KTM's financial woes

Doesn't seem to be getting better anytime soon. Board cut down to just two execs and forecasts have all been thrown out.

I'm a fan of the brand, but it's been clear that they've overextended themselves with acquisitions.

On the positive side, maybe the 250 SX-Fs I've been eyeing are about to be on super sale?

https://www.pierermobility.com/en/newsroom/eqsfeed/2866545?type=adhoc

 

The business side of this fun motorcycle stuff can get rather nasty, it's dog eat dog.

 

They slashed their motorsports budget by something like $65 million.
They spent like they were drunk Honda.

 

The problem is executives want increased revenues at all costs and when they see this growth potential (they get blinders or greedy) and their mid level managers chase that growth like a 14 year old girl at a Taylor swift concert.

I see it in my own company. Blind leadership chasing anything they can to make the wave bigger, even if it is getting ready to crash on the beach

in the case of KTM it seems they failed to ever see that post Covid market conditions would create less demand for outdoor product lines, and mix in inflation and high cost of borrowing on everything they need for supply chain and it’s a real fuck bag

their story is similar to almost every bicycle manufacturer and outdoor equipment company.

REI is taking it up the arse right now too.

 

@Senna they have been slashing prices on their ‘24 inventory since at least June. I bought a Husky FE 350s for $4,500. less than MSRP when I saw this.

 

Not everyone wants or needs the latest and greatest. A buddy worked at Suzuki dealership and they sold every RMZ they could get because it was below sticker until recently. Tougher now but some people got some great bikes for a fair price. The KTM dealership up the road sold great for awhile but now it’s like a Suzuki dealership.

Just today heard of SWM motorcycles and I’m interested if the they do another ‘tard. 450, old husquvara design engine, made in euroland, e start, husquvara steel frame and street legal and it’s not priced like a KTM?

 

That SWM 500 looks sweet. Especially for sub-10K.

 

I’m going to lose a lot of people on this and going to sound like an old man yelling at airplanes flying over my land but. . . Give me a steel frame in the 450 I’m ask for.

 

dealers have 2024s still on clearance... now the 2025s are starting to be discounted & incentivized. 2023-25 is the year to go new Austrian at a discount. I purchased 3 brand new bikes in the past 2 years... might be a 4th added to the stable soon.
Ironically some local guys bought 2 brand new 2025s Gasgas EC 300 SEs for a few $3800 more than the cost of the same model on close out. They were oblivious to the current blow out pricing. The biggest cryers are used bike sellers.

 

REI chose to partake in the outdoor culture war and paid for it. In America, outdoor enthusiasts are simply public land users and should be a unified front regardless of their chosen activity. If you climb, you should support OHV riding. If you hunt you should support mountain bikers, etc.

REI takes a thinly veiled anti-hunting, anti-firearm, and anti-motorsports stance, and it drives many people away. I don't care at all whether they choose to sell hunting or moto related gear or not, but they should consider who among their customer base may be alienated by their rhetoric. I can buy climbing gear a lot of places that don't condemn my other activities.

 

Does KTM not make a steel framed 450 anymore?

 

I'm in CO and it just doesn't seem like the discounts are as gnarly out here as in other states, but dealers are definitely sitting on inventory. I'll just have one shipped to me from elsewhere.

I'm still on the fence on picking up a 250, but you're right that the time is definitely now.

 

They do in the SMR but it's not street legal out of the box. And tbh those are pretty inexpensive new if you find the right dealer. I absolutely love mine.

 

I think if they can keep the hype up around the 990RC AND bring it in for a competitive price (NOT V2 pricing, more like R9 pricing) they could have a winner. I wonder how much the x90 cam fiasco played into their issues? As for REI, you can go online and literally buy anything they sell for half of what they charge in the store, so screw them.

 

Where did you buy it from? Around here they are between $10K and $13K.

 

You can get a Husky 501 for $8390 at Munn racing right now. They are a great dealership to buy from.

 

there’s no way they are going to be able to sell that thing for the $16K I keep hearing. 44Teeth said it just felt like a tarted up Duke. That is not going to fly for most folks when the R9 is so much more bike for so much less.

 

Outdoor folks seem pretty fickle and unified in their element. Case in point - I've never seen a rivalry so heated as between watersports enthusiasts and fisherman. It's almost hatred.

 

I'm pretty sure it was Munn Racing out of TX.

 

The problem for KTM is... they're late. The R9 is here. With good spec and a very competitive price. How many people are going to wait for the KTM for $4K more?