KTM Era
In 1953, businessman Ernst Kronreif became a sizable shareholder of the company which was then renamed and registered as Kronreif & Trunkenpolz Mattighofen. KTM started serial production of R100 in 1954. With just 20 employees, motorcycles were built at the rate of three per day.The company’s first title was secured shortly thereafter with the 1954 Austrian 125 national championship. KTM first made an appearance at the International Six Days Trials (Enduro) in 1956 where Egon Dornauer secured a gold medal. Racing continued to be a testing ground for production technology, but next in line was its first scooter, the Mirabell. It started providing a factory team for the ISDE in ’64. As the company continued to expand, the workforce totaled 400 in 1971, and forty years after it was founded, KTM was offering 42 different models
In 1955 Tourist 125cc model was developed. In 1957 KTM built the first sports motorcycle Trophy 125cc. KTM's first moped, called Mecky was launched in 1957, followed by Ponny I in 1960 and Ponny II in 1962. The 1960s saw the beginning of the bicycle production. Beside, KTM was also able to produce motorcycles for the racing industry.
In 1988, US subsidiary KTM North America Inc. was founded in Lorain, Ohio. International business then amounted to 72% of the company turnover. In 1990, it was renamed KTM Motorfahrzeugbau AG.
Scooter and moped turnover sank rapidly, and production had to be halted in 1982. Erich Trunkenpolz died in 1989 and in 1991 KTM applied for insolvency. Its management was taken up by banks who split the company into four new entities in 1992:
- KTM Sportmotorcycle GmbH, motorcycles division
- KTM Fahrrad GmbH, bicycles division
- KTM Kühler GmbH, radiators division
- KTM Werkzeugbau GmbH, tooling division
