s common shares and to promote stability of the Company’s shareholder base by granting long-term shareholders of the Company with special voting shares. Following the separation of Ferrari from the Stellantis Group (previously referred to as Fiat Chrysler Automobiles N.V. or FCA prior to the merger between FCA and Peugeot S.A. completed on January 16, 2021, which resulted in the creation of Stellantis N.V.) in 2016, Exor N.V. (“Exor”) and Piero Ferrari participate in the Company’s loyalty voting program and, therefore, effectively hold two votes for each of the common shares they hold. Investors who purchase common shares may elect to participate in the loyalty voting program by registering their common shares in the loyalty share register and holding them for three years. The loyalty voting program will be affected by means of the issue of special voting shares to eligible holders of common shares. Each special voting share entitles the holder to exercise one vote at the Company’s shareholder meetings. Only a minimal dividend accrues to the special voting shares allocated to a separate special dividend reserve, and the special voting shares do not carry any entitlement to any other reserve of the Group. The special voting shares have only immaterial economic entitlements and, as a result, do not impact the Company’s earnings per share calculation. Retained earnings and other reserves Retained earnings and other reserves includes: • a share premium reserve of €5,768,544 thousand at December 31, 2021 (€5,768,544 thousand at December 31, 2020). • a legal reserve of €93 thousand at December 31, 2021 and €19 thousand at December 31, 2020, determined in accordance with Dutch law. • a treasury reserve of €847,525 thousand at December 31, 2021 and €616,629 thousand at December 31, 2020. • a share-based compensation reserve of €28,379 thousand at December 31, 2021 and €43,482 thousand at December 31, 2020. Following approval of the annual accounts by the shareholders at the Annual General Meeting of the Shareholders on April 15, 2021, a dividend distribution of €0.867 per common share was approved, corresponding to a total distribution of €160,272 thousand (of which €160,101 thousand was paid in 2021 ). The distribution was made from the retained earnings reserve. Following approval of the annual accounts by the shareholders at the Annual General Meeting of the Shareholders on April 16, 2020, a dividend distribution of €1.13 per common share was approved, corresponding to a total distribution of €208,765 thousand (of which €208,100 thousand was paid in 2020). The distribution was made from the retained earnings reserve. Following approval of the annual accounts by the shareholders at the Annual General Meeting of the Shareholders on April 12, 2019, a dividend distribution of €1.03 per common share was approved, corresponding to a total distribution of €193,328 thousand (of which €192,664 thousand was paid in 2019). The distribution was made from the retained earnings reserve. Other comprehensive income/(loss) The following table presents other comprehensive income/(loss): For the years ended December 31, 2021 2020 2019 (€ thousand) Items that will not be reclassified to the consolidated income statement in subsequent periods: Gains/(Losses) on remeasurement of defined benefit plans (1) (463) 34 (2,078) Total items that will not be reclassified to the consolidated income statement in subsequent periods (463) 34 (2,078) Items that may be reclassified to the consolidated income statement in subsequent periods: Gains/(Losses) on cash flow hedging instruments arising during the period (56,855) 59,666 (24,327) (Gains)/Losses on cash flow hedging instruments reclassified to the consolidated income statement (7,275) (19,557) 22,055 Gains/(Losses) on cash flow hedging instruments (64,130) 40,109 (2,272) Exchange differences on translating foreign operations 14,229 (11,731) 2,652 Total items that may be reclassified to the consolidated income statement in subsequent periods (49,901) 28,378 380 Total other comprehensive income/(loss) (50,364) 28,412 (1,698) Related tax impact 18,070 (11,290) 1,066 Total other comprehensive income/(loss), net of tax (32,294) 17,122 (632) __________________________ (1) Includes a gain of €83 thousand, a gain of €4 thousand, and a loss of €3 thousand for the years ended December 31, 2021, 2020 and 2019, respectively, related to the Group’s proportionate share of the remeasurement of defined benefit plans of FFS GmbH, for which the Group holds a 49.9 percent interest. Gains and losses on the remeasurement of defined benefit plans include actuarial gains and losses arising during the period and are offset against the related net defined benefit liabilities. The tax effects relating to other comprehensive income/(loss) are summarized in the following table: For the years ended December 31, 2021 2020 2019 Pre-tax balance Related tax impact Net balance Pre-tax balance Related tax impact Net balance Pre-tax balance Related tax impact Net balance (€ thousand) Gains/(Losses) on remeasurement of defined benefit plans (463) 110 (353) 34 1 35 (2,078) 456 (1,622) Gains/(Losses) on cash flow hedging instruments (64,130) 17,960 (46,170) 40,109 (11,291) 28,818 (2,272) 610 (1,662) Exchange (losses)/gains on translating foreign operations 14,229 — 14,229 (11,731) — (11,731) 2,652 — 2,652 Total other comprehensive (loss)/income (50,364) 18,070 (32,294) 28,412 (11,290) 17,122 (1,698) 1,066 (632) Transactions with non-controlling interests With the exception of dividends paid to non-controlling interests, there were no transactions with non-controlling interests for the years ended December 31, 2021, 2020 or 2019. Policies and processes for managing capital The Group’s objectives when managing capital are to create value for shareholders as a whole, safeguard business continuity and support the sustainable growth of the Group. As a result, the Group endeavors to maintain a satisfactory economic return for its shareholders and guarantee economic access to external sources of funds. |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of Share-based Compensation [Abstract] | |
SHARE-BASED COMPENSATION | SHARE-BASED COMPENSATION The Group has several equity incentive plans under which a combination of performance share units (“PSUs”) and retention restricted share units (“RSUs”), which each represent the right to receive one Ferrari common share, have been awarded to the Executive Chairman, the Chief Executive Officer (“CEO”), members of the Ferrari Leadership Team (hereinafter also the “FLT”, formerly Senior Management Team, and so renamed as a result of the organizational changes executed in January 2022) and other key employees of the Group. Equity Incentive Plan 2016-2020 In the first quarter of 2021, 212,243 PSU awards vested (representing 100 percent of the target PSU awards) as a result of Ferrari’s third place ranking in Total Shareholder Return (“TSR”) within the defined Peer Group for the performance period from 2016 to 2020, and 31,120 RSU awards vested upon achievement of the related service conditions. As a result, 243,363 common shares, which were previously held in treasury, were assigned to participants of the plan in the first quarter of 2021. There are no further awards outstanding for the Equity Incentive Plan 2016-2020. Equity Incentive Plan 2019-2021 Under the Equity Incentive Plan 2019-2021 the Company awarded approximately 174 thousand 2019-2021 PSUs and approximately 111 thousand 2019-2021 RSUs to the Executive Chairman, the former CEO, members of the FLT and other key employees of the Group. The PSUs and RSUs cover the three-year performance and service periods from 2019 to 2021. 2019-2021 PSU awards The vesting of the awards is based on the achievement of defined key performance indicators as follows: i) TSR Target - 50 percent vest based on the achievement of the TSR ranking of Ferrari compared to an industry specific Peer Group of eight; ii) EBITDA Target - 30 percent vest based on the achievement of an EBITDA target determined by comparing Adjusted EBITDA to the Adjusted EBITDA targets derived from the business plan; iii) Innovation Target - 20 percent vest based on the achievement of defined objectives for technological innovation and the development of the new model pipeline over the performance period. Each target is settled independently of the others targets. The total number of shares assigned upon vesting of the PSU awards depends on the level of achievement of the targets. Ferrari ranked third in the TSR ranking within the defined Peer Group for the TSR Target and met the EBITDA Target and the Innovation Target for the performance period covering 2019, resulting in the vesting of 100 percent of the target awards. As a result 17,572 awards vested and an equal number of common shares, which were previously held in treasury, were assigned to participants of the plan in the first quarter of 2020. For the performance period covering 2019 to 2020, Ferrari ranked third in the TSR ranking within the defined Peer Group for the TSR Target and achieved the EBITDA Target and the Innovation Target, resulting in the vesting of 100 percent of the target awards. As a result 80,510 awards vested in the first quarter of 2021 and an equal number of common shares, which were previously held in treasury, were assigned to participants of the plan in the first quarter of 2021. For the performance period covering 2019 to 2021, Ferrari ranked third in the TSR ranking within the defined Peer Group for the TSR Target and achieved the EBITDA Target and the Innovation Target, resulting in the vesting of 100 percent of the target awards. As a result 86,331 awards vested in the first quarter of 2022 and an equal number of common shares held in treasury will be assigned to participants of the plan in the first quarter of 2022. 2019-2021 RSU awards The remaining awards vest in 2022, subject to the recipient’s continued employment with the Company at the time of vesting. During 2020, 18,892 awards vested and an equal number of common shares, which were previously held in treasury, were assigned under the plan. For the service period covering 2019 to 2020, 32,694 awards vested in the first quarter of 2021 and an equal number of common shares, which were previously held in treasury, were assigned to participants of the plan in the first quarter of 2021. For the service period covering 2019 to 2021, 75,857 awards vested in the first quarter of 2022 and an equal number of common shares held in treasury will be assigned to participants of the plan in the first quarter of 2022. Incentive Plan 2020-2022 Under the Equity Incentive Plan 2020-2022 the Company awarded approximately 60 thousand 2020-2022 PSUs and approximately 48 thousand 2020-2022 RSUs to the Executive Chairman, members of the FLT and other key employees of the Group. The PSUs and RSUs cover the three-year performance and service periods from 2020 to 2022. 2020-2022 PSU awards The vesting of the awards is based on the achievement of defined key performance indicators as follows: i) TSR Target - 50 percent vest based on the achievement of the TSR ranking of Ferrari compared to an industry specific Peer Group of eight; ii) EBITDA Target - 30 percent vest based on the achievement of an EBITDA target determined by comparing Adjusted EBITDA to the Adjusted EBITDA targets derived from the business plan; iii) Innovation Target - 20 percent vest based on the achievement of defined objectives for technological innovation and the development of the new model pipeline over the performance period. Each target is settled independently of the other targets. The awards vest in 2023 and the total number of shares assigned upon vesting depends on the level of achievement of the targets. 2020-2022 RSU awards The awards vest in 2023, subject to the recipient’s continued employment with the Company at the time of vesting. Equity Incentive Plan 2021-2023 Under the Equity Incentive Plan 2021-2023 approved in 2021, the Company awarded approximately 50 thousand 2021-2023 PSUs and approximately 41 thousand 2021-2023 RSUs to the Executive Chairman, members of the FLT and other key employees of the Group. The PSUs and RSUs cover the three-year performance and service periods from 2021 to 2023. 2021-2023 PSU awards The vesting of the awards is based on the achievement of defined key performance indicators as follows: (i) TSR Target - 50 percent vest based on the achievement of the TSR ranking of Ferrari compared to an industry specific Peer Group of eight; (ii) ii) EBITDA Target - 30 percent vest based on the achievement of an EBITDA target determined by comparing Adjusted EBITDA to the Adjusted EBITDA targets derived from the Group’s business plan; (iii) Innovation Target - 20 percent vest based on the achievement of defined objectives for technological innovation and the development of the new model pipeline over the performance period. Each target is settled independently of the other targets. The awards vest in 2024 and the total number of shares assigned upon vesting depends on the level of achievement of the targets. 2021-2023 RSU awards The awards vest in 2024, subject to the recipient’s continued employment with the Company at the time of vesting. Supplemental information relating to the Equity Incentive Plan 2021-2023 is summarized below. TSR Target The number of PSUs with a TSR Target that vest under the Equity Incentive Plan 2021-2023 is based on the Company’s TSR performance over the relevant performance period compared to an industry-specific Peer Group as summarized below. Ferrari TSR Ranking % of Target Awards that Vest 1 150% 2 120% 3 100% 4 75% 5 50% >5 0% The defined Peer Group (including the Company) for the TSR Target is presented below. Ferrari Aston Martin Burberry Hermes Kering LVMH Moncler Richemont EBITDA Target The number of PSUs with an EBITDA Target that vest under the Equity Incentive Plan 2021-2023 is determined by comparing Adjusted EBITDA to the Adjusted EBITDA targets derived from the Group’s business plan, as summarized below. Actual Adjusted EBITDA Compared to Business Plan % of Awards that Vest +10% 140% +5% 120% Business Plan Target 100% -5% 80% <-5% 0% Fair values and key assumptions The fair value of the PSU awards used for accounting purposes was measured at the grant date using a Monte Carlo Simulation model. The fair value of the RSU awards was measured using the share price at the grant date adjusted for the present value of future distributions which employees will not receive during the vesting period. The fair value of the PSUs and RSUs that were awarded under the equity incentive plans, which is determined based on actuarial calculations that apply certain assumptions and take into consideration the specific characteristics of the awards granted, is summarized in the following table. Equity Incentive Plan 2019-2021 2020-2022 2021-2023 PSUs €110.57 - €111.64 €136.06 €130.42 RSUs €119.54 - €120.56 €139.39 €171.86 The key assumptions utilized to calculate the grant-date fair values of the PSUs that were awarded under the equity incentive plans are summarized below: Equity Incentive Plan 2019-2021 2020-2022 2021-2023 Grant date share price €122.60 €142.95 €175.80 Expected volatility 26.5% 26.6% 27.0% Dividend yield 0.83% 0.80% 0.75% Risk-free rate 0% 0% 0% The expected volatility was based on the observed volatility of the defined Peer Group. The risk-free rate was based on the iBoxx sovereign Eurozone yield. Outstanding share awards Changes to the outstanding number of PSU and RSU awards under all equity incentive plans of the Group are as follows: (number of awards) Outstanding PSU Awards Outstanding RSU Awards Balance at January 1, 2019 686,526 118,264 Granted (1) 175,307 110,968 Forfeited (32,832) (18,000) Vested (230,282) (40,087) Balance at December 31, 2019 598,719 171,145 Granted (2) 48,173 39,780 Forfeited (1,461) (1,460) Vested (230,592) (50,402) Balance at December 31, 2020 414,839 159,063 Granted (3) 49,861 41,460 Forfeited (19,775) (13,048) Vested (292,753) (63,814) Balance at December 31, 2021 152,172 123,661 _______________________________________ (1) Granted under the Equity Incentive Plan 2019-2021 (2) Granted under the Equity Incentive Plan 2020-2022 (3) Grander under the Equity Incentive Plan 2021-2023 Share-based compensation expense For the years ended December 31, 2021, 2020 and 2019 , the Group recognized €11,689 thousand, €17,401 thousand and €17,480 thousand, respectively, as share-based compensation expense and an increase to other reserves in equity in relation to the PSU awards and RSU awards of the Group’s equity incentive plans. At December 31, 2021 , unrecognized compensation expense relating to the Group’s equity incentive plans amounted to €11,082 thousand and is expected to be recognized over the remaining vesting periods through 2023. |
EMPLOYEE BENEFITS
EMPLOYEE BENEFITS | 12 Months Ended |
Dec. 31, 2021 | |
Employee benefits [Abstract] | |
EMPLOYEE BENEFITS | EMPLOYEE BENEFITS The Group’s provisions for employee benefits are as follows: At December 31, 2021 2020 (€ thousand) Present value of defined benefit obligations: Italian employee severance indemnity (TFR) 18,430 19,825 Pension plans — 105 Total present value of defined benefit obligations 18,430 19,930 Other provisions for employees 82,770 40,055 Total provisions for employee benefits 101,200 59,985 Defined contribution plans The Group recognizes the cost for defined contribution plans over the period in which the employee renders service and classifies this by function in cost of sales, selling, general and administrative costs and research and development costs. The total income statement expense for defined contributions plans in the years ended December 31, 2021, 2020 and 2019 was €15,729 thousand, €15,727 thousand and €13,650 thousand, respectively. Defined benefit obligations Italian employee severance indemnity (TFR) Trattamento di fine rapporto or “TFR” relates to the amounts that employees in Italy are entitled to receive when they leave the company and is calculated based on the period of employment and the taxable earnings of each employee. Under certain conditions the entitlement may be partially advanced to an employee during the employee’s working life. The Italian legislation regarding this scheme was amended by Law 296 of 27 December 2006 and subsequent decrees and regulations issued in the first part of 2007. Under these amendments, companies with at least 50 employees are obliged to transfer the TFR to the “Treasury fund” managed by the Italian state-owned social security body (“INPS”) or to supplementary pension funds. Prior to the amendments, accruing TFR for employees of all Italian companies could be managed by the company itself. Consequently, the Italian companies’ obligation to INPS and the contributions to supplementary pension funds take the form, under IAS 19 revised, of “Defined contribution plans” whereas the amounts recorded in the provision for employee severance pay retain the nature of “Defined benefit plans”. Accordingly, the provision for employee severance indemnity in Italy consists of the residual obligation for TFR until December 31, 2006. This is an unfunded defined benefit plan as the benefits have already been almost entirely earned, with the sole exception of future revaluations. Since 2007 the scheme has been classified as a defined contribution plan, and the Group recognizes the associated cost, being the required contributions to the pension funds, over the period in which the employee renders service. Pension plans Certain Group companies previously sponsored non-contributory defined benefit pension plans, for which the Group met the benefit payment obligations when they became due. Benefits provided under the plans varied based on the employee’s length of service and their salary in the final years leading up to retirement, among other variables. At December 31, 2021 the Group no longer sponsored any defined benefit pension plans. The following table summarizes the changes in the defined benefit obligations: TFR liability Pension plans Total (€ thousand) Amounts at December 31, 2019 21,795 134 21,929 Recognized in the consolidated income statement 25 — 25 Recognized in other comprehensive loss/(income) (*) 2 (32) (30) Other (1,997) 3 (1,994) Benefits paid (1,842) — (1,842) Other changes (155) 3 (152) Amounts at December 31, 2020 19,825 105 19,930 Recognized in the consolidated income statement 6 — 6 Recognized in other comprehensive income/(loss) (*) 463 — 463 Other (1,864) (105) (1,969) Benefits paid (2,127) (105) (2,232) Other changes 263 — 263 Amounts at December 31, 2021 18,430 — 18,430 ______________________________ (*) Relates to actuarial losses/(gains) from financial assumptions. Amounts recognized in the consolidated income statement are as follows: For the years ended December 31, 2021 2020 2019 TFR Pension plans Total TFR Pension plans Total TFR Pension plans Total (€ thousand) Current service cost 6 — 6 — — — — 26 26 Interest expense — — 25 — 25 — — — Past service adjustments — — — — — — — (518) (518) Total recognized in the consolidated income statement 6 — 6 25 — 25 — (492) (492) Past service adjustments relate to gains recognized in the consolidated income statement due to plan amendments and curtailments. The discount rates used for the measurement of the Italian TFR obligation are based on yields of high-quality (AA- rated) fixed income securities for which the timing and amounts of payments match the timing and amounts of the projected benefit payments. For this plan, the single weighted average discount rate that reflects the estimated timing and amount of the scheme future benefit payments for 2021 is equal to 0.9 percent (0.4 percent in 2020 and 0.7 percent in 2019). The average duration of the Italian TFR is approximately 8 years. Retirement or employee leaving rates are developed to reflect actual and projected Group experience and legal requirements for retirement in Italy. Current service cost is recognized by function in cost of sales, selling, general and administrative costs or research and development costs. The expected future benefit payments for the defined benefit obligations as of December 31, 2021 are as follows: TFR (€ thousand) 2022 1,466 2023 1,660 2024 1,359 2025 1,329 2026 1,084 2027 - 2031 5,688 Total 12,586 The sensitivity of the defined benefit obligations to changes in the weighted principal assumptions is: At December 31, 2021 2020 Changes in assumption of +1% discount rate Changes in assumption of -1% discount rate Changes in assumption of +1% discount rate Changes in assumption of -1% discount rate (€ thousand) Impact on defined benefit obligation (1,321) 1,507 (1,446) 1,656 The above sensitivity analysis is based on an assumed change in the discount rate while holding all other assumptions constant. In practice, this is unlikely to occur, and changes in some of the assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions the same method has been applied as when calculating the defined benefit liability recognized in the statement of the financial position. Other provisions for employees Other provisions for employees consist of the expected future amounts payable to employees in connection with other remuneration schemes, which are not subject to actuarial valuation, including long-term bonus plans. At December 31, 2021, other provisions for employees comprised short-term bonus benefits amounting to €79,273 thousand (€36,723 thousand at December 31, 2020) and jubilee benefits granted to certain employees by the Group in the event of achieving 30 years of service amounting to €3,497 thousand (€3,332 thousand at December 31, 2020). |
PROVISIONS
PROVISIONS | 12 Months Ended |
Dec. 31, 2021 | |
Provisions [abstract] | |
PROVISIONS | PROVISIONS The provision for other risks primarily relates to disputes and matters which are not subject to legal proceedings, including contract-related disputes with suppliers, employees and other parties, as well as environmental risks. Movements in provisions are as follows: At December 31, 2020 Additional provisions Utilization Releases Translation differences Reclassification and other movements At December 31, 2021 (€ thousand) Warranty and recall campaigns 106,942 45,047 (33,695) (9,868) 341 — 108,767 Legal proceedings and disputes 26,349 3,643 (596) (16,111) 326 90 13,701 Other risks 22,044 12,306 (2,067) (4,733) 822 28 28,400 Total provisions 155,335 60,996 (36,358) (30,712) 1,489 118 150,868 Warranty and recall campaigns The provision for warranty and recall campaigns represents the best estimate of commitments given by the Group for contractual, legal, or constructive obligations arising from product warranties given for a specified period of time. Warranty and recall campaigns provisions are recognized upon shipment and estimated on the basis of the Group’s past experience and contractual terms. Related costs are recognized within cost of sales. Following an industry-wide recall in 2016, the Group initiated a global recall campaign on cars mounted with Takata airbags manufactured using non-desiccated phase stabilized ammonium nitrate. Due to the uncertainty of recoverability of the costs from Takata, the Group recognized an aggregate provision of €36,994 thousand in 2016 within cost of sales. At December 31, 2021, the provision amounted to €3,011 thousand (€6,831 thousand at December 31, 2020). The gradual decrease in the provision reflects the performance of recall activities by the Group. Legal proceedings and disputes The provision for legal proceedings and disputes represents management’s best estimate of the expenditures expected to be required to settle or otherwise resolve legal proceedings and disputes. This class of claims relates to allegations by contractual counterparties that the Group has violated the terms of the arrangements, including by terminating the applicable relationships. Judgments in these proceedings may be issued in 2022 or beyond, although any such judgments may remain subject to ongoing judicial review. While the outcome of these proceedings is uncertain, any losses in excess of the provisions recorded are not expected to be material to the Group’s financial condition or results of operations. Additions to the provision for legal proceedings and disputes are recognized within other expenses, net. Releases during 2021 primarily relate to a legal dispute following developments favorable to Ferrari during the fourth quarter of the year. Other risks The provision for other risks are related to disputes and matters which are not subject to legal proceedings, including disputes with suppliers, distributors, employees and other parties, as well as environmental risks. The following table presents where the additional provisions to other risks recognized for the years ended December 31, 2021, 2020 and 2019 were recorded within the consolidated income statement. For the years ended December 31, 2021 2020 2019 (€ thousand) Recorded in the consolidated income statement within: Cost of sales 10,562 6,352 9,563 Selling, general and administrative costs 1,744 1,174 2,830 Total 12,306 7,526 12,393 |
DEBT
DEBT | 12 Months Ended |
Dec. 31, 2021 | |
Financial Instruments [Abstract] | |
DEBT | DEBT Balance at December 31, 2020 Proceeds from borrowings Repayments of borrowings Interest accrued/(paid) and other (*) Translation differences Balance at December 31, 2021 (€ thousand) Bonds and notes 1,835,022 149,495 (500,000) 2,593 — 1,487,110 Asset-backed financing (Securitizations) 761,164 248,714 (177,270) 49 67,556 900,213 Lease liabilities 62,290 — (21,605) 14,421 1,104 56,210 Borrowings from banks and other financial institutions 28,553 142,344 (20,959) 88 4,393 154,419 Other debt 37,716 17,265 (25,302) — 2,380 32,059 Total debt 2,724,745 557,818 (745,136) 17,151 75,433 2,630,011 ______________________________ (*) Other changes in lease liabilities relates entirely to non-cash movements for the recognition of additional lease liabilities in accordance with IFRS 16. The breakdown of debt by nature and by maturity is as follows: At December 31, 2021 2020 Due within one year Due between Due beyond five years Total Due within one year Due between Due beyond five years Total (€ thousand) Bonds and notes 9,239 1,028,686 449,185 1,487,110 500,417 1,034,605 300,000 1,835,022 Asset-backed financing (Securitizations) 343,119 499,280 57,814 900,213 306,169 454,995 — 761,164 Lease liabilities 14,783 29,732 11,695 56,210 16,373 29,932 15,985 62,290 Borrowings from banks and other financial institutions 116,919 37,500 — 154,419 28,553 — — 28,553 Other debt 32,059 — — 32,059 37,716 — — 37,716 Total debt 516,119 1,595,198 518,694 2,630,011 889,228 1,519,532 315,985 2,724,745 Bonds and notes 2021 Bond On January 18, 2021 the Company fully repaid the 2021 Bond for a total consideration of €501,250 thousand (including accrued interest). The bond was previously issued in November 2017 on the regulated market of the Euronext Dublin (formerly the Irish Stock Exchange) for a principal amount of €700 million at a coupon of 0.25 and due in January 2021. In July 2019 the Company repurchased an aggregate nominal amount of €200,000 thousand following a cash tender offer. The amount outstanding at December 31, 2020 was €501,151 thousand, including accrued interest of €1,199 thousand. 2023 Bond On March 16, 2016, the Company issued 1.5 percent coupon notes due March 2023, having a principal of €500 million. The bond was issued at a discount for an issue price of 98.977 percent, resulting in net proceeds of €490,729 thousand, after the debt discount and issuance costs, and a yield to maturity of 1.656 percent. The net proceeds were used, together with additional cash held by the Company, to fully repay a €500 million bank loan. The bond is unrated and was admitted to trading on the regulated market of the Euronext Dublin (formerly the Irish Stock Exchange). Following a cash tender offer, on July 16, 2019 the Company executed the repurchase of these notes for an aggregate nominal amount of €115,395 thousand. The amount outstanding at December 31, 2021 was €387,872 thousand and includes accrued interest of €4,567 thousand (€386,814 thousand including accrued interest of €4,567 thousand at December 31, 2020). 2025 Bond On May 27, 2020 the Company issued 1.5 percent coupon notes due May 2025 (“2025 Bond”), having a principal of €650 million. The notes were issued at a discount for an issue price of 98.898 percent, resulting in net proceeds of €640,073 thousand, after related expenses, and a yield to maturity of 1.732 percent. The bond was admitted to trading on the regulated market of Euronext Dublin. The amount outstanding of the 2025 Bond at December 31, 2021 was €648,984 thousand, including accrued interest of €5,850 thousand (€647,042 thousand, including accrued interest of €5,850 thousand at December 31, 2020). 2029 and 2031 Notes On July 31, 2019, the Company issued 1.12 percent senior notes due August 2029 (“2029 Notes”) and 1.27 percent senior notes due August 2031 (“2031 Notes”) through a private placement to certain US institutional investors, each having a principal of €150 million. The net proceeds from the issuances amounted to €298,316 thousand and the yields to maturity on an annual basis equal the nominal coupon rates of the Notes. The Notes are primarily used for general corporate purposes, including the funding of capital expenditures. The amount outstanding of the 2029 Notes at December 31, 2021 was €150,052 thousand, including accrued interest of €700 thousand (€149,971 thousand, including accrued interest of €700 thousand at December 31, 2020). The amount outstanding of the 2031 Notes at December 31, 2021 was €150,111 thousand, including accrued interest of €794 thousand (€150,044 thousand including accrued interest of €794 thousand at December 31, 2020). 2032 Notes On July 29, 2021, the Company issued 0.91 percent senior notes due January 2032 (“2032 Notes”) through a private placement to certain US institutional investors having a principal of €150 million. The net proceeds from the issuance amounted to €149,495 thousand and the yield to maturity on an annual basis equals the nominal coupon rates of the Notes. The Notes are used for general corporate purposes. The amount outstanding of the 2032 Notes at December 31, 2021 was €150,091 thousand, including accrued interest of €576 thousand. The abovementioned bonds and notes impose covenants on Ferrari including: (i) negative pledge clauses which require that, in case any security interest upon assets of Ferrari is granted in connection with other notes or debt securities with the consent of Ferrari are, or are intended to be, listed, such security should be equally and ratably extended to the outstanding notes, subject to certain permitted exceptions; (ii) pari passu clauses, under which the notes rank and will rank pari passu with all other present and future unsubordinated and unsecured obligations of Ferrari; (iii) events of default for failure to pay principal or interest or comply with other obligations under the notes with specified cure periods or in the event of a payment default or acceleration of indebtedness or in the case of certain bankruptcy events; and (iv) other clauses that are customarily applicable to debt securities of issuers with a similar credit standing. A breach of these covenants may require the early repayment of the notes. At December 31, 2021 and 2020, Ferrari was in compliance with the covenants of the notes. Asset-backed financing (Securitizations) As a means of diversifying its sources of funds, the Group sells certain of its receivables originated by its financial services activities in the United States through asset-backed financing or securitization programs (the terms asset-backed financing and securitization programs are used synonymously throughout this document), without transferring the risks typically associated with the related receivables. As a result, the receivables sold through securitization programs are still consolidated until collection from the customer. During 2021, the following revolving securitization programs were in place: • revolving securitization program for funding of up to $750 million, which was renewed in December 2020 for a tenor of 24 months and increased up to $800 million in December 2021, by pledging retail financial receivables in the United States as collateral. The notes bear interest at a rate per annum equal to the aggregate of a synthetic base rate substantially replicating the LIBOR plus a margin of 75 basis points. At December 31, 2021 total proceeds net of repayments from the sales of financial receivables under the program amounted to $775 million ($629 million at December 31, 2020). The securitization agreement requires the maintenance of an interest rate cap. • revolving securitization program for funding of up to $285 million, which was renewed in November 2021 for a tenor of 24 months, by pledging leasing financial receivables in the United States as collateral. The notes bear interest at a rate per annum equal to the aggregate of LIBOR plus a margin of 65 basis points. At December 31, 2021 total proceeds net of repayments from the sales of financial receivables under the program amounted to $245 million ($244 million at December 31, 2020). The securitization agreement requires the maintenance of an interest rate cap. • the revolving securitization program for funding of up to $110 million by pledging credit lines to Ferrari customers secured by personal vehicle collections and personal guarantees in the United States as collateral terminated in April 2021. The notes bore interest at a rate per annum equal to the aggregate of LIBOR plus a margin of 115 basis points. The consolidated total amount of the revolving securitization programs has been progressively increased since inception as the underlying receivables portfolios have increased. Cash collected from the settlement of receivables under securitization programs is subject to certain restrictions regarding its use and is primarily applied to repay principal and interest of the related funding. Such cash amounted to €47,742 thousand at December 31, 2021 (€36,935 thousand at December 31, 2020). Lease liabilities The Group recognizes lease liabilities in relation to right-of-use assets in accordance with IFRS 16 — Leases . At December 31, 2021 lease liabilities amounted to €56,210 thousand (€62,290 thousand at December 31, 2020). Borrowings from banks and other financial institutions Borrowings from banks at December 31, 2021 include (i) an amortized term loan of €63 million borrowed in June by Ferrari S.p.A. for a tenor of 36 months and bearing fixed interest at 0.118 percent and (ii) financial liabilities of FFS Inc to support financial services activities, and in particular €61,919 thousand (€28,553 thousand at December 31, 2020) relating to a U.S. Dollar committed credit facility for up to $100 million, (drawn down for $70 million at December 31, 2021) for a tenor of 24 months and bearing interest at LIBOR plus 75 basis points. In April 2020, additional committed credit lines of €350 million were secured with tenors ranging from 18 to 24 months, doubling total committed credit lines available to €700 million. In March 2021 the Group cancelled a credit line of €100 million and simultaneously replaced it with a new credit line for €150 million with a tenor of 23 months. In April 2021, the Group replaced an uncommitted credit line of $50 million, which was terminated, with a new committed credit line for $100 million with a tenor of 24 months bearing interest at LIBOR plus 75 basis points. At December 31, 2021 the line had been drawn down for $70 million (€62 million), representing the only committed credit line that has been drawn down by the Group. The new credit line replaces the funding previously provided by one of securitization programs in the US for funding of up to $110 million that expired in April 2021 and was interest-bearing at LIBOR plus 115 basis points, as noted above. In October 2021 an undrawn committed credit line previously negotiated in April 2020 for €100 million expired. At December 31, 2021 the Group had total committed credit lines available and undrawn amounted to €676 million (€700 million at December 31, 2020). In December 2019, the Company negotiated a €350 million unsecured committed revolving credit facility (the “RCF”), which is intended for general corporate and working capital purposes. The RCF has a 5 year-tenor with two further one-year extension options, exercisable on the first and second anniversary of the signing date on the Company’s request and the approval of each participating bank. In December 2020 and in December 2021 the first and the second one-year extension option were exercised by the Company and approved by all participating banks. At December 31, 2021 the RCF was undrawn. Other debt Other debt mainly relates to funding for operating and financing activities of the Group. |
