Lamborghini sees sales dip before new supercar launch

Lamborghini ceased production of its high-performance Murcielago six months ago and will not see sales pick up again before the second half of 2011 with the launch of a successor supercar, its CEO said on Friday.

Lamborghini, a unit of Volkswagen AG's Audi, ended production of the $400,000 Murcielago in May in a move that is bound to hit full-year revenues, Stephan Winkelmann said in an e-mail to Reuters.

"This will surely have an impact on our sales performance. Compared with 2009, we will pay for the absence of the Murcielago this year," he said.

Founded in 1963 by Ferruccio Lamborghini, the company has been hit hard by the global economic crisis.

First-half sales fell 2.6 percent to 152.9 million euros ($216 million), despite continued growth in Asia, after dropping 41 percent to 281 million euros in 2009.

"In general terms, a return to the record levels seen in 2007-2008 will not be immediate, considering the slow demand from markets like Europe and the United States," Winkelmann said. "We see a recovery starting from the second half of next year." Lamborghini sold a record 2,430 cars in 2008.

The Murcielago, which is named after a fighting bull like its famous predecessor, the Diablo, and its cheaper sibling, the Gallardo, is Lamborghini's top-selling 12-cylinder car, with more than 4,000 delivered in nine years, of which 409 were sold in 2009. The last Murcielago left the company's base in Sant'Agata Bolognese, Italy, in May, for a Swiss customer.

Selling for up to 300,000 euros ($424,300) apiece, the Murcielago costs almost twice that of the Gallardo, now the company's only product on offer until the next supercar model is unveiled in Geneva in March 2011.

Looking ahead, Winkelmann said Lamborghini aimed to launch a new model every year and boost investments in new technologies.

A new initiative will be announced in Los Angeles in a couple of weeks, he said.

Lamborghini rival Ferrari, which reported third-quarter revenues of 446 million euros, up 12.6 percent from a year ago, is looking to post near record results for this year, the Fiat unit's chairman, Luca Cordero di Montezemolo, said in September.

Lamborghini predicts return to growth after H2 revenues fall 2.6%

Lamborghini, the Italian luxury sports car brand, remained cautious about 2010 when it posted a 2.6 percent fall in first-half revenues despite continued growth in Asia.

Lamborghini, a unit of Volkswagen's Audi brand, was severely hit by the recession last year, when sales fell 41 percent.

"2010 is a transition year for Lamborghini," CEO Stephan Winkelmann said in a statement on Tuesday, adding that market recovery and brand repositioning would help it return to growth.

The maker of supercars said revenues fell to 152.9 million euros ($199.9 million) in the first half when it sold 674 cars, down 18 percent.

Lamborghini cars range in price from 180,000 euros to 400,000 euros.

Car sales more than tripled in China, its second-biggest market after the United States, to 86 in the period. Lamborghini has said it expects to sell more than 100 cars in China in 2010.

First-half sales in Australia, Singapore, Hong Kong and Taiwan more than doubled.

The carmaker said it was heavily investing in the carbon fiber technology, which boosts power efficiency and helps reduce weight and car emissions.

Lamborghini competes head-on with Ferrari, owned by Italian carmaker Fiat.

Despite sour economy, Lamborghini profit soars

Despite the tepid global economy, it appears that rich folks are still buying expensive toys. Automobili Lamborghini's global sales and financial results for the first half of 2008 both hit record highs.

Revenues increased 9.6 percent to 277.4 million euros ($434.5 million) from 253.1 million euros. Pretax profit increased to 35 million euros ($54.8 million) from 26.4 million euros, a 32.6 percent increase. By contrast, Lamborghini earned 47.1 million euros ($73.7 million) for all of 2007.

Global unit sales increased to 1,309 vehicles from 1,238 for the same period last year. Lamborghini now has 114 dealers around the globe, up from 65 in 2004, with eight new stores opening in the first half of the year.

Lamborghini CEO Stephan Winkelmann said sales in the United States and Europe were stable, while the Middle East was up 40 percent. Strong gains were also posted in China and Hong Kong.

"There is no brand that is immune to financial crisis," Winkelmann said, "but we always produce less than demand. We are conservative in our forecast."

Winkelmann thinks second-half revenue and profits will be even better for Lamborghini, as the redesigned Gallardo LP560-4 has just started arriving in dealerships.

Winkelmann said an internal cost-reduction program has improved profits. Also, Lamborghini is pushing an accessories program for its cars, as pricey options such as $10,000 carbon ceramic brakes typically carry better profit margin percentages than the car itself.

"We are improving the assembly time," Winkelmann said. "We are constantly talking to suppliers to get a higher quality for a reduced price. What is helping us with suppliers is that we are constantly increasing volume."