During its Investor Day presentation held today in Paris, Faurecia has presented its strategy and its growth and profitability objectives. Faurecia is now aiming at exceeding global automotive production growth by 3-4 percentage points a year and €20 billion sales by 2015, an increase of 25% compared with the 2011 estimate.
Faurecia has also confirmed that its profitability targets will be reached by 2014 with an operating margin of 5-6%, a return on capital employed (ROCE) pre-tax in excess of 25% and a net debt / EBITDA ratio below 0.5.
To perform at this level, the Group relies on:
- A portfolio of contracts under development representing product sales of approximately €34 billion over the lifetime of the contracts, i.e. more than 2.7 times the estimated product sales for 2011;
- Continued fast expansion in Asia, mainly in China and Korea;
- Solid growth prospects in North America thanks to a favorable customer mix and recognized expertise in premium products and global program management;
- A technology leadership in emissions control, in weight reduction as well as in vehicle interior enrichment;
- The same pattern of organic growth in its four key Business Groups.
Yann Delabrière, Chairman and CEO of Faurecia, explained that the Group's strategic development would be based on:
- Four key business groups: Automotive Seating, Interior Systems, Emissions Control Technologies and Exterior Systems, each positioned among the world top three in its market;
- A high level of operational performance resulting from its worldwide production footprint and a competitive cost structure;
- The continuous development of global programs and international vehicle platforms;
- Technological capabilities and innovations developed by a worldwide engineering network, already extensive and reinforced in Europe, and now being extended to China and India.
Yann Delabrière has also wished to thanks all the teams and Group associates for the progresses accomplished in the past years that allow the Group to sustain a rapid growth and to be a world class player of the automobile industry.