OTHER LIABILITIES
OTHER LIABILITIES | 12 Months Ended |
Dec. 31, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
OTHER LIABILITIES | OTHER LIABILITIES An analysis of other liabilities is as follows: At December 31, 2021 2020 (€ thousand) Deferred income 256,206 270,826 Advances and security deposits 240,696 253,442 Accrued expenses 80,787 60,788 Payables to personnel 53,712 33,127 Social security payables 24,660 23,261 Other 70,714 46,018 Total other liabilities 726,775 687,462 Deferred income primarily includes amounts received under maintenance and power warranty programs of €218,982 thousand at December 31, 2021 and €214,153 thousand at December 31, 2020, which are deferred and recognized as net revenues over the length of the maintenance program. Of the total liability related to maintenance and power warranty programs at December 31, 2021, the Group expects to recognize in net revenues approximately €53 million in 2022, €50 million in 2023, €38 million in 2024 and €78 million in periods subsequent to 2024. Deferred income also includes amounts collected under various other agreements, which are dependent upon the future performance of a service or other act of the Group. Advances and security deposits primarily include advances received from clients for the purchase of Icona models and limited edition models. Upon shipment of the cars, the advances are recognized as revenue. Changes in the Group’s contract liabilities for maintenance and power warranties, and advances from customers, were as follows: At January 1, 2021 Additional amounts arising during the period Amounts recognized within revenue Other changes At December 31, 2021 (€ thousand) Maintenance and power warranty programs 214,153 77,713 (72,884) — 218,982 Advances from customers 249,506 605,730 (618,739) 19 236,516 An analysis of other liabilities (excluding accrued expenses and deferred income) by due date is as follows: At December 31, 2021 2020 Due within one year Due between Due beyond five years Total Due within one year Due between Due beyond five years Total (€ thousand) Total other liabilities (excluding accrued expenses and deferred income) 377,176 7,553 5,053 389,782 315,026 35,251 5,571 355,848 |
TRADE PAYABLES
TRADE PAYABLES | 12 Months Ended |
Dec. 31, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
TRADE PAYABLES | TRADE PAYABLES Trade payables of €797,832 thousand at December 31, 2021 (€713,807 thousand at December 31, 2020) are entirely due within one year. The carrying amount of trade payables is considered to be equivalent to their fair value. |
FAIR VALUE MEASUREMENT
FAIR VALUE MEASUREMENT | 12 Months Ended |
Dec. 31, 2021 | |
Fair value measurement [Abstract] | |
FAIR VALUE MEASUREMENT | FAIR VALUE MEASUREMENT IFRS 13 — Fair Value Measurement establishes a three level hierarchy for the inputs to the valuation techniques used to measure fair value by giving the highest priority to quoted prices (unadjusted) in active markets for identical assets and liabilities (level 1 inputs) and the lowest priority to unobservable inputs (level 3 inputs). In some cases, the inputs used to measure the fair value of an asset or a liability might be categorized within different levels of the fair value hierarchy. In those cases, the fair value measurement is categorized in its entirety in the same level of the fair value hierarchy at the lowest level input that is significant to the entire measurement. Levels used in the hierarchy are as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets and liabilities that the Group can access at the measurement date. Level 2 inputs are inputs other than quoted prices included within level 1 that are observable for the assets or liabilities, either directly or indirectly. Level 3 inputs are unobservable inputs for the assets and liabilities. Assets and liabilities that are measured at fair value on a recurring basis The following table shows the fair value hierarchy for financial assets and liabilities that are measured at fair value on a recurring basis at December 31, 2021 and 2020: At December 31, 2021 Note Level 1 Level 2 Level 3 Total (€ thousand) Investments and other financial assets - Liberty Media Shares 16 10,559 — — 10,559 Current financial assets 19 — 11,565 — 11,565 Total assets 10,559 11,565 — 22,124 Other financial liabilities 19 — 36,520 — 36,520 Total liabilities — 36,520 — 36,520 At December 31, 2020 Note Level 1 Level 2 Level 3 Total (€ thousand) Investments and other financial assets - Liberty Media Shares 16 7,163 — — 7,163 Current financial assets 19 — 38,636 — 38,636 Total assets 7,163 38,636 — 45,799 Other financial liabilities 19 — 2,140 — 2,140 Total liabilities — 2,140 — 2,140 There were no transfers between fair value hierarchy levels for the periods presented. The fair value of current financial assets and other financial liabilities relates to derivative financial instruments and is measured by taking into consideration market parameters at the balance sheet date, using widely accepted valuation techniques. In particular, the fair value of foreign currency derivatives (forward contracts, currency swaps and options) and interest rate caps is determined by taking the prevailing foreign currency exchange rates and interest rates, as applicable, at the balance sheet date. The par value of cash and cash equivalents usually approximates fair value due to the short maturity of these instruments, which consist primarily of current bank accounts. Assets and liabilities not measured at fair value on a recurring basis For financial instruments represented by short-term receivables and payables, for which the present value of future cash flows does not differ significantly from carrying value, the Group assumes that carrying value is a reasonable approximation of the fair value. In particular, the carrying amount of current receivables and other current assets and of trade payables and other liabilities approximates their fair value. The following table presents the carrying amount and fair value for the most relevant categories of financial assets and financial liabilities not measured at fair value on a recurring basis: At December 31, 2021 2020 Note Carrying amount Fair value Carrying amount Fair value (€ thousand) Receivables from financing activities 18 1,143,968 1,143,968 939,607 939,607 Client financing 1,132,979 1,132,979 925,878 925,878 Dealer financing 10,989 10,989 13,729 13,729 Total 1,143,968 1,143,968 939,607 939,607 Debt 24 2,630,011 2,656,159 2,724,745 2,755,516 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2021 | |
Related party transactions [abstract] | |
RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS Pursuant to IAS 24, the related parties of Ferrari include Exor N.V., and together with its subsidiaries the Exor Group, as well as all entities and individuals capable of exercising control, joint control or significant influence over the Group and its subsidiaries. Related parties also include companies over which the Exor Group is capable of exercising control, joint control or significant influence, including Stellantis N.V., and together with its subsidiaries the Stellantis Group, (previously referred to as Fiat Chrysler Automobiles N.V. or FCA prior to the merger between FCA and Peugeot S.A. completed on January 16, 2021, which resulted in the creation of Stellantis), CNH Industrial N.V. and its subsidiaries (“CNH Industrial Group”) and Iveco Group N.V. and its subsidiaries (“Iveco Group”, which resulted from the recent demerger from CNH Industrial Group), as well as joint ventures and associates of Ferrari. In addition, members of the Ferrari Board of Directors and executives with strategic responsibilities and their families are also considered related parties. The Group carries out transactions with related parties on commercial terms that are normal in the respective markets, considering the characteristics of the goods or services involved. Transactions carried out by the Group with these related parties are primarily of a commercial nature and, in particular, these transactions relate to: Transactions with Stellantis Group companies • the sale of engines to Maserati S.p.A. (“Maserati”); • the purchase of engine components for the use in the production of Maserati engines from FCA US LLC; • a technical cooperation between the Group and Stellantis Group with the aim to enhance the quality and competitiveness of their respective products, while reducing costs and investments; • transactions with Stellantis Group companies, mainly relating to the services provided by Stellantis Group companies, including human resources, payroll, tax, procurement of insurance coverage and sponsorship revenues. Transactions with Exor Group companies (excluding Stellantis Group companies) • the Group incurs rental costs from Iveco S.p.A., a company belonging to Iveco Group, related to the rental of trucks used by the Formula 1 racing team; • the Group earns sponsorship revenue from Iveco S.p.A. Transactions with other related parties • the purchase of components for Formula 1 racing cars from COXA S.p.A.; • consultancy services provided by HPE S.r.l.; • sponsorship agreement relating to Formula 1 activities with Ferretti S.p.A.; • sale of cars to certain members of the Board of Directors of Ferrari N.V. and Exor. In accordance with IAS 24, transactions with related parties also include compensation to Directors and managers with strategic responsibilities. The amounts of transactions with related parties recognized in the consolidated income statement are as follows: For the years ended December 31, 2021 2020 2019 Net revenues Costs (1) Net financial expenses Net revenues Costs (1) Net financial expenses Net revenues Costs (1) Net financial expenses (€ thousand) Stellantis Group companies Maserati 119,083 2,428 — 100,389 2,981 — 143,091 6,275 — FCA US LLC — 18,465 — — 13,323 — — 17,954 — Magneti Marelli (2) — — — — — — 352 10,444 — Other Stellantis Group companies 11,799 6,238 2,103 9,102 6,057 2,207 8,637 8,028 1,965 Total Stellantis Group companies 130,882 27,131 2,103 109,491 22,361 2,207 152,080 42,701 1,965 Exor Group companies (excluding the Stellantis Group) 281 1,014 1 150 1,665 2 281 368 4 Other related parties 795 15,143 2 549 12,977 10 610 13,906 31 Total transactions with related parties 131,958 43,288 2,106 110,190 37,003 2,219 152,971 56,975 2,000 Total for the Group 4,270,894 2,434,198 33,257 3,459,790 2,040,925 49,092 3,766,615 2,153,480 42,082 ______________________________ (1) Costs include cost of sales, selling, general and administrative costs and other expenses/(income), net. (2) Stellantis completed the sale of Magneti Marelli on May 2, 2019, following which Magneti Marelli (which subsequently operates under the name “Marelli”) is no longer a related party. Non-financial assets and liabilities originating from related party transactions are as follows: At December 31, 2021 2020 Trade receivables Trade payables Other current assets Other liabilities Trade receivables Trade payables Other current assets Other liabilities (€ thousand) Stellantis Group companies Maserati 23,267 3,994 — 6,454 37,662 4,555 — 16,955 FCA US LLC — 3,275 — — — 1,893 — — Other Stellantis Group companies 470 3,075 121 1,074 244 2,512 104 94 Total Stellantis Group companies 23,737 10,344 121 7,528 37,906 8,960 104 17,049 Exor Group companies (excluding the Stellantis Group) 382 1 8 5 183 396 108 139 Other related parties 144 3,276 998 1,065 643 3,558 1,496 1,759 Total transactions with related parties 24,263 13,621 1,127 8,598 38,732 12,914 1,708 18,947 Total for the Group 185,000 797,832 122,224 726,775 184,260 713,807 76,471 687,462 There were no other financial assets or financial liabilities originating from related party transactions at December 31, 2021 and 2020. Emoluments to Directors and Key Management The fees of the Directors of Ferrari N.V. are as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Directors of Ferrari N.V. 6,668 8,151 10,260 The aggregate compensation to Directors of Ferrari N.V. for year ended December 31, 2021 was €6,668 thousand (€8,151 thousand in 2020 and €10,260 thousand in 2019), inclusive of the following: • €5,445 thousand for salary and other short-term benefits (€624 thousand in 2020 and €1,786 thousand in 2019); and • €1,223 thousand for share-based compensation awarded under the Company’s equity incentive plans, (€7,527 thousand in 2020 and €15,963 thousand in 2019, including an acceleration of the costs relating to the equity incentive plan of the former Chairman and Chief Executive Officer (Mr. Sergio Marchionne)). See Note 21 “Share-based compensation” for additional information related to the Company’s equity incentive plans. There was no equity-settled compensation for Non-Executive Directors for the years ended December 31, 2021, 2020 and 2019. The aggregate compensation for members of the FLT (excluding the CEO) in 2021 was €18,728 thousand (€14,199 thousand in 2020 and €19,839 thousand in 2019), inclusive of the following: • €14,088 thousand for salary and short-term incentives (€8,707 thousand in 2020 and €14,671 thousand in 2019); • €4,241 thousand for share-based compensation awarded under the Company’s equity incentive plans (€5,270 thousand in 2020 and €5,168 thousand in 2019); and • €399 thousand for pension contributions (€222 thousand in 2020). In response to the healthcare crisis caused by the COVID-19 pandemic, the Board of Directors pledged their full cash compensation from April 2020 to the end of 2020 to help fund Company initiatives to support the communities in which Ferrari operates, with the Ferrari Leadership Team donating 25 percent of their salaries for the same period. |
COMMITMENTS
COMMITMENTS | 12 Months Ended |
Dec. 31, 2021 | |
Commitments [Abstract] | |
COMMITMENTS | COMMITMENTS Arrangements with key suppliers From time to time, in the ordinary course of business, the Group enters into various arrangements with key third party suppliers in order to establish strategic and technological advantages. A limited number of these arrangements contain unconditional purchase obligations to purchase a fixed or minimum quantity of goods and/or services with fixed and determinable price provisions. Arrangements with sponsors Certain of the Group’s sponsorship contracts include terms whereby the Group is obligated to purchase a minimum quantity of goods and/or services from its sponsors. Future minimum purchase obligations under these supplier and sponsorship arrangements at December 31, 2021 were as follows: At December 31, 2021 Due within one year Due between one and three years Due between three and five years Due beyond five years Total (€ thousand) Minimum purchase obligations 79,986 60,597 15,225 500 156,308 Non-cancellable lease agreements The future aggregate minimum lease payments under non-cancellable leases, primarily relating to the lease of stores and industrial buildings, are as follows: At December 31, 2021 Due within one year Due between one and three years Due between three and five years Due beyond five years Total (€ thousand) Future minimum lease payments under lease agreements 14,629 19,275 12,433 11,260 57,597 |
QUALITATIVE AND QUANTITATIVE IN
QUALITATIVE AND QUANTITATIVE INFORMATION ON FINANCIAL RISKS | 12 Months Ended |
Dec. 31, 2021 | |
Qualitative and quantitative information on financial risks [Abstract] | |
QUALITATIVE AND QUANTITATIVE INFORMATION ON FINANCIAL RISKS | QUALITATIVE AND QUANTITATIVE INFORMATION ON FINANCIAL RISKS The Group is exposed to the following financial risks connected with its operations: • financial market risk (principally relating to foreign currency exchange rates and to a lesser extent, interest rates and commodity prices), as the Group operates internationally in different currencies; • liquidity risk, with particular reference to the availability of funds and access to the credit markets, should the Group require them, and to financial instruments in general; • credit risk, arising from normal commercial relations with final clients and dealers, as well as the Group’s financing activities. These risks could significantly affect the Group’s financial position, results of operations and cash flows, and for this reason the Group identifies and monitors these risks, in order to detect potential negative effects in advance and take the necessary action to mitigate them, primarily through the Group’s operating and financing activities and if required, through the use of derivative financial instruments. The following section provides qualitative and quantitative disclosures on the effect that these risks may have upon the Group. The quantitative data reported in the following section does not have any predictive value. In particular, the sensitivity analysis on financial market risks does not reflect the complexity of the market or the reaction which may result from any changes that are assumed to take place. Financial market risks Due to the nature of the Group’s business, the Group is exposed to a variety of market risks, including foreign currency exchange rate risk and to a lesser extent, interest rate risk and commodity price risk. The Group’s exposure to foreign currency exchange rate risk arises from the geographic distribution of the Group’s shipments, as the Group generally sells its models in the currencies of the various markets in which the Group operates, while the Group’s industrial activities are all based in Italy, and primarily denominated in Euro. The Group’s exposure to interest rate risk arises from the need to fund certain activities and the necessity to deploy surplus funds. Changes in market interest rates may have the effect of either increasing or decreasing the Group’s net profit/(loss), thereby indirectly affecting the costs and returns of financing and investing transactions. The Group has in place various risk management policies, which primarily relate to foreign exchange and commodity price, interest rate and liquidity risks. The Group’s risk management policies permit derivatives to be used for managing such risk exposures at risk. Counterparties to these agreements are major financial institutions. Derivative financial instruments can only be executed for hedging purposes. In particular, the Group used derivative financial instruments as cash flow hedges primarily for the purpose of limiting the negative impact of foreign currency exchange rate fluctuations on forecasted transactions denominated in foreign currencies. Accordingly, as a result of applying risk management policies with respect to foreign currency exchange exposure, the Group’s results of operations have not been fully exposed to fluctuations in foreign currency exchange rates. However, despite these risk management policies and hedging transactions, sudden adverse movements in foreign currency exchange rates could have a significant effect on the Group’s earnings and cash flows. The Group also enters into interest rate caps as required by certain of its securitization agreements. Information on the fair value of derivative financial instruments held is provided in Note 19. Information on foreign currency exchange rate risk The Group is exposed to risks resulting from changes in foreign currency exchange rates, which can affect its earnings and equity. In particular: • Where a Group company incurs costs in a currency different from that of its revenues, any change in foreign currency exchange rates can affect the operating results of that company. In 2021, the total trade flows exposed to foreign currency exchange rate risk amounted to the equivalent of 58 percent of the Group’s net revenues (58 percent in 2020 and 53 percent in 2019). • The main foreign currency exchange rate to which the Group is exposed is the Euro/U.S. Dollar for sales in U.S. Dollar in the United States and other markets where the U.S. Dollar is the reference currency. In 2021, the value of commercial activities exposed to fluctuations in the Euro/U.S. Dollar exchange rate accounted for approximately 51 percent (53 percent in 2020 and 53 percent in 2019) of the total currency risk from commercial activities. In 2021 and 2020, the commercial activities exposed to the Euro/Japanese Yen exchange rate and to the Euro/Pound Sterling exchange rate exceeded 10 percent (in 2019 the Euro/Japanese Yen and Euro/Pound Sterling exceeded 10 percent) of the total currency risk from commercial activities. Other significant exposures included the exchange rate between the Euro and the following currencies: Chinese Renminbi, Swiss Franc, Canadian Dollar and Australian Dollar. None of these exposures, taken individually, exceeded 10 percent of the Group’s total foreign currency exchange rate exposure for commercial activities in 2021, 2020 and 2019. It is the Group’s policy to use derivative financial instruments (primarily forward currency contracts and currency options) to hedge up to 90 percent of the principal exposures to foreign currency exchange risk, typically for a period of up to twelve months. • Several subsidiaries are located in countries that are outside the Eurozone, in particular the United States, the United Kingdom (branch), Switzerland, Mainland China, Hong Kong, Japan, Australia and Singapore. As the Group’s reporting currency is the Euro, the income statements of those companies are translated into Euro using the average exchange rate for the period and, even if revenues and margins are unchanged in local currency, changes in exchange rates can impact the amount of revenues, costs and profit as translated into Euro. • The amount of assets and liabilities of consolidated companies that report in a currency other than the Euro may vary from period to period as a result of changes in exchange rates. The effects of these changes are recognized directly in equity as a component of other comprehensive income/(loss) under gains/(losses) from currency translation differences. The Group monitors its principal exposure to translation exchange risk, although the Group did not engage in any specific hedging activities in relation to translation exchange risk for the periods presented. Exchange differences arising on the settlement of monetary items or on reporting monetary items at rates different from those at which they were initially recorded during the period or in previous financial statements, are recognized in the consolidated income statement within the net financial income/(expenses) line item or as cost of sales for charges arising from financial services companies. The Group uses specific financial derivatives to hedge these exposures. The impact of foreign currency exchange rate differences recorded within financial income/(expenses) for the year ended December 31, 2021, including the costs of hedging foreign currency exchange rate risk, amounted to net losses of €11,407 thousand (net losses of €27,029 thousand and €24,237 thousand for the years ended December 31, 2020 and 2019, respectively). All of the Group’s financial services activities are conducted in the functional currencies of the related financial services companies, therefore the impact of foreign currency exchange rate differences arising from financial services activities was zero in all periods presented. Except as noted above, there have been no substantial changes in 2021 in the nature or structure of exposure to foreign currency exchange rate risks or in the Group’s hedging policies. The potential decrease in fair value of derivative financial instruments held by the Group at December 31, 2021 to hedge against foreign currency exchange rate risks, which would arise in the case of a hypothetical, immediate and adverse change of 10 percent in the exchange rates of the major foreign currencies with the Euro, would be approximately €98,165 thousand (€102,674 thousand at December 31, 2020). Receivables, payables and future trade flows for which hedges have been put in place were not included in the analysis. It is reasonable to assume that changes in foreign currency exchange rates will produce the opposite effect, of an equal or greater amount, on the underlying transactions that have been hedged. The sensitivity analysis is based on currency hedging in place at the end of the period, which can vary during the period and assumes unchanged market conditions other than exchange rates, such as volatility and interest rates. For this reason, it is purely indicative. Information on interest rate risk The Group’s exposure to interest rate risk, though less significant, arises from the need to fund financial services activities and the necessity to deploy surplus funds. Changes in market interest rates may have the effect of either increasing or decreasing the Group’s net profit/(loss), thereby indirectly affecting the costs and returns of financing and investing transactions. The Group’s most significant floating rate financial assets at December 31, 2021 were cash and cash equivalents and certain receivables from financing activities (related to client and dealer financing), while 37 percent of the Group’s gross debt bears floating rates of interest. At December 31, 2021, a decrease of 10 basis points in interest rates on floating rate financial assets and debt, with all other variables held constant, would have resulted in a decrease in profit before taxes of €486 thousand on an annual basis (a decrease of €652 thousand at December 31, 2020). The analysis is based on the assumption that floating rate financial assets and debt which expire during the projected 12-month period will be renewed or reinvested in similar instruments, bearing the hypothetical short-term interest rates. Information on commodity price risk The Group’s exposure to commodity price risk, though much less significant than foreign exchange rate risk and interest rate risk, arises from the need to use a variety of raw materials in the Group’s operations, including aluminum and precious metals such as palladium and rhodium. The Group monitors its exposure to commodity price risk and may hedge a portion of such exposure through derivative financial instruments (primarily commodity swaps). Liquidity risk Liquidity risk arises if the Group is unable to obtain the funds needed to carry out its operations and meet its obligations. The main determinant of the Group’s liquidity position is the cash generated by or used in operating and investing activities. From an operating point of view, the Group manages liquidity risk by monitoring cash flows and keeping an adequate level of funds readily available. The main funding operations and investments in cash and marketable securities of the Group are centrally managed or supervised by the treasury department with the aim of ensuring effective and efficient management of the Group’s liquidity. The Group has established various policies which are managed or supervised centrally by the treasury department with the purpose of optimizing the management of funds and reducing liquidity risk which include: • centralizing liquidity management through the use of cash pooling arrangements • maintaining a conservative level of available liquidity • diversifying sources of funding • obtaining adequate credit lines • monitoring future liquidity requirements on the basis of business planning Intercompany financing between Group entities is not restricted other than through the application of covenants requiring that transactions with related parties be conducted at arm’s length terms. Details on the maturity profile of the Group’s financial assets and liabilities and on the structure of derivative financial instruments are provided in Notes 19 and 24. Details of the repayment of derivative financial instruments are provided in Note 19. To preventively and prudently manage potential liquidity or refinancing risks in the foreseeable future, the Group has available undrawn committed credit lines of €676 million which amounted to €700 million at December 31, 2020. The Group believes that its total available liquidity (defined as cash and cash equivalents plus undrawn committed credit lines), in addition to funds that will be generated from operating activities, will enable Ferrari to satisfy the requirements of its investing activities and working capital needs fulfill its obligations to repay its debt and ensure an appropriate level of operating and strategic flexibility. The Group therefore believes there is no significant risk of a lack of liquidity. Credit risk Credit risk is the risk of economic loss arising from the failure to fully collect receivables. Credit risk encompasses the direct risk of default and the risk of a deterioration of the creditworthiness of the counterparty. The maximum credit risk to which the Group is theoretically exposed at December 31, 2021 is represented by the carrying amounts of the financial assets presented in the consolidated statement of financial position sheet and the nominal value of the guarantees provided. Dealers and clients are subject to a specific evaluation of their creditworthiness. Additionally, it is Group practice to obtain financial guarantees against risks associated with credit granted for the purchase of cars and parts. These guarantees are further strengthened, where possible, by retaining title on cars subject to financing agreements. Credit positions of material significance are evaluated on an individual basis. Where objective evidence exists that they are uncollectible, in whole or in part, specific write-downs are recognized. The amount of the write-down is based on an estimate of the recoverable cash flows, the timing of those cash flows, the cost of recovery and the fair value of any guarantees received. Receivables from financing activities amounting to €1,143,968 thousand at December 31, 2021 (€939,607 thousand at December 31, 2020) are shown net of the allowance for doubtful accounts amounting to €11,204 thousand (€13,195 thousand at December 31, 2020). After considering the allowance for doubtful accounts, €52,733 thousand of receivables were overdue (€65,554 thousand at December 31, 2020). Therefore, overdue receivables represent a minor portion of receivables from financing activities. Receivables from financing activities relate entirely to the financial services portfolio in the United States and such receivables are generally secured on the titles of cars or other guarantees. Trade receivables amounting to €185,000 thousand at December 31, 2021 (€184,260 thousand at December 31, 2020) are shown net of the allowance for doubtful accounts amounting to €25,984 thousand (€28,312 thousand at December 31, 2020). After considering the allowance for doubtful accounts, €47,237 thousand of receivables were overdue (€46,627 thousand at December 31, 2020). |
ENTITY-WIDE DISCLOSURES
ENTITY-WIDE DISCLOSURES | 12 Months Ended |
Dec. 31, 2021 | |
Entity-wide disclosures [Abstract] | |
ENTITY-WIDE DISCLOSURES | ENTITY-WIDE DISCLOSURES The following table presents an analysis of net revenues by geographic location of the Group’s customers for the years ended December 31, 2021 and 2020, including the effects of foreign currency hedge transactions. Revenues by geography presented for material individual countries are not necessarily correlated to shipments of cars as certain countries include revenues from sponsorship and commercial activities relating to Ferrari's participation in the Formula 1 World Championship. For the years ended December 31, 2021 2020 2019 (€ thousand) Italy 409,992 322,573 391,156 Rest of EMEA 1,869,864 1,634,515 1,628,496 of which UK 457,060 484,701 531,088 Americas (1) 1,097,904 883,228 1,001,946 of which United States of America 930,316 747,373 867,376 Mainland China, Hong Kong and Taiwan 332,971 191,907 350,851 Rest of APAC (2) 560,163 427,567 394,166 Total net revenues 4,270,894 3,459,790 3,766,615 ______________________________ (1) Americas includes the United States of America, Canada, Mexico, the Caribbean and of Central and South America. (2) Rest of APAC mainly includes Japan, Australia, Singapore, Indonesia, South Korea, Thailand, India and Malaysia. The following table presents an analysis of non-current assets other than financial instruments and deferred tax assets by geographic location: At December 31, 2021 2020 Property, plant and equipment Goodwill Intangible assets Property, plant and equipment Goodwill Intangible assets (€ thousand) Italy 1,322,257 785,182 1,137,910 1,199,325 785,182 979,022 Rest of EMEA 5,597 — — 5,809 — — Americas (1) 16,003 — — 14,497 — — Mainland China, Hong Kong and Taiwan 5,898 — — 4,120 — — Rest of APAC (2) 3,410 — 263 2,879 — 268 Total 1,353,165 785,182 1,138,173 1,226,630 785,182 979,290 ______________________________ (1) Americas includes the United States of America, Canada, Mexico, the Caribbean and of Central and South America. (2) Rest of APAC mainly includes Japan, Australia, Singapore, Indonesia, South Korea, Thailand, India and Malaysia. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS The Group has evaluated subsequent events through February 25, 2022, which is the date the Consolidated Financial Statements were authorized for issuance, and identified the following matters: On January 26, 2022 Ferrari announced that CEVA Logistics will be a new Scuderia Ferrari team partner starting from the 2022 Formula 1 season. The multi-year agreement will also see CEVA involved in Ferrari’s other racing activities in GT racing and the Ferrari Challenge, with the Marseille-based company taking on the role of Official Logistics Partner for those series. On February 8, 2022 Ferrari announced a new partnership with Qualcomm Technologies, Inc. The San Diego, California-based company will be a Scuderia Ferrari Premium Partner through Snapdragon, Qualcomm’s premium product and experience brand leveraged across multiple platforms and categories, including automotive. The agreement with Qualcomm Technologies will have a strong technological impact aimed at accelerating the digital transformation process for Ferrari and its road cars. Starting from the first common projects already identified, such as the digital cockpit, the two companies will bring together ideas and expertise to explore new opportunities and a range of technological solutions. Under the common share repurchase program, from January 1, 2022 to February 18, 2022 the Company purchased an additional 390,819 common shares for total consideration of €80.1 million. At February 18, 2022 the Company held in treasury an aggregate of 10,470,922 common shares. On February 25, 2022, the Board of Directors of Ferrari N.V. recommended to the Company’s shareholders that the Company declare a dividend of €1.362 per common share, totaling approximately €250 million. The proposal is subject to the approval of the Company’s shareholders at the Annual General Meeting to be held on April 13, 2022. |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Significant Accounting Policies [Abstract] | |
