KTM: Plans for savings and growth despite the production stop!

KTM: Plans for savings and growth despite the production stop!

KTM AG faces significant changes after the production stop that began in mid -December at the end of December 2024 may be extended by another month. Around 130,000 motorcycles are currently in the warehouse, many of them do not meet the future Euro5+ exhaust gas standards. In order to counter the difficult situation, the working time of the workforce is reduced to 30 hours a week, reports Orf .

In a positive light, however, an analysis of the Boston Consulting Group (BCG), which points out that the KTM group expects annual growth of over ten percent in its core markets. Especially in the off-road segment, where KTM has a market share between 40 and 60 percent, stable growth rates of around 3.5 percent are predicted, as DerSandard . The measures to reduce costs, including the optimization of the supply chains and a possible reduction in marketing and research expenses, could help the company to save up to 77 million euros per year from 2027.

KTM is considering getting out of the MotoGP

Another big step could be the withdrawal from the MotoGP, which, according to the current considerations, could be implemented from the 2026 season. Although this step would bring savings of around 46 million euros a year, KTM has been contractually bound until then, which could result in contractual penalties if the termination is early. Nevertheless, the analysis of the BCG shows optimistic prospects for the market positioning and the future growth ability of the KTM group.