Stefan Pierer has stepped down from the position of CEO to the Pierer Mobility Group (PMG) and KTM AG.

However, he will remain in both companies as the Co-CEO to Gottfried Nuemeister, who joined PMG as the Co-CEO last year.

“Stefan Pierer will hand over the role of CEO of Pierer Mobility AG and KTM AG to Gottfried Neumeister,” according to a statement from PMG. It adds that Pierer “will continue to support [Neumeister] as Co-CEO during the restructuring process.”

On the announcement of his departure from the CEO role, Pierer said: “For me, KTM was always more than just a company – it was and is a passion, a mission and a family. 

“The decision to hand over the helm was not an easy one. I am deeply convinced that Gottfried Neumeister, with his strategic foresight and commitment, is the right choice to lead KTM into the future.”

“KTM stands for courage, innovation and passion – values that we will continue to live by and carry into the future. Together with our team, we will continue to strengthen KTM and set new standards to build the best motorcycles in the world.”

Pierer’s term as CEO was supposed to end on 31 December 2025.

The news comes amid financial difficulties for KTM AG which has seen it commence insolvency proceedings which remain ongoing in an attempt to avoid bankruptcy. KTM is currently in self-administration proceedings, and has and will continue measures to cuts costs within the company.

Part of this has been reducing the size of the workforce, which the PMG statement announcing the change in CEO adds has been cut by 1,800 employees.

The reduction in workforce was combined with a reduction in production volume to 230,000 in 2024, which the statement says has “relieved by around 40,000 units. This represents an important first step in the restructuring plan.” The 40,000 unit reduction in production is equals to -18%.