New standards and amendments | New standards and amendments effective from January 1, 2021 The following new amendments that are applicable on or subsequent to January 1, 2021 were adopted by the Group for the preparation of these Consolidated Financial Statements. The Group adopted a package of amendments to IFRS 9 — Financial Instruments , IAS 39 — Financial Instruments: Recognition and Measurement , IFRS 7 — Financial Instruments: Disclosures , IFRS 4 — Insurance Contracts and IFRS 16 — Leases in response to the reform of inter-bank offered rates (IBOR) and other interest rate benchmarks. The amendments aim at helping companies to provide investors with useful information about the effects of the reform on those companies’ financial statements. These amendments focus on the effects on financial statements when a company replaces the old interest rate benchmark with an alternative benchmark rate as a result of the reform. The new amendments relate to: • changes to contractual cash flows – a company is not be required to derecognize or adjust the carrying amount of financial instruments for changes required by the interest rate benchmark reform, but will instead update the effective interest rate to reflect the change to the alternative benchmark rate; • hedge accounting – a company does not have to discontinue its hedge accounting solely because it makes changes required by the interest rate benchmark reform if the hedge meets other hedge accounting criteria; and • disclosures – a company is required to disclose information about new risks that arise from the interest rate benchmark reform and how the company manages the transition to alternative benchmark rates. There was no effect from the adoption of these amendments. The Group adopted the amendments to IFRS 4 — Insurance Contracts which deferred the expiry date of the temporary exemption from applying IFRS 9 to annual periods beginning on or after January 1, 2021. There was no effect from the adoption of these amendments. The Group adopted the amendments to IFRS 16 for COVID-19-related rent concessions beyond 30 June 2021 . The amendment extended the applicability of a previous amendment to IFRS 16 in 2020 that permits lessees, as a practical expedient, not to assess whether particular rent concessions occurring as a direct consequence of the COVID-19 pandemic are lease modifications and instead to account for those rent concessions as if they are not lease modifications, thus giving the possibility to the lessees to recognize the entire economic benefit of such discounts immediately through profit or loss. There was no significant effect from the adoption of this amendment. New standards, amendments and interpretations not yet effective The standards, amendments and interpretations issued by the International Accounting Standards Board (“IASB”) that will have mandatory application in 2022 or subsequent years are listed below: In May 2017 the IASB issued IFRS 17 — Insurance Contracts , which establishes principles for the recognition, measurement, presentation and disclosure of insurance contracts issued as well as guidance relating to reinsurance contracts held and investment contracts with discretionary participation features issued. In June 2020 the IASB issued amendments to IFRS 17 aimed at helping companies implement IFRS 17 and make it easier for companies to explain their financial performance. The new standard and amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In January 2020 the IASB issued amendments to IAS 1 — Presentation of Financial Statements: Classification of Liabilities as Current or Non-Current to clarify how to classify debt and other liabilities as current or non-current, and in particular how to classify liabilities with an uncertain settlement date and liabilities that may be settled by converting to equity. These amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In May 2020 the IASB issued amendments to IFRS 3 — Business combinations to update a reference in IFRS 3 to the Conceptual Framework for Financial Reporting without changing the accounting requirements for business combinations. These amendments are effective on or after January 1, 2022. The Group does not expect any material impact from the adoption of these amendments. In May 2020 the IASB issued amendments to IAS 16 — Property, Plant and Equipment . The amendments prohibit a company from deducting from the cost of property, plant and equipment amounts received from selling items produced while the company is preparing the asset for its intended use. Instead, a company should recognize such sales proceeds and the related cost in the income statement. These amendments are effective on or after January 1, 2022. The Group does not expect any material impact from the adoption of these amendments. In May 2020 the IASB issued amendments to IAS 37 — Provisions, Contingent Liabilities and Contingent Assets , which specify which costs a company includes when assessing whether a contract will be loss-making. These amendments are effective on or after January 1, 2022. The Group does not expect any material impact from the adoption of these amendments. In May 2020 the IASB issued Annual Improvements to IFRSs 2018 - 2020 Cycle . The improvements have amended four standards with effective date January 1, 2022: i) IFRS 1 — First-time Adoption of International Financial Reporting Standards in relation to allowing a subsidiary to measure cumulative translation differences using amounts reported by its parent, ii) IFRS 9 — Financial Instruments in relation to which fees an entity includes when applying the ‘10 percent’ test for derecognition of financial liabilities, iii) IAS 41 — Agriculture in relation to the exclusion of taxation cash flows when measuring the fair value of a biological asset, and iv) IFRS 16 — Leases in relation to an illustrative example of reimbursement for leasehold improvements. The Group does not expect any material impact from the adoption of these amendments. In February 2021 the IASB issued amendments to IAS 1 — Presentation of Financial Statements and IFRS Practice Statement 2: Disclosure of Accounting policies which require companies to disclose their material accounting policy information rather than their significant accounting policies and provide guidance on how to apply the concept of materiality to accounting policy disclosures. These amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In February 2021 the IASB issued amendments to IAS 8 — Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates which clarify how companies should distinguish changes in accounting policies from changes in accounting estimates. These amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In May 2021 the IASB issued amendments to IAS 12 — Income Taxes: Deferred Tax related to Assets and Liabilities Arising From a Single Transaction that clarify how companies account for deferred tax on transactions such as leases and decommissioning obligations. These amendments are effective on or after January 1, 2023. The Group does not expect any material impact from the adoption of these amendments. In December 2021 the IASB issued an amendments to IFRS 17 — Insurance Contracts: Initial Application of IFRS 17 and IFRS 9 - Comparative Information , which provides a transition option relating to comparative information about financial assets presented on initial application of IFRS 17. The amendment is aimed at helping entities to avoid temporary accounting mismatches between financial assets and insurance contract liabilities, and therefore improve the usefulness of |
Subsidiaries | Subsidiaries Subsidiaries are entities over which the Group has control. Control is achieved when the Group has power over the investee, when it is exposed to, or has rights to, variable returns from its involvement with the investee, and has the ability to use its power over the investee to affect the amount of the investor’s returns. Subsidiaries are consolidated on a line by line basis from the date on which the Group achieves control. The Group reassesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control listed above. The Group recognizes any non-controlling interests (“NCI”) in the acquiree on an acquisition-by-acquisition basis, either at fair value or at the non-controlling interest’s share of the recognized amounts of the acquiree’s identifiable net assets. Net profit or loss and each component of other comprehensive income/(loss) are attributed to the owners of the parent and to the non-controlling interests. Total comprehensive income/(loss) of subsidiaries is attributed to owners of the parent and to the non-controlling interests even if this results in the non-controlling interests having a deficit balance. All significant intra-group balances and transactions and any unrealized gains and losses arising from intra-group transactions are eliminated in preparing the Consolidated Financial Statements. Subsidiaries are deconsolidated from the date when control ceases. When the Group ceases to have control over a subsidiary, it derecognizes the assets (including any goodwill) and liabilities of the subsidiary at their carrying amounts, derecognizes the carrying amount of non-controlling interests in the former subsidiary and recognizes the fair value of any consideration received from the transaction. Any retained interest in the former subsidiary is then remeasured to its fair value. In 2016 the Group sold a majority stake in Ferrari Financial Services GmbH. From such date, the Group’s remaining interest has been remeasured at fair value and accounted for using the equity method. |
Interest in associates | Interests in associates An associate is an entity over which the Group has significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee but without having control or joint control over those policies. Associates are accounted for using the equity method of accounting from the date significant influence is obtained. Under the equity method, the investments are initially recognized at cost and adjusted thereafter to recognize the Group’s share of the profit/(loss) and other comprehensive income/(loss) of the investee. The Group’s share of the investee’s profit/(loss) is recognized in the consolidated income statement. Distributions received from an investee reduce the carrying amount of the investment. Post-acquisition movements in other comprehensive income/(loss) are recognized in other comprehensive income/(loss) with a corresponding adjustment to the carrying amount of the investment. Unrealized gains on transactions between the Group and its associates are eliminated to the extent of the Group’s interest in the associate. Unrealized losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. When the Group’s share of the losses of an associate exceeds the Group’s interest in that associate, the Group discontinues recognizing its share of further losses. Additional losses are provided for, and a liability is recognized, only to the extent that the Group has incurred legal or constructive obligations or made payments on behalf of the associate. The Group discontinues the use of the equity method from the date the investment ceases to be an associate or when it is classified as available-for-sale. |
Interests in joint operations | Interests in joint operations A joint operation is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the assets and obligations for the liabilities, relating to the arrangement. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control. When the Group undertakes its activities under joint operations, it recognizes in relation to its interest in the joint operation: (i) its assets, including its share of any assets held jointly, (ii) its liabilities, including its share of any liabilities incurred jointly, (iii) its revenue from the sale of its share of the output arising from the joint operation, (iv) its share of the revenue from the sale of the output by the joint operation, and (v) its expenses, including its share of any expenses incurred jointly. |
Foreign currency transactions | Foreign currency transactions The functional currency of the Group’s entities is the currency of their primary economic environment. In individual companies, transactions in foreign currencies are recorded at the exchange rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are translated at the foreign currency exchange rate prevailing at that date. Exchange differences arising on the settlement of monetary items or on reporting monetary items at rates different from those at which they were initially recorded during the period or in previous financial statements are recognized in the consolidated income statement. |
Consolidation of foreign entities | Consolidation of foreign entities All assets and liabilities of foreign consolidated companies with a functional currency other than the Euro are translated using the closing rates at the date of the consolidated statement of financial position. Income and expenses are translated into Euro at the average foreign currency exchange rate for the period. Translation differences resulting from the application of this method are classified as currency translation differences within other comprehensive income/(loss) until the disposal of the investment. Average foreign currency exchange rates for the period are used to translate the cash flows of foreign subsidiaries in preparing the consolidated statement of cash flows. Goodwill, assets acquired and liabilities assumed arising from the acquisition of entities with a functional currency other than the Euro are recognized in the Consolidated Financial Statements in the functional currency and translated at the foreign currency exchange rate at the acquisition date. These balances are translated at subsequent balance sheet dates at the relevant foreign currency exchange rate. |
Goodwill | Goodwill Goodwill is not amortized, but is tested for impairment annually or more frequently if events or changes in circumstances indicate that it might be impaired. After initial recognition, goodwill is measured at cost less any accumulated impairment losses. In accordance with IAS 36 — Impairment of Assets , goodwill is not amortized and is tested for impairment annually or more frequently if facts or circumstances indicate that the asset may be impaired. As the Group is composed of one operating segment, goodwill is tested at the Group level, which represents the lowest level within the Group at which goodwill is monitored for internal management purposes in accordance with IAS 36. The impairment test is performed by comparing the carrying amount (which mainly comprises property, plant and equipment, goodwill and capitalized development costs) and the recoverable amount of the CGU. The recoverable amount of the CGU is the higher of its fair value less costs of disposal and its value in use. |
Development costs, patents, concessions and licenses and other intangible assets | Development costs Development costs for car project production and related components, engines and systems are recognized as an asset if, and only if, both of the following conditions under IAS 38 — Intangible Assets are met: that development costs can be measured reliably and that the technical feasibility of the product, volumes and pricing support the view that the development expenditure will generate future economic benefits. Capitalized development costs include all direct and indirect costs that may be directly attributed to the development process. All other research and development costs are expensed as incurred, net of any government grants received. Capitalized development costs are amortized on a straight-line basis from the start of production over the estimated lifecycle of the model or the useful life of the related components or other assets (generally between four The Group incurs significant research and development costs through the Formula 1 racing activities. These costs are considered fundamental to the development of the range and track car models and prototypes. Technological developments and changes in the regulations of the Formula 1 World Championship generally require the Group to design, develop and construct a new racing car to be used for one year only. The costs incurred for the design, development and construction of a new racing car are generally expensed as incurred unless the technology will be used for more than one year and the costs meet the capitalization criteria in IAS 38. Patents, concessions and licenses Separately acquired patents, concessions and licenses are initially recognized at cost. Patents, concessions and licenses acquired in a business combination are initially recognized at fair value. Patents, concessions and licenses are amortized on a straight-line basis over their useful economic lives, which is generally between three Other intangible assets Other intangible assets mainly relate to the registration of trademarks and have been recognized in accordance with IAS 38 — Intangible Assets , where it is probable that the use of the asset will generate future economic benefits for the Group and where the cost of the asset can be measured reliably. Other intangible assets are measured at cost less any impairment losses and amortized on a straight-line basis over their estimated life, which is generally between three |
Property, plant and equipment | Property, plant and equipment Cost Property, plant and equipment is initially recognized at cost which comprises the purchase price, any costs directly attributable to bringing the assets to the location and condition necessary to be capable of operating in the manner intended by management, capitalized borrowing costs and any initial estimate of the costs of dismantling and removing the item and restoring the site on which it is located. Self-constructed assets are initially recognized at production cost. Subsequent expenditures and the cost of replacing parts of an asset are capitalized only if they increase the future economic benefits embodied in that asset. All other expenditures are expensed as incurred. When such replacement costs are capitalized, the carrying amount of the parts that are replaced is recognized as a loss in the period of replacement in the consolidated income statement. Depreciation Depreciation is calculated on a straight-line basis over the estimated useful lives of the assets, as follows: Depreciation rates Industrial buildings 3% - 20% Plant, machinery and equipment 5% - 22% Other assets 12% - 25% Land is not depreciated. Non-current assets with definite useful lives include property, plant and equipment and intangible assets. Intangible assets with definite useful lives mainly consist of capitalized development costs. The Group periodically reviews the carrying amount of non-current assets with definite useful lives when events and circumstances indicate that an asset may be impaired. Impairment tests are performed by comparing the carrying amount and the recoverable amount of the cash-generating unit (“CGU”). The recoverable amount is the higher of the CGU’s fair value less costs of disposal and its value in use. In assessing the value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the CGU. |
Leases | Leases With the adoption of IFRS 16, the Group recognizes a right-of-use asset and a corresponding lease liability at the date at which the leased asset is available for use. Each lease payment is allocated between the principal liability and finance costs. Finance costs are charged to the income statement over the lease period using the effective interest rate method. The right-of-use asset is depreciated on a straight-line basis over the lease term. Right-of-use assets are measured at cost comprising the following: (i) the amount of the initial measurement of lease liability; (ii) any lease payments made at or before the commencement date less any lease incentives received; (iii) any initial direct costs and, if applicable, (iv) restoration costs. Payments associated with short-term leases and leases of low-value assets are recognized as an expense in the income statement on a straight-line basis. Lease liabilities are measured at the net present value of the following: (i) fixed lease payments, (ii) variable lease payments that are based on an index or a rate and, if applicable, (iii) amounts expected to be payable by the lessee under residual value guarantees, and (iv) the exercise price of a purchase option if the lessee is reasonably certain to exercise that option. Lease liabilities do not include any non-lease components that may be included in the related contracts. Lease payments are discounted using the interest rate implicit in the lease. If that rate cannot be determined, the Group’s incremental borrowing rate is used, being the rate that the Group would have to pay to borrow the funds necessary to obtain an asset of similar value in a similar economic environment with similar terms and conditions. Some lease contracts contain variable payment terms that are linked to sales generated from Ferrari stores. Variable lease payments that depend on sales are recognized in the income statement in the period in which the condition that triggers those payments occurs. Extension and termination options are included in a number of leases related to Ferrari stores, warehouses and machinery and equipment of the Group. In determining the lease term, management considers all facts and circumstances that |
Borrowing costs | Borrowing costs General and specific borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use. All other borrowing costs are expensed in net financial expenses if related to the Group’s industrial activities or cost of sales if related to the Group’s financial services activities in the consolidated income statement, as incurred. |
Impairment of assets | Impairment of assets The Group continuously monitors its operations to assess whether there is any indication that its intangible assets (including development costs) and its property, plant and equipment may be impaired. Goodwill is tested for impairment annually or more frequently, if there is an indication that an asset may be impaired. If indications of impairment are present, the carrying amount of the asset is reduced to its recoverable amount, which is the higher of fair value less costs of disposal and its value in use. The recoverable amount is determined for the individual asset, unless the asset does not generate cash inflows that are largely independent of the cash inflows from other assets or groups of assets, in which case the asset is tested as part of the cash-generating unit (“CGU”) to which the asset belongs. A CGU is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. In assessing the value in use of an asset or CGU, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset or CGU. An impairment loss is recognized if the recoverable amount is lower than the carrying amount. |
Financial instruments | Financial instruments Presentation Current financial assets include trade receivables, receivables from financing activities, derivative financial instruments, other current financial assets and cash and cash equivalents. Investments and other financial assets include investments accounted for using the equity method as well as other securities and non-current financial assets. Financial liabilities include debt (which primarily includes bonds, notes, asset-backed financing (securitizations) and borrowings from banks), trade payables and other financial liabilities, which mainly include derivative financial instruments. Measurement Financial assets, other than investments accounted for using the equity method, and financial liabilities are measured in accordance with IFRS 9 - Financial Instruments . Except for investments accounted for using the equity method, the Group initially measures financial assets at fair value plus, in the case of financial assets not measured at fair value through profit or loss, transaction costs. Equity instruments held by the Group are recognized at fair value through profit or loss. When market prices are not directly available, the fair value is measured using appropriate valuation techniques (e.g. discounted cash flow analysis based on market information available at the balance sheet date). As permitted by IFRS 9, equity investments for which there is no quoted market price in an active market and there is insufficient financial information in order to determine fair value may be measured at cost as an estimate of fair value. Trade receivables and receivables from financing activities are originated in the ordinary course of business and held within a business model with the objective to hold the receivables in order to collect contractual cash flows that meet the ‘solely payments of principal and interest’ criterion under IFRS 9, therefore they are measured at amortized cost using the effective interest rate method. Receivables with maturities greater than one year are discounted to present value. Assessments are made regularly as to whether there is any objective evidence that a financial asset or group of financial assets may be impaired and, if any such evidence exists, an impairment loss is recognized within financial expenses. Under IFRS 9, a forward-looking expected credit loss model must be applied when assessing impairment. In making impairment assessments, the Group applies the standard simplified approach to estimate the lifetime expected credit losses and considers its historical credit loss experience, adjusted for forward-looking factors specific to the nature of the Group’s receivables and economic environment, which may be different for the Group’s trade receivables compared to receivables from financing activities. If any such evidence exists, an impairment loss is recognized within financial expenses. The Group considers a default to occur and a significant increase in credit risk to occur when the counterparty fails to make contractual payments within a certain number of days of when they fall due. For example, for receivables from financing activities this typically occurs when the counterparty fails to make contractual payments within 60 days of when the related receivables fall due, while for trade receivables this is assessed on a case by case basis. Financial assets and trade receivable are written off when the counterparty fails to make contractual payments and there is no reasonable expectation of recovery, and in any circumstance no later than 360 days. When trade receivables or receivables from financing activities have been written off, the Company may continue to engage in enforcement actions to attempt to recover the receivables. Financial liabilities, with the exception of derivative financial instruments, are measured at amortized cost using the effective interest rate method. |
Derivative financial instruments | Derivative financial instruments Derivative financial instruments are used for economic hedging purposes only in order to reduce financial risks and in particular, foreign currency risks. Derivative financial instruments qualify for hedge accounting only when at the inception of the hedge there is formal designation and documentation of the hedging relationship, the hedge is expected to be highly effective, its effectiveness can be reliably measured and it is highly effective throughout the financial reporting periods for which it is designated. All derivative financial instruments are measured at fair value. When derivative financial instruments qualify for hedge accounting, the following accounting treatments apply: Cash flow hedges — Where a derivative financial instrument is designated as a hedge of the exposure to variability in future cash flows of a recognized asset or liability or a highly probable forecasted transaction and could affect the consolidated income statement, the effective portion of any gain or loss on the derivative financial instrument is recognized directly in other comprehensive income/(loss). The cumulative gain or loss is reclassified from other comprehensive income/(loss) to the consolidated income statement at the same time as the economic effect arising from the hedged item affects the consolidated income statement. The gain or loss associated with a hedge or part of a hedge that has become ineffective is recognized in the consolidated income statement immediately within net financial income/expenses. When a hedging instrument or hedge relationship is terminated but the hedged transaction is still expected to occur, the cumulative gain or loss realized to the point of termination remains in other comprehensive income/(loss) and is recognized in the consolidated income statement at the same time as the underlying transaction occurs. If the hedged transaction is no longer probable, the cumulative unrealized gain or loss held in other comprehensive income/(loss) is recognized in the consolidated income statement immediately. The Group does not use fair value hedges or hedges of a net investment. |
Transfers of financial assets | Transfers of financial assets The Group sells certain of its receivables from financing activities under securitization programs. Securitization transactions involve the sale of a financial receivables portfolio to a special purpose vehicle, which in turn finances the purchase of such financial receivables by issuing asset-backed securities in the form of notes whose repayment of principal and interest depends on the cash flows generated by the related financial receivables. The receivables sold as part of securitization programs are consolidated until collection from the customer as they do not meet the requirements for derecognition in accordance with IFRS 9. The Group may also sell certain of its trade receivables through factoring transactions without recourse. The Group derecognizes the financial assets when, and only when, the contractual rights and risks to the cash flows arising from the related financial assets are no longer held or the Group has transferred the financial assets. In the case of a transfer of financial assets, if the Group transfers substantially all the risks and rewards of ownership of the financial assets, it derecognizes such assets and separately recognizes as assets or liabilities any rights and obligations created or retained in the transfer. On derecognition of financial assets, the difference between the carrying amount of the assets and the consideration received or receivable for the transfer of the assets is recognized within cost of sales in the consolidated income statement. |
Trade receivables | Trade receivables Trade receivables are amounts due from clients for goods sold or services provided in the ordinary course of business. Trade receivables are recognized initially at fair value and subsequently measured at amortized cost using the effective interest rate method, less any provision for allowances. |
Inventories | Inventories Inventories of raw materials, semi-finished products and finished goods are stated at the lower of cost and net realizable value, cost being determined on a first-in first-out (FIFO) basis. The measurement of inventories includes the direct costs of materials, labor and indirect costs (variable and fixed). Purchase costs include ancillary costs. Prototypes are recognized at their estimated realizable value, if lower than production cost. Provision is made for obsolete and slow-moving raw materials, finished goods, spare parts and other supplies based on their expected future use and realizable value. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs for sale and distribution. |
Cash and cash equivalents | Cash and cash equivalents Cash and cash equivalents includes cash in hand, deposits held at call with banks and other short-term highly liquid investments with original maturities of three months or less. |
Employee benefits | Employee benefits Defined contribution plans Costs arising from defined contribution plans are expensed as incurred. Defined benefit plans The Group’s net obligations are determined separately for each plan by estimating the present value of future benefits that employees have earned in the current and prior periods, and deducting the fair value of any plan assets. The present value of the defined benefit obligation is measured using actuarial techniques and actuarial assumptions that are unbiased and mutually compatible and attributes benefits to periods in which the obligation to provide post-employment benefits arise by using the Projected Unit Credit Method. The components of the defined benefit cost are recognized as follows: • the service costs are recognized in the consolidated income statement by function and presented in the relevant line items (cost of sales, selling, general and administrative costs, research and development costs, etc.); • the net interest on the defined benefit liability is recognized in the consolidated income statement as net financial income /(expenses), and is determined by multiplying the net liability/(asset) by the discount rate used to discount obligations taking into account the effect of contributions and benefit payments made during the year; and • the remeasurement components of the net obligations, which comprise actuarial gains and losses and any change in the effect of the asset ceiling are recognized immediately in other comprehensive income/(loss). These remeasurement components are not reclassified in the consolidated income statement in a subsequent period. Other long-term employee benefits |
Share-based compensation | Share-based compensation The Group has implemented equity incentive plans that provide for the granting of share-based compensation to the Chairman, the Chief Executive Officer, all other members of the Ferrari Leadership Team and other key employees of the Group. The Group also provides share-based compensation as part of commercial agreements with certain suppliers. The share-based compensation arrangements are accounted for in accordance with IFRS 2 — Share-based Payment , which requires the Company to recognize share-based compensation expense based on fair value of awards granted. Compensation expense for the equity-settled awards containing market performance conditions is measured at the grant date fair value of the award using a Monte Carlo simulation model, which requires the input of subjective assumptions, including the expected volatility of the Company’s common stock, the dividend yield, interest rates and a correlation coefficient between the common stock and the relevant market index. The fair value of the awards which are conditional only on a recipient’s continued service to the Company is measured using the share price at the grant date adjusted for the present value of future distributions which employees will not receive during the vesting period. Share-based compensation expense relating to the equity incentive plans is recognized over the service period within selling, general and administrative costs or cost of sales in the consolidated income statement depending on the function of the employee, with an offsetting increase to equity. Share-based compensation expense relating to commercial agreements with certain suppliers is recognized over the period in which the supplier’s services are received and classified within the consolidated income statement depending on the function of the supplier’s services, with an offsetting increase to equity. The Group accounts for share-based compensation relating to its equity incentive plans and commercial agreements with certain suppliers in accordance with IFRS 2 — Share-based Payment, which requires the recognition of share-based compensation expense based on the fair value of the awards granted. Share-based compensation for equity-settled awards containing market performance conditions is measured at the grant date of the awards using a Monte Carlo simulation model, |
Provisions | Provisions Provisions are recognized when the Group has a present obligation, legal or constructive, as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate of the amount of the obligation can be made. Warranty and recall campaigns provision All cars are sold with warranty coverage. The warranty coverage generally applies to defects that may become apparent within a certain period from the purchase of the car. |
