Thanks for the nice report. I have also looked into Sanlorenzo and its competitors (Ferretti, The Italien Sea Group). At the moment I'm not sure who really has the edge in terms of market share, brand and moat. Which of the listed companies is the Ferrari of the sea....
The market share figures from the annual reports are of course difficult to compare and in each case the reporting company is the leader based on the respective classification of the boat categories.
Whether the decreasing number of shipyards really plays into Sanlorenzo's hands is not yet entirely clear in my view. Do they have patents or technical advantages that no other yacht manufacturer has?
I am also unsure how secure the moat is against Asian competition. On the positive side, in this product category (super yachts) money is not an issue, which means you don't have to fear cheap competition. Strangely enough, you can see a positive margin development, but with a net margin of 11% you are still a long way from Ferrari, for example, with a net margin of 21%.
Nonetheless, thank you for your reports, I enjoy reading them because they shed light on companies outside the masses.
In my view SL and TISG are the Ferrari's of the sea (listed on the stock exchange). Why? Their MOAT is the Italian brand and that is not replicable. The design, style and care of Italian craftsmen is not replicable. Notice how SL has taken care to integrate some verticals so as not to lose precisely that, its MOAT.
I don't see Ferretti as being on the same level as the other two. Note that it does not generate any FCF when its competitors do so (especially SL).
Thanks for the nice report. I have also looked into Sanlorenzo and its competitors (Ferretti, The Italien Sea Group). At the moment I'm not sure who really has the edge in terms of market share, brand and moat. Which of the listed companies is the Ferrari of the sea....
The market share figures from the annual reports are of course difficult to compare and in each case the reporting company is the leader based on the respective classification of the boat categories.
Whether the decreasing number of shipyards really plays into Sanlorenzo's hands is not yet entirely clear in my view. Do they have patents or technical advantages that no other yacht manufacturer has?
I am also unsure how secure the moat is against Asian competition. On the positive side, in this product category (super yachts) money is not an issue, which means you don't have to fear cheap competition. Strangely enough, you can see a positive margin development, but with a net margin of 11% you are still a long way from Ferrari, for example, with a net margin of 21%.
Nonetheless, thank you for your reports, I enjoy reading them because they shed light on companies outside the masses.
Thank you very much for your comment!
In my view SL and TISG are the Ferrari's of the sea (listed on the stock exchange). Why? Their MOAT is the Italian brand and that is not replicable. The design, style and care of Italian craftsmen is not replicable. Notice how SL has taken care to integrate some verticals so as not to lose precisely that, its MOAT.
I don't see Ferretti as being on the same level as the other two. Note that it does not generate any FCF when its competitors do so (especially SL).