Schaeffler reports record sales and earnings in 2011

Schaeffler Group has reported record 2011 sales of 10.7 billion euros and a 12 per cent increase in pre-tax profits to 1.7 billion euros. It is the first time in the company’s history that sales topped the 10 billion euro mark. Schaeffler Group directly owns a 49.9 per cent stake in Continental AG.

Commenting at the press conference where the news was announced, Schaeffler AG CEO Dr Juergen Geissinger said: “Following our success in 2010, we were able to further improve our earnings across the board in 2011. That demonstrates the dedicated commitment of our employees around the world. Our wide range of components and systems for the automotive and the industrial sectors puts us in a very good strategic position as a globally oriented company.”

This development was driven by all regions and divisions. The fastest growing region, Asia/Pacific, generated revenue growth of 18 percent, followed by Europe excluding Germany with 14 percent, North America with 12 percent and Germany with 11 percent. Sales at our two divisions Automotive and Industrial grew considerably faster than their respective markets in 2011. Automotive division sales increased by 13 per cent to approximately 7.2 billion euros. The Industrial division grew by 15 percent to approximately 3.5 billion euros.

With EBIT rising 12 per cent from the 2010 figure to roughly 1.7 billion euros in 2011, the company was able to maintain its prior year EBIT margin reporting 15.8 per cent for 2011. Net income totalled 889 million euros in 2011, including 324 million euros from the investment in Continental AG.

“The trend we noted at the beginning of the second half of 2011 has continued. We are currently seeing demand in the European markets weaken. Globally, however, our business is continuing to show a positive trend. Following a moderate start, we are currently expecting global economic growth to gain momentum during the course of 2012,” Dr. Geissinger stated, adding: “We are anticipating particularly North America, but also China, India, and Russia providing impetus for growth. Based on these forecasts, we are currently aiming for sales growth of more than five per cent and an EBIT margin of more than 13 per cent in 2012. These targets mean our growth will continue to outpace that of our core markets.”