Deferred income, advances and revenue recognition | Deferred income Deferred income relates to amounts received by the Group under various agreements, which are reliant on the future performance of a service or other act of the Group. Deferred income is recognized as net revenues when the Group has fulfilled its obligations under the terms of the various agreements. Range models (models belonging to the Ferrari product portfolio, excluding special series, Icona, limited edition hypercars and one-off models) are sold with a scheduled maintenance program to ensure that the cars are maintained to the highest standards to meet the Group’s strict requirements for performance and safety. Amounts attributable to the maintenance program are not recognized as income immediately, but are deferred over the maintenance program term. The amount of the deferred income related to this program, is based on the estimated fair value of the service to be provided. Advances Advances relate to amounts received from or billed to customers in advance of having delivered the related cars or provided the related services. Revenue recognition Revenue is recognized when control over a product or service is transferred to a customer. Revenue is measured at the transaction price which is based on the amount of consideration that the Group expects to receive in exchange for transferring the promised goods or services to the customer and excludes any sales incentives as well as taxes collected from customers that are remitted to government authorities. The transaction price will include estimates of variable consideration to the extent it is probable that a significant reversal of revenue recognized will not occur. The Group enters into contracts that may include both products and services, which are generally capable of being distinct and accounted for as separate performance obligations. The Group generates revenue from the sale of cars, spare parts and engines as well as from sponsorship, commercial and brand activities. The Group accounts for a contract with a customer when there is a legally enforceable contract between the Group and the customer, the rights of the parties are identified, the contract has commercial substance, and collectability of the contract consideration is probable. Payments from customers are typically due within 30 and 40 days of invoicing. The Group does not recognize any assets associated with the incremental costs of obtaining a contract with a customer that are expected to be recovered. The majority of revenue is recognized at a point-in-time or over a period of one year or less, and the Group applies the practical expedient to recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that would otherwise be recognized is one year or less. Cars, spare parts and engines The sales of cars, spare parts and engines have multiple performance obligations that include products, services, or a combination of products and services as contracts may include maintenance programs and extended warranties that are separately priced or not separately priced. Contracts may also include variable consideration for discounts such as sales incentives and performance based bonuses and product returns. The cost of incentives is estimated at the inception of a contract at the expected amount that will ultimately be paid and is recognized as a reduction to revenue at the time of the sale. Revenues recognized are limited to the amount of consideration the Group expects to receive. The Group allocates the transaction price to the performance obligations based on the stand alone selling prices (SSP) for each obligation. When the SSP does not exist, the Group estimates the SSP based on the adjusted market approach. Revenues for the sale of cars, spare parts and engines are recognized at a point in time when control of the cars, spare parts or engines is transferred to the customer based on shipping terms, which generally corresponds to the date when the cars, spare parts and engines are released to the carrier responsible for transportation to dealers or Maserati. Revenues relating to the maintenance program are recognized over time based on the input method of measuring progress towards complete satisfaction of the related performance obligation, calculated as a proportion of overall revenues expected during the maintenance period equal to the ratio of costs incurred in the reporting period compared to the overall costs to be incurred during the maintenance period. Revenues relating to the extended warranties are recognized on a straight-line basis over the extended warranty period. Revenues from the supply of engines and related services to other Formula 1 racing teams are recognized over time on a time and materials basis when the services are provided. Management has exercised judgment in determining performance obligations, variable consideration, allocation of transaction price and the timing of revenue recognition. Sponsorship, commercial and brand activities Revenues from sponsorship agreements are generally recognized ratably over the contract term as the customer benefits from the service throughout the service period. For sponsorship agreements that contain variable consideration based on performance of the racing team, the related revenues are estimated and recognized over the relevant period to the extent that it is highly probable that a significant reversal in the amount of the cumulative revenue recognized will not occur, which is typically when it is considered highly probable that the related conditions associated with the variable consideration will be achieved. Revenues from commercial activities primarily relate to the revenues from participating in the Formula 1 World Championship. The revenues attributable to each racing team are governed by a specific agreement and depend upon, among other factors, the prior year ranking of each of the racing teams. Revenues of the commercial activities are recognized ratably over the contract term. Revenues from brand licensing agreements where the customer has a right to access the Group’s brands or the contract includes minimum guaranteed payments are recognized on a straight-line basis over the contract term. Licensing revenues in excess of the minimum guaranteed payments are recognized when the related conditions are satisfied. Revenues from sales-based licensing agreements are recognized when the sales occur. Management has exercised judgment in determining variable consideration. Other revenues Interest income generated by our financial service activities from the provision of client and dealer financing is reported within revenues using the effective interest rate method and not within net financial income/expenses. |
Cost of sales | Cost of sales Cost of sales comprises expenses incurred in the manufacturing and distribution of cars and parts, including the engines rented to other Formula 1 racing teams, of which, cost of materials, components and labor costs are the most significant portion. The remaining costs principally include depreciation, amortization, insurance and transportation costs. Cost of sales also includes warranty and product-related costs, which are estimated and recorded at the time of sale of the car. Expenses which are directly attributable to the financial services companies, including the interest expenses related to their financing as a whole and provisions for risks and write-downs of assets, are also reported in cost of sales. |
Other expenses and other income | Other expenses and other income Other expenses consist of miscellaneous costs which cannot be allocated to specific functional areas, such as indirect taxes, accruals for provisions not attributable to cost of sales or selling, general and administrative costs, and other miscellaneous expenses. Other income consists of miscellaneous income that is not directly attributable to the sale of goods or services, such as gains on the disposal of property plant and equipment, the release of certain provisions originally recognized as other expenses, rental income and other miscellaneous income. |
Taxes and Current and Deferred Taxes | Taxes Income taxes include all taxes based upon the taxable profits of the Group. Current and deferred taxes are recognized as income or expense and are included in the consolidated income statement for the period, except tax arising from (i) a transaction or event which is recognized, in the same or a different period, either in other comprehensive income/(loss) or directly in equity, or (ii) a business combination. Deferred taxes are accounted using the full liability method. Deferred tax liabilities are recognized for all taxable temporary differences between the carrying amounts of assets or liabilities and their tax base, except to the extent that the deferred tax liabilities arise from the initial recognition of goodwill or the initial recognition of an asset or liability in a transaction which is not a business combination and at the time of the transaction, affects neither accounting profit nor taxable profit. Deferred tax assets are recognized for all deductible temporary differences to the extent that it is probable that taxable profit will be available against which the deductible temporary differences can be utilized, unless the deferred tax assets arise from the initial recognition of an asset or liability in a transaction that is not a business combination and at the time of the transaction, affects neither accounting profit nor taxable profit. Deferred tax assets and liabilities are measured at the substantively enacted tax rates in the respective jurisdictions in which the Group operates that are expected to apply to the period when the asset is realized or liability is settled. Any remeasurements to deferred tax assets and liabilities as a result of changes in substantially enacted tax rates are recognized in the income statement. The recoverability of deferred tax assets is dependent on the Group’s ability to generate sufficient future taxable income in the period in which it is assumed that the deductible temporary differences reverse and tax losses carried forward can be utilized. In making this assessment, the Group considers future taxable income arising on the most recent budgets and plans, prepared by using the same criteria described for testing the impairment of assets and goodwill, moreover, it estimates the impact of the reversal of taxable temporary differences on earnings and it also considers the period over which these assets could be recovered. The carrying amount of deferred tax assets is reduced to the extent that it is not probable that sufficient taxable profit will be available to allow the benefit of part or all of the deferred tax assets to be utilized. The carrying amount of deferred tax assets is reviewed at each reporting date. The Group recognizes deferred tax liabilities associated with the existence of a subsidiary’s undistributed profits, except when it is able to control the timing of the reversal of the temporary difference and it is probable that this temporary difference will not reverse in the foreseeable future. The Group recognizes deferred tax assets associated with the deductible temporary differences on investments in subsidiaries only to the extent that it is probable that the temporary differences will reverse in the foreseeable future and taxable profit will be available against which the temporary difference can be utilized. Deferred tax assets relating to the carry-forward of unused tax losses and tax credits, as well as those arising from deductible temporary differences, are recognized to the extent that it is probable that future profits will be available against which they can be utilized. Current income taxes and deferred taxes are offset when they relate to the same taxation authority and there is a legally enforceable right of offset. Italian Regional Income Tax (“IRAP”) is recognized within income tax expense. IRAP is calculated on a measure of income defined by the Italian Civil Code as the difference between operating revenues and costs, before financial income and expense, and in particular before the cost of fixed-term employees, credit losses and any interest included in lease payments. IRAP is applied on the tax base at 3.9 percent for the years ended December 31, 2021, 2020 and 2019. Tax uncertainties are accounted for in accordance with IFRIC 23. Other taxes not based on income, such as property taxes and capital taxes, are included in other expenses, net. Current and deferred taxes The calculation of current and deferred income taxes, including various tax benefits, exemptions or credits (such as patent box tax benefits, asset revaluations and research and development credits), involves the interpretation of applicable tax laws and regulations that could be subject to changes or application directives from tax authorities. As a result, the calculation of current and deferred taxes, including those related to uncertain tax positions, may require complex management estimates and judgments that are periodically reviewed for any changes in facts and circumstances or changes in tax regulations and interpretations. Such judgments are primarily related to the recoverability of deferred long-term tax assets, which involves the assessment of the ability to generate sufficient future taxable profit over the period in which the deductible temporary differences or unused tax losses are expected to be utilized, as well as to the calculation of certain tax benefits and liabilities. |
Dividends | Dividends Dividends payable by the Group are reported as a change in equity in the period in which they are approved by shareholders or the Board of Directors as applicable under local rules and regulations. |
Rounding of amounts | Rounding of amounts All amounts disclosed in the financial statements and notes have been rounded off to the nearest thousand Euro unless otherwise stated. |
Segment reporting | Segment reporting The Group has determined that it has one operating and one reportable segment based on the information reviewed by the Board of Directors (the Group’s “Chief Operating Decision Maker” as defined in IFRS 8 — Operating Segments ) in making decisions regarding the allocation of resources and to assess performance. |
Use of estimates | Use of estimates The Consolidated Financial Statements are prepared in accordance with IFRS which require the use of estimates, judgments and assumptions that affect the carrying amount of assets and liabilities, the disclosure of contingent assets and liabilities and the amounts of income and expenses recognized. The estimates and associated assumptions are based on elements that are known when the financial statements are prepared, on historical experience and on any other factors that are considered to be relevant. The estimates and underlying assumptions are reviewed periodically and continuously by the Group. If the items subject to estimates do not perform as assumed, then the actual results could differ from the estimates, which would require adjustment accordingly. The effects of any changes in estimate are recognized in the consolidated income statement in the period in which the adjustment is made, or prospectively in future periods. The items requiring estimates for which there is a risk that a material difference may arise in respect of the carrying amounts of assets and liabilities in the future are discussed below. |
Development costs | Development costs Development costs are capitalized if the conditions under IAS 38 — Intangible Assets have been met. The starting point for capitalization is based upon the technological and commercial feasibility of the project, which is usually when a product development project has reached a defined milestone according to the Group’s established product development model. Feasibility is based on management’s judgment which is formed on the basis of estimated future cash flows. Capitalization ceases and amortization of capitalized development costs begins on start of production of the relevant project. The amortization of development costs requires management to estimate the lifecycle of the related model or assets. Any changes in such assumptions would impact the amortization charge recorded and the carrying amount of capitalized development costs. The periodic amortization charge is derived after determining the expected lifecycle of the related model or assets and, if applicable any expected residual value at the end of its life. Increasing an asset’s expected lifecycle or its residual value would result in a reduced amortization charge in the consolidated income statement. The useful lives and residual values of the Group’s models are determined by management at the time of capitalization and reviewed annually for appropriateness and recoverability. The lives are based on historical experience with similar assets as well as anticipation of future events which may impact their life such as changes in technology. Historically changes in useful lives and residual values have not resulted in material changes to the Group’s amortization charge or estimated recoverability of the related assets. |
Product warranty liabilities | Product warranty liabilities The Group establishes reserves for product warranties at the time the sale is recognized. The Group issues various types of product warranties under which the performance of products delivered is generally guaranteed for a certain period or term, which is generally defined by the legislation in the country where the car is sold. The reserve for product warranties includes the expected costs of warranty obligations imposed by law or contract, as well as the expected costs for policy coverage. The estimated future costs of these actions are principally based on assumptions regarding the lifetime warranty costs of each car line and each model year of that car line, as well as historical claims experience for the Group’s cars. In addition, the number and magnitude of additional service actions expected to be approved, and policies related to additional service actions, are taken into consideration. Due to the uncertainty and potential volatility of these estimated factors, changes in the assumptions used could materially affect the results of operations. The Group periodically initiates voluntary service actions to address various client satisfaction, safety and emissions issues related to cars sold. Included in the reserve is the estimated cost of these services and recall actions. The estimated future costs of these actions are based primarily on historical claims experience for the Group’s cars and the cost of parts and services to be incurred in the specified activities, and are recognized at the time when they are probable and reasonably estimable. Estimates of the future costs of these actions are inevitably imprecise due to several uncertainties, including the number of cars affected by a service or recall action. It is reasonably possible that the ultimate cost of these service and recall actions may require the Group to make expenditures in excess of (or less than) established reserves over an extended period of time. The estimate of warranty and additional service obligations is periodically reviewed during the year. In addition, the Group makes provisions for estimated product liability costs arising from property damage and personal injuries including wrongful death, and potential exemplary or punitive damages alleged to be the result of product defects. By nature, these costs can be infrequent, difficult to predict, and have the potential to vary significantly in amount. Costs associated with these provisions are recorded in the consolidated income statement and any subsequent adjustments are recorded in the period in which the adjustment is determined. |
Other contingent liabilities | Other contingent liabilities The Group makes provisions in connection with pending or threatened disputes or legal proceedings when it is considered probable that there will be an outflow of funds and when the amount can be reasonably estimated. If an outflow of funds becomes possible but the amount cannot be estimated, the matter is disclosed in the notes to the Consolidated Financial Statements. The Group is the subject of legal and tax proceedings covering a wide range of matters in various jurisdictions. Due to the uncertainty inherent in such matters, it is difficult to predict the outflow of funds that could result from such disputes with any certainty. Moreover, the cases and claims against the Group often derive from complex legal issues which are subject to a differing degree of uncertainty, including the facts and circumstances of each particular case and the manner in which applicable law is likely to be interpreted and applied to such fact and circumstances, and the jurisdiction and the different laws involved. The Group monitors the status of pending legal proceedings and consults with experts on legal and tax matters on a regular basis. It is therefore possible that the provisions for the Group’s legal proceedings and litigation may vary as the result of future developments in pending matters. |
Litigation | Litigation Various legal proceedings, claims and governmental investigations are pending against the Group on a wide range of topics, including car safety, emissions and fuel economy, early warning reporting, dealer, supplier and other contractual relationships, intellectual property rights and product warranties matters. Some of these proceedings allege defects in specific component parts or systems (including airbags, seatbelts, brakes, transmissions, engines and fuel systems) in various car models or allege general design defects relating to car handling and stability, sudden unintended movement or crashworthiness. These proceedings seek recovery for damage to property, personal injuries or wrongful death and in some cases could include a claim for exemplary or punitive damages. Adverse decisions in one or more of these proceedings could require the Group to pay substantial damages, or undertake service actions, recall campaigns or other costly actions. Litigation is subject to many uncertainties, and the outcome of individual matters is not predictable with assurance. An accrual is established in connection with pending or threatened litigation if a loss is probable and a reliable estimate can be made. Since these accruals represent estimates, it is reasonably possible that the resolution of some of these matters could require the Group to make payments in excess of the amounts accrued. It is also reasonably possible that the resolution of some of the matters for which accruals could not be made may require the Group to make payments in an amount or range of amounts that could not be reasonably estimated. The term “reasonably possible” is used herein to mean that the chance of a future transaction or event occurring is more than remote but less than probable. Although the final resolution of any such matters could have a material effect on the Group’s operating results for the particular reporting period in which an adjustment of the estimated reserve is recorded, it is believed that any resulting adjustment would not materially affect the consolidated financial position of the Group. |
Cash flow hedges | The policy of the Group for managing foreign currency risk normally requires hedging of a portion of projected future cash flows from trading activities and orders acquired (or contracts in progress) in foreign currencies that will occur within the following 12 months. Derivatives relating to foreign currency risk management are treated as cash flow hedges where the derivative qualifies for hedge accounting. The amounts recorded in the cash flow hedge reserve within other comprehensive income will be recognized in the consolidated income statement according to the timing of the flows of the underlying transactions. Management believes that substantially all of the hedging effects arising from these derivative contracts and recorded in the cash flow hedge reserve will be recognized in the consolidated income statement within the following 12 months from the reporting date. |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Significant Accounting Policies [Abstract] | |
Disclosure of foreign currency exchange rates used to translate other currencies into Euro | The principal foreign currency exchange rates used to translate other currencies into Euro were as follows: 2021 2020 2019 Average At December 31, Average At December 31, Average At December 31, U.S. Dollar 1.1827 1.1326 1.1422 1.2271 1.1195 1.1234 Pound Sterling 0.8596 0.8403 0.8897 0.8990 0.8778 0.8508 Swiss Franc 1.0811 1.0331 1.0705 1.0802 1.1124 1.0854 Japanese Yen 129.8767 130.3800 121.8458 126.4900 122.0058 121.9400 Chinese Yuan 7.6282 7.1947 7.8747 8.0225 7.7355 7.8205 Australian Dollar 1.5749 1.5615 1.6549 1.5896 1.6109 1.5995 Canadian Dollar 1.4826 1.4393 1.5300 1.5633 1.4855 1.4598 Singapore Dollar 1.5891 1.5279 1.5742 1.6218 1.5273 1.5111 Hong Kong Dollar 9.1932 8.8333 8.8587 9.5142 8.7715 8.7473 |
Disclosure of straight line depreciation rates | Depreciation is calculated on a straight-line basis over the estimated useful lives of the assets, as follows: Depreciation rates Industrial buildings 3% - 20% Plant, machinery and equipment 5% - 22% Other assets 12% - 25% |
SCOPE OF CONSOLIDATION (Tables)
SCOPE OF CONSOLIDATION (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Scope of Consolidation [Abstract] | |
Disclosure of scope of consolidation | The Group’s scope of consolidation at December 31, 2021 and 2020 was as follows: At December 31, 2021 At December 31, 2020 Name Country Nature of business Shares held by the Group Shares held by NCI Shares held by the Group Shares held by NCI Directly held interests Ferrari S.p.A. Italy Manufacturing 100 % — % 100 % — % Indirectly held through Ferrari S.p.A. Ferrari North America Inc. USA Importer and distributor 100 % — % 100 % — % Ferrari Japan KK Japan Importer and distributor 100 % — % 100 % — % Ferrari Australasia Pty Limited Australia Importer and distributor 100 % — % 100 % — % Ferrari International Cars Trading (Shanghai) Co. L.t.d. China Importer and distributor 80 % 20 % 80 % 20 % Ferrari (HK) Limited Hong Kong Importer and distributor 100 % — % 100 % — % Ferrari Far East Pte Limited Singapore Service company 100 % — % 100 % — % Ferrari Management Consulting (Shanghai) Co. L.t.d. China Service company 100 % — % 100 % — % Ferrari South West Europe S.a.r.l. France Service company 100 % — % 100 % — % Ferrari Central Europe GmbH Germany Service company 100 % — % 100 % — % G.S.A. S.A. in liquidation Switzerland Service company 100 % — % 100 % — % Mugello Circuit S.p.A. Italy Racetrack management 100 % — % 100 % — % Ferrari Financial Services, Inc. USA Financial services 100 % — % 100 % — % Indirectly held through other Group entities Ferrari Auto Securitization Transaction LLC (1) USA Financial services 100 % — % 100 % — % Ferrari Auto Securitization Transaction - Lease, LLC (1) USA Financial services 100 % — % 100 % — % Ferrari Auto Securitization Transaction - Select, LLC (1) USA Financial services 100 % — % 100 % — % Ferrari Financial Services Titling Trust (1) USA Financial services 100 % — % 100 % — % 410 Park Display, Inc. (2) USA Retail 100 % — % 100 % — % _____________________________ (1) Shareholding held by Ferrari Financial Services Inc. (2) Shareholding held by Ferrari North America Inc. At December 31, 2021 2020 (€ thousand) Equity attributable to non-controlling interests 5,518 4,018 For the years ended December 31, 2021 2020 2019 (€ thousand) Net profit attributable to non-controlling interests 2,369 1,063 2,890 |
NET REVENUES (Tables)
NET REVENUES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Analysis of income and expense [abstract] | |
Disclosure of net revenues | Net revenues are as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Cars and spare parts 3,573,119 2,835,170 2,925,721 Engines 189,432 150,655 198,308 Sponsorship, commercial and brand 430,579 390,002 538,238 Other 77,764 83,963 104,348 Total net revenues 4,270,894 3,459,790 3,766,615 |
RESEARCH AND DEVELOPMENT COSTS
RESEARCH AND DEVELOPMENT COSTS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Analysis of income and expense [abstract] | |
Disclosure of research and development costs | Research and development costs are as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Research and development costs expensed during the year 573,632 526,831 559,582 Amortization of capitalized development costs 194,472 180,554 139,629 Total research and development costs 768,104 707,385 699,211 |
OTHER EXPENSES_(INCOME), NET (T
OTHER EXPENSES/(INCOME), NET (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Analysis of income and expense [abstract] | |
Schedule of other expenses, net | Other expenses, net are as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Other expenses 13,666 25,067 14,288 Other income (8,105) (6,592) (9,297) Other expenses, net 5,561 18,475 4,991 |
NET FINANCIAL EXPENSES (Tables)
NET FINANCIAL EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Net financial (expenses)/income [Abstract] | |
Disclosure of financial income and expenses | The following table sets out details of financial income and expenses, including the amounts reported in the consolidated income statement within the net financial expenses line item, as well as interest income from financial services activities, recognized under net revenues, and interest expenses and other financial charges from financial services activities, recognized under cost of sales. For the years ended December 31, 2021 2020 2019 Financial income: (€ thousand) Interest income from bank deposits 399 610 1,690 Other interest income and financial income 4,741 517 4,116 Interest income and other financial income 5,140 1,127 5,806 Finance income from financial services activities 55,043 65,878 66,386 Total financial income 60,183 67,005 72,192 Total financial income relating to: Industrial activities (A) 5,140 1,127 5,806 Financial services activities (reported in net revenues) 55,043 65,878 66,386 Financial expenses: Capitalized borrowing costs 1,874 2,591 2,671 Other interest and financial expenses (3,315) (3,258) (2,427) Interest expenses and other financial expenses (1,441) (667) 244 Interest expenses from banks and other financial institutions (11,310) (14,330) (27,432) Interest and other finance costs on bonds and notes (22,947) (20,116) (20,703) Write-downs of financial receivables (1,467) (9,502) (4,739) Other financial expenses (5,991) (14,580) (13,949) Total financial expenses (43,156) (59,195) (66,579) Net expenses from derivative financial instruments and foreign currency exchange rate differences (11,880) (27,652) (26,392) Total financial expenses and net expenses from derivative financial instruments and foreign currency exchange rate differences (55,036) (86,847) (92,971) Total financial expenses and net expenses from derivative financial instruments and foreign currency exchange rate differences relating to: Industrial activities (B) (38,397) (50,219) (47,888) Financial services activities (reported in cost of sales) (16,639) (36,628) (45,083) Net financial expenses relating to industrial activities (A+B) (33,257) (49,092) (42,082) |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income taxes [Abstract] | |
Disclosure of income taxes | Income tax expense is as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Current tax expense 218,540 120,115 137,303 Deferred tax (benefit)/expense (12,001) (62,474) 32,145 Taxes relating to prior periods 2,556 514 7,208 Total income tax expense 209,095 58,155 176,656 |
Income tax reconciliation | The table below provides a reconciliation between actual income tax expense and the theoretical income tax expense, calculated on the basis of the applicable corporate tax rate in effect in Italy, which was 24.0 percent for each of the years ended December 31, 2021, 2020 and 2019. For the years ended December 31, 2021 2020 2019 (€ thousand) Theoretical income tax expense 250,136 160,088 210,088 Tax effect on: Permanent and other differences (79,267) (129,016) (76,187) Italian Regional Income Tax (IRAP) 32,422 22,662 27,997 Effect of changes in tax rates and tax regulations 633 800 733 Differences between foreign tax rates and the theoretical Italian tax rate and tax holidays 2,077 1,734 3,457 Taxes relating to prior years 2,556 514 7,208 Withholding tax on earnings 539 1,373 3,360 Income tax expense 209,095 58,155 176,656 Effective tax rate 20.1 % 8.7 % 20.2 % |
Disclosure of deferred tax liabilities | The analysis of deferred tax assets and deferred tax liabilities at December 31, 2021 and 2020, is as follows: At December 31, 2021 2020 (€ thousand) Deferred tax assets: To be recovered after 12 months 94,808 95,209 To be recovered within 12 months 73,949 57,012 168,757 152,221 Deferred tax liabilities: To be realized after 12 months (78,496) (96,179) To be realized within 12 months (17,477) (17,295) (95,973) (113,474) Net deferred tax assets/(liabilities) 72,784 38,747 |
Disclosure of deferred tax assets | The analysis of deferred tax assets and deferred tax liabilities at December 31, 2021 and 2020, is as follows: At December 31, 2021 2020 (€ thousand) Deferred tax assets: To be recovered after 12 months 94,808 95,209 To be recovered within 12 months 73,949 57,012 168,757 152,221 Deferred tax liabilities: To be realized after 12 months (78,496) (96,179) To be realized within 12 months (17,477) (17,295) (95,973) (113,474) Net deferred tax assets/(liabilities) 72,784 38,747 |
Disclosure of deferred income tax liabilities | The movements in deferred income tax assets and liabilities during the year, without taking into consideration the offsetting of balances within the same tax jurisdiction, are as follows: At December 31, 2020 Recognized in consolidated income statement Charged to equity Translation differences and other changes At December 31, 2021 (€ thousand) Deferred tax assets arising on: Provisions 90,663 12,712 — 606 103,981 Deferred income 52,241 (606) — — 51,635 Employee benefits 2,931 — 110 — 3,041 Foreign currency exchange rate differences 516 95 — (1) 610 Cash flow hedge reserve — — 8,455 — 8,455 Inventory obsolescence 61,726 7,131 — 250 69,107 Allowances for doubtful accounts 5,643 (474) — 9 5,178 Depreciation 17,551 7 — (3) 17,555 Trademark step-up 83,700 837 — — 84,537 Patent box 27,902 37,791 — — 65,693 Other 6,027 3,927 — 4,374 14,328 Total deferred tax assets 348,900 61,420 8,565 5,235 424,120 Deferred tax liabilities arising on: Depreciation (7,550) 1,217 — (448) (6,781) Capitalization of development costs (264,087) (47,349) — (2) (311,438) Employee benefits (844) (209) — — (1,053) Foreign currency exchange rate differences (559) 33 — — (526) Cash flow hedge reserve (9,505) — 9,505 — — Tax on undistributed earnings (15,861) (1,543) — — (17,404) Other (11,747) (1,568) — (819) (14,134) Total deferred tax liabilities (310,153) (49,419) 9,505 (1,269) (351,336) Total net deferred tax assets/(liabilities) 38,747 12,001 18,070 3,966 72,784 At December 31, 2019 Recognized in consolidated income statement Charged to equity Translation differences and other changes At December 31, 2020 (€ thousand) Deferred tax assets arising on: Provisions 100,298 (8,748) — (887) 90,663 Deferred income 53,843 (1,602) — — 52,241 Employee benefits 2,930 — 1 — 2,931 Foreign currency exchange rate differences 1,437 (920) — (1) 516 Cash flow hedge reserve 1,786 — (1,786) — — Inventory obsolescence 51,972 10,032 — (278) 61,726 Allowances for doubtful accounts 5,407 239 — (3) 5,643 Depreciation 17,564 (10) — (3) 17,551 Trademark step-up — 83,700 — — 83,700 Patent box — 27,902 — — 27,902 Other 17,695 (8,298) — (3,370) 6,027 Total deferred tax assets 252,932 102,295 (1,785) (4,542) 348,900 Deferred tax liabilities arising on: Depreciation (8,881) 764 — 567 (7,550) Capitalization of development costs (224,851) (39,238) — 2 (264,087) Employee benefits (750) (94) — — (844) Foreign currency exchange rate differences (399) (160) — — (559) Cash flow hedge reserve — — (9,505) — (9,505) Tax on undistributed earnings (13,983) (1,878) — — (15,861) Other (12,593) 785 — 61 (11,747) Total deferred tax liabilities (261,457) (39,821) (9,505) 630 (310,153) Total net deferred tax assets/(liabilities) (8,525) 62,474 (11,290) (3,912) 38,747 |
Disclosure of deferred income tax assets | The movements in deferred income tax assets and liabilities during the year, without taking into consideration the offsetting of balances within the same tax jurisdiction, are as follows: At December 31, 2020 Recognized in consolidated income statement Charged to equity Translation differences and other changes At December 31, 2021 (€ thousand) Deferred tax assets arising on: Provisions 90,663 12,712 — 606 103,981 Deferred income 52,241 (606) — — 51,635 Employee benefits 2,931 — 110 — 3,041 Foreign currency exchange rate differences 516 95 — (1) 610 Cash flow hedge reserve — — 8,455 — 8,455 Inventory obsolescence 61,726 7,131 — 250 69,107 Allowances for doubtful accounts 5,643 (474) — 9 5,178 Depreciation 17,551 7 — (3) 17,555 Trademark step-up 83,700 837 — — 84,537 Patent box 27,902 37,791 — — 65,693 Other 6,027 3,927 — 4,374 14,328 Total deferred tax assets 348,900 61,420 8,565 5,235 424,120 Deferred tax liabilities arising on: Depreciation (7,550) 1,217 — (448) (6,781) Capitalization of development costs (264,087) (47,349) — (2) (311,438) Employee benefits (844) (209) — — (1,053) Foreign currency exchange rate differences (559) 33 — — (526) Cash flow hedge reserve (9,505) — 9,505 — — Tax on undistributed earnings (15,861) (1,543) — — (17,404) Other (11,747) (1,568) — (819) (14,134) Total deferred tax liabilities (310,153) (49,419) 9,505 (1,269) (351,336) Total net deferred tax assets/(liabilities) 38,747 12,001 18,070 3,966 72,784 At December 31, 2019 Recognized in consolidated income statement Charged to equity Translation differences and other changes At December 31, 2020 (€ thousand) Deferred tax assets arising on: Provisions 100,298 (8,748) — (887) 90,663 Deferred income 53,843 (1,602) — — 52,241 Employee benefits 2,930 — 1 — 2,931 Foreign currency exchange rate differences 1,437 (920) — (1) 516 Cash flow hedge reserve 1,786 — (1,786) — — Inventory obsolescence 51,972 10,032 — (278) 61,726 Allowances for doubtful accounts 5,407 239 — (3) 5,643 Depreciation 17,564 (10) — (3) 17,551 Trademark step-up — 83,700 — — 83,700 Patent box — 27,902 — — 27,902 Other 17,695 (8,298) — (3,370) 6,027 Total deferred tax assets 252,932 102,295 (1,785) (4,542) 348,900 Deferred tax liabilities arising on: Depreciation (8,881) 764 — 567 (7,550) Capitalization of development costs (224,851) (39,238) — 2 (264,087) Employee benefits (750) (94) — — (844) Foreign currency exchange rate differences (399) (160) — — (559) Cash flow hedge reserve — — (9,505) — (9,505) Tax on undistributed earnings (13,983) (1,878) — — (15,861) Other (12,593) 785 — 61 (11,747) Total deferred tax liabilities (261,457) (39,821) (9,505) 630 (310,153) Total net deferred tax assets/(liabilities) (8,525) 62,474 (11,290) (3,912) 38,747 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings per share [abstract] | |
