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Schaeffler AG Earnings Release 2022
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Corporate | 9 May 2022 20:12
Schaeffler AG: Schaeffler Group starts 2022 with good first quarter and publishes new full-year Guidance
DGAP-News: Schaeffler AG / Key word(s): Forecast
Schaeffler AG: Schaeffler Group starts 2022 with good first quarter and publishes new full-year Guidance
09.05.2022 / 20:12
The issuer is solely responsible for the content of this announcement.
Schaeffler Group starts 2022 with good first quarter and publishes new full-year Guidance
HERZOGENAURACH | 9 May 2022 | Global automotive and industrial supplier Schaeffler released its new full-year guidance for 2022 today. On 8 March 2022, the Board of Managing Directors of Schaeffler AG had suspended the full-year guidance 2022 adopted on 22 February 2022, when the annual financial statements were prepared, due to the developments in Ukraine in the days following the approval of the annual financial statements. For the first quarter 2022, the following key financials are pre-released.
Key financials Q1 2022
| Schaeffler Group | Q1 2022 | Q1 2021 |
| Revenues | EUR 3,758 mn | EUR 3,560 mn |
| Revenue growth 1) | +1.9% | +12.3% |
| EBIT 2) | EUR 258 mn | EUR 397 mn |
| EBIT margin 2) | 6.9% | 11.2% |
| Free cash flow 3) | EUR 14 mn | EUR 130 mn |
1) at constant currency; 2) before special items; 3) before cash in- and outflows for M&A activities
The Schaeffler Group reported 3,758 million euros (prior year: 3,560 million euros) in first-quarter revenue, representing constant-currency revenue growth of 1.9 percent. EBIT before special items amounted to 258 million euros (prior year: 397 million euros), resulting in an EBIT margin before special items of 6.9 percent (prior year: 11.2 percent).
First-quarter free cash flow before cash in- and outflows for M&A activities was positive at 14 million euros (prior year: 130 million euros).
| Divisions | Autom. Technologies Q1 2022 |
Autom. Aftermarket Q1 2022 |
Industrial Q1 2022 |
| Revenues | EUR 2,293 mn | EUR 463 mn | EUR 1,002 mn |
| Revenue growth 1) | -3.2% | +2.1% | +15.7% |
| EBIT 2) | EUR 80 mn | EUR 63 mn | EUR 115 mn |
| EBIT margin 2) | 3.5% | 13.6% | 11.4% |
1) at constant currency; 2) before special items
The Automotive Technologies division generated 2,293 million euros in revenue (prior year: 2,281 million euros). At constant currency, revenue decreased by 3.2 percent from the prior year. EBIT before special items amounted to 80 million euros (prior year: 240 million euros). The EBIT margin before special items was 3.5 percent, considerably below the extraordinarily strong prior year level of 10.5 percent.
The Automotive Aftermarket division reported 463 million euros (prior year: 444 million euros) in revenue for the reporting period, representing constant-currency revenue growth of 2.1 percent. The division earned 63 million euros (prior year: 58 million euros) in EBIT before special items. This represents an EBIT margin before special items of 13.6 percent (prior year: 13.1 percent).
The Industrial division reported 1,002 million euros (prior year: 836 million euros) in first-quarter revenue, representing considerable constant-currency revenue growth of 15.7 percent. The division earned 115 million euros (prior year: 98 million euros) in EBIT before special items, which represents an EBIT margin before special items of 11.4 percent (prior year: 11.8 percent).
New full-year Guidance for 2022
| Schaeffler Group | New Guidance 2022 (as of 9 May 2022) |
Suspended Guidance 2022 (as of 8 March 2022) |
| Revenue growth 1) | 6 to 8% | 7 to 9% |
| EBIT margin 2) | 5 to 7% | 6 to 8% |
| Free cash flow 3) | > EUR 250 mn; below prior year |
> EUR 300 mn; below prior year |
1) at constant currency; 2) before special items; 3) before cash in- and outflows for M&A activities
The new guidance is based on the assumption that the growth of the global economy as a whole will slow down noticeably and that this will have an impact on Schaeffler Group’s sales and procurement markets. The economic sanctions imposed against the backdrop of the war in Ukraine, the impact on supply chains, raw material and energy prices, as well as transportation costs have been taken into account to the existing extent until year end. Influences of the coronavirus pandemic, which has not yet been overcome, on the Group’s value chain have been taken into account at the current level. With regard to China, economic activity is assumed to normalize by the end of June 2022.
