Why doesnt KTM just sell bikes at cost price?

sam hain
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USA
5/5/2025 11:51am
Boomslang wrote:
KTM IS AUCTIONING BRAD BINDER’S 2023 MOTOGP KTM RC16, THE SAME BIKE THAT REACHED A TOP SPEED OF 366.1KM/H AT MUGELLO. https://news.imotorbike.com/en/2025/05/historic-ktm-motogp-bike-that-set-speed-record-heads-to-auction/

KTM IS AUCTIONING BRAD BINDER’S 2023 MOTOGP KTM RC16, THE SAME BIKE THAT REACHED A TOP SPEED OF 366.1KM/H AT MUGELLO.

ktm-rc16-2021-768x512

 

https://news.imotorbike.com/en/2025/05/historic-ktm-motogp-bike-that-se…

That POS is part of the reason they are in the predicament they're in now. 

1
Beagle
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1820
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Location
Toulouse, FR
5/5/2025 12:13pm
Boomslang wrote:
KTM IS AUCTIONING BRAD BINDER’S 2023 MOTOGP KTM RC16, THE SAME BIKE THAT REACHED A TOP SPEED OF 366.1KM/H AT MUGELLO. https://news.imotorbike.com/en/2025/05/historic-ktm-motogp-bike-that-set-speed-record-heads-to-auction/

KTM IS AUCTIONING BRAD BINDER’S 2023 MOTOGP KTM RC16, THE SAME BIKE THAT REACHED A TOP SPEED OF 366.1KM/H AT MUGELLO.

ktm-rc16-2021-768x512

 

https://news.imotorbike.com/en/2025/05/historic-ktm-motogp-bike-that-se…

sam hain wrote:

That POS is part of the reason they are in the predicament they're in now. 

Nope, cost them about 50-70M a year, they're down 2B. 

In the past couple of years their bicycle division cost them a lot more than their entire racing program. Definitely not the only thing that sank them either but puts things into perspective.

5/5/2025 2:02pm
Boomslang wrote:
KTM IS AUCTIONING BRAD BINDER’S 2023 MOTOGP KTM RC16, THE SAME BIKE THAT REACHED A TOP SPEED OF 366.1KM/H AT MUGELLO. https://news.imotorbike.com/en/2025/05/historic-ktm-motogp-bike-that-set-speed-record-heads-to-auction/

KTM IS AUCTIONING BRAD BINDER’S 2023 MOTOGP KTM RC16, THE SAME BIKE THAT REACHED A TOP SPEED OF 366.1KM/H AT MUGELLO.

ktm-rc16-2021-768x512

 

https://news.imotorbike.com/en/2025/05/historic-ktm-motogp-bike-that-se…

sam hain wrote:

That POS is part of the reason they are in the predicament they're in now. 

Beagle wrote:
Nope, cost them about 50-70M a year, they're down 2B. In the past couple of years their bicycle division cost them a lot more than their entire...

Nope, cost them about 50-70M a year, they're down 2B. 

In the past couple of years their bicycle division cost them a lot more than their entire racing program. Definitely not the only thing that sank them either but puts things into perspective.

Well how many years were they in it?

1

The Shop

Kawboy14!
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501
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5/15/2021
Location
Georgetown, TX, USA
5/5/2025 2:04pm

Sell them at a loss…it’s better than losing everything, plus they will make a killing on parts and service if they sell a ton of bikes

2
5/5/2025 2:40pm
kelso.184 wrote:
From everything I have read, it sounds like KTM has nearly 2 years of bikes sitting in a shed they can't move. I understand they cant...

From everything I have read, it sounds like KTM has nearly 2 years of bikes sitting in a shed they can't move. I understand they cant come out and just sell them to the general public at cost price as this will cause massive issues with their own re sale value, trade value, and will obviously upset a lot of people who have just paid a substantial amount more for their bikes however what I dont get is why they dont use these bikes to up their support program.


I dont understand why KTM doesn't go to local dealers and say, "We have these bikes in storage. Here is the cost price on them. Offer these bikes to the riders, supermini dads, customers who have shown you support or who you have wanted to work with in the past but haven't been able to get them a deal and have them sign NDAS around the purchase price. 

- This clears the bikes for KTM
- This helps riders who are racing local races and or gets more teams/ riders onto KTMS opposed to other brands

- This doesn't affect their resale value and trade-in value

 

These riders/ people who purchase these bikes can then race them for a year and potentially sell them for what they paid for them on the used market!

 

Now for everyone saying "but they are last years models" as much as we all think we need to be on 2025 factory KTM bikes 98% of us dont! 

How do you know there is a stock of unsold MX / offroad bikes? Who told you this?

Beagle
Posts
1820
Joined
8/3/2023
Location
Toulouse, FR
5/5/2025 2:41pm
sam hain wrote:

That POS is part of the reason they are in the predicament they're in now. 

Beagle wrote:
Nope, cost them about 50-70M a year, they're down 2B. In the past couple of years their bicycle division cost them a lot more than their entire...

Nope, cost them about 50-70M a year, they're down 2B. 

In the past couple of years their bicycle division cost them a lot more than their entire racing program. Definitely not the only thing that sank them either but puts things into perspective.

Well how many years were they in it?

9th season

My point is that they've had finance issues for the past 2 years where deficit of the bicycle division dwarfed their racing expenses.

5/5/2025 2:44pm
Boomslang wrote:
KTM IS AUCTIONING BRAD BINDER’S 2023 MOTOGP KTM RC16, THE SAME BIKE THAT REACHED A TOP SPEED OF 366.1KM/H AT MUGELLO. https://news.imotorbike.com/en/2025/05/historic-ktm-motogp-bike-that-set-speed-record-heads-to-auction/

KTM IS AUCTIONING BRAD BINDER’S 2023 MOTOGP KTM RC16, THE SAME BIKE THAT REACHED A TOP SPEED OF 366.1KM/H AT MUGELLO.

ktm-rc16-2021-768x512

 

https://news.imotorbike.com/en/2025/05/historic-ktm-motogp-bike-that-se…

sam hain wrote:

That POS is part of the reason they are in the predicament they're in now. 

Red Bull finances their MotoGP program. Racing is definitely not the main reason they're in this predicament 

1
5/5/2025 2:56pm
Beagle wrote:
Nope, cost them about 50-70M a year, they're down 2B. In the past couple of years their bicycle division cost them a lot more than their entire...

Nope, cost them about 50-70M a year, they're down 2B. 

In the past couple of years their bicycle division cost them a lot more than their entire racing program. Definitely not the only thing that sank them either but puts things into perspective.

Well how many years were they in it?

Beagle wrote:

9th season

My point is that they've had finance issues for the past 2 years where deficit of the bicycle division dwarfed their racing expenses.

Over half a billi since they started. Dam that's expensive. 

5/5/2025 2:59pm Edited Date/Time 5/5/2025 2:59pm
Kawboy14! wrote:

Sell them at a loss…it’s better than losing everything, plus they will make a killing on parts and service if they sell a ton of bikes

I've been waiting to buy a bike:

1) If PMG/KTM will actually stick around

2) If yes, then wait for fire sale

Beagle
Posts
1820
Joined
8/3/2023
Location
Toulouse, FR
5/5/2025 3:45pm

Well how many years were they in it?

Beagle wrote:

9th season

My point is that they've had finance issues for the past 2 years where deficit of the bicycle division dwarfed their racing expenses.

Over half a billi since they started. Dam that's expensive. 

Well 0.5B sure sounds like expensive but that's under 4% of their revenue on the period.

Again, bicycle deficit in the past couple of years would have paid for 5 years of their entire racing program.

1

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