Earnings per share | The following table provides the amounts used in the calculation of basic earnings per share for the years ended December 31, 2021, 2020 and 2019: For the years ended December 31, 2021 2020 2019 Profit attributable to owners of the Company € thousand 830,767 607,817 695,818 Weighted average number of common shares for basic earnings per common share thousand 184,446 184,806 186,767 Basic earnings per common share € 4.50 3.29 3.73 For the years ended December 31, 2021 2020 2019 Profit attributable to owners of the Company € thousand 830,767 607,817 695,818 Weighted average number of common shares for diluted earnings per common share thousand 184,722 185,379 187,535 Diluted earnings per common share € 4.50 3.28 3.71 |
INTANGIBLE ASSETS (Tables)
INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of detailed information about intangible assets [abstract] | |
Disclosure of detailed information about intangible assets | Externally Development Patents, Other Total (€ thousand) Gross carrying amount at 1,567,080 678,989 207,491 48,603 2,502,163 Additions 236,913 83,190 26,867 5,008 351,978 Reclassifications — — 3,337 (3,337) — Translation differences and other movements — (1,846) (98) 2 (1,942) Balance at December 31, 2020 1,803,993 760,333 237,597 50,276 2,852,199 Additions 261,457 101,682 17,151 4,537 384,827 Reclassifications — — 3,200 (3,200) — Translation differences and other movements — — (59) 7 (52) Balance at December 31, 2021 2,065,450 862,015 257,889 51,620 3,236,974 Accumulated amortization at January 1, 2020 1,034,368 410,930 176,301 42,626 1,664,225 Amortization 139,546 41,008 26,048 2,083 208,685 Translation differences and other movements — — (2) 1 (1) Balance at December 31, 2020 1,173,914 451,938 202,347 44,710 1,872,909 Amortization 146,664 47,808 29,495 1,925 225,892 Balance at December 31, 2021 1,320,578 499,746 231,842 46,635 2,098,801 Carrying amount at: January 1, 2020 532,712 268,059 31,190 5,977 837,938 December 31, 2020 630,079 308,395 35,250 5,566 979,290 December 31, 2021 744,872 362,269 26,047 4,985 1,138,173 |
PROPERTY, PLANT AND EQUIPMENT (
PROPERTY, PLANT AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Disclosure of detailed information about property, plant and equipment | Land Industrial Plant, machinery and equipment Other Advances and assets under construction Total (€ thousand) Gross carrying amount at 23,609 408,658 2,361,520 192,528 201,396 3,187,711 Additions 5,805 22,210 114,839 24,445 214,706 382,005 Divestitures — (791) (11,423) (5,048) (127) (17,389) Reclassifications — 2,795 79,937 3,500 (86,232) — Translation differences and other movements (23) (2,417) (36) (1,881) — (4,357) Balance at December 31, 2020 29,391 430,455 2,544,837 213,544 329,743 3,547,970 Additions 16,936 17,852 122,893 20,930 186,846 365,457 Divestitures (13) (3,412) (46,067) (5,586) (135) (55,213) Reclassifications 3,722 40,046 144,684 2,573 (197,599) (6,574) Translation differences and other movements 20 1,736 376 1,633 45 3,810 Balance at December 31, 2021 50,056 486,677 2,766,723 233,094 318,900 3,855,450 Accumulated amortization at January 1, 2020 — 167,132 1,823,839 127,088 — 2,118,059 Depreciation — 17,778 180,868 19,306 — 217,952 Divestitures — (602) (10,654) (2,713) — (13,969) Translation differences and other movements — (138) 1,426 (1,990) — (702) Balance at December 31, 2020 — 184,170 1,995,479 141,691 — 2,321,340 Depreciation — 17,875 191,247 20,975 — 230,097 Divestitures — (608) (43,991) (4,892) — (49,491) Reclassifications — (284) (1,123) 284 — (1,123) Translation differences and other movements — 692 12 758 — 1,462 Balance at December 31, 2021 — 201,845 2,141,624 158,816 — 2,502,285 Carrying amount at: January 1, 2020 23,609 241,526 537,681 65,440 201,396 1,069,652 of which right-of use assets under IFRS 16 — 15,834 7,612 34,319 — 57,765 December 31, 2020 29,391 246,285 549,358 71,853 329,743 1,226,630 of which right-of use assets under IFRS 16 — 25,574 5,041 29,127 — 59,742 December 31, 2021 50,056 284,832 625,099 74,278 318,900 1,353,165 of which right-of use assets under IFRS 16 — 21,613 3,484 28,661 — 53,758 |
Disclosure of quantitative information about right-of-use assets | The following table summarizes the changes in the carrying amount of right-of-use assets for the year ended December 31, 2021 and 2020: Industrial buildings Plant, machinery and equipment Other assets Total (€ thousand) Balance at January 1, 2020 15,834 7,612 34,319 57,765 Additions 16,214 2,578 6,194 24,986 Disposals — (24) (2,303) (2,327) Depreciation (6,564) (5,159) (8,436) (20,159) Translation differences and other movements 90 34 (647) (523) Balance at January 1, 2021 25,574 5,041 29,127 59,742 Additions 3,987 1,409 7,745 13,141 Disposals (2,780) — (473) (3,253) Depreciation (5,753) (1,348) (8,247) (15,348) Translation differences and other movements 585 (1,618) 509 (524) Balance at December 31, 2021 21,613 3,484 28,661 53,758 |
Disclosure of amounts recognized in Income Statement in relation to leases | Amounts recognized in the income statement in relation to leases for the year ended December 31, 2021 and 2020 were as follows: For the year ended December 31, 2021 2020 (€ thousand) Depreciation of right-of-use assets 15,348 20,159 Interest expense on lease liabilities 868 943 Variable lease payments not included in the measurement of lease liabilities 1,622 1,190 Expenses relating to short-term leases and leases of low-value assets 3,671 4,312 Total expenses recognized 21,509 26,604 |
INVESTMENTS AND OTHER FINANCI_2
INVESTMENTS AND OTHER FINANCIAL ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Investments and other financial assets [Abstract] | |
Disclosure of investments | The composition of investments and other financial assets is as follows: At December 31, 2021 2020 (€ thousand) Investments accounted for using the equity method 42,927 34,663 Other securities and financial assets 11,582 8,178 Total investments and other financial assets 54,509 42,841 Changes in the carrying amount of investments accounted for using the equity method during the period were as follows: (€ thousand) Balance at January 1, 2020 30,012 Proportionate share of net profit for the year ended December 31, 2020 4,647 Proportionate share of remeasurement of defined benefit plans 4 Balance at December 31, 2020 34,663 Additions 1,285 Proportionate share of net profit for the year ended December 31, 2021 6,896 Proportionate share of remeasurement of defined benefit plans 83 Balance at December 31, 2021 42,927 Summarized financial information relating to FFS GmbH at and for the years ended December 31, 2021 and 2020 is presented below: At December 31, 2021 2020 (€ thousand) Assets Non-current assets 4,037 3,390 Receivables from financing activities 908,362 782,880 Other current assets 5,096 4,130 Cash and cash equivalents 14,046 5,406 Total assets 931,541 795,806 Equity and liabilities Equity 81,156 67,352 Debt 763,563 653,748 Other liabilities 86,822 74,706 Total equity and liabilities 931,541 795,806 For the year ended December 31, 2021 2020 2019 (€ thousand) Net revenues 46,103 37,764 34,680 Cost of sales 16,971 14,864 15,655 Selling, general and administrative costs 8,565 8,494 8,892 Other expenses/(income), net 2,730 1,213 (963) Profit before taxes 17,837 13,193 11,096 Income tax expense 4,045 3,898 3,010 Net profit 13,792 9,295 8,086 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Inventories [Abstract] | |
Disclosure of inventories | At December 31, 2021 2020 (€ thousand) Raw materials 99,382 96,900 Semi-finished goods 121,201 94,619 Finished goods 319,992 269,098 Total inventories 540,575 460,617 |
Disclosure of slow moving and obsolete inventory | Changes in the provision for slow moving and obsolete inventories were as follows: 2021 2020 (€ thousand) At January 1, 96,707 83,673 Provision 9,392 21,155 Use and other changes (4,001) (8,121) At December 31, 102,098 96,707 |
CURRENT RECEIVABLES AND OTHER_2
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Disclosure of current receivables, other current assets and deposits in FCA Group cash management pools | At December 31, 2021 2020 (€ thousand) Trade receivables 185,000 184,260 Receivables from financing activities 1,143,968 939,607 Current tax receivables 14,306 12,438 Other current assets 122,224 76,471 Total 1,465,498 1,212,776 |
Disclosure of trade receivables by nature | The following table sets forth a breakdown of trade receivables by nature: At December 31, 2021 2020 (€ thousand) Trade receivables due from: Dealers 58,446 62,301 Stellantis Group (*) companies 23,737 37,906 Sponsorship and commercial activities 29,666 31,917 Brand activities 23,902 21,886 Other 49,249 30,250 Total 185,000 184,260 ______________________________ (*) Previously referred to as Fiat Chrysler Automobiles N.V. or FCA prior to the merger between FCA and Peugeot S.A. completed on January 16, 2021, which resulted in the creation of Stellantis N.V. |
Disclosure of trade receivables by currency | The following table sets forth a breakdown of trade receivables by currency: At December 31, 2021 2020 (€ thousand) Trade receivables denominated in: Euro 78,286 111,191 U.S. Dollar 84,590 51,295 Pound Sterling 3,908 6,560 Chinese Yuan 2,478 1,398 Japanese Yen 11,348 8,921 Other currencies 4,390 4,895 Total 185,000 184,260 |
Disclosure of changes in allowance for doubtful accounts | Changes in the allowance for doubtful accounts of trade receivables during the year were as follows: 2021 2020 (€ thousand) At January 1, 28,312 27,171 Additional provisions 2,094 5,743 Utilizations (1,835) (2,860) Releases (2,741) (1,595) Other changes 154 (147) At December 31, 25,984 28,312 |
Disclosure of receivables from financing activities | Receivables from financing activities are as follows: At December 31, 2021 2020 (€ thousand) Client financing 1,132,979 925,878 Dealer financing 10,989 13,729 Total receivables from financing activities 1,143,968 939,607 |
Disclosure of changes in allowance for doubtful accounts from financing activities | Changes in the allowance for doubtful accounts of receivables from financing activities during the year are as follows: 2021 2020 (€ thousand) At January 1, 13,195 7,480 Additional provisions 2,737 9,502 Utilizations (4,507) (3,078) Releases (1,270) — Other changes 1,049 (709) At December 31, 11,204 13,195 |
Disclosure of other current assets | Other current assets are detailed as follows: At December 31, 2021 2020 (€ thousand) Italian and foreign VAT credits 61,278 31,620 Prepayments 36,084 38,826 Other 24,862 6,025 Total other current assets 122,224 76,471 |
Disclosure of current receivables and other current assets by due date | The analysis of receivables and other current assets by due date (excluding prepayments) is as follows: At December 31, 2021 Due within one year Due between one and five years Due beyond five years Overdue Total (€ thousand) Trade receivables 137,694 70 — 47,237 185,000 Receivables from financing activities 197,207 820,363 73,665 52,733 1,143,968 Client financing 196,018 810,563 73,665 52,733 1,132,979 Dealer financing 1,189 9,800 — — 10,989 Current tax receivables 14,306 — — — 14,306 Other current assets 84,417 998 155 570 86,140 Total 433,624 821,431 73,820 100,540 1,429,414 At December 31, 2020 Due within one year Due between one and five years Due beyond five years Overdue Total (€ thousand) Trade receivables 137,564 69 — 46,627 184,260 Receivables from financing activities 159,778 657,073 57,202 65,554 939,607 Client financing 156,154 646,968 57,202 65,554 925,878 Dealer financing 3,624 10,105 — — 13,729 Current tax receivables 10,314 2,124 — — 12,438 Other current assets 36,971 247 180 247 37,645 Total 344,627 659,513 57,382 112,428 1,173,950 |
CURRENT FINANCIAL ASSETS AND _2
CURRENT FINANCIAL ASSETS AND OTHER FINANCIAL LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Financial Instruments [Abstract] | |
Disclosure of financial assets | At December 31, 2021 2020 (€ thousand) Financial derivatives 11,565 38,636 Other financial assets 1,935 1,448 Current financial assets 13,500 40,084 |
Disclosure of derivative financial instruments | The following table sets forth a breakdown of derivative assets and liabilities at December 31, 2021 and 2020 . At December 31, 2021 2020 Positive fair Negative fair Positive fair Negative fair (€ thousand) Cash flow hedges: Foreign currency derivatives 4,437 (34,973) 37,214 (2,060) Commodities 182 (1,162) 271 — Interest rate caps 6,053 — 497 — Total cash flow hedges 10,672 (36,135) 37,982 (2,060) Other foreign currency derivatives 893 (385) 654 (80) Total 11,565 (36,520) 38,636 (2,140) At December 31, 2021 At December 31, 2020 Fair Value Notional Amount Fair Value Notional Amount (€ thousand) Currencies: U.S. Dollar (17,588) 1,773,022 31,474 1,363,667 Pound Sterling (2,343) 154,353 450 118,795 Japanese Yen 116 282,482 3,533 197,170 Swiss Franc (2,754) 76,953 535 76,282 Chinese Yuan (1,125) 91,248 490 37,644 Other (1) (1,261) 108,822 14 105,159 Total amount (24,955) 2,486,880 36,496 1,898,717 ______________________________ (1) Other mainly includes the Australian Dollar, the Hong Kong Dollar and the Canadian Dollar. |
Disclosure of reclassified gain/loss from other comprehensive income/(loss) to the consolidated income statement | The Group reclassified gains and losses, net of the related tax effects, from other comprehensive income/(loss) to the consolidated income statement as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Net revenues/(costs) 7,275 19,557 (22,055) Income tax (expense)/benefit (2,030) (5,456) 6,153 Total recognized in the consolidated income statement 5,245 14,101 (15,902) |
EQUITY (Tables)
EQUITY (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of Share Capital Reserves and Other Equity Interests [Abstract] | |
Disclosure of classes of share capital | The following table summarizes the changes in the number of outstanding common shares and outstanding special voting shares of the Company for the years ended December 31, 2021 and 2020: Common Shares Special Voting Shares Total Outstanding shares at December 31, 2019 185,283,323 63,346,921 248,630,244 Common shares repurchased under share repurchase program (1) (819,483) — (819,483) Common shares assigned under equity incentive plans (2) 284,050 — 284,050 Other changes — 1 1 Outstanding shares at December 31, 2020 184,747,890 63,346,922 248,094,812 Common shares repurchased under share repurchase program (3) (1,167,592) — (1,167,592) Common shares assigned under equity incentive plans (4) 263,098 — 263,098 Other changes (5) — (2,000) (2,000) Outstanding shares at December 31, 2021 183,843,396 63,344,922 247,188,318 _______________________________________ (1) Includes shares repurchased between January 1, 2020 and December 31, 2020 based on the transaction trade date, for a total consideration of €119,771 thousand including transaction costs. (2) On March 16, 2020, 366,199 common shares, which were previously held in treasury, were assigned to participants of the equity incentive plans as a result of the vesting of certain performance share unit and retention restricted share unit awards. On March 17, 2020, the Company purchased 82,149 common shares, for a total consideration of €10,022 thousand, from a group of those employees who were assigned shares in order to cover the individual’s taxable income as is standard practice (Sell to Cover) in an over-the-counter transaction. See Note 21 “Share-Based Compensation” for additional details relating to the Group’s equity incentive plans. (3) Includes shares repurchased under the share repurchase program between January 1, 2021 and December 31, 2021 based on the transaction trade date, for a total consideration of €231,024 thousand, including transaction costs. (4) On March 16, 2021, 356,571 common shares, which were previously held in treasury, were assigned to participants of the equity incentive plans as a result of the vesting of certain performance share unit and retention restricted share unit awards. On March 17, 2021, the Company purchased 93,473 common shares, for a total consideration of €15,432 thousand, from a group of those employees who were assigned shares in order to cover the individual’s taxable income as is standard practice (Sell to Cover) in an over-the-counter transaction. See Note 21 “Share-Based Compensation” for additional details relating to the Group’s equity incentive plans. (5) Relates to the deregistration of certain special voting shares under the Company’s special voting shares term and conditions. |
Disclosure of other comprehensive income/(loss) | The following table presents other comprehensive income/(loss): For the years ended December 31, 2021 2020 2019 (€ thousand) Items that will not be reclassified to the consolidated income statement in subsequent periods: Gains/(Losses) on remeasurement of defined benefit plans (1) (463) 34 (2,078) Total items that will not be reclassified to the consolidated income statement in subsequent periods (463) 34 (2,078) Items that may be reclassified to the consolidated income statement in subsequent periods: Gains/(Losses) on cash flow hedging instruments arising during the period (56,855) 59,666 (24,327) (Gains)/Losses on cash flow hedging instruments reclassified to the consolidated income statement (7,275) (19,557) 22,055 Gains/(Losses) on cash flow hedging instruments (64,130) 40,109 (2,272) Exchange differences on translating foreign operations 14,229 (11,731) 2,652 Total items that may be reclassified to the consolidated income statement in subsequent periods (49,901) 28,378 380 Total other comprehensive income/(loss) (50,364) 28,412 (1,698) Related tax impact 18,070 (11,290) 1,066 Total other comprehensive income/(loss), net of tax (32,294) 17,122 (632) __________________________ (1) Includes a gain of €83 thousand, a gain of €4 thousand, and a loss of €3 thousand for the years ended December 31, 2021, 2020 and 2019, respectively, related to the Group’s proportionate share of the remeasurement of defined benefit plans of FFS GmbH, for which the Group holds a 49.9 percent interest. For the years ended December 31, 2021 2020 2019 Pre-tax balance Related tax impact Net balance Pre-tax balance Related tax impact Net balance Pre-tax balance Related tax impact Net balance (€ thousand) Gains/(Losses) on remeasurement of defined benefit plans (463) 110 (353) 34 1 35 (2,078) 456 (1,622) Gains/(Losses) on cash flow hedging instruments (64,130) 17,960 (46,170) 40,109 (11,291) 28,818 (2,272) 610 (1,662) Exchange (losses)/gains on translating foreign operations 14,229 — 14,229 (11,731) — (11,731) 2,652 — 2,652 Total other comprehensive (loss)/income (50,364) 18,070 (32,294) 28,412 (11,290) 17,122 (1,698) 1,066 (632) |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of Share-based Compensation [Abstract] | |
Disclosure of terms and conditions of share-based payment arrangement | The number of PSUs with a TSR Target that vest under the Equity Incentive Plan 2021-2023 is based on the Company’s TSR performance over the relevant performance period compared to an industry-specific Peer Group as summarized below. Ferrari TSR Ranking % of Target Awards that Vest 1 150% 2 120% 3 100% 4 75% 5 50% >5 0% The defined Peer Group (including the Company) for the TSR Target is presented below. Ferrari Aston Martin Burberry Hermes Kering LVMH Moncler Richemont EBITDA Target The number of PSUs with an EBITDA Target that vest under the Equity Incentive Plan 2021-2023 is determined by comparing Adjusted EBITDA to the Adjusted EBITDA targets derived from the Group’s business plan, as summarized below. Actual Adjusted EBITDA Compared to Business Plan % of Awards that Vest +10% 140% +5% 120% Business Plan Target 100% -5% 80% <-5% 0% |
Disclosure of indirect measurement of fair value of goods or services received, other equity instruments granted during period | The fair value of the PSUs and RSUs that were awarded under the equity incentive plans, which is determined based on actuarial calculations that apply certain assumptions and take into consideration the specific characteristics of the awards granted, is summarized in the following table. Equity Incentive Plan 2019-2021 2020-2022 2021-2023 PSUs €110.57 - €111.64 €136.06 €130.42 RSUs €119.54 - €120.56 €139.39 €171.86 The key assumptions utilized to calculate the grant-date fair values of the PSUs that were awarded under the equity incentive plans are summarized below: Equity Incentive Plan 2019-2021 2020-2022 2021-2023 Grant date share price €122.60 €142.95 €175.80 Expected volatility 26.5% 26.6% 27.0% Dividend yield 0.83% 0.80% 0.75% Risk-free rate 0% 0% 0% |
Outstanding number of PSUs and RSUs | Changes to the outstanding number of PSU and RSU awards under all equity incentive plans of the Group are as follows: (number of awards) Outstanding PSU Awards Outstanding RSU Awards Balance at January 1, 2019 686,526 118,264 Granted (1) 175,307 110,968 Forfeited (32,832) (18,000) Vested (230,282) (40,087) Balance at December 31, 2019 598,719 171,145 Granted (2) 48,173 39,780 Forfeited (1,461) (1,460) Vested (230,592) (50,402) Balance at December 31, 2020 414,839 159,063 Granted (3) 49,861 41,460 Forfeited (19,775) (13,048) Vested (292,753) (63,814) Balance at December 31, 2021 152,172 123,661 _______________________________________ (1) Granted under the Equity Incentive Plan 2019-2021 (2) Granted under the Equity Incentive Plan 2020-2022 (3) Grander under the Equity Incentive Plan 2021-2023 |
EMPLOYEE BENEFITS (Tables)
EMPLOYEE BENEFITS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Employee benefits [Abstract] | |
Group's provision for employee benefits | The Group’s provisions for employee benefits are as follows: At December 31, 2021 2020 (€ thousand) Present value of defined benefit obligations: Italian employee severance indemnity (TFR) 18,430 19,825 Pension plans — 105 Total present value of defined benefit obligations 18,430 19,930 Other provisions for employees 82,770 40,055 Total provisions for employee benefits 101,200 59,985 |
Disclosure of defined benefit plans | The following table summarizes the changes in the defined benefit obligations: TFR liability Pension plans Total (€ thousand) Amounts at December 31, 2019 21,795 134 21,929 Recognized in the consolidated income statement 25 — 25 Recognized in other comprehensive loss/(income) (*) 2 (32) (30) Other (1,997) 3 (1,994) Benefits paid (1,842) — (1,842) Other changes (155) 3 (152) Amounts at December 31, 2020 19,825 105 19,930 Recognized in the consolidated income statement 6 — 6 Recognized in other comprehensive income/(loss) (*) 463 — 463 Other (1,864) (105) (1,969) Benefits paid (2,127) (105) (2,232) Other changes 263 — 263 Amounts at December 31, 2021 18,430 — 18,430 ______________________________ (*) Relates to actuarial losses/(gains) from financial assumptions. The expected future benefit payments for the defined benefit obligations as of December 31, 2021 are as follows: TFR (€ thousand) 2022 1,466 2023 1,660 2024 1,359 2025 1,329 2026 1,084 2027 - 2031 5,688 Total 12,586 |
Disclosure of amounts recognized in the consolidated income statement | Amounts recognized in the consolidated income statement are as follows: For the years ended December 31, 2021 2020 2019 TFR Pension plans Total TFR Pension plans Total TFR Pension plans Total (€ thousand) Current service cost 6 — 6 — — — — 26 26 Interest expense — — 25 — 25 — — — Past service adjustments — — — — — — — (518) (518) Total recognized in the consolidated income statement 6 — 6 25 — 25 — (492) (492) |
Disclosure of the sensitivity of defined benefit plan to changes in principle assumptions | The sensitivity of the defined benefit obligations to changes in the weighted principal assumptions is: At December 31, 2021 2020 Changes in assumption of +1% discount rate Changes in assumption of -1% discount rate Changes in assumption of +1% discount rate Changes in assumption of -1% discount rate (€ thousand) Impact on defined benefit obligation (1,321) 1,507 (1,446) 1,656 |
PROVISIONS (Tables)
PROVISIONS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Provisions [abstract] | |
Disclosure of other provisions | At December 31, 2020 Additional provisions Utilization Releases Translation differences Reclassification and other movements At December 31, 2021 (€ thousand) Warranty and recall campaigns 106,942 45,047 (33,695) (9,868) 341 — 108,767 Legal proceedings and disputes 26,349 3,643 (596) (16,111) 326 90 13,701 Other risks 22,044 12,306 (2,067) (4,733) 822 28 28,400 Total provisions 155,335 60,996 (36,358) (30,712) 1,489 118 150,868 For the years ended December 31, 2021 2020 2019 (€ thousand) Recorded in the consolidated income statement within: Cost of sales 10,562 6,352 9,563 Selling, general and administrative costs 1,744 1,174 2,830 Total 12,306 7,526 12,393 |
DEBT (Tables)
DEBT (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Financial Instruments [Abstract] | |
Disclosure of debt instruments | Balance at December 31, 2020 Proceeds from borrowings Repayments of borrowings Interest accrued/(paid) and other (*) Translation differences Balance at December 31, 2021 (€ thousand) Bonds and notes 1,835,022 149,495 (500,000) 2,593 — 1,487,110 Asset-backed financing (Securitizations) 761,164 248,714 (177,270) 49 67,556 900,213 Lease liabilities 62,290 — (21,605) 14,421 1,104 56,210 Borrowings from banks and other financial institutions 28,553 142,344 (20,959) 88 4,393 154,419 Other debt 37,716 17,265 (25,302) — 2,380 32,059 Total debt 2,724,745 557,818 (745,136) 17,151 75,433 2,630,011 ______________________________ (*) Other changes in lease liabilities relates entirely to non-cash movements for the recognition of additional lease liabilities in accordance with IFRS 16. |
Disclosure of debt maturity | The breakdown of debt by nature and by maturity is as follows: At December 31, 2021 2020 Due within one year Due between Due beyond five years Total Due within one year Due between Due beyond five years Total (€ thousand) Bonds and notes 9,239 1,028,686 449,185 1,487,110 500,417 1,034,605 300,000 1,835,022 Asset-backed financing (Securitizations) 343,119 499,280 57,814 900,213 306,169 454,995 — 761,164 Lease liabilities 14,783 29,732 11,695 56,210 16,373 29,932 15,985 62,290 Borrowings from banks and other financial institutions 116,919 37,500 — 154,419 28,553 — — 28,553 Other debt 32,059 — — 32,059 37,716 — — 37,716 Total debt 516,119 1,595,198 518,694 2,630,011 889,228 1,519,532 315,985 2,724,745 |
OTHER LIABILITIES (Tables)
OTHER LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Disclosure of other liabilities | An analysis of other liabilities is as follows: At December 31, 2021 2020 (€ thousand) Deferred income 256,206 270,826 Advances and security deposits 240,696 253,442 Accrued expenses 80,787 60,788 Payables to personnel 53,712 33,127 Social security payables 24,660 23,261 Other 70,714 46,018 Total other liabilities 726,775 687,462 An analysis of other liabilities (excluding accrued expenses and deferred income) by due date is as follows: At December 31, 2021 2020 Due within one year Due between Due beyond five years Total Due within one year Due between Due beyond five years Total (€ thousand) Total other liabilities (excluding accrued expenses and deferred income) 377,176 7,553 5,053 389,782 315,026 35,251 5,571 355,848 |
Explanation of significant changes in contract liabilities | Changes in the Group’s contract liabilities for maintenance and power warranties, and advances from customers, were as follows: At January 1, 2021 Additional amounts arising during the period Amounts recognized within revenue Other changes At December 31, 2021 (€ thousand) Maintenance and power warranty programs 214,153 77,713 (72,884) — 218,982 Advances from customers 249,506 605,730 (618,739) 19 236,516 |
FAIR VALUE MEASUREMENT (Tables)
FAIR VALUE MEASUREMENT (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair value measurement [Abstract] | |
Disclosure of fair value measurement of liabilities | The following table shows the fair value hierarchy for financial assets and liabilities that are measured at fair value on a recurring basis at December 31, 2021 and 2020: At December 31, 2021 Note Level 1 Level 2 Level 3 Total (€ thousand) Investments and other financial assets - Liberty Media Shares 16 10,559 — — 10,559 Current financial assets 19 — 11,565 — 11,565 Total assets 10,559 11,565 — 22,124 Other financial liabilities 19 — 36,520 — 36,520 Total liabilities — 36,520 — 36,520 At December 31, 2020 Note Level 1 Level 2 Level 3 Total (€ thousand) Investments and other financial assets - Liberty Media Shares 16 7,163 — — 7,163 Current financial assets 19 — 38,636 — 38,636 Total assets 7,163 38,636 — 45,799 Other financial liabilities 19 — 2,140 — 2,140 Total liabilities — 2,140 — 2,140 |
Disclosure of fair value measurement of assets | The following table shows the fair value hierarchy for financial assets and liabilities that are measured at fair value on a recurring basis at December 31, 2021 and 2020: At December 31, 2021 Note Level 1 Level 2 Level 3 Total (€ thousand) Investments and other financial assets - Liberty Media Shares 16 10,559 — — 10,559 Current financial assets 19 — 11,565 — 11,565 Total assets 10,559 11,565 — 22,124 Other financial liabilities 19 — 36,520 — 36,520 Total liabilities — 36,520 — 36,520 At December 31, 2020 Note Level 1 Level 2 Level 3 Total (€ thousand) Investments and other financial assets - Liberty Media Shares 16 7,163 — — 7,163 Current financial assets 19 — 38,636 — 38,636 Total assets 7,163 38,636 — 45,799 Other financial liabilities 19 — 2,140 — 2,140 Total liabilities — 2,140 — 2,140 |
Disclosure of carrying amount and fair value of financial assets and liabilities | The following table presents the carrying amount and fair value for the most relevant categories of financial assets and financial liabilities not measured at fair value on a recurring basis: At December 31, 2021 2020 Note Carrying amount Fair value Carrying amount Fair value (€ thousand) Receivables from financing activities 18 1,143,968 1,143,968 939,607 939,607 Client financing 1,132,979 1,132,979 925,878 925,878 Dealer financing 10,989 10,989 13,729 13,729 Total 1,143,968 1,143,968 939,607 939,607 Debt 24 2,630,011 2,656,159 2,724,745 2,755,516 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Related party transactions [abstract] | |
Disclosure of transactions between related parties | The amounts of transactions with related parties recognized in the consolidated income statement are as follows: For the years ended December 31, 2021 2020 2019 Net revenues Costs (1) Net financial expenses Net revenues Costs (1) Net financial expenses Net revenues Costs (1) Net financial expenses (€ thousand) Stellantis Group companies Maserati 119,083 2,428 — 100,389 2,981 — 143,091 6,275 — FCA US LLC — 18,465 — — 13,323 — — 17,954 — Magneti Marelli (2) — — — — — — 352 10,444 — Other Stellantis Group companies 11,799 6,238 2,103 9,102 6,057 2,207 8,637 8,028 1,965 Total Stellantis Group companies 130,882 27,131 2,103 109,491 22,361 2,207 152,080 42,701 1,965 Exor Group companies (excluding the Stellantis Group) 281 1,014 1 150 1,665 2 281 368 4 Other related parties 795 15,143 2 549 12,977 10 610 13,906 31 Total transactions with related parties 131,958 43,288 2,106 110,190 37,003 2,219 152,971 56,975 2,000 Total for the Group 4,270,894 2,434,198 33,257 3,459,790 2,040,925 49,092 3,766,615 2,153,480 42,082 ______________________________ (1) Costs include cost of sales, selling, general and administrative costs and other expenses/(income), net. (2) Stellantis completed the sale of Magneti Marelli on May 2, 2019, following which Magneti Marelli (which subsequently operates under the name “Marelli”) is no longer a related party. Non-financial assets and liabilities originating from related party transactions are as follows: At December 31, 2021 2020 Trade receivables Trade payables Other current assets Other liabilities Trade receivables Trade payables Other current assets Other liabilities (€ thousand) Stellantis Group companies Maserati 23,267 3,994 — 6,454 37,662 4,555 — 16,955 FCA US LLC — 3,275 — — — 1,893 — — Other Stellantis Group companies 470 3,075 121 1,074 244 2,512 104 94 Total Stellantis Group companies 23,737 10,344 121 7,528 37,906 8,960 104 17,049 Exor Group companies (excluding the Stellantis Group) 382 1 8 5 183 396 108 139 Other related parties 144 3,276 998 1,065 643 3,558 1,496 1,759 Total transactions with related parties 24,263 13,621 1,127 8,598 38,732 12,914 1,708 18,947 Total for the Group 185,000 797,832 122,224 726,775 184,260 713,807 76,471 687,462 |
Disclosure of amounts incurred by entity for provision of key management personnel services provided by separate management entities | The fees of the Directors of Ferrari N.V. are as follows: For the years ended December 31, 2021 2020 2019 (€ thousand) Directors of Ferrari N.V. 6,668 8,151 10,260 |
COMMITMENTS (Tables)
COMMITMENTS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Commitments [Abstract] | |
Disclosure of future minimum purchase obligations under arrangements | Future minimum purchase obligations under these supplier and sponsorship arrangements at December 31, 2021 were as follows: At December 31, 2021 Due within one year Due between one and three years Due between three and five years Due beyond five years Total (€ thousand) Minimum purchase obligations 79,986 60,597 15,225 500 156,308 |
Disclosure of future aggregate minimum lease payments under non-cancellable operating leases | The future aggregate minimum lease payments under non-cancellable leases, primarily relating to the lease of stores and industrial buildings, are as follows: At December 31, 2021 Due within one year Due between one and three years Due between three and five years Due beyond five years Total (€ thousand) Future minimum lease payments under lease agreements 14,629 19,275 12,433 11,260 57,597 |
ENTITY-WIDE DISCLOSURES (Tables
ENTITY-WIDE DISCLOSURES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Entity-wide disclosures [Abstract] | |
Disclosure of net revenue by geographic location | The following table presents an analysis of net revenues by geographic location of the Group’s customers for the years ended December 31, 2021 and 2020, including the effects of foreign currency hedge transactions. Revenues by geography presented for material individual countries are not necessarily correlated to shipments of cars as certain countries include revenues from sponsorship and commercial activities relating to Ferrari's participation in the Formula 1 World Championship. For the years ended December 31, 2021 2020 2019 (€ thousand) Italy 409,992 322,573 391,156 Rest of EMEA 1,869,864 1,634,515 1,628,496 of which UK 457,060 484,701 531,088 Americas (1) 1,097,904 883,228 1,001,946 of which United States of America 930,316 747,373 867,376 Mainland China, Hong Kong and Taiwan 332,971 191,907 350,851 Rest of APAC (2) 560,163 427,567 394,166 Total net revenues 4,270,894 3,459,790 3,766,615 ______________________________ (1) Americas includes the United States of America, Canada, Mexico, the Caribbean and of Central and South America. (2) Rest of APAC mainly includes Japan, Australia, Singapore, Indonesia, South Korea, Thailand, India and Malaysia. The following table presents an analysis of non-current assets other than financial instruments and deferred tax assets by geographic location: At December 31, 2021 2020 Property, plant and equipment Goodwill Intangible assets Property, plant and equipment Goodwill Intangible assets (€ thousand) Italy 1,322,257 785,182 1,137,910 1,199,325 785,182 979,022 Rest of EMEA 5,597 — — 5,809 — — Americas (1) 16,003 — — 14,497 — — Mainland China, Hong Kong and Taiwan 5,898 — — 4,120 — — Rest of APAC (2) 3,410 — 263 2,879 — 268 Total 1,353,165 785,182 1,138,173 1,226,630 785,182 979,290 ______________________________ (1) Americas includes the United States of America, Canada, Mexico, the Caribbean and of Central and South America. (2) Rest of APAC mainly includes Japan, Australia, Singapore, Indonesia, South Korea, Thailand, India and Malaysia. |
