Benedetto Vigna: Sure. Very clear.
Adam Jonas: And the second question, Benedetto, is you have been making efforts downstream with your dealers and franchise dealers on trying to capture more of the recurring revenue and establish a more intimate relationship if I can say so with your clients, including things like increasing your hit rate on repurchasing a secondhand vehicle. I know there’s other efforts that you’re doing, but if you could give us an update on how that’s going, since you kind of reemphasized the efforts there, that would be appreciated? Thank you.
Benedetto Vigna: The first question is very — the first answer is very simple, Adam. Let’s say the repeater, what we call the repeater, the people that are already client, it depends a little bit on the model. So you have models where the repeater is in the range of 10%, let’s say 30% — sorry, 30%, 35% to a situation where the repeater are going to around 80%, 85%. So it is in average, in the year in 2023, 74% of our new cars were sold to existing clients, okay?
Adam Jonas: Thank you.
Benedetto Vigna: So, this is the answer. The second, the dealers, what we are doing together with the dealers is to push more on to make the relation more intimate. As you said, we are working on two dimensions. Number one is the personalization. The personalization so that we can enrich the — we can personalize more of the cars. And the second is the Ferrari approved in these days, I mean last week actually, we launched in USA, the Ferrari approved program, that is something that allows — we want to link more and more the — we want to nurture more and more the pre-owned markets. And to this, we launched the Ferrari approved initiative that is intended to link to bring more in the family, the client, to avoid them going, let me say to use gray works body shop or gray dealers. And for this, we agreed with our dealers some activities so that there is an incentive for our client to go back and to stay in the family. So these are the two things we are doing, Adam.
Adam Jonas: Got you.
Operator: Thank you. We will now take the next question from the line of Michael Binetti from Evercore ISI. Please go ahead.
Michael Binetti: Hey, thanks guys. And Benedetto, first, I want to say congrats on the 98% of the employees participating in the stock program. I know that’s something that’s been important to you since very early on in your time here.
Benedetto Vigna: Thank you.
Michael Binetti: I — just I guess a question on the margin cadence through the year as we think about the puts and takes, particularly in second quarter. I think you said there’ll be less Daytona after the first quarter, but I think here we are in May. I think the SF90 XX models start to ship in the second quarter with the Coupe and then the Spider later in the fourth quarter. I know those are high price point cars and it sounds like they’re very heavily personalized. Is there, as we look at that mix bridge, does that slow because there’s less Daytona’s through the rest of the year and does the margin lift from Daytona slow through the year or does the XX pick it up and that can be more linear through the year? And then I guess secondly, maybe just on some of the new items.
How does the HP sponsorship flow into the P&L, which lines and what is the timing around when you start to record that, if that’s a new addition to 2024 guidance? And then I guess my last one is, Benedetto, on the E-building, I know that that’s an important input to the EV that you’ve announced for next year. Will we see the output from that building start to show up in your commercial activities before the EV and maybe what would that would look like?
Benedetto Vigna: Thank you, Mike. I’ll take the third one and Antonio will elaborate on the first two. So the E-building, as I said is, it will be, let’s say, the electric cars will be done in the E-building, but in this building, because we always give a priority to flexibility. We will also have other cars assembled over there, the hybrid. So, yes, we will have some hybrid cars that will get out, will be manufactured, assembled, let me say in this E-building. But the electric cars, the plan for electric car stays as we committed two years ago and the E-building will be inaugurated 21st of June, as I said before. So don’t expect, let me say, any electric cars to get delivered before what we told you. I mean, we stick to our plan. It’s — we are in line with that. For the other two, the HP sponsorship flowing in the P&L and the margin cadence, Antonio?
Antonio Picca Piccon: Yes, I go. Hi, Mike. The first one in terms of the cadence, the currency is partly the current — the margin cadence is partly dictated by that of the deliveries of Daytona, which we expect to be higher in the first half compared to the second. Even if in the second half at some point, we’ve got also the SF90 XX Stradale for delivery. And the — but we expect anyway, the overall mix and price impact to remain above 10% compared to last year in terms of growth. And as far as the HP sponsorship flow into the P&L, we will start from the second quarter. Do not disregard the fact that this is just a portion of the year. So, it’s not a full-year sponsorship is one. And as these things do not happen overnight, as you may imagine, we encompass that already largely in our guidance for the year at the beginning.
