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Schaeffler AG: Schaeffler announces Mid-term Targets

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Schaeffler AG / Key word(s): Miscellaneous
Schaeffler AG: Schaeffler announces Mid-term Targets

17-Nov-2020 / 18:46 CET/CEST
Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

Schaeffler AG: Schaeffler announces Mid-term Targets


HERZOGENAURACH | 17 November 2020 | Schaeffler AG's (ISIN DE000SHA0159, WKN SHA015) Board of Managing Directors today agreed the following Mid-term Targets up to 2025. The Mid-term Targets are based on a Financial Framework which provides targets for the Schaeffler Group as well as for its three Divisions.


The Mid-term Targets for the three Divisions are as follows:
 

 

The targets for the FX-adjusted sales growth apply on average for the period 2021-2025. The lower end of the respective target ranges for the EBIT margin before special items should be reached in 2023 at the latest. The values regularly published by IHS Markit form the basis for the growth of the Light Vehicle Production. The growth of the global GDP and the growth of the worldwide Industrial Production is determined using data from Oxford Economics.

For the Schaeffler Group the following Mid-term Targets apply until 2025:

 

The lower end of the respective target ranges should be reached in 2023 at the latest.

Furthermore, the Board of Managing Directors of Schaeffler AG has set the following parameters for its capital structure and its dividend policy. The debt leverage of the Schaeffler Group defined as net debt divided by EBITDA before special items shall be 1.2x to 1.7x in the years 2021-2025. The dividend policy remains unchanged. As before, the aim is to distribute 30% - 50% of net income before special items after taxes to the shareholders.

"EBIT", "EBIT margin (before special items)", "EBITDA (before special items), "free cash flow before cash in- and outflows for M&A activities", "average capital employed" and "net income before special items" have the meaning ascribed to them in the annual report 2019 on pages 14f and 30, which may be retrieved under www.schaeffler.com.

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17-Nov-2020 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de

 

Automotive Technologies

Automotive Aftermarket

Industrial

FX-adjusted
sales growth

200-500 basis points above Light Vehicle Production growth



above
global GDP growth

 


above
worldwide Industrial Production growth

EBIT margin before special items

4 - 6%

13 - 15%

12 - 14%

 

Schaeffler Group

 

Return on Capital Employed (ROCE)

12 - 15%

ROCE defined as reported EBIT divided
by average capital employed

Free Cash Flow Conversion

0.3 - 0.5

Free Cash Flow Conversion defined as Free Cash Flow before cash in- and outflows for M&A activities divided by EBIT reported

Renata Casaro,
Head of Investor Relations,
Schaeffler AG, Herzogenaurach, Germany
Phone +49 9132 82-4440,
E-Mail: ir@schaeffler.com
 

Dr. Axel Lüdeke,
Vice President Business and Financial Communications & PR,
Schaeffler AG, Herzogenaurach, Germany
Phone +49 9132 82-5000,
E-Mail: presse@schaeffler.com

 

Automotive Technologies

Automotive Aftermarket

Industrial

FX-adjusted
sales growth

200-500 basis points above Light Vehicle Production growth



above
global GDP growth

 


above
worldwide Industrial Production growth

EBIT margin before special items

4 - 6%

13 - 15%

12 - 14%

 

Schaeffler Group

 

Return on Capital Employed (ROCE)

12 - 15%

ROCE defined as reported EBIT divided
by average capital employed

Free Cash Flow Conversion

0.3 - 0.5

Free Cash Flow Conversion defined as Free Cash Flow before cash in- and outflows for M&A activities divided by EBIT reported

Renata Casaro,
Head of Investor Relations,
Schaeffler AG, Herzogenaurach, Germany
Phone +49 9132 82-4440,
E-Mail: ir@schaeffler.com
 

Dr. Axel Lüdeke,
Vice President Business and Financial Communications & PR,
Schaeffler AG, Herzogenaurach, Germany
Phone +49 9132 82-5000,
E-Mail: presse@schaeffler.com

Language:

English

Company:

Schaeffler AG

Industriestr. 1-3

91074 Herzogenaurach

Germany

Phone:

09132 - 82 0

E-mail:

ir@schaeffler.com

Internet:

www.schaeffler.com

ISIN:

DE000SHA0159

WKN:

SHA015

Indices:

SDAX

Listed:

Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange

EQS News ID:

1148877


 

End of Announcement

DGAP News Service

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