BACKGROUND AND BASIS OF PRESE_2
BACKGROUND AND BASIS OF PRESENTATION - Narrative (Details) | Dec. 31, 2021storedealerpointsOfSalemarket |
Background and Basis of Presentation [Abstract] | |
Number of worldwide markets | market | 60 |
Number of authorized dealers | dealer | 172 |
Number of points of sale | pointsOfSale | 191 |
Number of Ferrari-owned stores | 16 |
Number of franchised stores | 14 |
Number of Ferrari Store Junior franchised stores | 12 |
SIGNIFICANT ACCOUNTING POLICI_4
SIGNIFICANT ACCOUNTING POLICIES - FOREIGN EXCHANGE RATES (Details) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
U.S. Dollar | |||
Currency [Line Items] | |||
Average exchange rate (per Euro) | 1.1827 | 1.1422 | 1.1195 |
Closing exchange rate (per Euro) | 1.1326 | 1.2271 | 1.1234 |
Pound Sterling | |||
Currency [Line Items] | |||
Average exchange rate (per Euro) | 0.8596 | 0.8897 | 0.8778 |
Closing exchange rate (per Euro) | 0.8403 | 0.8990 | 0.8508 |
Swiss Franc | |||
Currency [Line Items] | |||
Average exchange rate (per Euro) | 1.0811 | 1.0705 | 1.1124 |
Closing exchange rate (per Euro) | 1.0331 | 1.0802 | 1.0854 |
Japanese Yen | |||
Currency [Line Items] | |||
Average exchange rate (per Euro) | 129.8767 | 121.8458 | 122.0058 |
Closing exchange rate (per Euro) | 130.3800 | 126.4900 | 121.9400 |
Chinese Yuan | |||
Currency [Line Items] | |||
Average exchange rate (per Euro) | 7.6282 | 7.8747 | 7.7355 |
Closing exchange rate (per Euro) | 7.1947 | 8.0225 | 7.8205 |
Australian Dollar | |||
Currency [Line Items] | |||
Average exchange rate (per Euro) | 1.5749 | 1.6549 | 1.6109 |
Closing exchange rate (per Euro) | 1.5615 | 1.5896 | 1.5995 |
Canadian Dollar | |||
Currency [Line Items] | |||
Average exchange rate (per Euro) | 1.4826 | 1.5300 | 1.4855 |
Closing exchange rate (per Euro) | 1.4393 | 1.5633 | 1.4598 |
Singapore Dollar | |||
Currency [Line Items] | |||
Average exchange rate (per Euro) | 1.5891 | 1.5742 | 1.5273 |
Closing exchange rate (per Euro) | 1.5279 | 1.6218 | 1.5111 |
Hong Kong Dollar | |||
Currency [Line Items] | |||
Average exchange rate (per Euro) | 9.1932 | 8.8587 | 8.7715 |
Closing exchange rate (per Euro) | 8.8333 | 9.5142 | 8.7473 |
SIGNIFICANT ACCOUNTING POLICI_5
SIGNIFICANT ACCOUNTING POLICIES - DEPRECIATION RATES (Details) | 12 Months Ended |
Dec. 31, 2021 | |
Bottom of range | Industrial buildings | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life depreciation rates (percent) | 3.00% |
Bottom of range | Plant, machinery and equipment | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life depreciation rates (percent) | 5.00% |
Bottom of range | Other assets | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life depreciation rates (percent) | 12.00% |
Top of range | Industrial buildings | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life depreciation rates (percent) | 20.00% |
Top of range | Plant, machinery and equipment | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life depreciation rates (percent) | 22.00% |
Top of range | Other assets | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life depreciation rates (percent) | 25.00% |
Capitalized development costs | Bottom of range | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 4 years |
Capitalized development costs | Top of range | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 8 years |
Patents, concessions and licenses | Bottom of range | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 3 years |
Patents, concessions and licenses | Top of range | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 5 years |
Other intangible assets | Bottom of range | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 3 years |
Other intangible assets | Top of range | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 5 years |
SIGNIFICANT ACCOUNTING POLICI_6
SIGNIFICANT ACCOUNTING POLICIES - REVENUE RECOGNITION (Details) | 12 Months Ended |
Dec. 31, 2021 | |
Bottom of range | |
Disclosure of disaggregation of revenue from contracts with customers [line items] | |
Typical duration of payments due from customers | 30 days |
Top of range | |
Disclosure of disaggregation of revenue from contracts with customers [line items] | |
Typical duration of payments due from customers | 40 days |
SIGNIFICANT ACCOUNTING POLICI_7
SIGNIFICANT ACCOUNTING POLICIES - TAXES (Details) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Significant Accounting Policies [Abstract] | |||
IRAP applicable tax rate (percent) | 3.90% | 3.90% | 3.90% |
SCOPE OF CONSOLIDATION - Segmen
SCOPE OF CONSOLIDATION - Segment Reporting (Details) | Dec. 31, 2021segment |
Scope of Consolidation [Abstract] | |
Number of operating segments | 1 |
Number of reportable segments | 1 |
SCOPE OF CONSOLIDATION - Recove
SCOPE OF CONSOLIDATION - Recoverability of Goodwill (Details) | Dec. 31, 2021segment |
Scope of Consolidation [Abstract] | |
Number of operating segments | 1 |
SCOPE OF CONSOLIDATION - Scope
SCOPE OF CONSOLIDATION - Scope of Consolidation (Details) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Ferrari S.p.A. | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari North America Inc. | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Japan KK | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Australasia Pty Limited | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari International Cars Trading (Shanghai) Co. L.t.d. | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 80.00% | 80.00% | 80.00% |
Shares held by NCI (percent) | 20.00% | 20.00% | |
Ferrari (HK) Limited | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Far East Pte Limited | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Management Consulting (Shanghai) Co. L.t.d. | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari South West Europe S.a.r.l. | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Central Europe GmbH | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
G.S.A. S.A. in liquidation | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Mugello Circuit S.p.A. | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Financial Services, Inc. | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Auto Securitization Transaction, LLC | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Auto Securitization Transaction - Lease, LLC | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Auto Securitization Transaction - Select, LLC | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
Ferrari Financial Services Titling Trust | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% | |
410, Park Display Inc. | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 100.00% | 100.00% | |
Shares held by NCI (percent) | 0.00% | 0.00% |
SCOPE OF CONSOLIDATION - Narrat
SCOPE OF CONSOLIDATION - Narrative (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash Collected From Settlements of Receivables or Collateral | |||
Disclosure of subsidiaries [line items] | |||
Restricted cash and cash equivalents | € 47,742 | € 36,935 | |
CHINA | |||
Disclosure of subsidiaries [line items] | |||
Restricted cash and cash equivalents | € 89,611 | € 55,566 | |
Ferrari International Cars Trading (Shanghai) Co. L.t.d. | |||
Disclosure of subsidiaries [line items] | |||
Shares held by the Group (percent) | 80.00% | 80.00% | 80.00% |
SCOPE OF CONSOLIDATION - Noncon
SCOPE OF CONSOLIDATION - Noncontrolling Interests (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Scope of Consolidation [Abstract] | |||
Equity attributable to non-controlling interests | € 5,518 | € 4,018 | |
Net profit attributable to non-controlling interests | € 2,369 | € 1,063 | € 2,890 |
NET REVENUES (Details)
NET REVENUES (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disaggregation of Revenue [Line Items] | |||
Total net revenues | € 4,270,894 | € 3,459,790 | € 3,766,615 |
Cars and spare parts | |||
Disaggregation of Revenue [Line Items] | |||
Total net revenues | 3,573,119 | 2,835,170 | 2,925,721 |
Engines | |||
Disaggregation of Revenue [Line Items] | |||
Total net revenues | 189,432 | 150,655 | 198,308 |
Sponsorship, commercial and brand | |||
Disaggregation of Revenue [Line Items] | |||
Total net revenues | 430,579 | 390,002 | 538,238 |
Other | |||
Disaggregation of Revenue [Line Items] | |||
Total net revenues | € 77,764 | € 83,963 | € 104,348 |
NET REVENUES - Narrative (Detai
NET REVENUES - Narrative (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disaggregation of Revenue [Line Items] | |||
Finance income | € 60,183 | € 67,005 | € 72,192 |
Financial services companies | |||
Disaggregation of Revenue [Line Items] | |||
Finance income | € 55,043 | € 65,878 | € 66,386 |
COST OF SALES (Details)
COST OF SALES (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Analysis of income and expense [abstract] | |||
Cost of sales | € 2,080,613 | € 1,686,324 | € 1,805,310 |
Interest and other financial expense | € 16,639 | € 36,628 | € 45,083 |
SELLING, GENERAL AND ADMINIST_2
SELLING, GENERAL AND ADMINISTRATIVE COSTS (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Analysis of income and expense [abstract] | |||
Selling costs | € 168,466 | € 171,900 | € 173,512 |
General and administrative costs | € 179,558 | € 164,226 | € 169,667 |
RESEARCH AND DEVELOPMENT COST_2
RESEARCH AND DEVELOPMENT COSTS (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Schedule of Finite-Lived Intangible Assets [Line Items] | |||
Research and development costs expensed during the year | € 573,632 | € 526,831 | € 559,582 |
Total research and development costs | 768,104 | 707,385 | 699,211 |
Development costs | |||
Schedule of Finite-Lived Intangible Assets [Line Items] | |||
Amortization of capitalized development costs | € 194,472 | € 180,554 | € 139,629 |
OTHER EXPENSES_(INCOME), NET -
OTHER EXPENSES/(INCOME), NET - Schedule of Other Expenses, net (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Analysis of income and expense [abstract] | |||
Other expenses | € 13,666 | € 25,067 | € 14,288 |
Other income | (8,105) | (6,592) | (9,297) |
Other expenses, net | € 5,561 | € 18,475 | € 4,991 |
NET FINANCIAL EXPENSES (Details
NET FINANCIAL EXPENSES (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about financial instruments [line items] | |||
Interest income from bank deposits | € 399 | € 610 | € 1,690 |
Other interest income and financial income | 4,741 | 517 | 4,116 |
Interest income and other financial income | 5,140 | 1,127 | 5,806 |
Total financial income | 60,183 | 67,005 | 72,192 |
Capitalized borrowing costs | 1,874 | 2,591 | 2,671 |
Other interest and financial expenses | (3,315) | (3,258) | (2,427) |
Interest expenses and other financial expenses | (1,441) | (667) | 244 |
Interest expenses from banks and other financial institutions | (11,310) | (14,330) | (27,432) |
Interest and other finance costs on bonds and notes | (22,947) | (20,116) | (20,703) |
Write-downs of financial receivables | (1,467) | (9,502) | (4,739) |
Other financial expenses | (5,991) | (14,580) | (13,949) |
Total financial expenses | (43,156) | (59,195) | (66,579) |
Net expenses from derivative financial instruments and foreign currency exchange rate differences | (11,880) | (27,652) | (26,392) |
Total financial expenses and net expenses from derivative financial instruments and foreign currency exchange rate differences | (55,036) | (86,847) | (92,971) |
Net financial expenses | (33,257) | (49,092) | (42,082) |
Repurchase price and premium incurred, as well as previously unamortized issuance costs | 8,142 | ||
Financial services companies | |||
Disclosure of detailed information about financial instruments [line items] | |||
Total financial income | 55,043 | 65,878 | 66,386 |
Total financial expenses and net expenses from derivative financial instruments and foreign currency exchange rate differences | (16,639) | (36,628) | (45,083) |
Industrial companies | |||
Disclosure of detailed information about financial instruments [line items] | |||
Total financial income | 5,140 | 1,127 | 5,806 |
Total financial expenses and net expenses from derivative financial instruments and foreign currency exchange rate differences | (38,397) | (50,219) | (47,888) |
Net financial expenses | € (33,257) | € (49,092) | € (42,082) |
INCOME TAXES - Schedule of Inco
INCOME TAXES - Schedule of Income Tax Expense (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income taxes [Abstract] | |||
Current tax expense | € 218,540 | € 120,115 | € 137,303 |
Deferred tax (benefit)/expense | (12,001) | (62,474) | 32,145 |
Taxes relating to prior periods | 2,556 | 514 | 7,208 |
Total income tax expense | € 209,095 | € 58,155 | € 176,656 |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) € in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2020EUR (€) | Dec. 31, 2021EUR (€)extensionOption | Dec. 31, 2020EUR (€) | Dec. 31, 2019EUR (€) | |
Income Taxes [Line Items] | ||||
Income tax expense | € 209,095 | € 58,155 | € 176,656 | |
Applicable tax rate (percent) | 24.00% | 24.00% | 24.00% | |
Deferred tax assets | € 152,221 | € 168,757 | € 152,221 | |
Deferred tax liabilities | 113,474 | € 95,973 | € 113,474 | |
Effective tax rate | 20.10% | 8.70% | 20.20% | |
IRAP applicable tax rate (percent) | 3.90% | 3.90% | 3.90% | |
Aggregate amount of temporary differences related to remaining distributable earnings of subsidiaries | € 164,803 | € 186,806 | € 164,803 | |
Voluntary Step-up of Tangible and Intangible Assets | ||||
Income Taxes [Line Items] | ||||
Income tax expense | (74,700) | |||
Applicable tax rate (percent) | 3.00% | |||
Deferred tax assets | € 83,700 | 83,700 | ||
Deferred tax liabilities | 9,000 | 9,000 | ||
Net deferred tax benefit | € (74,700) | € (74,700) | ||
Deferred tax asset utilization period | 50 years | |||
Number of tax payments | extensionOption | 3 | |||
Voluntary Step-up of Tangible and Intangible Assets | Minimum | ||||
Income Taxes [Line Items] | ||||
Deferred tax asset, utilization period, extension period | 18 years | |||
Voluntary Step-up of Tangible and Intangible Assets | Maximum | ||||
Income Taxes [Line Items] | ||||
Deferred tax asset, utilization period, extension period | 50 years |
INCOME TAXES - Schedule of In_2
INCOME TAXES - Schedule of Income Tax Rate Reconciliation (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income taxes [Abstract] | |||
Theoretical income tax expense | € 250,136 | € 160,088 | € 210,088 |
Permanent and other differences | (79,267) | (129,016) | (76,187) |
Italian Regional Income Tax (IRAP) | 32,422 | 22,662 | 27,997 |
Effect of changes in tax rates and tax regulations | 633 | 800 | 733 |
Differences between foreign tax rates and the theoretical Italian tax rate and tax holidays | 2,077 | 1,734 | 3,457 |
Taxes relating to prior years | 2,556 | 514 | 7,208 |
Withholding tax on earnings | 539 | 1,373 | 3,360 |
Total income tax expense | € 209,095 | € 58,155 | € 176,656 |
Effective tax rate | 20.10% | 8.70% | 20.20% |
INCOME TAXES - Schedule of Defe
INCOME TAXES - Schedule of Deferred Tax Assets and Liabilities (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Deferred tax assets | € 168,757 | € 152,221 |
Deferred tax liabilities | (95,973) | (113,474) |
Net deferred tax assets/(liabilities) | 72,784 | 38,747 |
To be recovered after 12 months | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Deferred tax assets | 94,808 | 95,209 |
Deferred tax liabilities | (78,496) | (96,179) |
To be recovered within 12 months | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Deferred tax assets | 73,949 | 57,012 |
Deferred tax liabilities | € (17,477) | € (17,295) |
INCOME TAXES - Deferred Tax Ass
INCOME TAXES - Deferred Tax Asset and Liability Rollforward (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | € 152,221 | |
Deferred tax liabilities, beginning of period | (113,474) | |
Total net deferred tax assets/(liabilities), beginning of period | 38,747 | |
Total net deferred tax assets/(liabilities), beginning of period | € (8,525) | |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 12,001 | 62,474 |
Charged to equity | 18,070 | (11,290) |
Translation differences and other changes | 3,966 | (3,912) |
Deferred tax assets, end of period | 168,757 | 152,221 |
Deferred tax liabilities, end of period | (95,973) | (113,474) |
Total net deferred tax assets/(liabilities), end of period | 72,784 | 38,747 |
Provisions | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 90,663 | 100,298 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 12,712 | (8,748) |
Translation differences and other changes | 606 | (887) |
Deferred tax assets, end of period | 103,981 | 90,663 |
Deferred income | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 52,241 | 53,843 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | (606) | (1,602) |
Deferred tax assets, end of period | 51,635 | 52,241 |
Employee benefits | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 2,931 | 2,930 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 0 | |
Charged to equity | 110 | 1 |
Deferred tax assets, end of period | 3,041 | 2,931 |
Foreign currency exchange rate differences | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 516 | 1,437 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 95 | (920) |
Translation differences and other changes | (1) | (1) |
Deferred tax assets, end of period | 610 | 516 |
Cash flow hedge reserve | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 0 | 1,786 |
Changes in deferred tax liability (asset) [abstract] | ||
Charged to equity | 8,455 | (1,786) |
Deferred tax assets, end of period | 8,455 | 0 |
Inventory obsolescence | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 61,726 | 51,972 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 7,131 | 10,032 |
Translation differences and other changes | 250 | (278) |
Deferred tax assets, end of period | 69,107 | 61,726 |
Allowances for doubtful accounts | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 5,643 | 5,407 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | (474) | 239 |
Translation differences and other changes | 9 | (3) |
Deferred tax assets, end of period | 5,178 | 5,643 |
Depreciation | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 17,551 | 17,564 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 7 | (10) |
Translation differences and other changes | (3) | (3) |
Deferred tax assets, end of period | 17,555 | 17,551 |
Trademark step-up | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 83,700 | |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 837 | 83,700 |
Deferred tax assets, end of period | 84,537 | 83,700 |
Patent box | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 27,902 | |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 37,791 | 27,902 |
Deferred tax assets, end of period | 65,693 | 27,902 |
Other | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 6,027 | 17,695 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 3,927 | (8,298) |
Translation differences and other changes | 4,374 | (3,370) |
Deferred tax assets, end of period | 14,328 | 6,027 |
Total deferred tax assets | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax assets, beginning of period | 348,900 | 252,932 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 61,420 | 102,295 |
Charged to equity | 8,565 | (1,785) |
Translation differences and other changes | 5,235 | (4,542) |
Deferred tax assets, end of period | 424,120 | 348,900 |
Depreciation | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax liabilities, beginning of period | (7,550) | (8,881) |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 1,217 | 764 |
Translation differences and other changes | (448) | 567 |
Deferred tax liabilities, end of period | (6,781) | (7,550) |
Capitalization of development costs | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax liabilities, beginning of period | (264,087) | (224,851) |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | (47,349) | (39,238) |
Translation differences and other changes | (2) | 2 |
Deferred tax liabilities, end of period | (311,438) | (264,087) |
Employee benefits | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax liabilities, beginning of period | (844) | (750) |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | (209) | (94) |
Deferred tax liabilities, end of period | (1,053) | (844) |
Foreign currency exchange rate differences | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax liabilities, beginning of period | (559) | (399) |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 33 | (160) |
Translation differences and other changes | 0 | |
Deferred tax liabilities, end of period | (526) | (559) |
Cash flow hedge reserve | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax liabilities, beginning of period | (9,505) | 0 |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | 0 | |
Charged to equity | 9,505 | (9,505) |
Deferred tax liabilities, end of period | 0 | (9,505) |
Tax on undistributed earnings | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax liabilities, beginning of period | (15,861) | (13,983) |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | (1,543) | (1,878) |
Deferred tax liabilities, end of period | (17,404) | (15,861) |
Other | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax liabilities, beginning of period | (11,747) | (12,593) |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | (1,568) | 785 |
Translation differences and other changes | (819) | 61 |
Deferred tax liabilities, end of period | (14,134) | (11,747) |
Total deferred tax liabilities | ||
Deferred Net Tax Asset And Liabilities [Roll Forward] | ||
Deferred tax liabilities, beginning of period | (310,153) | (261,457) |
Changes in deferred tax liability (asset) [abstract] | ||
Recognized in consolidated income statement | (49,419) | (39,821) |
Charged to equity | 9,505 | (9,505) |
Translation differences and other changes | (1,269) | 630 |
Deferred tax liabilities, end of period | € (351,336) | € (310,153) |
OTHER INFORMATION BY NATURE - N
OTHER INFORMATION BY NATURE - Narrative (Details) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021EUR (€)employee | Dec. 31, 2020EUR (€)employee | Dec. 31, 2019EUR (€)employee | |
Disclosure of detailed information about intangible assets [line items] | |||
Compensation related to product development | € 483,747 | € 389,927 | € 385,182 |
Average number of employees | employee | 4,571 | 4,428 | 4,164 |
Depreciation expense | € 230,097 | € 217,952 | € 191,482 |
Accumulated depreciation and amortisation | |||
Disclosure of detailed information about intangible assets [line items] | |||
Amortization | € 225,892 | € 208,685 | € 160,464 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - EUR (€) € / shares in Units, € in Thousands, shares in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Basic earnings per share [abstract] | |||
Profit attributable to owners of the Company | € 830,767 | € 607,817 | € 695,818 |
Weighted average number of common shares for basic earnings per common share (shares) | 184,446 | 184,806 | 186,767 |
Basic earnings per common share (in Euros per share) | € 4.50 | € 3.29 | € 3.73 |
Diluted earnings per share [abstract] | |||
Owners of the parent | € 830,767 | € 607,817 | € 695,818 |
Weighted average number of common shares for diluted earnings per common share (shares) | 184,722 | 185,379 | 187,535 |
Diluted earnings per common share (in Euros per share) | € 4.50 | € 3.28 | € 3.71 |
GOODWILL (Details)
GOODWILL (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of significant unobservable inputs used in fair value measurement of assets [line items] | |||
Goodwill | € 785,182 | € 785,182 | |
Specific medium/ long-term growth rate (percent) | 2.00% | 2.00% | 2.00% |
Weighted average cost of capital | Discounted cash flow | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets [line items] | |||
Base WACC (percent) | 0.0684 | 0.0683 | 0.068 |
INTANGIBLE ASSETS (Details)
INTANGIBLE ASSETS (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | € 979,290 | € 837,938 | |
Intangible assets, ending balance | 1,138,173 | 979,290 | € 837,938 |
Gross carrying amount | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | 2,852,199 | 2,502,163 | |
Additions | 384,827 | 351,978 | |
Reclassifications | 0 | 0 | |
Translation differences and other movements | (52) | (1,942) | |
Intangible assets, ending balance | 3,236,974 | 2,852,199 | 2,502,163 |
Accumulated amortization | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | (1,872,909) | (1,664,225) | |
Amortization | 225,892 | 208,685 | 160,464 |
Translation differences and other movements | 1 | ||
Intangible assets, ending balance | (2,098,801) | (1,872,909) | (1,664,225) |
Development costs | Externally acquired | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | 630,079 | 532,712 | |
Intangible assets, ending balance | 744,872 | 630,079 | 532,712 |
Development costs | Externally acquired | Gross carrying amount | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | 1,803,993 | 1,567,080 | |
Additions | 261,457 | 236,913 | |
Reclassifications | 0 | 0 | |
Translation differences and other movements | 0 | 0 | |
Intangible assets, ending balance | 2,065,450 | 1,803,993 | 1,567,080 |
Development costs | Externally acquired | Accumulated amortization | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | (1,173,914) | (1,034,368) | |
Amortization | 146,664 | 139,546 | |
Translation differences and other movements | 0 | ||
Intangible assets, ending balance | (1,320,578) | (1,173,914) | (1,034,368) |
Development costs | Internally acquired | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | 308,395 | 268,059 | |
Intangible assets, ending balance | 362,269 | 308,395 | 268,059 |
Development costs | Internally acquired | Gross carrying amount | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | 760,333 | 678,989 | |
Additions | 101,682 | 83,190 | |
Reclassifications | 0 | 0 | |
Translation differences and other movements | 0 | (1,846) | |
Intangible assets, ending balance | 862,015 | 760,333 | 678,989 |
Development costs | Internally acquired | Accumulated amortization | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | (451,938) | (410,930) | |
Amortization | 47,808 | 41,008 | |
Translation differences and other movements | 0 | ||
Intangible assets, ending balance | (499,746) | (451,938) | (410,930) |
Patents, concessions and licenses | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | 35,250 | 31,190 | |
Intangible assets, ending balance | 26,047 | 35,250 | 31,190 |
Patents, concessions and licenses | Gross carrying amount | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | 237,597 | 207,491 | |
Additions | 17,151 | 26,867 | |
Reclassifications | 3,200 | 3,337 | |
Translation differences and other movements | (59) | (98) | |
Intangible assets, ending balance | 257,889 | 237,597 | 207,491 |
Patents, concessions and licenses | Accumulated amortization | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | (202,347) | (176,301) | |
Amortization | 29,495 | 26,048 | |
Translation differences and other movements | 2 | ||
Intangible assets, ending balance | (231,842) | (202,347) | (176,301) |
Other intangible assets | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | 5,566 | 5,977 | |
Intangible assets, ending balance | 4,985 | 5,566 | 5,977 |
Other intangible assets | Gross carrying amount | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | 50,276 | 48,603 | |
Additions | 4,537 | 5,008 | |
Reclassifications | (3,200) | (3,337) | |
Translation differences and other movements | 7 | 2 | |
Intangible assets, ending balance | 51,620 | 50,276 | 48,603 |
Other intangible assets | Accumulated amortization | |||
Reconciliation of changes in intangible assets other than goodwill [abstract] | |||
Intangible assets, beginning balance | (44,710) | (42,626) | |
Amortization | 1,925 | 2,083 | |
Translation differences and other movements | (1) | ||
Intangible assets, ending balance | € (46,635) | € (44,710) | € (42,626) |
PROPERTY, PLANT AND EQUIPMENT_2
PROPERTY, PLANT AND EQUIPMENT (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | € 1,226,630 | € 1,069,652 | |
Property, plant and equipment, ending balance | 1,353,165 | 1,226,630 | |
Right-of-use assets | 53,758 | 59,742 | € 57,765 |
Gross carrying amount | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 3,547,970 | 3,187,711 | |
Additions | 365,457 | 382,005 | |
Divestitures | 55,213 | 17,389 | |
Reclassifications | (6,574) | 0 | |
Translation differences and other movements | 3,810 | (4,357) | |
Property, plant and equipment, ending balance | 3,855,450 | 3,547,970 | |
Accumulated amortization | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | (2,321,340) | (2,118,059) | |
Depreciation | 230,097 | 217,952 | |
Divestitures | (49,491) | (13,969) | |
Reclassifications | 1,123 | ||
Translation differences and other movements | (1,462) | 702 | |
Property, plant and equipment, ending balance | (2,502,285) | (2,321,340) | |
Land | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 29,391 | 23,609 | |
Property, plant and equipment, ending balance | 50,056 | 29,391 | |
Right-of-use assets | 0 | 0 | 0 |
Land | Gross carrying amount | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 29,391 | 23,609 | |
Additions | 16,936 | 5,805 | |
Divestitures | 13 | 0 | |
Reclassifications | 3,722 | 0 | |
Translation differences and other movements | 20 | (23) | |
Property, plant and equipment, ending balance | 50,056 | 29,391 | |
Land | Accumulated amortization | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 0 | 0 | |
Depreciation | 0 | 0 | |
Divestitures | 0 | 0 | |
Reclassifications | 0 | ||
Translation differences and other movements | 0 | 0 | |
Property, plant and equipment, ending balance | 0 | 0 | |
Industrial buildings | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 246,285 | 241,526 | |
Property, plant and equipment, ending balance | 284,832 | 246,285 | |
Right-of-use assets | 21,613 | 25,574 | 15,834 |
Industrial buildings | Gross carrying amount | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 430,455 | 408,658 | |
Additions | 17,852 | 22,210 | |
Divestitures | 3,412 | 791 | |
Reclassifications | 40,046 | 2,795 | |
Translation differences and other movements | 1,736 | (2,417) | |
Property, plant and equipment, ending balance | 486,677 | 430,455 | |
Industrial buildings | Accumulated amortization | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | (184,170) | (167,132) | |
Depreciation | 17,875 | 17,778 | |
Divestitures | (608) | (602) | |
Reclassifications | 284 | ||
Translation differences and other movements | (692) | 138 | |
Property, plant and equipment, ending balance | (201,845) | (184,170) | |
Plant, machinery and equipment | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 549,358 | 537,681 | |
Property, plant and equipment, ending balance | 625,099 | 549,358 | |
Right-of-use assets | 3,484 | 5,041 | 7,612 |
Plant, machinery and equipment | Gross carrying amount | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 2,544,837 | 2,361,520 | |
Additions | 122,893 | 114,839 | |
Divestitures | 46,067 | 11,423 | |
Reclassifications | 144,684 | 79,937 | |
Translation differences and other movements | 376 | (36) | |
Property, plant and equipment, ending balance | 2,766,723 | 2,544,837 | |
Plant, machinery and equipment | Accumulated amortization | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | (1,995,479) | (1,823,839) | |
Depreciation | 191,247 | 180,868 | |
Divestitures | (43,991) | (10,654) | |
Reclassifications | 1,123 | ||
Translation differences and other movements | (12) | (1,426) | |
Property, plant and equipment, ending balance | (2,141,624) | (1,995,479) | |
Other assets | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 71,853 | 65,440 | |
Property, plant and equipment, ending balance | 74,278 | 71,853 | |
Right-of-use assets | 28,661 | 29,127 | 34,319 |
Other assets | Gross carrying amount | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 213,544 | 192,528 | |
Additions | 20,930 | 24,445 | |
Divestitures | 5,586 | 5,048 | |
Reclassifications | 2,573 | 3,500 | |
Translation differences and other movements | 1,633 | (1,881) | |
Property, plant and equipment, ending balance | 233,094 | 213,544 | |
Other assets | Accumulated amortization | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | (141,691) | (127,088) | |
Depreciation | 20,975 | 19,306 | |
Divestitures | (4,892) | (2,713) | |
Reclassifications | (284) | ||
Translation differences and other movements | (758) | 1,990 | |
Property, plant and equipment, ending balance | (158,816) | (141,691) | |
Advances and assets under construction | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 329,743 | 201,396 | |
Property, plant and equipment, ending balance | 318,900 | 329,743 | |
Right-of-use assets | 0 | 0 | € 0 |
Advances and assets under construction | Gross carrying amount | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 329,743 | 201,396 | |
Additions | 186,846 | 214,706 | |
Divestitures | 135 | 127 | |
Reclassifications | (197,599) | (86,232) | |
Translation differences and other movements | 45 | 0 | |
Property, plant and equipment, ending balance | 318,900 | 329,743 | |
Advances and assets under construction | Accumulated amortization | |||
Reconciliation of changes in property, plant and equipment [abstract] | |||
Property, plant and equipment, beginning balance | 0 | 0 | |
Depreciation | 0 | 0 | |
Divestitures | 0 | 0 | |
Reclassifications | 0 | ||
Translation differences and other movements | 0 | 0 | |
Property, plant and equipment, ending balance | € 0 | € 0 |
PROPERTY, PLANT AND EQUIPMENT -
PROPERTY, PLANT AND EQUIPMENT - Changes in Carrying Amount of Right-of-use Assets (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Of Quantitative Information About Right-of-use Assets [Roll Forward] | ||
Right-of-use assets, beginning of period | € 59,742 | € 57,765 |
Additions | 13,141 | 24,986 |
Disposals | (3,253) | (2,327) |
Depreciation | (15,348) | (20,159) |
Translation differences and other movements | (524) | (523) |
Right-of-use assets, end of period | 53,758 | 59,742 |
Industrial buildings | ||
Disclosure Of Quantitative Information About Right-of-use Assets [Roll Forward] | ||
Right-of-use assets, beginning of period | 25,574 | 15,834 |
Additions | 3,987 | 16,214 |
Disposals | (2,780) | 0 |
Depreciation | (5,753) | (6,564) |
Translation differences and other movements | 585 | 90 |
Right-of-use assets, end of period | 21,613 | 25,574 |
Plant, machinery and equipment | ||
Disclosure Of Quantitative Information About Right-of-use Assets [Roll Forward] | ||
Right-of-use assets, beginning of period | 5,041 | 7,612 |
Additions | 1,409 | 2,578 |
Disposals | 0 | (24) |
Depreciation | (1,348) | (5,159) |
Translation differences and other movements | (1,618) | 34 |
Right-of-use assets, end of period | 3,484 | 5,041 |
Other assets | ||
Disclosure Of Quantitative Information About Right-of-use Assets [Roll Forward] | ||
Right-of-use assets, beginning of period | 29,127 | 34,319 |
Additions | 7,745 | 6,194 |
Disposals | (473) | (2,303) |
Depreciation | (8,247) | (8,436) |
Translation differences and other movements | 509 | (647) |
Right-of-use assets, end of period | € 28,661 | € 29,127 |
PROPERTY, PLANT AND EQUIPMENT_3
PROPERTY, PLANT AND EQUIPMENT - Amounts Recognized in Income Statement Related to Leases (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure of detailed information about property, plant and equipment [abstract] | ||
Depreciation of right-of-use assets | € 15,348 | € 20,159 |
Interest expense on lease liabilities | 868 | 943 |
Variable lease payments not included in the measurement of lease liabilities | 1,622 | 1,190 |
Expenses relating to short-term leases and leases of low-value assets | 3,671 | 4,312 |
Total expenses recognized | € 21,509 | € 26,604 |
PROPERTY, PLANT AND EQUIPMENT_4
PROPERTY, PLANT AND EQUIPMENT - Narrative (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure of detailed information about property, plant and equipment [abstract] | ||
Depreciation of right-of-use assets | € 15,348 | € 20,159 |
Interest expense on lease liabilities | 868 | 943 |
Contractual commitments for acquisition of property, plant and equipment | € 73,681 | € 101,361 |
INVESTMENTS AND OTHER FINANCI_3
INVESTMENTS AND OTHER FINANCIAL ASSETS - Investments and Other Financial Assets (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Investments and other financial assets [Abstract] | |||
Investments accounted for using the equity method | € 42,927 | € 34,663 | € 30,012 |
Other securities and financial assets | 11,582 | 8,178 | |
Total investments and other financial assets | € 54,509 | € 42,841 |
INVESTMENTS AND OTHER FINANCI_4
INVESTMENTS AND OTHER FINANCIAL ASSETS - Changes in Equity Method Investments (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Change In Investments [Roll Forward] | ||
