KTM’s Financial Freefall: How It Almost Collapsed
The year 2025 has been turbulent for the motorcycle world, and KTM —a brand long known for racing grit and innovation—found itself at the center of a financial storm. What looked like a thriving motorcycle manufacturer hit a wall of debt, leading to one of the most dramatic corporate shakeups in motorsport history. What Went Wrong? KTM’s trouble didn’t happen overnight. By late 2024, the company was weighed down by billions in unpaid loans and supplier bills . Rising energy prices, a bloated inventory of over 130,000 unsold bikes, and a post-pandemic slowdown in global demand pushed KTM into a financial corner. To make things worse, KTM’s aggressive growth strategy over the years—buying new brands, expanding factories, and entering multiple racing categories—left it highly exposed when the economy tightened. Fillng for Insolvency: A Strategic Move On November 29, 2024 , KTM filed for insolvency under self-administration in Austria. Unlike total bankruptcy, this move allowed KTM’s...