Regensburg, February 23, 2024. Vitesco Technologies, a leading international provider of modern drive technologies and electrification solutions for sustainable mobility, is today publishing its preliminary results for fiscal year 2023.

CEO Andreas Wolf is satisfied with the results: “Despite global challenges, 2023 was a successful year and provides a solid basis for the upcoming years.”

Profitability and cash flow exceed the company’s expectations

In 2023, Vitesco Technologies increased its consolidated sales to €9.23 billion despite a persistently challenging market environment (2022: €9.07 billion; market consensus: €9.34 billion).

The sales guidance published by the company included a range of €9.2 billion to €9.7 billion. Adjusted for changes in the scope of consolidation and exchange rate effects, sales increased by 4.4 percent. Vitesco Technologies’ core business achieved organic growth of 12.2 percent, compared to the general growth in automotive production of 9.4 percent.

Vitesco Technologies generated sales of around €1.3 billion from electrification components in 2023 (2022: €1.1 billion). Reason for the less significant increase in sales was the softening of demand for electrification components in the market in the fourth quarter of 2023. The numerous project ramp-ups could not compensate for this effect.

Adjusted EBIT amounted to €341.1 million (2022: €225.5 million; market consensus: €307 million). Due to the further improved operating performance, the company’s adjusted EBIT margin of 3.7 percent (2022: 2.5 percent) was much higher than its guided range of 2.9 percent to 3.4 percent and also exceeded expectations (market consensus: 3.3 percent).

Thanks to improved profitability and despite the negative financial impact from the contract manufacturing business, free cash flow amounted to €84.9 million in 2023 (2022: €123.2 million). This was higher than Vitesco Technologies’ own forecast of approximately €50 million and the market consensus of €71 million.

Free cash flow included a cash outflow of €499.8 million (2022: €446.6 million) for capital expenditures on property, plant, and equipment and software (excluding right-of-use assets under IFRS 16). The ratio of capital expenditures to sales was therefore 5.4 percent (2022: 4.9 percent).

Vitesco Technologies’ total order intake in 2023 amounted to more than €12 billion (2022: €14 billion). Roughly €8.3 billion were attributable to electrification components (2022: €10.4 billion).