Swiss company Autoneum's revenue rises by 15.1% in H1 FY24

Overall, Autoneum managed to outgrow the market significantly. Compared to the prior-year period, revenue consolidated in Swiss francs rose by CHF 109.8 million ($124.03 million) to CHF 1212.3 million ($1367.35 million). Excluding negative currency translation effects of CHF 56.6 million ($63.84 million), revenue climbed to CHF 1,269.0 million ($1431 million).

In the first half of 2024, automotive industry production volumes were somewhat restrained worldwide and even declined slightly in Europe. While economic conditions in the automotive supply industry have improved to a certain extent since the COVID-19 crisis, high vehicle prices in some markets were putting a damper on demand. Only North America and Asia recorded slight growth compared to the same period of the previous year, the company said in a press release.

Despite the flat market development, Autoneum managed to significantly increase both revenue and profitability before special effects over the prior-year period. This positive development was achieved through the automotive business of traditional German company Borgers, which had been acquired as of April 1, 2023, and thus contributed for the first time to the entire reporting period. At the same time, Autoneum achieved operational improvements worldwide.

EBIT in the first half of 2024 climbed by CHF 20.8 million ($23.46 million) to CHF 65.8 million ($74.21 million) (prior-year period excluding special effects: CHF 45.0 million ($50.76 million)) and the EBIT margin improved accordingly by 1.3 percentage points to 5.4 per cent (prior-year period excluding special effects: 4.1 per cent). This is largely attributable to continuous operational improvements, particularly in Business Group North America. Autoneum achieved a net result of CHF 36.1 million ($40.72 million). This represents a substantial improvement in profitability, since the prior-year period included positive net special effects.

As part of its Level Up One 6–8 strategic programme, Autoneum successfully addressed pressing topics such as inflation compensation, the turnaround in North America and the integration of Borgers Automotive last year. The company has now made considerable progress in all these areas, and in doing so has created a stable foundation for the realignment of its vision and strategy. The newly developed strategy, along with Autoneum’s vision and mission, will be implemented this coming fall under the name Level Up. It will focus on the following six core areas: future-fit product portfolio, innovation, profitable growth, sustainability, people-centric corporate culture and operational excellence.

Fibre2Fashion News Desk (RR)