Brembo financial results for the first quarter of 2023
Q1 revenues up 12.2% to €961.9 million (+11.6% on a like-for-like exchange rate basis), EBITDA at €168.3 million, net profit at €76.8 million
Compared to Q1 2022:
- Revenues at €961.9 million (+12.2%): +11.6% on a like-for-like exchange rate basis
- EBITDA margin at 17.5% to €168.3 million; EBIT margin at 10.8% to €104.0 million
- Net investments and increases in leased assets at €80.1 million
- Net financial debt at €506.4 million (€329.0 million prior to the application of IFRS 16), up €4.4 million compared to 31 December 2022
Executive Chairman Matteo Tiraboschi stated: “The results of the first quarter of 2023, approved today by the Board of Directors, show a double-digit revenue growth compared to the first quarter of the previous year. All the business segments contributed to this performance, confirming that Brembo is maintaining its technological leading position in the reference market. Within a deeply changing automotive sector, we are investing to consolidate our industrial footprint at global level. In Mexico, the doubling of the production capacity of our Escobedo plant will be completed soon. In China, we will expand the production and research areas of the Nanjing site, while in Poland we are launching a project aimed at building a new, technologically advanced foundry. These three major investments will contribute to our growth and to consolidating our role as a Solution Provider.”
Brembo Strengthens its Global Industrial Footprint
Thanks to overall investments of about €500 million, Brembo is growing globally and increasing its production capacity in three key countries on three continents, namely Mexico, China and Poland, through new plants built with a view to digital transformation and sustainability.
In Mexico, Brembo is completing the expansion of its plant specialising in the manufacturing of brake calipers located in Escobedo, in the Nuevo León State. Once fully operational, the plant will enable to double the Company’s production capacity in the country.
In China, Brembo will expand its brake system manufacturing plant in Nanjing, strengthening its production capacity in the country. The investment also provides for the renewal of the R&D centre within the said site, with the aim of creating an advanced centre supporting the development of the new technologies required by the Chinese market. Works will begin in the second half of 2023 and the project is expected to be completed by the first half of 2025.
In Poland, Brembo decided to build another cast iron foundry in Dąbrowa Górnicza. The investment will create the most innovative Brembo foundry at global level, which will be endowed with cutting-edge technology, also in terms of sustainability. The first pouring of the foundry is expected in the first half of 2025.
These projects are in addition to the already announced acquisition of the Italcementi property at Kilometro Rosso in Stezzano, expected to be finalised by the end of 2023, which will allow Brembo to expand its headquarters in Italy.