Akwel sales fall amid global automotive business decline

Champfromier, France – French automotive and HGV equipment and systems maker Akwel has registered a year-on-year decline in sales in its latest quarterly figures.

Revenue for the three months to 31 March came in at €263 million, down 4% on the same period last year, and 3.3% lower at constant currency, the group said 2 May.

Akwel linked the decrease to “weak global automotive production at the beginning of 2024, with declines in Europe and limited growth in North America.”

Currency exchange rates had a negative €2-million impact, including €900,000 against the US dollar during the first quarter.

As a result of these developments, Akwel said its Turkish subsidiaries are now consolidated in euros.

The revenue decline was against a strong first quarter of 2023, which Akwel described as “the highest quarter of the previous year for the group.”

In terms of regions, sales in Europe and France saw year-on-year declines of 10.9% (to €69 million) and 4.1% (to €77 million) respectively.

North America, by contrast, posted 4.3% growth to €77.3 million, though sales in South America fell 53% year-on-year to €500,000.

Akwel's Asia and Middle East (including Turkey) region reported a 4.6% year-on-year decline in sales to €39.4 million.

In terms of business activity, 'products and functions' turnover reached €256 million, down 4% year-on-year.

Product lines ‘air intake’ and ‘cooling’ were the only segments to report year-on-year gains, with increases of 17.6% and 1.2% respectively.

Given the performance recorded during the first quarter, Akwel said it was maintaining its anticipation of “stable activity” for the current year.