In updating its guidance for 2024 , the PIERER Mobility Management board has stated that it " continues to anticipate a difficult global economic environment , driven not least by persistently high inflation rates and wage and salary developments with farreaching influences on price developments worldwide . " The PIERER Mobility Group will use 2024 as a consolidation year to strengthen its core business . The costreduction measures already initiated in the 2023 financial year will be intensively pursued and supported by further relocations of production and development capacities to the joint venture partners in India and China . The total cost savings in the 2024 financial year will amount to a high double-digit million amount ". In mid-June 2024 , the Group announced that it was adjusting its guidance in response to tougher global conditions . It stated that sales were falling " short of expectations " due to

the persistently high interest rates in the USA " and volatile market environment in Europe ". The company is therefore implementing a comprehensive package of measures ,

Stefan Pierer , Chairman of the PIERER Mobility Executive Board

involving tighter cost management and reduction of production volumes in Austria , expansion of the supply chain in India and China and realignment of the bicycle division . " In the current financial year ,

momentum in PIERER Mobility ' s core motorbike markets in the USA and Europe has slowed significantly . Due to the latest interest rate decisions in the USA , interest rates are expected to remain high , which will have a negative impact on sales expectations for the American market . " Sales figures in Europe are also still volatile . Overall , PIERER Mobility ' s sales figures will fall short of expectations this year after three years of above-average success . This means that dealers will have to reduce their inventories and thus continue to tie up considerable capital . The PIERER Mobility Group is , therefore , continuing its efforts to strengthen its dealer structure through extended payment terms and higher discounts . These measures have already led to a sharp increase in working capital in the past financial year . Management expects working capital and the associated capital commitment to remain high in 2024 .

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