The Schaeffler Group expects its full-year revenue to grow by 6 to 8 percent at constant currency in 2022. In addition, the Schaeffler Group expects to generate a full-year EBIT margin before special items of 5 to 7 percent. The Schaeffler Group also anticipates more than 250 million euros in free cash flow before cash in- and outflows for M&A activities for 2022, but below previous year.
For the divisions, the guidance KPIs are the following:
| Divisions | Autom. Technologies Guidance 2022 |
Autom. Aftermarket Guidance 2022 |
Industrial Guidance 2022 |
| Revenue growth 1) | Moderate revenue growth; 2 to 5% points above LVP growth 4) |
Moderate revenue growth | Considerable revenue growth |
| EBIT margin 2) | > 2.5%; below prior year |
> 12%; below prior year |
> 11%; below prior year |
Current market assumptions for 2022
– Automotive Technologies: LVP 4) around prior year level (previous year 77.2 million)
– Automotive Aftermarket: Increase of global GDP by 3 to 3.5%
– Industrial: Increase in relevant industrial production of 3.5 to 4%
1) at constant currency; 2) before special items; 3) before cash in- and outflows for M&A activities; 4) LVP: global production of passenger cars and light commercial vehicles
The interim statement of Schaeffler AG for the first three months 2022 as well as the detailed press and IR release and the IR presentation will be published as planned on 10 May 2022.
Forward-looking statements and projections
Certain statements in this press release are forward-looking statements. By their nature, forward-looking statements involve a number of risks, uncertainties and assumptions that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements. These risks, uncertainties and assumptions could adversely affect the outcome and financial consequences of the plans and events described herein. No one undertakes any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. You should not place any undue reliance on forward-looking statements which speak only as of the date of this press release. Statements contained in this press release regarding past trends or events should not be taken as representation that such trends or events will continue in the future. The cautionary statements set out above should be considered in connection with any subsequent written or oral forward-looking statements that Schaeffler, or persons acting on its behalf, may issue.
Schaeffler Group – We pioneer motion
As a leading global supplier to the automotive and industrial sectors, the Schaeffler Group has been driving forward groundbreaking inventions and developments in the fields of motion and mobility for over 75 years. With innovative technologies, products, and services in the fields of CO₂-efficient drives, electric mobility, Industry 4.0, digitalization, and renewable energies, the company is a reliability partner for making motion and mobility more efficient, intelligent, and sustainable. The technology company produces precision components and systems for drive train and chassis applications as well as rolling and plain bearing solutions for a multitude of industrial applications. The Schaeffler Group generated sales of approximately EUR 13.9 billion in 2021. With around 83,000 employees, the Schaeffler Group is one of the world’s largest family companies. With more than 1,800 patent applications in 2021, Schaeffler is Germany’s second most innovative company according to the DPMA (German Patent and Trademark Office).
Contact
| Renata Casaro Head of Investor Relations, Schaeffler AG, Herzogenaurach Germany phone +49 9132 82-4440, email: [email protected] |
Dr. Axel Lüdeke Head of Group Communications & Public Affairs, Schaeffler AG, Herzogenaurach Germany phone +49 9132 82-5000, email: [email protected] |
09.05.2022 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG.
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| Language: | English |
| Company: | Schaeffler AG |
| Industriestr. 1-3 | |
| 91074 Herzogenaurach | |
| Germany | |
| Phone: | 09132 – 82 0 |
| E-mail: | [email protected] |
| Internet: | www.schaeffler.com |
| ISIN: | DE000SHA0159 |
| WKN: | SHA015 |
| Indices: | SDAX |
| Listed: | Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange |
| EQS News ID: | 1347547 |
| End of News | DGAP News Service |