AKWEL Records 7.3 Pct Revenue Drop In 2024

KUALA LUMPUR, Feb 7 (Bernama) -- AKWEL posted a consolidated revenue of 989.0 million euros for fiscal year 2024, marking a 7.3 per cent decrease from 1.0664 billion euros, the previous year. (1 euro = RM4.59)

The last quarter of 2024 confirms the trend observed in the previous quarters, with revenue down 13.5 per cent to 231.2 million euros, according to a statement.

For the full year, revenues at constant scope and exchange rates fell by 7.0 per cent, despite a positive foreign exchange impact of 2.2 million euros.

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The geographical revenue distribution highlights that France continues to perform significantly worse compared to the rest of the world.

AKWEL’s product lines also saw a general downturn, though Cooling (1.3 per cent) and Air ( 2.6 per cent) remained nearly stable, while Decontamination (24.4 per cent) experienced the largest decrease, given the winding down of Selective Catalytic Reduction (SCR) tanks production, scheduled to end in 2025.

The company’s consolidated net cash, excluding lease liabilities, amounted to 145 million euros on Dec 31, 2024, an increase of 4.5 million euros from Sept 30, with 10.8 million euros of investments made this quarter.

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Despite this, the overall decline in activity is expected to result in a decrease of approximately two points in the current operating margin for the group.

Looking ahead, AKWEL anticipates a similar decline in activity for 2025, driven by the ongoing challenges in the global automotive market and the uncertainty surrounding the mix of electric, hybrid, and internal combustion engine vehicles.

AKWEL is a parts and systems manufacturer for the automotive and heavy-vehicle industry, and a specialist in fluid management, mechanisms and structural parts for electric vehicles.

-- BERNAMA