Pierer Mobility AG, home to big names like KTM and GASGAS, has been hit hard by the last few years of high interest rates and tighter purse strings. A recent announcement from Pierer reveals the gravity: board members have been slashed from six to two. That’s not a good sign. When you start cutting executives, you know the boat’s taking on water.
Pierer Mobility AG Is the Parent Company for KTM, Husqvarna, GASGAS, and MV Agusta
Not long ago, the motorcycling industry slipped through a golden age. In 2020, Pandemic lockdowns had people itching to hit the open road, and with low interest rates, they had cash to burn. Companies like KTM, Husqvarna, GASGAS, and MV Agusta were riding high, selling machines to anyone looking for a thrill. But those days are gone, and the winds have shifted.
As the pandemic faded, interest rates soared, and consumer wallets tightened. Suddenly, those toys like the $40,000 Slingshots or Kawasaki H2Rs weren’t so enticing.
Pierer is scrambling to stop the bleed by “de-stocking” inventory, which might be good news for us. Expect discounted prices on their bikes soon.
But the bigger question remains: what’s the future of these brands? With EICMA around the corner, they’ll need more than just flashy product reveals to steer the ship back on course. Time will tell.
