⚠ Credit Risk to People Who Buy FerrarisModerate threat

Ferrari (RACE) — threat to the moat

The loan book and the order book are exposed to the same people at the same time.

A sixth of Ferrari's balance sheet is lending to its own customers, which means it carries credit risk it does not describe as a business.

Credit exposure inside a luxury business (€ M)€1,613MFinancing receivables€9,628MTotal assets€1,468MCash€1,600MNet profitThe loan book and the order book are exposed to the same people at the same time.
Ferrari finances its own customers. Wealth correlates with the conditions that drive demand, so both sides would deteriorate together.

Receivables from financing activities stood at €1,613 million against €9,628 million of total assets at the end of 2025.1 Ferrari finances a meaningful share of its own sales, which is normal for a premium car maker and easy to overlook in a company whose story is margins and scarcity.

It matters for two reasons. First, it is genuine credit exposure to individuals, and while Ferrari's clients are wealthy, wealth is correlated with exactly the asset-price conditions that would also soften demand — the loan book and the order book would deteriorate together. Second, financing makes cars more affordable, so a tightening of credit conditions reduces demand at the same time as it raises losses.

The mitigation is the collateral. A repossessed Ferrari is one of the better things a lender can be left holding, provided the residual-value loop is intact — which ties this exposure directly to everything the personalisation and volume threats describe.

Watch the financing receivable balance against revenue. Growing materially faster than sales would mean Ferrari is buying growth with its balance sheet rather than earning it from the queue.

References
  1. ReportedReceivables from financing activities stood at €1,613 million against €9,628 million of total assets at the end of 2025. Ferrari finances a meaningful share of its own sales, which is normal for a premium car maker and easy to overlook in a company whose story is margins and scarcity.
    Ferrari N.V., Form 20-F FY2025 — consolidated income statement and statement of financial position. Net revenues EUR7,146M; cost of sales EUR3,453M (48.3% of revenue); selling, general and administrative costs EUR642M (9.0%); research and development costs EUR919M (12.9%); EBIT EUR2,110M, a 29.5% margin; EBITDA EUR2,772M, 38.8%; profit before taxes EUR2,064M; income tax expense EUR464M, an effective rate of 22.5%; net profit EUR1,600M, 22.4% of revenue, against EUR1,526M and EUR1,257M in the two prior years. Diluted earnings per share EUR8.96 against EUR8.46 and EUR6.90, on weighted average diluted shares of 178,321 thousand against 179,992 thousand and 181,511 thousand. Total assets EUR9,628M; property, plant and equipment EUR2,058M; intangible assets EUR1,638M including goodwill of EUR785M; inventories EUR1,114M; receivables from financing activities EUR1,613M; cash and cash equivalents EUR1,468M; total equity EUR3,915M; debt EUR2,884M; trade payables EUR841M. In 2025 Ferrari paid dividends of EUR534M and repurchased EUR785M of its own shares. Historic net revenues run EUR3,105M (2016), EUR3,417M, EUR3,420M, EUR3,766M, EUR3,460M (2020), EUR4,271M, EUR5,095M, EUR5,970M, EUR6,677M and EUR7,146M (2025); net profit over the same years runs EUR400M, EUR537M, EUR787M, EUR699M, EUR609M, EUR833M, EUR939M, EUR1,257M, EUR1,526M and EUR1,600M. — FY2025 · publ. 2026-02 · source ↗
Sources
Generated September 23, 2026