Michael Binetti: Okay. Thank you very much.
Antonio Picca Piccon: Welcome.
Operator: Thank you. We will now take the next question from the line of Stephen Reitman from Bernstein SG. Please go ahead.
Stephen Reitman: Thank you very much. I have some questions about the Purosangue and about the 12Cilindri. First of all, on the Purosangue, you say it has reached global distribution. Does that mean that it’s also reached the production cadence that’s equivalent to the 20% target you would normally have for the vehicle over the lifetime of the product? And secondly, on the 12Cilindri, could you comment first of all on your thought process and how you came about the price setting on this vehicle? Obviously, which is a 30% uplift on the 812 superfast, and I believe a 27% uplift on the 812 GTS, obviously, big increases. And secondly also on the 12Cilindri, the fact that you’re launching the two vehicles together, although, as you mentioned, there is a delay before the Spider comes out, is release to customers.
Does that indicate a higher degree of flexibility you now have within your production system that you can actually develop these vehicles in tandem and have them out in a very short segment space of time compared to in the past, when there was a quite long gap between these kind of vehicles? Thank you.
Benedetto Vigna: Thank you, Stephen, for your question. So coming to the first one, the Purosangue, where we can say that in Q1, the deliveries of Purosangue were below 16% of the volume we shipped. So we are not yet at the 20%. You can assume for the year that will be around 18% overall. The — coming back to the 12Cilindri or Dodici Cilindri like we, we like. Well, the Dodici Cilindri, the price — let’s say, we agreed to have a higher price, a substantially higher price than the previous version, because we believe there is a lot of innovation, a lot of activities have been done by the company, by all the team to put together traditional innovation and also, let me say when you try it because we tried it several times with Antonio and all other colleagues on the track and on the road.
There is the right mix between driving trips, elegance, and sportiness. So let me say, I think this price is what the cars deserved to have, also for the — all the work has been done. I have to say that also during the two nights, let’s say the world premieres, we have been talking about the feature of the cars, okay? But some client were telling I do not believe you’ve been able to reach such high performances in a car that was already high performance. Now we’re thinking about four steering wheel that is really unique and break by wires, a lot of innovation has been done and discussed, many, many. On the aerodynamic, on the power control, on the power units, so, also on the interior side, the display — the central display, yes, one thing that the client appreciated a lot is that we listen.
We heard their comment, we have a central display that is very high-end and very easy to be use. And you said well, I mean, the reason why we launched the two models together, the Coupe and Spider is the first time that we launched this for our range cars is because we want to give more freedom to clients, it means that we have got good flexibility in house. So we prepared ourselves to have this higher flexibility in house because it’s something that is also — I mean, we met several times. We have to learn, to know more our client and this is a way also to learn from our clients how they react when they see the two models together. We are ready because we have a flexible manufacturing line.
Stephen Reitman: Thank you. If I go back again about the pricing on the Dodici Cilindri, I apologize if I didn’t, if the price increase, does that give us any idea of the future direction of when you launch also replacements for the next series of vehicles, could we be expecting this kind of degree of price uplift on these vehicles. Obviously, with the 296 GTB was about a 14% increase. And I think on the Roma Spider versus the Portofino M, it was about 16%?
Benedetto Vigna: It is another interesting question. I think that it’s clear that there are two things that we have to balance. One is old innovation that we are offering to our clients and number two, the willingness they have to pay an higher price. What I can tell is that yes, there is — as we said also in several meetings, there is an upward — a lift upward of our prices, as you have noticed it well for the 296, for the Roma Spider, and for the Dodici Cilindri. I think this is important. I mean, we always said, you know we want to grow, we want to give priority to value over volume. If you see also the deliveries of this quarter, basically they’ve been flat versus one year ago.
