Schaeffler Ag · XETR:SHA0

Schaeffler — Schaeffler Ag Ord — Q4 2024 Earnings Presentation

35 slides from Schaeffler's earnings presentation, Mar 5, 2025

  1. Slide 1: Q4 and FY 2024 Schaeffler AG earnings

    Q4 and FY 2024 Schaeffler AG earnings March 5, 2025 Herzogenaurach Copyright Schaeffler AG, 2025 – Alle Rechte vorbehalten. |

  2. Slide 2: Disclaimer

    Disclaimer This presentation contains forward-looking statements. The words “anticipate”, “assume”, “believe”, “estimate”, “expect”, “intend”, “may”, “plan”, “project”, “should” and similar expressions are used to identify forward-looking statements. Forward-looking statements are statements that ar

  3. Slide 3: Overview

    1 1 Overview Overview 2 2 Business Highlights Q4 and FY 2024 Business Highlights Q4 and FY 2024 3 3 Financial Results Q4 and FY 2024 Financial Results Q4 and FY 2024 4 4 Outlook Outlook

  4. Slide 4: Mixed performance in 2024, Guidance for FY 2025 indicating another challenging year

    1 OVERVIEW Schaeffler Group – Mixed performance in 2024, Guidance for FY 2025 indicating another challenging year Key messages FY 2024 Sales growth1 FY EBIT margin2 FY 1 FY Sales1 +12.9% – Strong growth driven by full consolidation of Vitesco; VLS growing double-digit1 12.9% 4.5% 2 FY EBIT margin2 4

  5. Slide 5: Schaeffler Group FY 2024 – Highlights and lowlights

    1 OVERVIEW Schaeffler Group FY 2024 – Highlights and lowlights Resilient performance in ATech Challenging market environment Robust earnings in a challenging environment Soft EV markets, especially in Europe; weakness in many industrial sectors Very strong earnings in VLS VLS with outstanding growth

  6. Slide 6: Business Highlights Q4 and FY 2024

    1 1 Overview Overview 2 2 Business Highlights Q4 and FY 2024 Business Highlights Q4 and FY 2024 3 3 Financial Results Q4 and FY 2024 Financial Results Q4 and FY 2024 4 4 Outlook Outlook

  7. Slide 7: Automotive Technologies – Flat sales development, resilient EBIT margin

    2 BUSINESS HIGHLIGHTS Q4 AND FY 2024 Automotive Technologies – Flat sales development1, resilient EBIT margin3 Key Aspects Sales EBIT3 in EUR mn in EUR mn Slight outperformance in FY 24 -0.1%1 -45 mn driven by double-digit growth1 in E-Mobility 339 7,035 6,955 294 Resilient EBIT margin3 due to -1.0%

  8. Slide 8: Automotive Technologies – E-Mobility order intake of EUR 4.7 bn in 2024

    2 BUSINESS HIGHLIGHTS Q4 AND FY 2024 Automotive Technologies – E-Mobility order intake of EUR 4.7 bn in 2024, foundation business with strong Q4 Vitesco OI 2024: EUR 8.2 bn, thereof EUR 4.8 bn in Division Electrification Order intake (Schaeffler stand-alone)1,2 Key aspects in EUR bn Thereof 3.2 5.0

  9. Slide 9: Vehicle Lifetime Solutions – Outstanding sales growth, strong EBIT margin

    2 BUSINESS HIGHLIGHTS Q4 AND FY 2024 Vehicle Lifetime Solutions – Outstanding sales growth1, strong EBIT margin3 Key Aspects Sales EBIT3 +16.9%1 Double-digit sales growth1 in all in EUR mn in EUR mn +99 mn regions, mainly volume-related 2,579 427 2,241 Independent Aftermarket +19.8%1 328 business in

  10. Slide 10: Vehicle Lifetime Solutions – First successful launch of Vitesco product

    2 BUSINESS HIGHLIGHTS Q4 AND FY 2024 Vehicle Lifetime Solutions – First successful launch of Vitesco product for Schaeffler Independent Aftermarket Key Aspects • Fully electric coolant pump for main engine as new product solution in Thermal Management • First launch for US-market (BMW applications)

  11. Slide 11: Bearings & Industrial Solutions – Sales decline, EBIT margin below expectations

    2 BUSINESS HIGHLIGHTS Q4 AND FY 2024 Bearings & Industrial Solutions – Sales1 decline, EBIT margin3 below expectations Key Aspects Sales EBIT3 in EUR mn in EUR mn -254 mn Lower FY Sales1 due to ongoing -4.5%1 weak market environment in Europe, as well as structural 527 challenges in Industrial Great

  12. Slide 12: Bearings & Industrial Solutions – Orderbook Industrial showing a stabilizing trend

    2 BUSINESS HIGHLIGHTS Q4 AND FY 2024 Bearings & Industrial Solutions – Orderbook Industrial showing a stabilizing trend Orderbook Industrial 3-month1, 2 Orderbook 3M1 Sales2 Highly integrated bearing unit for turbofan engines yoy growth % 40 w/o • Increased performance Automotive Bearings • Reduced

