At the end of August, Pierer Mobility announced that it would have to let go of another 200 employees. On Monday, the motorcycle and e-bike manufacturer announced: The crisis continues! The turnover and profit plans for this year have been reduced. At the top of the group, which includes KTM, GasGas, Husqvarna and MV Agusta, there are now only two men in the lead.
A collapse in demand for motorcycles in the US, where the low price segment is particularly popular, a market in Europe that is still rather subdued, as well as a much slower decline in inventory levels than expected – all this caused Pierer Mobility (KTM , Husqvarna, GasGas, MV Agusta) announced that they had lowered their forecasts for the 2024 financial year.
The reduction of 200 employees was announced at the end of August
The crisis the company is experiencing continues. In December it was announced that staff cuts would be made and that parts of production and research and development would be moved to Asia. The next shock came at the end of August: another 200 employees had to leave.
Even now there is still no peace. But: Because you continue to support dealers and suppliers in what is not an easy time for them, you accept that your own debts will continue to increase, says the motorcycle and e-bike manufacturer from Mattighofen, who is also the board of directors, said. top management shrank.
From six to two managers
Instead of dividing responsibility among six managers, only owners Stefan Pierer and Gottfried Neumeister work here. The latter had only joined the company at the beginning of September and immediately became co-boss. The 47-year-old now forms dual leadership with Pierer and is also a board member at KTM AG. The reduction should also be seen as a sign of flexibility; coordination will now be possible more quickly.
He founded Flyniki together with Niki Lauda
But who is the man who has to fix Pierer? Neumeister worked at catering company DO&CO until June 2023 – in various managerial positions. Neumeister also founded Flyniki together with Niki Lauda and, as director, was responsible for building up the aviation business until it was sold to Air Berlin. Neumeister still sits on the board of the private Lauda foundation. At DO&CO he had shown that he can deliver if there is also a strong owner on the board. Pierer Mobility also needs this power.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
