Vitesco Technologies Reports First Quarter Results for Fiscal Year 2024

Vitesco Technologies, known for its advanced drive technologies and electrification solutions, announced its financial results for the first quarter of fiscal year 2024. The company revealed quarterly sales of approximately €1.99 billion, a decrease from the previous year's €2.31 billion in the same quarter. However, it managed to improve its adjusted EBIT to €33.0 million up from €30.8 million, with an adjusted EBIT margin of 1.7 percent.

Despite a challenging market environment, the company reported a solid quarter according to CEO Andreas Wolf, attributing the decline in sales to the planned decrease in non-core technologies. Notably, Vitesco Technologies saw a substantial drop in sales from non-core activities, primarily due to the reduction in Contract Manufacturing for Continental.

The company's core business, on the other hand, maintained a robust performance, contributing €1.57 billion to total sales. From an operational perspective, Vitesco Technologies posted a consolidated net income of €22.7 million, marking a significant recovery from a loss of €50.7 million in Q1 2023.

Looking ahead, CEO Andreas Wolf expressed confidence in meeting the annual targets owing to the company's cost discipline and operational improvements. Moreover, the company's focus on electrification remains strong with an order intake of €708 million in the first quarter, approximately 40 percent of which was from electrification business.