EQS-News: SAF-HOLLAND posts solid results despite challenging market environment

SAF-HOLLAND posts solid results despite challenging market environment

• Group sales amount to EUR 1,308.8 million (previous year: EUR 1,452.5 million)
• Adjusted EBIT margin of 9.3% achieved
• Net income for the period impacted by unrealized foreign currency effects as of the reporting date

Bessenbach, November 13, 2025. SAF-HOLLAND SE ("SAF-HOLLAND"), one of the world's leading suppliers of trailer and truck components, closed the first nine months of 2025 with solid results in a market environment characterized by a variety of geopolitical and trade policy uncertainties, once again demonstrating the resilience of its business model.

Sales share of the less cyclical aftermarket business reaches 39.8% (previous year: 37.6%)

The Company generated Group sales of EUR 1,308.8 million in the first nine months of 2025 (previous year: EUR 1,452.5 million). The 9.9% sales decline is primarily attributable to weaker original equipment business in all three regions due to market conditions. The sales contribution of the customer segment Original Equipment Trailer fell by 11.7% to EUR 629.0 million (previous year: EUR 712.0 million). This corresponds to a share of 48.1% of Group sales (previous year: 49.0%). The sales contribution of the customer segment Original Equipment Trucks fell by 17.8% to EUR 159.1 million (previous year: EUR 193.6 million), strongly influenced by the US tariff policy, and corresponds to 12.1% of Group sales (previous year: 13.4%). By comparison, the aftermarket business, which is more resilient to economic cycles, recorded only a 4.8% sales decline to EUR 520.7 million (previous year: EUR 546.8 million). The corresponding sales share increased from 37.6% to 39.8% due to the smaller sales decline.

In organic terms – i.e. excluding the impact of exchange rate and acquisition effects –Group sales declined by 9.7% or EUR 141.0 million in the first nine months of 2025.

In the third quarter of 2025, the Company generated Group sales of EUR 417.2 million (previous year: EUR 439.9 million). In organic terms, this represents a decline of 2.5% or EUR 11.0 million.

The persistently challenging market environment in the first nine months of 2025 also had an impact on the distribution of Group sales by region. With sales of EUR 658.7 million (previous year: EUR 680.1 million) and a share of 50.3% (previous year: 46.8%), the EMEA region remains the Company's strongest region in terms of sales. The Americas region accounted for 38.3% of sales (previous year: 40.3%) or EUR 501.5 million (previous year: EUR 585.7 million). The APAC region generated sales of EUR 148.6 million (previous year: EUR 186.6 million), accounting for 11.4% (previous year: 12.9%) of Group sales.

Adjusted EBIT margin of 9.3% achieved

Due to lower sales in the first nine months of 2025, SAF-HOLLAND achieved an adjusted EBIT of EUR 121.1 million (previous year: EUR 146.1 million). This corresponds to an adjusted EBIT margin of 9.3% (previous year: 10.1%). Despite strict cost management and the continued realization of synergies, the lower margin contribution of the original equipment business could not be fully offset by the more resilient aftermarket business. The reduced margin also reflects additional purchasing costs in the high single-digit million-euro range in connection with the US tariff policy, which were already significantly offset by price increases in the third quarter.

In the period from July to September 2025, adjusted EBIT amounted to EUR 38.1 million (previous year: EUR 43.3 million) and the adjusted EBIT margin was 9.1% (previous year: 9.8%). The margin decline is primarily attributable to the declining original equipment business.

Net income for the period impacted by unrealized foreign currency effects as of the reporting date

SAF-HOLLAND achieved net income of EUR 37.9 million (previous year: EUR 60.2 million) in the first nine months of 2025, with a Group tax rate of 35.8% (previous year: 33.9%). In addition to the lower operating result, the significant deviation from the previous year is attributable to a comparatively high foreign currency exposure to the financial result. In the first nine months of 2025, the balance of unrealized, non-cash exchange rate gains and losses as of the reporting date valuation of intercompany foreign currency loans amounted to EUR -14.5 million (previous year: EUR -7.3 million) and is primarily attributable to the exchange rate development of the US Dollar against the euro. The Company has taken measures which, together with the development of exchange rates, have already neutralized further potential foreign currency exposure in the third quarter of 2025.

