KTM went through the mill in every sense in 2025. At one point, a complete collapse looked imminent, with insolvency on the horizon. Despite a reprieve from the new owner Bajaj Mobility AG, the company’s 2025 figures still raise serious red flags.
In November 2025, Bajaj Auto took control of Pierer Bajaj AG, securing a 74.9% controlling stake in Pierer Mobility AG, after previously injecting just over £700 million ($923 million) to keep KTM afloat.
Amid a temporary production shutdown in the first half of 2025, the acquisition saw production resumed across all projects, but the year’s sales and revenue figures paint a very sombre picture.
The Facts and the Figures
Bajaj’s annual report states that its preliminary 2025 figures show total motorcycle sales of 209,704 units. Specifically, 85,284 were sold in the first half of the year, while 124,420 were recorded in the second half.
Crucially, 78,906 of those units came from Bajaj-produced models. However, there is no data clarifying how many motorcycles were sourced directly from current KTM production.
With total sales figures unknown, KTM’s bottom line only fuels growing concern. Its total revenue declined by 46%, falling to €1.009 billion (estimated US$1.09 billion), due to the challenging financial climate and the restructuring measures in place to address its debts.
“Bajaj Mobility AG reports on a financial year shaped by extensive structural adjustments and the implementation of key restructuring measures. Despite operational constraints in the first half of 2025, the overall annual trajectory shows a clear stabilization of the economic foundation,” reads Bajaj’s preliminary report.
Workforce Sliced in Half
It was reported in November 2025 that the new owners planned to cut the workforce by over 50%, affecting both KTM’s staff and its Grand Prix motorcycle racing project.
Bajaj Managing Director Rajiv Bajaj has openly commented on KTM’s precarious situation, blaming its senior staff and organizational hierarchy for the company’s losses.
“So far, what we observe is that there is an opportunity to reduce the overheads by more than 50 percent,” Bajaj Managing Director Rajiv Bajaj told India’s CNBC-TV18 last October.
“That covers R&D, that covers all marketing areas, including racing. That covers all the operational areas.
“This is a problem that isn’t caused by 98 per cent or 99 per cent of the KTM employees,” he said, “This is a problem of the top management of KTM.”
Long-time CEO Stefan Pierer resigned, and Gottfried Neumeister took the reins, set to lead the organization through 2028. Dramatic day-to-day changes are expected, especially given the significant staff reductions.
The Clock Is Ticking on KTM’s MotoGP Future
Amid the depressing figures, KTM’s future in MotoGP is increasingly uncertain, with the clock ticking toward a major shakeup ahead of the 2027 season. The Austrian-turned-Indian marque has reportedly confirmed negotiations to remain in MotoGP through 2031.
Nothing has officially been agreed upon, and KTM’s two teams, the factory squad and the Gunther Steiner-led Tech3 satellite team, remain uncertain as MotoGP enters a brand-new era in 2027. The current rider line-ups of Pedro Acosta, Brad Binder, Maverick Viñales, and Enea Bastianini are all at risk of losing their seats.
Crucially, the centerpiece of KTM’s presence in top-level motorcycle racing, Acosta, has reportedly already agreed to sign with factory Ducati in 2027. If the rumors are true, Acosta, a flagship of the KTM brand, will depart, potentially creating commercial and sponsorship losses.
Likewise, continued financial losses could prompt Red Bull, the energy drink company that has been closely tied to KTM since joining the MotoGP paddock in 2012, to withdraw its substantial financial support.