Balance at beginning of period | € 34,663 | € 30,012 |
Additions | 1,285 | |
Proportionate share of net profit for the period | 6,896 | 4,647 |
Proportionate share of remeasurement of defined benefit plans | 83 | 4 |
Balance at end of period | € 42,927 | € 34,663 |
INVESTMENTS AND OTHER FINANCI_5
INVESTMENTS AND OTHER FINANCIAL ASSETS - Financial Information Relating to FFS GmbH (Details) - EUR (€) € in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Non-current assets [abstract] | ||||
Non-current assets | € 3,499,786 | € 3,186,164 | ||
Current assets [abstract] | ||||
Other current assets | 122,224 | 76,471 | ||
Cash and cash equivalents | 1,344,146 | 1,362,406 | € 897,946 | € 793,664 |
Total assets | 6,863,505 | 6,262,047 | ||
Equity and liabilities | ||||
Equity | 2,211,416 | 1,789,204 | 1,487,288 | € 1,353,839 |
Debt | 2,630,011 | 2,724,745 | ||
Other liabilities | 726,775 | 687,462 | ||
Total equity and liabilities | 6,863,505 | 6,262,047 | ||
Profit or loss [abstract] | ||||
Net revenues | 4,270,894 | 3,459,790 | 3,766,615 | |
Cost of sales | 2,080,613 | 1,686,324 | 1,805,310 | |
Selling, general and administrative costs | 348,024 | 336,126 | 343,179 | |
Other expenses/(income), net | 5,561 | 18,475 | 4,991 | |
Profit before taxes | 1,042,231 | 667,035 | 875,364 | |
Income tax expense | 209,095 | 58,155 | 176,656 | |
Net profit | 833,136 | 608,880 | 698,708 | |
Ferrari Financial Services GmbH | ||||
Non-current assets [abstract] | ||||
Non-current assets | 4,037 | 3,390 | ||
Current assets [abstract] | ||||
Receivables from financing activities | 908,362 | 782,880 | ||
Other current assets | 5,096 | 4,130 | ||
Cash and cash equivalents | 14,046 | 5,406 | ||
Total assets | 931,541 | 795,806 | ||
Equity and liabilities | ||||
Equity | 81,156 | 67,352 | ||
Debt | 763,563 | 653,748 | ||
Other liabilities | 86,822 | 74,706 | ||
Total equity and liabilities | 931,541 | 795,806 | ||
Profit or loss [abstract] | ||||
Net revenues | 46,103 | 37,764 | 34,680 | |
Cost of sales | 16,971 | 14,864 | 15,655 | |
Selling, general and administrative costs | 8,565 | 8,494 | 8,892 | |
Other expenses/(income), net | 2,730 | 1,213 | (963) | |
Profit before taxes | 17,837 | 13,193 | 11,096 | |
Income tax expense | 4,045 | 3,898 | 3,010 | |
Net profit | € 13,792 | € 9,295 | € 8,086 |
INVESTMENTS AND OTHER FINANCI_6
INVESTMENTS AND OTHER FINANCIAL ASSETS - Narrative (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of information about unconsolidated subsidiaries [line items] | ||
Other securities and financial assets | € 11,582 | € 8,178 |
Liberty Media | ||
Disclosure of information about unconsolidated subsidiaries [line items] | ||
Other securities and financial assets | € 10,559 | € 7,163 |
INVENTORIES (Details)
INVENTORIES (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of other provisions [line items] | |||
Raw materials | € 99,382 | € 96,900 | |
Semi-finished goods | 121,201 | 94,619 | |
Finished goods | 319,992 | 269,098 | |
Current inventories | 540,575 | 460,617 | |
Reconciliation of changes in other provisions [abstract] | |||
Balance at beginning of period | 155,335 | ||
Changes in other provisions [abstract] | |||
Provision | 60,996 | ||
Use and other changes | (36,358) | ||
Balance at end of period | 150,868 | 155,335 | |
Provisions for slow moving and obsolete inventories | |||
Reconciliation of changes in other provisions [abstract] | |||
Balance at beginning of period | 96,707 | 83,673 | |
Changes in other provisions [abstract] | |||
Provision | 9,392 | 21,155 | € 14,512 |
Use and other changes | (4,001) | (8,121) | |
Balance at end of period | € 102,098 | € 96,707 | € 83,673 |
CURRENT RECEIVABLES AND OTHER_3
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS - Summary of Current Receivables and Other Current Assets (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Subclassifications of assets, liabilities and equities [abstract] | ||
Trade receivables | € 185,000 | € 184,260 |
Receivables from financing activities | 1,143,968 | 939,607 |
Current tax receivables | 14,306 | 12,438 |
Other current assets | 122,224 | 76,471 |
Total | € 1,465,498 | € 1,212,776 |
CURRENT RECEIVABLES AND OTHER_4
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS - Summary of Trade Receivables by Nature (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of financial assets [line items] | ||
Trade receivables | € 185,000 | € 184,260 |
Dealers | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 58,446 | 62,301 |
FCA Group companies | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 23,737 | 37,906 |
Sponsorship and commercial activities | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 29,666 | 31,917 |
Brand activities | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 23,902 | 21,886 |
Other | ||
Disclosure of financial assets [line items] | ||
Trade receivables | € 49,249 | € 30,250 |
CURRENT RECEIVABLES AND OTHER_5
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS - Narrative (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure of financial assets [line items] | ||
Average contractual duration at inception of contracts | 66 months | 67 months |
Weighted average interest rate (percent) | 5.20% | 5.50% |
Payment Guarantee | ||
Disclosure of financial assets [line items] | ||
Guarantees through third parties | € 226,878 | € 169,186 |
Bottom of range | ||
Disclosure of financial assets [line items] | ||
Typical duration of payments due from customers | 30 days | |
Bottom of range | Dealers | ||
Disclosure of financial assets [line items] | ||
Typical duration of payments due from customers | 30 days | |
Top of range | ||
Disclosure of financial assets [line items] | ||
Typical duration of payments due from customers | 40 days | |
Top of range | Dealers | ||
Disclosure of financial assets [line items] | ||
Typical duration of payments due from customers | 40 days |
CURRENT RECEIVABLES AND OTHER_6
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS - Summary of Trade Receivables by Currency (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of financial assets [line items] | ||
Trade receivables | € 185,000 | € 184,260 |
Euro | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 78,286 | 111,191 |
U.S. Dollar | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 84,590 | 51,295 |
Pound Sterling | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 3,908 | 6,560 |
Chinese Yuan | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 2,478 | 1,398 |
Japanese Yen | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 11,348 | 8,921 |
Other | ||
Disclosure of financial assets [line items] | ||
Trade receivables | € 4,390 | € 4,895 |
CURRENT RECEIVABLES AND OTHER_7
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS - Changes in the Allowance for Doubtful Accounts of Trade Receivables (Details) - Trade receivables - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Reconciliation of changes in other provisions [abstract] | ||
At January 1, | € 28,312 | € 27,171 |
Changes in allowance account for credit losses of financial assets [abstract] | ||
Additional provisions | 2,094 | 5,743 |
Utilizations | (1,835) | (2,860) |
Releases | (2,741) | (1,595) |
Other changes | 154 | (147) |
At December 31, | € 25,984 | € 28,312 |
CURRENT RECEIVABLES AND OTHER_8
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS - Receivables from Financing Activities (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of financial assets [line items] | ||
Receivables from financing activities | € 1,143,968 | € 939,607 |
Client financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 1,132,979 | 925,878 |
Dealer financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | € 10,989 | € 13,729 |
CURRENT RECEIVABLES AND OTHER_9
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS - Changes in the Allowance for Doubtful Accounts of Receivables from Financing Activities (Details) - Loans to consumers - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Reconciliation of changes in other provisions [abstract] | ||
At January 1, | € 13,195 | € 7,480 |
Changes in allowance account for credit losses of financial assets [abstract] | ||
Additional provisions | 2,737 | 9,502 |
Utilizations | (4,507) | (3,078) |
Releases | (1,270) | 0 |
Other changes | 1,049 | (709) |
At December 31, | € 11,204 | € 13,195 |
CURRENT RECEIVABLES AND OTHE_10
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS - Summary of Other Current Assets (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Subclassifications of assets, liabilities and equities [abstract] | ||
Italian and foreign VAT credits | € 61,278 | € 31,620 |
Prepayments | 36,084 | 38,826 |
Other | 24,862 | 6,025 |
Total other current assets | € 122,224 | € 76,471 |
CURRENT RECEIVABLES AND OTHE_11
CURRENT RECEIVABLES AND OTHER CURRENT ASSETS - Analysis of Receivables and Other Current Assets by Due Date (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of financial assets [line items] | ||
Trade receivables | € 185,000 | € 184,260 |
Receivables from financing activities | 1,143,968 | 939,607 |
Current tax receivables | 14,306 | 12,438 |
Other current assets | 86,140 | 37,645 |
Total | 1,429,414 | 1,173,950 |
Client financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 1,132,979 | 925,878 |
Dealer financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 10,989 | 13,729 |
Overdue | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 47,237 | 46,627 |
Receivables from financing activities | 52,733 | 65,554 |
Current tax receivables | 0 | 0 |
Other current assets | 570 | 247 |
Total | 100,540 | 112,428 |
Overdue | Client financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 52,733 | 65,554 |
Overdue | Dealer financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 0 | 0 |
Due within one year | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 137,694 | 137,564 |
Receivables from financing activities | 197,207 | 159,778 |
Current tax receivables | 14,306 | 10,314 |
Other current assets | 84,417 | 36,971 |
Total | 433,624 | 344,627 |
Due within one year | Client financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 196,018 | 156,154 |
Due within one year | Dealer financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 1,189 | 3,624 |
Due between one and five years | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 70 | 69 |
Receivables from financing activities | 820,363 | 657,073 |
Current tax receivables | 0 | 2,124 |
Other current assets | 998 | 247 |
Total | 821,431 | 659,513 |
Due between one and five years | Client financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 810,563 | 646,968 |
Due between one and five years | Dealer financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 9,800 | 10,105 |
Due beyond five years | ||
Disclosure of financial assets [line items] | ||
Trade receivables | 0 | 0 |
Receivables from financing activities | 73,665 | 57,202 |
Current tax receivables | 0 | 0 |
Other current assets | 155 | 180 |
Total | 73,820 | 57,382 |
Due beyond five years | Client financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | 73,665 | 57,202 |
Due beyond five years | Dealer financing | ||
Disclosure of financial assets [line items] | ||
Receivables from financing activities | € 0 | € 0 |
CURRENT FINANCIAL ASSETS AND _3
CURRENT FINANCIAL ASSETS AND OTHER FINANCIAL LIABILITIES - Current Financial Assets (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financial Instruments [Abstract] | ||
Financial derivatives | € 11,565 | € 38,636 |
Other financial assets | 1,935 | 1,448 |
Current financial assets | € 13,500 | € 40,084 |
CURRENT FINANCIAL ASSETS AND _4
CURRENT FINANCIAL ASSETS AND OTHER FINANCIAL LIABILITIES - Financial Derivatives (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of detailed information about financial instruments [line items] | ||
Positive fair value | € 11,565 | € 38,636 |
Negative fair value | (36,520) | (2,140) |
Cash flow hedges | ||
Disclosure of detailed information about financial instruments [line items] | ||
Positive fair value | 10,672 | 37,982 |
Negative fair value | (36,135) | (2,060) |
Currency risk | Other foreign exchange derivative | ||
Disclosure of detailed information about financial instruments [line items] | ||
Positive fair value | 893 | 654 |
Negative fair value | (385) | (80) |
Currency risk | Cash flow hedges | Forward contract | ||
Disclosure of detailed information about financial instruments [line items] | ||
Positive fair value | 4,437 | 37,214 |
Negative fair value | (34,973) | (2,060) |
Commodity price risk | Cash flow hedges | Commodities contract | ||
Disclosure of detailed information about financial instruments [line items] | ||
Positive fair value | 182 | 271 |
Negative fair value | (1,162) | 0 |
Interest rate risk | Cash flow hedges | Interest rate cap contract | ||
Disclosure of detailed information about financial instruments [line items] | ||
Positive fair value | 6,053 | 497 |
Negative fair value | € 0 | € 0 |
CURRENT FINANCIAL ASSETS AND _5
CURRENT FINANCIAL ASSETS AND OTHER FINANCIAL LIABILITIES - Analysis of Foreign Currency Derivatives (Details) - Currency risk - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of detailed information about financial instruments [line items] | ||
Notional Amount | € 2,486,880 | € 1,898,717 |
Fair Value | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivative financial liabilities | (24,955) | |
Derivative financial assets | 36,496 | |
U.S. Dollar | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional Amount | 1,773,022 | 1,363,667 |
U.S. Dollar | Fair Value | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivative financial liabilities | (17,588) | |
Derivative financial assets | 31,474 | |
Pound Sterling | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional Amount | 154,353 | 118,795 |
Pound Sterling | Fair Value | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivative financial liabilities | (2,343) | |
Derivative financial assets | 450 | |
Japanese Yen | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional Amount | 282,482 | 197,170 |
Japanese Yen | Fair Value | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivative financial assets | 116 | 3,533 |
Swiss Franc | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional Amount | 76,953 | 76,282 |
Swiss Franc | Fair Value | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivative financial liabilities | (2,754) | |
Derivative financial assets | 535 | |
Chinese Yuan | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional Amount | 91,248 | 37,644 |
Chinese Yuan | Fair Value | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivative financial liabilities | (1,125) | |
Derivative financial assets | 490 | |
Other | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional Amount | 108,822 | 105,159 |
Other | Fair Value | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivative financial liabilities | € (1,261) | |
Derivative financial assets | € 14 |
CURRENT FINANCIAL ASSETS AND _6
CURRENT FINANCIAL ASSETS AND OTHER FINANCIAL LIABILITIES - Reclassified Gains and Losses (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about financial instruments [line items] | |||
Net revenues/(costs) | € 7,275 | € 19,557 | € (22,055) |
Income tax (expense)/benefit | (2,030) | (5,456) | 6,153 |
Total recognized in the consolidated income statement | 5,245 | 14,101 | (15,902) |
Net revenues/(costs) | |||
Disclosure of detailed information about financial instruments [line items] | |||
Net revenues/(costs) | € 7,275 | € 19,557 | € (22,055) |
EQUITY - Narrative (Details)
EQUITY - Narrative (Details) € / shares in Units, € in Thousands | Apr. 15, 2021€ / shares | Apr. 16, 2020EUR (€)€ / shares | Apr. 12, 2019EUR (€)€ / shares | Dec. 31, 2021EUR (€)vote€ / sharesshares | Dec. 31, 2020EUR (€)€ / sharesshares | Dec. 31, 2019EUR (€) | Mar. 31, 2021shares | Dec. 31, 2018EUR (€) |
Disclosure of reserves within equity [line items] | ||||||||
Equity | € 2,211,416 | € 1,789,204 | € 1,487,288 | € 1,353,839 | ||||
Number of votes held for each common share under loyalty voting structure | vote | 2 | |||||||
Required holding period of special voting shares in order to participate in program | 3 years | |||||||
Number of votes that can be exercised for each voting share | vote | 1 | |||||||
Share premium reserve | € 5,768,544 | 5,768,544 | ||||||
Legal reserve | 93 | 19 | ||||||
Reserve of share-based payments | 28,379 | 43,482 | ||||||
Cash distribution paid (in Euro per share) | € / shares | € 0.867 | € 1.13 | € 1.03 | |||||
Cash distribution of reserves | € 208,765 | € 193,328 | 160,272 | |||||
Dividends paid to equity holders of parent, classified as financing activities | € 160,101 | € 208,100 | 192,664 | |||||
Common Shares | ||||||||
Disclosure of reserves within equity [line items] | ||||||||
Number of shares issued (in shares) | shares | 193,923,499 | 193,923,499 | 243,363 | |||||
Special Voting Shares | ||||||||
Disclosure of reserves within equity [line items] | ||||||||
Number of shares issued (in shares) | shares | 63,349,112 | 63,349,112 | ||||||
Share capital | ||||||||
Disclosure of reserves within equity [line items] | ||||||||
Equity | € 2,573 | € 2,573 | € 2,573 | € 2,504 | ||||
Nominal value of shares (in Euros per share) | € / shares | € 0.01 | € 0.01 | ||||||
Treasury shares | ||||||||
Disclosure of reserves within equity [line items] | ||||||||
Shares held by company, percentage | 3.92% | 3.57% | ||||||
Treasury reserve | € 847,525 | € 616,629 | ||||||
Treasury shares | Common Shares | ||||||||
Disclosure of reserves within equity [line items] | ||||||||
Number of shares issued (in shares) | shares | 10,080,103 | 9,175,609 | ||||||
Treasury shares | Special Voting Shares | ||||||||
Disclosure of reserves within equity [line items] | ||||||||
Number of shares issued (in shares) | shares | 4,190 | 2,190 |
EQUITY - Changes in Outstanding
EQUITY - Changes in Outstanding Shares (Details) - EUR (€) € in Thousands | Mar. 17, 2021 | Mar. 16, 2021 | Mar. 17, 2020 | Mar. 16, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of classes of share capital [line items] | |||||||
(Losses)/Gains on remeasurement of defined benefit plans | € (463) | € 34 | € (2,078) | ||||
FFS | |||||||
Disclosure of classes of share capital [line items] | |||||||
(Losses)/Gains on remeasurement of defined benefit plans | € 83 | € 4 | € (3) | ||||
Total | |||||||
Disclosure of classes of share capital [line items] | |||||||
Balance at January 1, (in shares) | 248,094,812 | 248,630,244 | |||||
Balance at December 31, (in shares) | 247,188,318 | 248,094,812 | 248,630,244 | ||||
Common Shares | |||||||
Disclosure of classes of share capital [line items] | |||||||
Balance at January 1, (in shares) | 184,747,890 | 185,283,323 | |||||
Shares assigned (repurchased) and other changes (in shares) | (1,167,592) | (819,483) | |||||
Balance at December 31, (in shares) | 183,843,396 | 184,747,890 | 185,283,323 | ||||
Special Voting Shares | |||||||
Disclosure of classes of share capital [line items] | |||||||
Balance at January 1, (in shares) | 63,346,922 | 63,346,921 | |||||
Shares assigned (repurchased) and other changes (in shares) | (2,000) | 1 | |||||
Balance at December 31, (in shares) | 63,344,922 | 63,346,922 | 63,346,921 | ||||
PSU and RSU Awards Under Equity Incentive Plan | Common Shares | |||||||
Disclosure of classes of share capital [line items] | |||||||
Shares assigned (repurchased) and other changes (in shares) | 263,098 | 284,050 | |||||
Share Repurchase Program | Common Shares | |||||||
Disclosure of classes of share capital [line items] | |||||||
Consideration paid to repurchase shares | € 231,024 | € 119,771 | |||||
2017 Equity Incentive Plan | Common Shares | |||||||
Disclosure of classes of share capital [line items] | |||||||
Shares assigned (repurchased) and other changes (in shares) | (93,473) | 356,571 | (82,149) | 366,199 | |||
Consideration paid to repurchase shares | € 15,432 | € 10,022 |
EQUITY - Other Comprehensive In
EQUITY - Other Comprehensive Income (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Items that will not be reclassified to the consolidated income statement in subsequent periods: | |||
(Losses)/Gains on remeasurement of defined benefit plans | € (463) | € 34 | € (2,078) |
Total items that will not be reclassified to the consolidated income statement in subsequent periods | (463) | 34 | (2,078) |
Items that may be reclassified to the consolidated income statement in subsequent periods: | |||
Gains/(Losses) on cash flow hedging instruments arising during the period | (56,855) | 59,666 | (24,327) |
(Gains)/Losses on cash flow hedging instruments reclassified to the consolidated income statement | (7,275) | (19,557) | 22,055 |
Gains/(Losses) on cash flow hedging instruments | (64,130) | 40,109 | (2,272) |
Exchange differences on translating foreign operations | 14,229 | (11,731) | 2,652 |
Total items that may be reclassified to the consolidated income statement in subsequent periods | (49,901) | 28,378 | 380 |
Total other comprehensive income/(loss) | (50,364) | 28,412 | (1,698) |
Related tax impact | 18,070 | (11,290) | 1,066 |
Total other comprehensive (loss)/income, net of tax | (32,294) | 17,122 | (632) |
FFS | |||
Items that will not be reclassified to the consolidated income statement in subsequent periods: | |||
(Losses)/Gains on remeasurement of defined benefit plans | € 83 | € 4 | € (3) |
Items that may be reclassified to the consolidated income statement in subsequent periods: | |||
Ownership interest (percent) | 49.90% |
EQUITY - Tax Effect Relating to
EQUITY - Tax Effect Relating to Other Comprehensive Income (Loss) (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of Share Capital Reserves and Other Equity Interests [Abstract] | |||
(Losses)/Gains on remeasurement of defined benefit plans, before tax | € (463) | € 34 | € (2,078) |
(Losses)/Gains on remeasurement of defined benefit plans, tax | 110 | 1 | 456 |
(Losses)/Gains on remeasurement of defined benefit plans, net of tax | (353) | 35 | (1,622) |
(Losses)/Gains on cash flow hedging instruments, before tax | (64,130) | 40,109 | (2,272) |
(Losses)/Gains on cash flow hedging instruments, tax | 17,960 | (11,291) | 610 |
(Losses)/Gains on cash flow hedging instruments, net of tax | (46,170) | 28,818 | (1,662) |
Exchange differences on translating foreign operations, before tax | 14,229 | (11,731) | 2,652 |
Exchange gains on translating foreign operations, tax | 0 | 0 | 0 |
Exchange gains on translating foreign operations, net of tax | 14,229 | (11,731) | 2,652 |
Total other comprehensive income/(loss) | (50,364) | 28,412 | (1,698) |
Total other comprehensive (loss)/income, tax | 18,070 | (11,290) | 1,066 |
Total other comprehensive (loss)/income, net of tax | € (32,294) | € 17,122 | € (632) |
SHARE-BASED COMPENSATION - Narr
SHARE-BASED COMPENSATION - Narrative (Details) € in Thousands | 3 Months Ended | 12 Months Ended | 24 Months Ended | 36 Months Ended | |||||
Mar. 31, 2022shares | Mar. 31, 2021shares | Mar. 31, 2020shares | Dec. 31, 2021EUR (€)sharescompany | Dec. 31, 2020EUR (€)shares | Dec. 31, 2019EUR (€) | Dec. 31, 2021EUR (€)sharescompany | Dec. 31, 2020shares | Dec. 31, 2021EUR (€)sharescompany | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Vesting percentages (percent) | 100.00% | ||||||||
Expense from share-based payment transactions with employees | € | € 11,689 | € 17,401 | € 17,480 | ||||||
Unrecognized compensation expense | € | 11,082 | € 11,082 | € 11,082 | ||||||
Share-based compensation expense from commercial agreements with certain suppliers | € | € 2,206 | ||||||||
Common Shares | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of shares issued (in shares) | 243,363 | 193,923,499 | 193,923,499 | 193,923,499 | 193,923,499 | 193,923,499 | |||
Equity Incentive Plan 2016 - 2020, Performance Stock Units And Restricted Stock Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of other equity instruments outstanding in share-based payment arrangement | 0 | 0 | 0 | ||||||
Equity Incentive Plan 2016 - 2020, PSUs | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of outstanding awards that had vested (in shares) | 212,243 | ||||||||
Equity Incentive Plan 2016 - 2020, RSUs | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of outstanding awards that had vested (in shares) | 31,120 | ||||||||
Equity Incentive Plan 2019 - 2021, Performance Stock Units And Restricted Stock Units | Executive Chairman, Former CEO, Members of the FLT and Other Key Employees | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Performance period | 3 years | ||||||||
PSU's, 2019 - 2021 Plan | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of outstanding awards that had vested (in shares) | 80,510 | 17,572 | |||||||
Vesting percentages (percent) | 100.00% | 100.00% | 100.00% | ||||||
PSU's, 2019 - 2021 Plan | Potential ordinary share transactions | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of outstanding awards that had vested (in shares) | 86,331 | ||||||||
PSU's, 2019 - 2021 Plan | Achievement of target TSR ranking | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Percentage of Target Awards that Vest (percent) | 50.00% | ||||||||
Number of companies in industry specific peer group | company | 8 | 8 | 8 | ||||||
PSU's, 2019 - 2021 Plan | Achievement of target | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Percentage of Target Awards that Vest (percent) | 30.00% | ||||||||
PSU's, 2019 - 2021 Plan | Achievement of technological innovation and new model development | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Percentage of Target Awards that Vest (percent) | 20.00% | ||||||||
PSU's, 2019 - 2021 Plan | Executive Chairman, Former CEO, Members of the FLT and Other Key Employees | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of instruments granted in share-based payment arrangement (shares) | 174,000 | ||||||||
RSU's, 2019- 2021 Plan | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of outstanding awards that had vested (in shares) | 32,694 | 18,892 | |||||||
RSU's, 2019- 2021 Plan | Potential ordinary share transactions | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of outstanding awards that had vested (in shares) | 75,857 | ||||||||
RSU's, 2019- 2021 Plan | Executive Chairman, Former CEO, Members of the FLT and Other Key Employees | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of instruments granted in share-based payment arrangement (shares) | 111,000 | ||||||||
Equity Incentive Plan 2020 - 2022, Performance Stock Units And Restricted Stock Units | Executive Chairman, Former CEO, Members of the FLT and Other Key Employees | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Performance period | 3 years | ||||||||
PSU's, 2020 - 2022 Plan | Achievement of target TSR ranking | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Percentage of Target Awards that Vest (percent) | 50.00% | ||||||||
Number of companies in industry specific peer group | company | 8 | 8 | 8 | ||||||
PSU's, 2020 - 2022 Plan | Achievement of target | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Percentage of Target Awards that Vest (percent) | 30.00% | ||||||||
PSU's, 2020 - 2022 Plan | Achievement of technological innovation and new model development | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Percentage of Target Awards that Vest (percent) | 20.00% | ||||||||
PSU's, 2020 - 2022 Plan | Executive Chairman, Former CEO, Members of the FLT and Other Key Employees | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of instruments granted in share-based payment arrangement (shares) | 60,000 | ||||||||
RSU's, 2020 - 2022 Plan | Executive Chairman, Former CEO, Members of the FLT and Other Key Employees | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of instruments granted in share-based payment arrangement (shares) | 48,000 | ||||||||
Equity Incentive Plan 2021 - 2023, Performance Stock Units and Restricted Stock Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Performance period | 3 years | ||||||||
Equity Incentive Plan 2021 - 2023, PSUs | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of instruments granted in share-based payment arrangement (shares) | 50,000 | ||||||||
Equity Incentive Plan 2021 - 2023, PSUs | Achievement of target TSR ranking | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Percentage of Target Awards that Vest (percent) | 50.00% | ||||||||
Number of companies in industry specific peer group | company | 8 | 8 | 8 | ||||||
Equity Incentive Plan 2021 - 2023, PSUs | Achievement of target | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Percentage of Target Awards that Vest (percent) | 30.00% | ||||||||
Equity Incentive Plan 2021 - 2023, PSUs | Achievement of technological innovation and new model development | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Percentage of Target Awards that Vest (percent) | 20.00% | ||||||||
Equity Incentive Plan 2021 - 2023, RSUs | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Number of instruments granted in share-based payment arrangement (shares) | 41,000 |
SHARE-BASED COMPENSATION - Targ
SHARE-BASED COMPENSATION - Target Vesting Percentages Based On TSR Rankings (Details) - Equity Incentive Plan 2021 - 2023, PSUs | 12 Months Ended |
Dec. 31, 2021 | |
Ferrari TSR Ranking 1 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 150.00% |
Ferrari TSR Ranking 2 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 120.00% |
Ferrari TSR Ranking 3 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 100.00% |
Ferrari TSR Ranking 4 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 75.00% |
Ferrari TSR Ranking 5 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 50.00% |
Ferrari TSR Ranking 6 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 0.00% |
SHARE-BASED COMPENSATION - Vest
SHARE-BASED COMPENSATION - Vesting Percentages Based on EBITA Target (Details) - Equity Incentive Plan 2021 - 2023, PSUs | 12 Months Ended |
Dec. 31, 2021 | |
+10% | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 140.00% |
+5% | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 120.00% |
Business Plan Target | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 100.00% |
-5% | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 80.00% |
less than -5% | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Percentage of Target Awards that Vest (percent) | 0.00% |
SHARE-BASED COMPENSATION - Key
SHARE-BASED COMPENSATION - Key Assumptions Used to Calculate Grant-date Fair Values (Details) - EUR (€) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
PSU's, 2019 - 2021 Plan | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Grant date share price (in Euros per share) | € 122.6 | |
Expected volatility | 26.50% | |
Dividend yield | 0.83% | |
Risk-free rate | 0.00% | |
PSU's, 2020 - 2022 Plan | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Fair value of awards (in Euro per share) | € 136.06 | |
Grant date share price (in Euros per share) | € 142.95 | |
Expected volatility | 26.60% | |
Dividend yield | 0.80% | |
Risk-free rate | 0.00% | |
PSUs, 2021 - 2023 Plan | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Fair value of awards (in Euro per share) | € 130.42 | |
Grant date share price (in Euros per share) | € 175.8 | |
Expected volatility | 27.00% | |
Dividend yield | 0.75% | |
Risk-free rate | 0.00% | |
RSU's, 2020 - 2022 Plan | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Fair value of awards (in Euro per share) | € 139.39 | |
RSUs, 2021 - 2023 Plan | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Fair value of awards (in Euro per share) | € 171.86 | |
Bottom of range | PSU's, 2019 - 2021 Plan | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Fair value of awards (in Euro per share) | € 110.57 | |
Bottom of range | RSU's, 2019- 2021 Plan | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Fair value of awards (in Euro per share) | 119.54 | |
Top of range | PSU's, 2019 - 2021 Plan | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Fair value of awards (in Euro per share) | 111.64 | |
Top of range | RSU's, 2019- 2021 Plan | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Fair value of awards (in Euro per share) | € 120.56 |
SHARE-BASED COMPENSATION - Outs
SHARE-BASED COMPENSATION - Outstanding Number of PSUs and RSUs (Details) - shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Outstanding PSU Awards | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Number of other equity instruments outstanding at beginning of period (shares) | 414,839 | 598,719 | 686,526 |
Granted (shares) | 49,861 | 48,173 | 175,307 |
Forfeited (shares) | (19,775) | (1,461) | (32,832) |
Vested (shares) | (292,753) | (230,592) | (230,282) |
Number of other equity instruments outstanding at end of period (shares) | 152,172 | 414,839 | 598,719 |
Outstanding RSU Awards | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Number of other equity instruments outstanding at beginning of period (shares) | 159,063 | 171,145 | 118,264 |
Granted (shares) | 41,460 | 39,780 | 110,968 |
Forfeited (shares) | (13,048) | (1,460) | (18,000) |
Vested (shares) | (63,814) | (50,402) | (40,087) |
Number of other equity instruments outstanding at end of period (shares) | 123,661 | 159,063 | 171,145 |
EMPLOYEE BENEFITS - Group's Pro
EMPLOYEE BENEFITS - Group's Provision for Employee Benefits (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of defined benefit plans [line items] | ||
Total present value of defined benefit obligations | € 18,430 | € 19,930 |
Total provisions for employee benefits | 101,200 | 59,985 |
Other provisions for employees | ||
Disclosure of defined benefit plans [line items] | ||
Total provisions for employee benefits | 82,770 | 40,055 |
Italian employee severance indemnity (TFR) | ||
Disclosure of defined benefit plans [line items] | ||
Total present value of defined benefit obligations | 18,430 | 19,825 |
Pension plans | ||
Disclosure of defined benefit plans [line items] | ||
Total present value of defined benefit obligations | € 0 | € 105 |
EMPLOYEE BENEFITS - Narrative (
EMPLOYEE BENEFITS - Narrative (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of net defined benefit liability (asset) [line items] | |||
Post-employment benefit expense, defined contribution plans | € 15,729 | € 15,727 | € 13,650 |
Employee benefits | 101,200 | 59,985 | |
Short-term bonus benefit provision | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Employee benefits | 79,273 | 36,723 | |
Jubilee benefits provision | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Employee benefits | € 3,497 | € 3,332 | |
Years of service achieved | 30 years | ||
Italian employee severance indemnity (TFR) | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Actuarial assumption of discount rates (percent) | 0.90% | 0.40% | 0.70% |
Average duration of benefit obligation | 8 years |
EMPLOYEE BENEFITS - Changes in
EMPLOYEE BENEFITS - Changes in Defined Benefit Obligation (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Changes in net defined benefit liability (asset) [abstract] | ||
Net defined benefit obligation | € 19,930 | € 21,929 |
Recognized in the consolidated income statement | 6 | 25 |
Recognized in other comprehensive loss/ (income) | 463 | (30) |
Other | (1,969) | (1,994) |
Benefits paid | (2,232) | (1,842) |
Other changes | 263 | (152) |
Net defined benefit obligation | 18,430 | 19,930 |
Italian employee severance indemnity (TFR) | ||
Changes in net defined benefit liability (asset) [abstract] | ||
Net defined benefit obligation | 19,825 | 21,795 |
Recognized in the consolidated income statement | 6 | 25 |
Recognized in other comprehensive loss/ (income) | 463 | 2 |
Other | (1,864) | (1,997) |
Benefits paid | (2,127) | (1,842) |
Other changes | 263 | (155) |
Net defined benefit obligation | 18,430 | 19,825 |
Pension plans | ||
Changes in net defined benefit liability (asset) [abstract] | ||
Net defined benefit obligation | 105 | 134 |
Recognized in the consolidated income statement | 0 | 0 |
Recognized in other comprehensive loss/ (income) | 0 | (32) |
Other | (105) | 3 |
Benefits paid | (105) | 0 |
Other changes | 0 | 3 |
Net defined benefit obligation | € 0 | € 105 |
EMPLOYEE BENEFITS - Amounts Rec
EMPLOYEE BENEFITS - Amounts Recognized in Consolidated income Statement (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of defined benefit plans [line items] | |||
Current service cost | € 6 | € 0 | € 26 |
Interest expense | 0 | 25 | 0 |
Past service adjustments | 0 | 0 | (518) |
Total recognized in the consolidated income statement | 6 | 25 | (492) |
TFR | |||
Disclosure of defined benefit plans [line items] | |||
Current service cost | 6 | 0 | 0 |
Interest expense | 25 | 0 | |
Past service adjustments | 0 | 0 | 0 |
Total recognized in the consolidated income statement | 6 | 25 | 0 |
Pension plans | |||
Disclosure of defined benefit plans [line items] | |||
Current service cost | 0 | 0 | 26 |
Interest expense | 0 | 0 | 0 |
Past service adjustments | 0 | 0 | (518) |
Total recognized in the consolidated income statement | € 0 | € 0 | € (492) |
