Schaeffler (SHA0) Q1 2026 earnings summary

Executive summary

• Q1 2026 saw 1.0% FX-adjusted sales growth year-over-year, with E-Mobility leading growth and other divisions showing mixed results.

• EBIT margin before special items improved to 5.0% from 4.7% year-over-year.

• Free cash flow before M&A was negative at EUR -209 million, reflecting seasonal factors and restructuring payments.

• Net income attributable to shareholders was EUR 60 million, with EPS of EUR 0.06, down from EUR 0.09 in Q1 2025.

• Full-year 2026 outlook confirmed, targeting revenue of EUR 22.5–24.5 billion and EBIT margin before special items of 3.5–5.5%.

Financial highlights

• Revenue for Q1 2026 was EUR 5,764 million, up 1.0% at constant currency from EUR 5,924 million in Q1 2025.

• EBIT before special items was EUR 285 million, up from EUR 276 million year-over-year.

• Gross margin stable at 21.6% (Q1 2025: 21.7%).

• Free cash flow before M&A was EUR -209 million (prior year: EUR -155 million).

• Net financial debt stood at EUR 5,143 million as of March 31, 2026, up from EUR 4,915 million at year-end 2025.

Outlook and guidance

• Revenue for 2026 expected in the range of EUR 22.5–24.5 billion, representing -4.3% to 4.3% constant-currency growth.

• EBIT margin before special items forecasted at 3.5–5.5% for the full year.

• Free cash flow before M&A activities projected at EUR 100–300 million.

• Management confirmed the outlook despite macroeconomic and geopolitical uncertainties, including the Middle East conflict.

• Global light vehicle production forecast to decline by 1.8% in 2026; industrial production expected to grow by 2.5–3.0%.