The Schaeffler Group has reported a 2% increase in turnover at constant exchange rates during the first six months of 2024, reaching a total of 8.276 billion euros, compared to 8.208 billion euros in the previous year. However, the EBIT margin before special effects has decreased to 6.3%, compared to 7.6% in the previous year, largely due to the reduction in volume and results of the Bearings & Industrial Solutions division.
The company has highlighted significant growth in its Automotive Technologies division, driven by increased volumes in the e-Mobility business unit in Europe and America. The Vehicle Lifetime Solutions division has also experienced notable growth of 17.6% at constant exchange rates, thanks to the positive impact of volumes in the Independent Aftermarket business in Europe and America. On the other hand, the Bearings & Industrial Solutions division saw a 3.9% reduction in turnover.
In the first half of 2024, the Automotive Technologies division generated a turnover of 3.534 billion euros, with a 1.5% growth at constant exchange rates. This increase is mainly due to higher volumes in the e-Mobility business unit. Despite challenges in the electric mobility market, this unit achieved a 10.3% growth at constant exchange rates. The Greater China region experienced a decline, which also influenced the overall results.
The Vehicle Lifetime Solutions division achieved a turnover of 1.309 billion euros, growing by 17.6% at constant exchange rates. This growth is mainly attributed to the favorable impact of volumes and price adjustments made in the previous year. The regions of Europe, America, and Greater China reported noteworthy increases in their turnover.
In contrast, the Bearings & Industrial Solutions division suffered a 3.9% reduction in turnover, reaching 3.367 billion euros, due to market weakness and local competition in Europe and Greater China. The EBIT margin before special effects in this division also decreased significantly.
In terms of investment, Schaeffler kept its capital expenditure (Capex) at the same level as the previous year, reaching 418 million euros.
Klaus Rosenfeld, CEO of Schaeffler AG, expressed satisfaction with the results achieved in a challenging market environment, highlighting the continued progress in the integration with Vitesco. However, he noted that the forecasts for the rest of the 2024 fiscal year have been adjusted due to the revision of Vitesco’s result expectations.
The report reveals that the Schaeffler Group’s workforce remained at 83,990 employees globally as of June 30, 2024. In financial terms, available cash flow improved in the second quarter and net financial debt increased to 4.920 billion euros, raising the Gearing ratio to 125.6%.
Claus Bauer, CFO of the Schaeffler Group, emphasized the importance of performance management in a challenging environment, especially with the ongoing integration of Vitesco. He highlighted that the company has closed a difficult semester on a strong basis.
Source: MiMub in Spanish