  13. Slide 13: Financial Results Q4 and FY 2024

    1 1 Overview Overview 2 2 Business Highlights Q4 and FY 2024 Business Highlights Q4 and FY 2024 3 3 Financial Results Q4 and FY 2024 Financial Results Q4 and FY 2024 4 4 Outlook Outlook

  14. Slide 14: Sales – Full consolidation of Vitesco driving significant growth

    3 FINANCIAL RESULTS Q4 AND FY 2024 Sales – Full consolidation of Vitesco driving significant growth Values in [ ] Schaeffler stand-alone Sales +47.3%1 Key Aspects in EUR mn +49.2%2 5,955 • ATech: -1.0% growth2 in Q4, double-digit growth in E-Mobility • VLS: +19.8% growth2 in Q4, all regions growing

  15. Slide 15: Gross Profit – Full consolidation of Vitesco is dilutive to Gross Margin

    3 FINANCIAL RESULTS Q4 AND FY 2024 Gross Profit – Full consolidation of Vitesco is dilutive to Gross Margin Gross Profit Q4 2023 vs. Q4 2024 Key Aspects in EUR mn • Pricing: Negative pricing in ATech and B&IS • Volume: Positive volume effects in VLS +177 1,004 • Mix: Higher share of more profitable

  16. Slide 16: EBIT margin – Lower due to negative developments in B&IS and Others

    3 FINANCIAL RESULTS Q4 AND FY 2024 EBIT margin1 – Lower EBIT margin1 due to negative developments in B&IS and Others Key Aspects EBIT1 Q4 2023 vs. Q4 2024 in EUR mn • ATech: EBIT margin1 higher yoy mainly driven by productivity gains in production • VLS: Strong EBIT margin1 driven by positive volume

  17. Slide 17: Net Income – Significantly below PY

    3 FINANCIAL RESULTS Q4 AND FY 2024 Net Income1 – Significantly below PY due to lower EBIT, higher taxes and provisions for structural measures Net income1 Key Aspects in EUR mn -775 mn • Provisions for structural measures EUR 488 mn • Impairment of deferred tax assets in Germany EUR 352 mn 150 231 1

  18. Slide 18: Free Cash Flow – Strong FCF despite integration and financing costs

    3 FINANCIAL RESULTS Q4 AND FY 2024 Free Cash Flow – Strong FCF despite integration and financing costs Free Cash Flow before M&A1 in EUR mn Reconciliation Q4 2024 in EUR mn +56 mn +365 +460 266 266 182 210 188 103 75 -70 -311 -66 -112 -73 EBITDA ∆ Net Capex Net Interest Taxes Others FCF Q4 2024 Work

  19. Slide 19: Leverage ratio at 2.5x LTM EBITDA bsi

    3 FINANCIAL RESULTS Q4 AND FY 2024 Leverage ratio at 2.5x LTM EBITDA bsi – Still distorted due to missing EBITDA (3 quarters) from Vitesco Net financial debt and Leverage ratio1 Key Aspects in EUR mn 4,920 4,812 4,834 4,613 • Gross debt higher yoy notably due to bond issuance for the financing of th

  20. Slide 20: Outlook

    1 1 Overview Overview 2 2 Business Highlights Q4 and FY 2024 Business Highlights Q4 and FY 2024 3 3 Financial Results Q4 and FY 2024 Financial Results Q4 and FY 2024 4 4 Outlook Outlook

  21. Slide 21: Reporting structure going forward – 4 divisions plus Others

    4 OUTLOOK Schaeffler reporting structure going forward – 4 divisions plus Others From Jan 1st, 2025 Vitesco activities allocated to new segments 1 2 3 4 Divisions Powertrain & Vehicle Lifetime Bearings & E-Mobility Others Chassis Solutions Industrial Solutions Business Engine & Repair & Selected Sta

  22. Slide 22: Guidance FY 2025 – Provided on Group and divisional level

    4 OUTLOOK Guidance FY 2025 – Provided on Group and divisional level, uncertainties remain high Key aspects Annual Report 20241 Capital Markets Communication5 • Xxx • Xxx Group Group E-Mob PTC • xxx VLS B&IS Guidance Guidance Guidance Guidance Guidance Guidance FY 25 FY 25 FY 25 FY 25 FY 25 FY 25 Con

  23. Slide 23: Synergy potential EUR 600 mn p.a. in 2029 – Performance improvement program

    4 OUTLOOK Synergy potential EUR 600 mn p.a. in 2029 – Additional performance improvement program EUR 215 mn p.a. ∆ EBIT 815 Key aspects in EUR mn 290 215 • Synergy potential of EUR 600 mn p.a., realized at 100% in 75 600 2029, one-off costs of EUR 665 mn1 525 • Performance improvement program with s

