Warehouses are full

Watzinger

Philipp Watzinger runs KTM and Husqvarna motorcycle dealer Watzinger in Freistädter Straße in Linz-Urfahr.

(Bild: Krone KREATIV/Watzinger-Motorrad GmbH)

130,000 motorcycles were in stock at KTM when insolvency proceedings were opened; production in the Innviertel region is now at a standstill until March in order to sell off the stock - two facts about the motorcycle manufacturer that are not reassuring. How are the dealers actually doing? We asked Philipp Watzinger, who runs a KTM and Husqvarna store in Linz-Urfahr.

"It's only the first stage in a 90-day restructuring process, but it gives us the opportunity to continue working at full speed for our employees, suppliers and dealers so that this company can continue in the long term." Gottfried Neumeister, Co-Managing Director of KTM AG, said this after it became clear that all three of the motorcycle manufacturer's companies that had slipped into insolvency had been granted permission to continue operations.

Production to restart in March
KTM AG, KTM Components GmbH and KTM Forschungs & Entwicklungs GmbH are in dire financial straits, sitting together on a mountain of debt amounting to billions. And the warehouses are also full: the company announced at the end of November that 130,000 motorcycles were in stock. Production then continued for another two weeks before motorcycle assembly was sent on an early Christmas vacation. It is not due to start up again in single-shift operation until March.

Two thirds of motorcycles sold outside Europe in 2023
Will the overfilled warehouses be halfway sold out by then? Anyone who dares to look outside their front door will doubt it. After all, who buys a motorcycle in Austria in winter? But the fact is: KTM is a global company and sold around two thirds of its motorcycles outside Europe in 2023. North America, India, South America, Asia and Australia were named by the Mattighofen-based company as important markets.

I would like to thank all employees who continue to work for this company despite the adverse circumstances, uncertainty and hardship. The encouragement of all KTM fans and loyal customers around the world also gives us strength.

Gottfried Neumeister, Co-Geschäftsführer der Pierer Mobility AG und der KTM AG

In Austria, on the other hand, dealers are also using the winter to take a break. KTM Braumandl GmbH in Thalheim near Wels, for example, is closed from January 6 to 20 for stocktaking and company vacation. The company vacation at Watzinger-Motorrad GmbH in Freistädter Straße in Linz-Urfahr lasts longer: last Friday was the last time the store was open this year, and it will reopen on February 3. 

"Our business runs at full speed during the summer months. That's why we're using the quieter winter period for a well-deserved break," explains Philipp Watzinger. As a seasonal business, experience has shown that the demand for motorcycles, accessories, spare parts and the like is very low during the winter period.

"No disadvantages or restrictions whatsoever"
In the course of filing for restructuring, KTM emphasized that the sales companies are not affected by the insolvency. "KTM's support for us as dealers is functioning completely normally and without any restrictions. All deliveries of spare parts, accessories and other products are being made on time and in full," said Watzinger. He continues: "There are no disadvantages or restrictions for my employees or customers."

The first 2025 models have already been delivered
Even the first 2025 motorcycle models have already been delivered. The Managing Director of Watzinger-Motorrad GmbH: "Despite the current challenging situation at KTM, I look to the future with optimism and confidence."