Pierer Mobility Restructures After Tough 2024, Aims for Year-End Stabilization
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Pierer Mobility AG, the company behind brands like KTM, GASGAS, and Husqvarna Motorcycles, has published its preliminary 2024 financials. The report confirms what insiders anticipated: a year defined by restructuring, supply chain setbacks, and negative operating results. But behind the drop in numbers, the company is positioning for a leaner, more focused future, with profitability expected to return by late 2025.
Revenue Falls, Margins Suffer
Group revenue dropped to €2.66 billion in 2024, down from €2.88 billion in 2023. The decline came amid continued supply chain interruptions and a targeted restructuring of the Group’s bicycle segment (Pierer E-Bikes GmbH), which is being phased out and absorbed into KTM AG.
Key financials (2024 vs 2023):
- Revenue: €2.66 billion (↓7.6%)
- EBIT: -€107 million
- Consolidated net result: -€88.7 million
- Equity ratio: 40.6% (vs 47.3% in 2023)
Production Backlog and Inventory Glut Hit Hard
Production was significantly impacted by high inventory levels, leading to planned slowdowns and temporary plant closures throughout 2024. Motorcycle output dropped by over 15%, with unit sales totaling around 306,000 vehicles, down from 375,000 the previous year.
The bicycle division was hit even harder. Only 71,000 units were sold in 2024 — less than half of 2023’s 163,000. Following a strategic review, the bicycle segment will no longer operate as an independent business but will instead be folded into the broader KTM AG structure.
New CEO, New Phase
As part of the restructuring effort, the company announced that Gottfried Neumeister will take over as CEO in mid-2025. Neumeister, formerly Chief Strategy Officer, will be tasked with leading the company’s recovery and rebalancing its focus on core mobility segments, including internal combustion and electric two-wheelers.
The company’s outgoing CEO, Stefan Pierer, will remain involved as Chairman of the Board.
Recovery Path: Normalization by End of 2025
Pierer Mobility expects the bulk of restructuring measures and inventory adjustments to be completed by mid-2025. Production is expected to ramp up again as early as Q3 2025, with full operational normalization forecasted by year’s end.
Focus areas moving forward:
- Reinforcing the core motorcycle business
- Streamlining supply chains and vendor relationships
- Continuing development of EV motorcycle platforms
- Exiting low-margin categories like e-bikes
A Reset, Not a Retreat
The story of Pierer’s 2024 is one of hard pivots, not slow collapse. The company is shedding underperforming units, consolidating production, and making leadership changes while still holding a solid balance sheet. While painful, the reset may give Pierer more clarity and control going into 2026, when European two-wheeler electrification targets begin to take sharper effect.
