KTM Opens 2008 With Promising Q1

KTM Power Sports AG says revenue totaled €149.4 million ($219.1 million) for its fiscal first quarter, ended Nov. 30, up 15.3% from €129.5 million ($189.9 million) in the same three-month period in 2006. EBIT totaled €18.9 million ($27.7 million), up 64.7% from €11.5 million ($16.8 million) in the prior-year first quarter. KTM's profit per share reached 2.18 euro ($3.19), up from €1.06 ($1.55) in the year-ago period.

KTM says first quarter revenue growth was significantly influenced by increased sales in enduro sales, higher revenues from parts and apparel sales, and increased sales of engines to other OEMs (like Polaris).

Buoyed by new product, KTM says it expects to continue to grow sales this year. The company launched its first supersport bike, the 1190 RC8, in late 2007, and plans the first deliveries of its X-Bow automobile later this year.

However, "due to the continuously weak U.S. dollar, the margin situation will worsen," company officials announced, adding that "price adjustments and a selective product policy in North America shall partially compensate the negative exchange rate influences."