The net income of the period attributable to the shareholders of the parent company also amounted to EUR 37.9 million (previous year: EUR 59.6 million). Based on an unchanged number of shares of 45.4 million compared to the previous year, earnings per share for the first nine months of 2025 amounted to EUR 0.84 (previous year: EUR 1.31).

Adjusted net income for the period after minority interests, which was adjusted for special items outside SAF-HOLLAND's ordinary business activities, amounted to EUR 60.3 million, down 26.1% from the previous year's figure of EUR 81.6 million. Adjusted earnings per share amounted to EUR 1.33 (previous year: EUR 1.80).

Free operating cash flow in the third quarter of 2025 almost at the previous year's level

SAF-HOLLAND recorded a significant improvement in free operating cash flow in the third quarter of 2025, at EUR 38.5 million, compared to the subdued performance in the second quarter of 2025 (EUR +0.9 million), almost reaching the previous year's level of EUR 42.4 million. For the period from January to September 2025, this resulted in a total of EUR 47.6 million (previous year: EUR 86.7 million).

Outlook for fiscal year 2025 adjusted

The business environment for SAF-HOLLAND in the important North American truck market has continued to deteriorate in recent months. The main reason for this was the ongoing uncertainty resulting from the US tariff policy, which led to a noticeable reluctance to buy. The expected market recovery in the APAC region is less positive than anticipated. Here, the reluctance of customers with end users in the US is having a negative impact on the business in India and Southeast Asia, particularly Vietnam and Thailand. By contrast, demand in the Indian domestic market for trailers has developed moderately positively in recent months. In the European trailer market, the positive order momentum seen in the second quarter has not continued. In addition, negative currency effects continue to weigh on the sales development.

On November 3, 2025, the Management Board of SAF-HOLLAND SE therefore adjusted its sales forecast for fiscal year 2025 based on the updated forecast and now expects Group sales of between EUR 1,700 million and EUR 1,750 million (previously: approximately EUR 1,800 million).

Expectations regarding the adjusted EBIT margin of around 9.3% and the investment ratio of up to 3.0% of Group sales remain unchanged.

Alexander Geis, Chairman of the Management Board and Chief Executive Officer of SAF-HOLLAND SE, comments: "Against the backdrop of a continuing challenging market environment and subdued expectations for order intake in the coming months, we are working very consistently to simplify the structures in the administrative and sales areas in order to make them more efficient. To this end, we initiated an efficiency improvement program for indirect areas in the third quarter of 2025, which will already have a positive impact on our operating performance in the coming year."

Key financial figures for the first nine months and third quarter 2025

Contact:

Dana Unger      

VP Investor Relations, Corporate & ESG Communications

Tel: +49 6095 301 949

dana.unger@safholland.de

Alexander Pöschl 

Senior Manager Investor Relations, Corporate & ESG Communications

Tel: +49 6095 301 117

alexander.poeschl@safholland.de

About SAF-HOLLAND

SAF-HOLLAND SE is a leading international manufacturer of chassis-related assemblies and components for trailers, trucks and buses. An average of around 5,700 dedicated employees worldwide generated sales of EUR 1,877 million in 2024.

The product range includes axle and suspension systems for trailers as well as fifth wheels and coupling systems for trucks, trailers, and semi-trailers as well as brake and EBS systems. In addition, SAF-HOLLAND also develops innovative products to increase the efficiency, safety, and environmental friendliness of commercial vehicles. With the brands SAF, Holland, Haldex, Assali Stefen, KLL, Neway, Tecma, V.Orlandi and York, the Group achieved strong market positions in the top three positions in the most important regions worldwide in 2024.

SAF-HOLLAND supplies manufacturers in the original equipment market on six continents. In the aftermarket business, the company supplies spare parts to manufacturers’ service networks and wholesalers as well as to end customers and service centers via an extensive global distribution network.

SAF-HOLLAND SE is listed in the Prime Standard of the Frankfurt Stock Exchange and is included in the SDAX (ISIN: DE000SAFH001). Further information is available at www.safholland.com.