Thanks to its strategic plan and the boost from the acquisition of Japanese company Clarion, Faurecia expects to achieve record sales, profits and cash income by 2022.
According to foreign media reports, Faurecia expects to achieve record sales, profits and cash income by 2022, thanks to its strategic plan and the boost from the acquisition of Japanese company Clarion.
The supplier expects that its average annual sales growth rate from 2019 to 2022 will exceed 5%, and sales in 2022 will reach more than 20.5 billion euros ($ 22.6 billion). Faurecia said that the company's operating profit will increase to 8% in 2022 and 7% in 2019. Affected by this news, Faurecia's share price rose 2.6% in early trading.
The company's CEO, Patrick Koller, said that their new business group, Faurecia Clarion Electronics, "is a powerful driver of the company's future cockpit business and has a strong roadmap for profitable growth."
In October 2018, Faurecia announced the acquisition of Japanese company Clarion. In March 2019, Clarion officially became a wholly-owned subsidiary of Faurecia. In April this year, Faurecia announced the establishment of the fourth largest business unit, Faurecia Clarion Automotive Electronics, headquartered in Saitama Prefecture, Japan. The newly established unit integrates all the businesses of Japan's Clarion Company, as well as the previously acquired Parrot Motors and Jiangxi Good Helper Electronic Technology Co., Ltd.
Koller also said that the company's investment in fuel cell electric vehicles will accelerate the implementation of its zero-emissions strategy and that the company will benefit from the rapid development of electrification of powertrains.
Koller said: "We will have record sales, profit margins and cash income in 2022. In the long term, we are currently preparing for the next major change and achieving carbon neutrality by 2030 . "
PSA Group owns 46% of Faurecia. Faurecia is ranked 9th on the Automotive News Global Top 100 Suppliers list. The company's sales to the automotive business in 2018 were $ 20.67 billion.