EMPLOYEE BENEFITS - Expected Be
EMPLOYEE BENEFITS - Expected Benefit Payments (Details) - TFR € in Thousands | Dec. 31, 2021EUR (€) |
Disclosure of net defined benefit liability (asset) [line items] | |
Expected benefit payments | € 12,586 |
2022 | |
Disclosure of net defined benefit liability (asset) [line items] | |
Expected benefit payments | 1,466 |
2023 | |
Disclosure of net defined benefit liability (asset) [line items] | |
Expected benefit payments | 1,660 |
2024 | |
Disclosure of net defined benefit liability (asset) [line items] | |
Expected benefit payments | 1,359 |
2025 | |
Disclosure of net defined benefit liability (asset) [line items] | |
Expected benefit payments | 1,329 |
2026 | |
Disclosure of net defined benefit liability (asset) [line items] | |
Expected benefit payments | 1,084 |
2027 - 2031 | |
Disclosure of net defined benefit liability (asset) [line items] | |
Expected benefit payments | € 5,688 |
EMPLOYEE BENEFITS - Sensitivity
EMPLOYEE BENEFITS - Sensitivity of Defined Benefit Obligation (Details) - Impact on defined benefit obligation - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Changes in assumption of +1% discount rate | € (1,321) | € (1,446) |
Changes in assumption of -1% discount rate | € 1,507 | € 1,656 |
PROVISIONS - Changes in provisi
PROVISIONS - Changes in provisions (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of other provisions [line items] | |||
Balance at beginning of period | € 155,335 | ||
Provision | 60,996 | ||
Use and other changes | (36,358) | ||
Releases | (30,712) | ||
Translation differences | 1,489 | ||
Reclassification and other movements | 118 | ||
Balance at end of period | 150,868 | € 155,335 | |
Warranty and recall campaigns | |||
Disclosure of other provisions [line items] | |||
Balance at beginning of period | 106,942 | ||
Provision | 45,047 | ||
Use and other changes | (33,695) | ||
Releases | (9,868) | ||
Translation differences | 341 | ||
Reclassification and other movements | 0 | ||
Balance at end of period | 108,767 | 106,942 | |
Legal proceedings and disputes | |||
Disclosure of other provisions [line items] | |||
Balance at beginning of period | 26,349 | ||
Provision | 3,643 | ||
Use and other changes | (596) | ||
Releases | (16,111) | ||
Translation differences | 326 | ||
Reclassification and other movements | 90 | ||
Balance at end of period | 13,701 | 26,349 | |
Other risks | |||
Disclosure of other provisions [line items] | |||
Balance at beginning of period | 22,044 | ||
Provision | 12,306 | 7,526 | € 12,393 |
Use and other changes | (2,067) | ||
Releases | (4,733) | ||
Translation differences | 822 | ||
Reclassification and other movements | 28 | ||
Balance at end of period | € 28,400 | € 22,044 |
PROVISIONS - Narrative (Details
PROVISIONS - Narrative (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2016 | Dec. 31, 2020 | |
Disclosure of other provisions [line items] | |||
Provision | € 60,996 | ||
Provision for estimate of future costs | 150,868 | € 155,335 | |
Cost of sales | Takata Airbag Inflators | |||
Disclosure of other provisions [line items] | |||
Provision | € 36,994 | ||
Provision for estimate of future costs | € 3,011 | € 6,831 |
PROVISIONS - Other Risks Provis
PROVISIONS - Other Risks Provision (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of other provisions [line items] | |||
Provision | € 60,996 | ||
Other risks | |||
Disclosure of other provisions [line items] | |||
Provision | 12,306 | € 7,526 | € 12,393 |
Cost of sales | Other risks | |||
Disclosure of other provisions [line items] | |||
Provision | 10,562 | 6,352 | 9,563 |
Selling, general and administrative costs | Other risks | |||
Disclosure of other provisions [line items] | |||
Provision | € 1,744 | € 1,174 | € 2,830 |
DEBT - Schedule of Borrowings (
DEBT - Schedule of Borrowings (Details) € in Thousands | 12 Months Ended |
Dec. 31, 2021EUR (€) | |
Disclosure of detailed information about borrowings [line items] | |
Total debt, beginning balance | € 2,724,745 |
Proceeds from borrowings | 557,818 |
Repayments of borrowings | (745,136) |
Interest accrued/(paid) and other | 17,151 |
Translation differences | 75,433 |
Total debt, ending balance | 2,630,011 |
Bonds and notes | |
Disclosure of detailed information about borrowings [line items] | |
Total debt, beginning balance | 1,835,022 |
Proceeds from borrowings | 149,495 |
Repayments of borrowings | (500,000) |
Interest accrued/(paid) and other | 2,593 |
Translation differences | 0 |
Total debt, ending balance | 1,487,110 |
Asset-backed financing (Securitizations) | |
Disclosure of detailed information about borrowings [line items] | |
Total debt, beginning balance | 761,164 |
Proceeds from borrowings | 248,714 |
Repayments of borrowings | (177,270) |
Interest accrued/(paid) and other | 49 |
Translation differences | 67,556 |
Total debt, ending balance | 900,213 |
Lease liabilities | |
Disclosure of detailed information about borrowings [line items] | |
Total debt, beginning balance | 62,290 |
Proceeds from borrowings | 0 |
Repayments of borrowings | (21,605) |
Interest accrued/(paid) and other | 14,421 |
Translation differences | 1,104 |
Total debt, ending balance | 56,210 |
Borrowings from banks and other financial institutions | |
Disclosure of detailed information about borrowings [line items] | |
Total debt, beginning balance | 28,553 |
Proceeds from borrowings | 142,344 |
Repayments of borrowings | (20,959) |
Interest accrued/(paid) and other | 88 |
Translation differences | 4,393 |
Total debt, ending balance | 154,419 |
Other debt | |
Disclosure of detailed information about borrowings [line items] | |
Total debt, beginning balance | 37,716 |
Proceeds from borrowings | 17,265 |
Repayments of borrowings | (25,302) |
Interest accrued/(paid) and other | 0 |
Translation differences | 2,380 |
Total debt, ending balance | € 32,059 |
DEBT - Borrowings by Nature and
DEBT - Borrowings by Nature and Maturity (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of detailed information about borrowings [line items] | ||
Total debt | € 2,630,011 | € 2,724,745 |
Bonds and notes | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 1,487,110 | 1,835,022 |
Asset-backed financing (Securitizations) | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 900,213 | 761,164 |
Lease liabilities | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 56,210 | 62,290 |
Borrowings from banks and other financial institutions | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 154,419 | 28,553 |
Other debt | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 32,059 | 37,716 |
Due within one year | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 516,119 | 889,228 |
Due within one year | Bonds and notes | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 9,239 | 500,417 |
Due within one year | Asset-backed financing (Securitizations) | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 343,119 | 306,169 |
Due within one year | Lease liabilities | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 14,783 | 16,373 |
Due within one year | Borrowings from banks and other financial institutions | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 116,919 | 28,553 |
Due within one year | Other debt | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 32,059 | 37,716 |
Due between one and five years | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 1,595,198 | 1,519,532 |
Due between one and five years | Bonds and notes | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 1,028,686 | 1,034,605 |
Due between one and five years | Asset-backed financing (Securitizations) | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 499,280 | 454,995 |
Due between one and five years | Lease liabilities | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 29,732 | 29,932 |
Due between one and five years | Borrowings from banks and other financial institutions | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 37,500 | 0 |
Due between one and five years | Other debt | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 0 | 0 |
Due beyond five years | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 518,694 | 315,985 |
Due beyond five years | Bonds and notes | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 449,185 | 300,000 |
Due beyond five years | Asset-backed financing (Securitizations) | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 57,814 | 0 |
Due beyond five years | Lease liabilities | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 11,695 | 15,985 |
Due beyond five years | Borrowings from banks and other financial institutions | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | 0 | 0 |
Due beyond five years | Other debt | ||
Disclosure of detailed information about borrowings [line items] | ||
Total debt | € 0 | € 0 |
DEBT - Narrative (Details)
DEBT - Narrative (Details) | Jul. 29, 2021EUR (€) | Jan. 18, 2021EUR (€) | May 27, 2020EUR (€) | Jul. 31, 2019EUR (€) | Jul. 16, 2019EUR (€) | Mar. 16, 2016EUR (€) | Dec. 31, 2021EUR (€) | Nov. 30, 2021USD ($) | Apr. 30, 2021USD ($) | Mar. 31, 2021EUR (€) | Dec. 31, 2020EUR (€) | Apr. 30, 2020EUR (€) | Dec. 31, 2019EUR (€)extensionOption | Jul. 31, 2019EUR (€) | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2021USD ($) | Oct. 31, 2021EUR (€) | Apr. 30, 2021EUR (€) | Apr. 30, 2021USD ($) | Dec. 31, 2020USD ($) | Nov. 30, 2017EUR (€) |
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Debt | € 2,630,011,000 | € 2,724,745,000 | ||||||||||||||||||||
Capacity under borrowing facility | 676,000,000 | 700,000,000 | € 676,000,000 | € 700,000,000 | ||||||||||||||||||
Cash Collected From Settlements of Receivables or Collateral | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Restricted cash received from settlement of receivables or pledged lines of credit | 47,742,000 | 36,935,000 | ||||||||||||||||||||
2021 Bond | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Voluntary prepayments made | € 200,000,000 | |||||||||||||||||||||
Principal amount of borrowings | € 700,000,000 | |||||||||||||||||||||
Borrowings, interest rate (percent) | 25.00% | |||||||||||||||||||||
Debt | 501,151,000 | |||||||||||||||||||||
Accrued interest | 1,199,000 | |||||||||||||||||||||
2021 Bond | Repayment of Bonds | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Voluntary prepayments made | € 501,250,000 | |||||||||||||||||||||
2023 Bond | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Voluntary prepayments made | € 115,395,000 | |||||||||||||||||||||
Principal amount of borrowings | € 500,000,000 | |||||||||||||||||||||
Borrowings, interest rate (percent) | 1.50% | |||||||||||||||||||||
Debt | 387,872,000 | 386,814,000 | ||||||||||||||||||||
Accrued interest | 4,567,000 | 4,567,000 | ||||||||||||||||||||
Borrowings, issue price (percent) | 98.977% | |||||||||||||||||||||
Proceeds from bonds | € 490,729,000 | |||||||||||||||||||||
Borrowings, yield to maturity (percent) | 1.656% | |||||||||||||||||||||
Borrowings from banks and other financial institutions | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | € 500,000,000 | |||||||||||||||||||||
Debt | 154,419,000 | 28,553,000 | ||||||||||||||||||||
2025 Bond | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | € 650,000,000 | |||||||||||||||||||||
Borrowings, interest rate (percent) | 1.50% | |||||||||||||||||||||
Debt | 648,984,000 | 647,042,000 | ||||||||||||||||||||
Accrued interest | 5,850,000 | 5,850,000 | ||||||||||||||||||||
Borrowings, issue price (percent) | 98.898% | |||||||||||||||||||||
Proceeds from bonds | € 640,073,000 | |||||||||||||||||||||
Borrowings, yield to maturity (percent) | 1.732% | |||||||||||||||||||||
2029 Notes and 2031 Notes | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Proceeds from bonds | € 298,316,000 | |||||||||||||||||||||
2029 Notes | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | € 150,000,000 | € 150,000,000 | ||||||||||||||||||||
Borrowings, interest rate (percent) | 1.12% | 1.12% | ||||||||||||||||||||
Debt | 150,052,000 | 149,971,000 | ||||||||||||||||||||
Accrued interest | 700,000 | 700,000 | ||||||||||||||||||||
2031 Notes | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Borrowings, interest rate (percent) | 1.27% | 1.27% | ||||||||||||||||||||
Debt | 150,111,000 | 150,044,000 | ||||||||||||||||||||
Accrued interest | 794,000 | 794,000 | ||||||||||||||||||||
2032 Notes | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | € 150,000,000 | |||||||||||||||||||||
Borrowings, interest rate (percent) | 0.91% | |||||||||||||||||||||
Debt | 150,091,000 | |||||||||||||||||||||
Accrued interest | 576,000 | |||||||||||||||||||||
Proceeds from bonds | € 149,495,000 | |||||||||||||||||||||
Lease liabilities | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Debt | € 56,210,000 | € 62,290,000 | ||||||||||||||||||||
Revolving Securitization Program | Pledged retail financial receivables | FFS Inc. | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Capacity under borrowing facility | $ | $ 800,000,000 | $ 750,000,000 | ||||||||||||||||||||
Proceeds sale of financial receivables | $ | $ 775,000,000 | $ 629,000,000 | ||||||||||||||||||||
Borrowings maturity | 24 months | |||||||||||||||||||||
Revolving Securitization Program | Pledged retail financial receivables | LIBOR | FFS Inc. | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Borrowings, adjustment to interest rate basis | 0.75% | 0.75% | ||||||||||||||||||||
Revolving Securitization Program | Pledged leasing financial receivables | FFS Inc. | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Capacity under borrowing facility | $ | $ 285,000,000 | |||||||||||||||||||||
Proceeds sale of financial receivables | $ | $ 245,000,000 | $ 244,000,000 | ||||||||||||||||||||
Borrowings maturity | 24 months | |||||||||||||||||||||
Revolving Securitization Program | Pledged leasing financial receivables | LIBOR | FFS Inc. | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Borrowings, adjustment to interest rate basis | 0.65% | |||||||||||||||||||||
Revolving Securitization Program | Pledged credit lines | FFS Inc. | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Capacity under borrowing facility | $ | $ 110,000,000 | |||||||||||||||||||||
Borrowing facility, expired | $ | $ 110,000,000 | |||||||||||||||||||||
Revolving Securitization Program | Pledged credit lines | LIBOR | FFS Inc. | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Borrowings, adjustment to interest rate basis | 1.15% | 1.15% | ||||||||||||||||||||
Term Loan | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | € 63,000,000 | |||||||||||||||||||||
Borrowings maturity | 36 months | |||||||||||||||||||||
Term Loan | Fixed interest rate | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Borrowings, interest rate (percent) | 0.118% | 0.118% | ||||||||||||||||||||
U.S Dollar Denominated Credit Facility | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | $ | $ 100,000,000 | |||||||||||||||||||||
Debt | $ | $ 70,000,000 | |||||||||||||||||||||
Borrowings, adjustment to interest rate basis | 0.75% | 0.75% | ||||||||||||||||||||
Other borrowings from banks | € 61,919,000 | € 28,553,000 | ||||||||||||||||||||
Borrowings maturity | 24 months | |||||||||||||||||||||
Additional Committed Credit Lines | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | € 350,000,000 | |||||||||||||||||||||
Notional amount, cancelled | € 100,000,000 | |||||||||||||||||||||
Additional Committed Credit Lines | Bottom of range | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Borrowings maturity | 18 months | |||||||||||||||||||||
Additional Committed Credit Lines | Top of range | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Borrowings maturity | 24 months | |||||||||||||||||||||
March 2021 Credit Line | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | € 150,000,000 | |||||||||||||||||||||
Borrowings maturity | 23 months | |||||||||||||||||||||
April 2021 Credit Line | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | $ | $ 100,000,000 | |||||||||||||||||||||
Debt | € 62,000,000 | $ 70,000,000 | ||||||||||||||||||||
Borrowings maturity | 24 months | |||||||||||||||||||||
April 2021 Credit Line | LIBOR | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Borrowings, adjustment to interest rate basis | 0.75% | 0.75% | ||||||||||||||||||||
April 2020 Credit Line | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Borrowing facility, expired | € 100,000,000 | |||||||||||||||||||||
Uncommitted Credit Lines | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Notional amount, cancelled | $ | $ 50,000,000 | |||||||||||||||||||||
Unsecured Committed Revolving Credit Facility | ||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||||||||||||
Principal amount of borrowings | € 350,000,000 | |||||||||||||||||||||
Borrowings maturity | 5 years | |||||||||||||||||||||
Number of term extension options | extensionOption | 2 | |||||||||||||||||||||
Term of extension period | 1 year | |||||||||||||||||||||
Exercised extension period | 1 year | 1 year |
OTHER LIABILITIES - Analysis of
OTHER LIABILITIES - Analysis of Other Liabilities (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Subclassifications of assets, liabilities and equities [abstract] | ||
Deferred income | € 256,206 | € 270,826 |
Advances and security deposits | 240,696 | 253,442 |
Accrued expenses | 80,787 | 60,788 |
Payables to personnel | 53,712 | 33,127 |
Social security payables | 24,660 | 23,261 |
Other | 70,714 | 46,018 |
Total other liabilities | € 726,775 | € 687,462 |
OTHER LIABILITIES - Narrative (
OTHER LIABILITIES - Narrative (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disaggregation of Revenue [Line Items] | ||
Deferred income | € 256,206 | € 270,826 |
Maintenance and power warranty programs | ||
Disaggregation of Revenue [Line Items] | ||
Deferred income | 218,982 | € 214,153 |
Maintenance and power warranty programs | 2022 | ||
Disaggregation of Revenue [Line Items] | ||
Expected amounts to be recognized in revenue | 53,000 | |
Maintenance and power warranty programs | 2023 | ||
Disaggregation of Revenue [Line Items] | ||
Expected amounts to be recognized in revenue | 50,000 | |
Maintenance and power warranty programs | 2024 | ||
Disaggregation of Revenue [Line Items] | ||
Expected amounts to be recognized in revenue | 38,000 | |
Maintenance and power warranty programs | Afterwards | ||
Disaggregation of Revenue [Line Items] | ||
Expected amounts to be recognized in revenue | € 78,000 |
OTHER LIABILITIES - Contract Li
OTHER LIABILITIES - Contract Liabilities (Details) € in Thousands | 12 Months Ended |
Dec. 31, 2021EUR (€) | |
Maintenance and power warranty programs | |
Disclosure of disaggregation of revenue from contracts with customers [line items] | |
At January 1, 2021 | € 214,153 |
Additional amounts arising during the period | 77,713 |
Amounts recognized within revenue | (72,884) |
Other changes | 0 |
At December 31, 2021 | 218,982 |
Advances from customers | |
Disclosure of disaggregation of revenue from contracts with customers [line items] | |
At January 1, 2021 | 249,506 |
Additional amounts arising during the period | 605,730 |
Amounts recognized within revenue | (618,739) |
Other changes | 19 |
At December 31, 2021 | € 236,516 |
OTHER LIABILITIES - Analysis _2
OTHER LIABILITIES - Analysis of Other Liabilities excluding Accrued Expenses and Deferred Income (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of Other Liabilities [Line Items] | ||
Total other liabilities (excluding accrued expenses and deferred income) | € 389,782 | € 355,848 |
Due within one year | ||
Disclosure of Other Liabilities [Line Items] | ||
Total other liabilities (excluding accrued expenses and deferred income) | 377,176 | 315,026 |
Due between one and five years | ||
Disclosure of Other Liabilities [Line Items] | ||
Total other liabilities (excluding accrued expenses and deferred income) | 7,553 | 35,251 |
Due beyond five years | ||
Disclosure of Other Liabilities [Line Items] | ||
Total other liabilities (excluding accrued expenses and deferred income) | € 5,053 | € 5,571 |
TRADE PAYABLES (Details)
TRADE PAYABLES (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Subclassifications of assets, liabilities and equities [abstract] | ||
Trade payables | € 797,832 | € 713,807 |
FAIR VALUE MEASUREMENT - Fair V
FAIR VALUE MEASUREMENT - Fair Value Hierarchy for Financial Assets and Liabilities Measured at Fair Value (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | € 6,863,505 | € 6,262,047 |
Recurring fair value measurement | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 22,124 | 45,799 |
Liabilities | 36,520 | 2,140 |
Recurring fair value measurement | Other financial liabilities | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Liabilities | 36,520 | 2,140 |
Recurring fair value measurement | Investments and other financial assets - Liberty Media Shares | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 10,559 | 7,163 |
Recurring fair value measurement | Current financial assets | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 11,565 | 38,636 |
Recurring fair value measurement | Level 1 | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 10,559 | 7,163 |
Liabilities | 0 | 0 |
Recurring fair value measurement | Level 1 | Other financial liabilities | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Liabilities | 0 | 0 |
Recurring fair value measurement | Level 1 | Investments and other financial assets - Liberty Media Shares | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 10,559 | 7,163 |
Recurring fair value measurement | Level 1 | Current financial assets | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 0 | 0 |
Recurring fair value measurement | Level 2 | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 11,565 | 38,636 |
Liabilities | 36,520 | 2,140 |
Recurring fair value measurement | Level 2 | Other financial liabilities | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Liabilities | 36,520 | 2,140 |
Recurring fair value measurement | Level 2 | Investments and other financial assets - Liberty Media Shares | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 0 | 0 |
Recurring fair value measurement | Level 2 | Current financial assets | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 11,565 | 38,636 |
Recurring fair value measurement | Level 3 | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Recurring fair value measurement | Level 3 | Other financial liabilities | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Liabilities | 0 | 0 |
Recurring fair value measurement | Level 3 | Investments and other financial assets - Liberty Media Shares | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | 0 | 0 |
Recurring fair value measurement | Level 3 | Current financial assets | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | ||
Assets | € 0 | € 0 |
FAIR VALUE MEASUREMENT - Carryi
FAIR VALUE MEASUREMENT - Carrying Amount and Fair Value for Categories of Financial Assets and Liabilities (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure of financial assets [line items] | ||
Financial assets, at carrying amounts | € 1,143,968 | € 939,607 |
Financial assets, at fair value | 1,143,968 | 939,607 |
Debt | ||
Disclosure of financial assets [line items] | ||
Financial liabilities, at carrying amount | 2,630,011 | 2,724,745 |
Financial liabilities, at fair value | 2,656,159 | 2,755,516 |
Receivables from financing activities | ||
Disclosure of financial assets [line items] | ||
Financial assets, at carrying amounts | 1,143,968 | 939,607 |
Financial assets, at fair value | 1,143,968 | 939,607 |
Client financing | ||
Disclosure of financial assets [line items] | ||
Financial assets, at carrying amounts | 1,132,979 | 925,878 |
Financial assets, at fair value | 1,132,979 | 925,878 |
Dealer financing | ||
Disclosure of financial assets [line items] | ||
Financial assets, at carrying amounts | 10,989 | 13,729 |
Financial assets, at fair value | € 10,989 | € 13,729 |
RELATED PARTY TRANSACTIONS - Re
RELATED PARTY TRANSACTIONS - Related Party Transactions Recognized in the Consolidated Income Statement and Non-Financial Assets and Liabilities Originating from Related Party Transactions (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of transactions between related parties [line items] | |||
Net revenues | € 4,270,894 | € 3,459,790 | € 3,766,615 |
Costs | 2,434,198 | 2,040,925 | 2,153,480 |
Net financial expenses | 33,257 | 49,092 | 42,082 |
Trade receivables | 185,000 | 184,260 | |
Trade payables | 797,832 | 713,807 | |
Other current assets | 122,224 | 76,471 | |
Other liabilities | 726,775 | 687,462 | |
Related parties | |||
Disclosure of transactions between related parties [line items] | |||
Net revenues | 131,958 | 110,190 | 152,971 |
Costs | 43,288 | 37,003 | 56,975 |
Net financial expenses | 2,106 | 2,219 | 2,000 |
Trade receivables | 24,263 | 38,732 | |
Trade payables | 13,621 | 12,914 | |
Other current assets | 1,127 | 1,708 | |
Other liabilities | 8,598 | 18,947 | |
Other related parties | |||
Disclosure of transactions between related parties [line items] | |||
Net revenues | 795 | 549 | 610 |
Costs | 15,143 | 12,977 | 13,906 |
Net financial expenses | 2 | 10 | 31 |
Trade receivables | 144 | 643 | |
Trade payables | 3,276 | 3,558 | |
Other current assets | 998 | 1,496 | |
Other liabilities | 1,065 | 1,759 | |
Total Stellantis Group companies | Related parties | |||
Disclosure of transactions between related parties [line items] | |||
Net revenues | 130,882 | 109,491 | 152,080 |
Costs | 27,131 | 22,361 | 42,701 |
Net financial expenses | 2,103 | 2,207 | 1,965 |
Trade receivables | 23,737 | 37,906 | |
Trade payables | 10,344 | 8,960 | |
Other current assets | 121 | 104 | |
Other liabilities | 7,528 | 17,049 | |
Maserati | Related parties | |||
Disclosure of transactions between related parties [line items] | |||
Net revenues | 119,083 | 100,389 | 143,091 |
Costs | 2,428 | 2,981 | 6,275 |
Net financial expenses | 0 | 0 | 0 |
Trade receivables | 23,267 | 37,662 | |
Trade payables | 3,994 | 4,555 | |
Other current assets | 0 | 0 | |
Other liabilities | 6,454 | 16,955 | |
FCA US LLC | Related parties | |||
Disclosure of transactions between related parties [line items] | |||
Net revenues | 0 | 0 | 0 |
Costs | 18,465 | 13,323 | 17,954 |
Net financial expenses | 0 | 0 | 0 |
Trade receivables | 0 | 0 | |
Trade payables | 3,275 | 1,893 | |
Other current assets | 0 | 0 | |
Other liabilities | 0 | 0 | |
Magneti Marelli | Related parties | |||
Disclosure of transactions between related parties [line items] | |||
Net revenues | 0 | 0 | 352 |
Costs | 0 | 0 | 10,444 |
Net financial expenses | 0 | 0 | 0 |
Other Stellantis Group companies | Related parties | |||
Disclosure of transactions between related parties [line items] | |||
Net revenues | 11,799 | 9,102 | 8,637 |
Costs | 6,238 | 6,057 | 8,028 |
Net financial expenses | 2,103 | 2,207 | 1,965 |
Trade receivables | 470 | 244 | |
Trade payables | 3,075 | 2,512 | |
Other current assets | 121 | 104 | |
Other liabilities | 1,074 | 94 | |
Exor Group companies (excluding the Stellantis Group) | Related parties | |||
Disclosure of transactions between related parties [line items] | |||
Net revenues | 281 | 150 | 281 |
Costs | 1,014 | 1,665 | 368 |
Net financial expenses | 1 | 2 | € 4 |
Trade receivables | 382 | 183 | |
Trade payables | 1 | 396 | |
Other current assets | 8 | 108 | |
Other liabilities | € 5 | € 139 |
RELATED PARTY TRANSACTIONS - Na
RELATED PARTY TRANSACTIONS - Narrative (Details) - EUR (€) | 9 Months Ended | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of transactions between related parties [line items] | ||||
aggregate compensation | € 18,728,000 | € 14,199,000 | € 19,839,000 | |
Wages and salaries | 483,747,000 | 389,927,000 | 385,182,000 | |
Non-executive Directors | ||||
Disclosure of transactions between related parties [line items] | ||||
Compensation settled in treasury shares | 0 | 0 | 0 | |
Key management personnel of entity or parent | ||||
Disclosure of transactions between related parties [line items] | ||||
Compensation settled in treasury shares | 4,241,000 | 5,270,000 | 5,168,000 | |
Wages and salaries | 14,088,000 | 8,707,000 | 14,671,000 | |
Key management personnel compensation, other long-term employee benefits | 399,000 | 222,000 | ||
Percentage of salaries donated to help Company initiatives (percent) | 25.00% | |||
Ferrari N.V. (Ferrari) | Directors of Ferrari N.V. | ||||
Disclosure of transactions between related parties [line items] | ||||
aggregate compensation | 6,668,000 | 8,151,000 | 10,260,000 | |
Compensation for salary | 5,445,000 | 624,000 | 1,786,000 | |
Compensation settled in treasury shares | € 1,223,000 | € 7,527,000 | € 15,963,000 |
RELATED PARTY TRANSACTIONS - Fe
RELATED PARTY TRANSACTIONS - Fees of the Directors of the Company (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of transactions between related parties [line items] | |||
aggregate compensation | € 18,728 | € 14,199 | € 19,839 |
Directors of Ferrari N.V. | Ferrari N.V. (Ferrari) | |||
Disclosure of transactions between related parties [line items] | |||
aggregate compensation | € 6,668 | € 8,151 | € 10,260 |
COMMITMENTS - Arrangements with
COMMITMENTS - Arrangements with sponsors (Details) € in Thousands | Dec. 31, 2021EUR (€) |
Disclosure of commitments [Line Items] | |
Minimum purchase obligations | € 156,308 |
Due within one year | |
Disclosure of commitments [Line Items] | |
Minimum purchase obligations | 79,986 |
Due between one and three years | |
Disclosure of commitments [Line Items] | |
Minimum purchase obligations | 60,597 |
Due between three and five years | |
Disclosure of commitments [Line Items] | |
Minimum purchase obligations | 15,225 |
Due beyond five years | |
Disclosure of commitments [Line Items] | |
Minimum purchase obligations | € 500 |
COMMITMENTS - Operating Leases
COMMITMENTS - Operating Leases (Details) € in Thousands | Dec. 31, 2021EUR (€) |
Disclosure of maturity analysis of operating lease payments [line items] | |
Future minimum lease payments under lease agreements | € 57,597 |
Due within one year | |
Disclosure of maturity analysis of operating lease payments [line items] | |
Future minimum lease payments under lease agreements | 14,629 |
Due between one and three years | |
Disclosure of maturity analysis of operating lease payments [line items] | |
Future minimum lease payments under lease agreements | 19,275 |
Due between three and five years | |
Disclosure of maturity analysis of operating lease payments [line items] | |
Future minimum lease payments under lease agreements | 12,433 |
Due beyond five years | |
Disclosure of maturity analysis of operating lease payments [line items] | |
Future minimum lease payments under lease agreements | € 11,260 |
QUALITATIVE AND QUANTITATIVE _2
QUALITATIVE AND QUANTITATIVE INFORMATION ON FINANCIAL RISKS (Details) - EUR (€) € in Thousands | 12 Months Ended | ||||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Apr. 30, 2021 | Apr. 30, 2020 | |
Disclosure of credit risk exposure [line items] | |||||
Exchange gain (loss) on translating foreign operations | € 14,229 | € (11,731) | € 2,652 | ||
Group's gross debt that bears floating rates of interest (percent) | 37.00% | ||||
Capacity under borrowing facility | € 676,000 | 700,000 | € 700,000 | € 676,000 | |
Receivables from financing activities | 1,143,968 | 939,607 | |||
Trade receivables | 185,000 | 184,260 | |||
Overdue | |||||
Disclosure of credit risk exposure [line items] | |||||
Receivables from financing activities | 52,733 | 65,554 | |||
Trade receivables | 47,237 | 46,627 | |||
Financial Assets Excluding Assets Measured At Fair Value | |||||
Disclosure of credit risk exposure [line items] | |||||
Exchange gain (loss) on translating foreign operations | (11,407) | (27,029) | (24,237) | ||
Loans to consumers | |||||
Disclosure of credit risk exposure [line items] | |||||
Allowance for doubtful accounts | 11,204 | 13,195 | 7,480 | ||
Trade receivables | |||||
Disclosure of credit risk exposure [line items] | |||||
Allowance for doubtful accounts | 25,984 | 28,312 | € 27,171 | ||
U.S. Dollar | |||||
Disclosure of credit risk exposure [line items] | |||||
Trade receivables | 84,590 | 51,295 | |||
Pound Sterling | |||||
Disclosure of credit risk exposure [line items] | |||||
Trade receivables | € 3,908 | 6,560 | |||
Currency risk | |||||
Disclosure of credit risk exposure [line items] | |||||
Reasonably possible change in risk variable, percent | 10.00% | ||||
Reasonably possible change in risk variable, impact on fair value of derivative financial instruments | € 98,165 | 102,674 | |||
Interest rate risk | |||||
Disclosure of credit risk exposure [line items] | |||||
Reasonably possible change in risk variable, impact on pre-tax earnings | € 486 | € 652 | |||
Interest rate risk | Floating interest rate | |||||
Disclosure of credit risk exposure [line items] | |||||
Reasonably possible change in risk variable, percent | (0.10%) | ||||
Revenue | Currency risk | |||||
Disclosure of credit risk exposure [line items] | |||||
Risk exposure percent | 58.00% | 58.00% | 53.00% | ||
Revenue | Currency risk | Top of range | |||||
Disclosure of credit risk exposure [line items] | |||||
Average risk exposure hedged (percent) | 90.00% | ||||
Revenue | Currency risk | U.S. Dollar | |||||
Disclosure of credit risk exposure [line items] | |||||
Risk exposure percent | 51.00% | 53.00% | 53.00% | ||
Revenue | Currency risk | Pound Sterling | |||||
Disclosure of credit risk exposure [line items] | |||||
Risk exposure percent | 10.00% | 10.00% |
ENTITY-WIDE DISCLOSURES - Net R
ENTITY-WIDE DISCLOSURES - Net Revenues by Geographic Location (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Entity Location [Line Items] | |||
Total net revenues | € 4,270,894 | € 3,459,790 | € 3,766,615 |
Italy | |||
Entity Location [Line Items] | |||
Total net revenues | 409,992 | 322,573 | 391,156 |
Rest of EMEA | |||
Entity Location [Line Items] | |||
Total net revenues | 1,869,864 | 1,634,515 | 1,628,496 |
of which UK | |||
Entity Location [Line Items] | |||
Total net revenues | 457,060 | 484,701 | 531,088 |
Americas | |||
Entity Location [Line Items] | |||
Total net revenues | 1,097,904 | 883,228 | 1,001,946 |
of which United States of America | |||
Entity Location [Line Items] | |||
Total net revenues | 930,316 | 747,373 | 867,376 |
Mainland China, Hong Kong and Taiwan | |||
Entity Location [Line Items] | |||
Total net revenues | 332,971 | 191,907 | 350,851 |
Rest of APAC | |||
Entity Location [Line Items] | |||
Total net revenues | € 560,163 | € 427,567 | € 394,166 |
ENTITY-WIDE DISCLOSURES - Analy
ENTITY-WIDE DISCLOSURES - Analysis of Non-Current Assets other than Financial Instruments and Deferred Tax Assets by Geographic Location (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Entity Location [Line Items] | |||
Property, plant and equipment | € 1,353,165 | € 1,226,630 | € 1,069,652 |
Goodwill | 785,182 | 785,182 | |
Intangible assets | 1,138,173 | 979,290 | € 837,938 |
Italy | |||
Entity Location [Line Items] | |||
Property, plant and equipment | 1,322,257 | 1,199,325 | |
Goodwill | 785,182 | 785,182 | |
Intangible assets | 1,137,910 | 979,022 | |
Rest of EMEA | |||
Entity Location [Line Items] | |||
Property, plant and equipment | 5,597 | 5,809 | |
Goodwill | 0 | 0 | |
Intangible assets | 0 | 0 | |
Americas | |||
Entity Location [Line Items] | |||
Property, plant and equipment | 16,003 | 14,497 | |
Goodwill | 0 | 0 | |
Intangible assets | 0 | 0 | |
Mainland China, Hong Kong and Taiwan | |||
Entity Location [Line Items] | |||
Property, plant and equipment | 5,898 | 4,120 | |
Goodwill | 0 | 0 | |
Intangible assets | 0 | 0 | |
Rest of APAC | |||
Entity Location [Line Items] | |||
Property, plant and equipment | 3,410 | 2,879 | |
Goodwill | 0 | 0 | |
Intangible assets | € 263 | € 268 |
SUBSEQUENT EVENTS - Narrative (
SUBSEQUENT EVENTS - Narrative (Details) - EUR (€) € / shares in Units, € in Thousands | Feb. 25, 2022 | Feb. 18, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Common Shares | ||||
Disclosure of non-adjusting events after reporting period [line items] | ||||
Common shares repurchased (in shares) | 1,167,592 | 819,483 | ||
Common Shares | Share Repurchase Program | ||||
Disclosure of non-adjusting events after reporting period [line items] | ||||
Consideration paid to repurchase shares | € 231,024 | € 119,771 | ||
Potential ordinary share transactions | ||||
Disclosure of non-adjusting events after reporting period [line items] | ||||
Dividends declared (in Euro per share) | € 1.362 | |||
Dividends declared, aggregate amount | € 250,000 | |||
Potential ordinary share transactions | Common Shares | ||||
Disclosure of non-adjusting events after reporting period [line items] | ||||
Aggregate common shares held in treasury (in shares) | 10,470,922 | |||
Potential ordinary share transactions | Common Shares | Share Repurchase Program | ||||
Disclosure of non-adjusting events after reporting period [line items] | ||||
Common shares repurchased (in shares) | 390,819 | |||
Consideration paid to repurchase shares | € 80,100 |