A recovery in most of Brembo's markets boosted profits at the Italian brakes maker in the final quarter of 2020 and the trend is continuing into this year, Executive Deputy Chairman Matteo Tiraboschi said on Thursday.
The company, which makes brakes for automakers including Ferrari and Tesla as well as several Formula One teams, said it was confident about 2021 even despite the ongoing uncertainty due the pandemic, citing its order backlog at the start of the year and production plants running at full capacity.
"But the situation is too liquid, I wouldn't be confident to give a precise forecast for the whole of 2021," Tiraboschi said in a phone interview.
Brembo posted an 18 percent rise in fourth-quarter net profit to 64.8 million euros ($77.94 million).
Revenues increased 4.5 percent to 648.7 million euros, with sales in India and China growing at double-digit rates.
Tiraboschi said a chip shortage which is affecting the global automotive industry, was weighing on Brembo's clients more in the U.S. than in Europe, especially mass market automakers, forcing them to reduce production rates.
"So far the impact has been marginal for us, as we operate at the high-end of the market, and I think it will remain so in the second quarter," Tiraboschi said, adding, however, that this was a problem the industry would have to deal with all through 2021.
The group said it will propose to pay out a dividend over 2020 results of 0.22 euros per share.