  24. Slide 24: Our next chapter – Financial calendar and IR events 2025

    4 OUTLOOK Our next chapter – Creating the leading Motion Technology Company Financial calendar and selected IR events 2025 Mar 6 Analyst Breakfast and JPM Roadshow – London Apr 1/2 Hanover Fair Investor Booth Tours – Hanover Apr 24 AGM May 7 Q1 2025 Earnings Release May 19/20 BNP EV and Mobility Con

  25. Slide 25: Thank you

    Thank you Investor Relations Contact Phone +49 9132 82-4440 Email ir@schaeffler.com Web www.schaeffler.com/ir Copyright Schaeffler AG, 2025 – Alle Rechte vorbehalten. |

  26. Slide 26: Backup

    Copyright Schaeffler AG, 2025 – Alle Rechte vorbehalten. |

  27. Slide 27: Ancillary comments 2025 – Additional KPIs and parameter

    BACKUP Ancillary comments 2025 – Additional KPIs and parameter Additional KPIs FY 2025 Comments Reinvestment Rate Around 1.0 Focus on investments in new business and innovation & technology Restructuring cash-out incl. integration costs Around EUR 350 mn Significant portion due to structural measure

  28. Slide 28: Market assumptions

    BACKUP Market assumptions Global LVP1 2025 Global LV Parc3 Industrial Production4 89.4 89.0 4.8% 4.6% World World 1.7% 1.2% 2.6% 1.9% 21.4 22.2 21.6 24.3 0.8% 0.4% Q1 Q2 Q3 Q4 2024 2025e Europe Americas Greater China Asia/Pacific Europe Americas Greater China Asia/Pacific S&P FY 2024e 2025e FY 2025e

  29. Slide 29: Automotive Technologies – Slight outperformance, EBIT margin resilient

    BACKUP Automotive Technologies – Slight outperformance, EBIT margin2 resilient Values Schaeffler stand-alone Sales by business division yoy growth EBIT2 FY 2023 vs. FY 2024 in EUR mn in EUR mn FY 2023 FY 2024 ∆1 +91 E-Mobility 1,302 1,452 +12.6% Engine & Transmission 5,263 5,054 -2.9% 339 -27 Chassi

  30. Slide 30: Vehicle Lifetime Solutions – Strong growth in all regions

    BACKUP Vehicle Lifetime Solutions – Strong growth1 in all regions, EBIT margin5 clearly above PY Values Schaeffler stand-alone Sales by region yoy growth EBIT5 FY 2023 vs. FY 2024 in EUR mn in EUR mn FY 2023 FY 2024 ∆1 Europe 1,485 1,717 +14.2% +202 Americas 478 527 +22.3% -3 +3 Greater China 139 17

  31. Slide 31: Bearings & Industrial Solutions – Negative growth in Europe and China

    BACKUP Bearings & Industrial Solutions – Negative growth1 in Europe and China, EBIT margin2 below PY Values Schaeffler stand-alone Sales by region yoy growth EBIT2 FY 2023 vs. FY 2024 in EUR mn in EUR mn FY 2023 FY 2024 ∆1 Europe 3,043 2,742 -9.7% 527 Americas 1,372 1,388 +3.0% Greater China 1,510 1

  32. Slide 32: Key figures by division

    BACKUP Key figures by division Automotive Technologies in EUR mn Bearings & Industrial Solutions in EUR mn Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Sales 1,778 1,730 1,748 1,780 1,770 1,764 1,678 1,743 Sales 1,787 1,769 1,714 1,690 1,677 1,690 1

  33. Slide 33: Capital allocation – Prioritization of capex for growth business

    BACKUP Capital allocation – Differentiated steering, prioritization of capex for growth business Investment1 allocation Key Aspects in EUR mn FY 2023 Q4 2023 Q4 2024 FY 2024 • Reinvestment Rate Target: Continued prioritization of growth business with a reinvestment rate clearly > 1.0 ATech 443 156 1

  34. Slide 34: Working capital ratio 20.7% – FY capex ratio 5.3%

    BACKUP Working capital ratio 20.7% – FY capex ratio 5.3% Working capital1 Capex2 +731 mn in EUR mn in EUR mn +38 mn 3,771 3,318 3,413 3,402 311 3,233 3,175 3,219 3,040 273 247 221 222 227 198 195 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2023 2023 2023 2023 2024 2024 2024 2024 2023 2023 2023 2

  35. Slide 35: Overview corporate and financing structure

    BACKUP Overview corporate and financing structure Financing structure IHO Verwaltungs GmbH as of December 31, 2024 A Corporate structure (simplified) as of December 31, 2024 Debt instrument Nominal Nominal Interest Maturity Rating USD mn EUR1 mn Fitch/Moody’s/S&P Loans RCF (EUR 1,000 mn) - 320 E+4.2

Schaeffler Ag Ord — Q4 2024 Earnings Presentation on 6ix