Skip to main content
Sister Publication Links
  • Automotive News
  • Automobilwoche
  • Automotive News Canada
  • Automotive News China
Subscribe
  • Subscribe
  • Newsletters
  • Login
  • HOME
    • Latest news
    • Automakers
    • Suppliers
    • New Product
    • Environment/Emissions
    • Sales By Market
    • On The Move
    • Auto Shows
    • Munich Auto Show
    • Geneva Auto Show
    • Paris Auto Show
    • Beijing Auto Show
    • Shanghai Auto Show
  • Features
    • Long Read
    • Interview of the Month
    • Focus on Electrification
    • Focus on Technology
    • Segment Analysis
    • Cars & Concepts
    • Supplier Spotlight
    • Europe By The Numbers
  • Opinion
    • Blogs
    • Commentary
    • Guest columnists
  • Photos
    • Photo Galleries
    • Geneva Photo Gallery
    • Beijing Photo Gallery
    • Frankfurt Photo Gallery
    • Paris Photo Gallery
    • Shanghai Photo Gallery
  • Europe By The Numbers
  • Car Cutaways
  • Resource Center
  • EVENTS
    • ANE Congress
    • ANE Rising Stars
    • ANE Eurostars
  • More
    • Publishing Partners
    • Social Media
    • Contact Us
    • Media Kit
    • About Us
    • Capgemini: All or nothing: Why circular business models require a holistic approach
    • Capgemini: Invent Head on automotive takeaways from CES 2023
    • Capgemini: Securing the industry's future through a radical rethink
    • Capgemini: Succeeding with the automated driving journey through AI
    • Capgemini: The circular economy is spurring new thinking on EV batteries
    • Capgemini: Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
    • HEXAGON: Plugging into data is the only way to make winning EVs
    • PUBLICIS SAPIENT: The power of post-purchase: How automakers can maximize customer lifetime value
    • TOYOTA EUROPE: Toyota Motor Europe's next-gen C-HR: sensory innovations revealed by Vehicle UX leader
    • TUV Rheinland: Ideas, services and certifications for smart mobility
    • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
    • Toyota Europe
    • UFI Filters
    • SENSEAUTO: Driving the future of mobility with SenseAuto: The AGI power behind the wheel
    • Facebook
    • Instagram
    • LinkedIn
    • Twitter
MENU
Breadcrumb
  1. Home
  2. Suppliers
March 17, 2022 10:44 AM

ZF forecasts modest growth in 2022, citing Ukraine war, inflation and COVID-19

ZF Friedrichshafen expects to grow only modestly in 2022, with uncertainty around the war in Ukraine, inflation and materials costs, and the continuing pandemic.

Peter Sigal
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    ZF Friedrichshafen tempered expectations for 2022, saying growth will be "moderate" because of rising inflation, supply chain bottlenecks tied to the war in Ukraine and the continuing COVID-19 pandemic.

    The supplier reported that sales last year grew by 18 percent to 38.3 billion euros ($42.2 billion).

    Adjusted earnings before interest and taxes (EBIT) was 1.9 billion euros, compared with 1 billion euros in 2020. Adjusted EBIT margin was 5 percent versus 3.2 percent in 2020.

    Adjusted free cash flow was 991 million euros, compared with 994 million euros in 2020.

    "Despite the arrival of strong headwinds during the course of the year, we have remained firmly on course and achieved the targets we set at the start of the year," said CEO Wolf-Henning Scheider, who announced that he would be stepping down at the start of 2023.

    Related Article
    ZF CEO Scheider to step down early next year

    ZF is not publicly listed. The Zeppelin Foundation, which is administered by the city of Friedrichshafen, controls 94 percent of the company’s shares.

    It ranks third on the Automotive News list of top 100 global suppliers, with sales to automakers of $33.4 billion in 2020.

    ZF is forecasting sales of 40 billion euros in 2022, with an adjusted EBIT margin of 4.5 to 5.5 percent. Free cash flow is predicted to be 1.5 billion to 2 billion euros.

    "Business conditions remain highly challenging and volatile," it said.

    ZF said the semiconductor shortage cost the company about 2.7 billion euros in sales due to lost auto production.

    ZF’s competitors have also issued warnings about 2022.

    Continental sees a margin of 5.5 percent to 6.5 percent, but said the effects of the war in Ukraine remained unclear, and that it expects a rise in procurement and logistics costs of 2.3 billion euros.

    The largest global supplier, Robert Bosch, which is also not a publicly traded company, said last month that the semiconductor shortage and raw-materials cost increases would weigh heavily on automakers in 2022.

    By region, ZF's European sales were up 13 percent to 17.3 billion euros; North American sales increased 19 percent to 10.2 billion euros; and Asia-Pacific sales were up 9 percent to 9.4 billion euros.

    Looking farther ahead, Scheider said ZF was well positioned to take advantage of trends such as electrification and connectivity. 

    The supplier is also reallocating its business away from passenger cars, with 73 percent of revenues in 2021 coming from the sector compared with 80 percent in 2019. Commercial vehicles made up 18 percent of revenues in 2021, an increase from 12 percent in 2019.

    RECOMMENDED FOR YOU
    Renault adds 'smart' sunroof to new Scenic E-Tech, Rafale
    Recommended for You
    Renault Scenic sunroof alt
    Renault adds 'smart' sunroof to new Scenic E-Tech, Rafale
    ZF-MAIN.jpg
    Mercedes production continues in Alabama despite UAW strike against ZF axle plant
    Marelli sign
    Marelli to shut Italy plant over falling gasoline engine business
    Dr. Kai Yu, Founder and CEO of Horizon Robotics
    Sponsored Content: Interview with Dr. Yu Kai, Founder and CEO of Horizon Robotics
    Sign up for free newsletters
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Get Free Newsletters

    Sign up and get the best of Automotive News Europe delivered straight to your email inbox, free of charge. Choose your news – we will deliver.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    SUBSCRIBE TODAY

    Get 24/7 access to in-depth, authoritative coverage of the auto industry from a global team of reporters and editors covering the news that’s vital to your business.

    SUBSCRIBE NOW
    Connect with Us
    • Twitter
    • Facebook
    • LinkedIn
    • Instagram

    Founded in 1996, Automotive News Europe is the preferred information source for decision-makers and opinion leaders operating in Europe.

    Contact Us

    1155 Gratiot Avenue
    Detroit MI  48207-2997
    Tel: +1 877-812-1584

    Email Us

    ISSN 2643-6590 (print)
    ISSN 2643-6604 (online)

     

    Resources
    • About us
    • Contact Us
    • Advertise with us
    • Advertise with Us
    • Ad Choices
    • Sitemap
    Awards
    • Rising Stars
    • Eurostars
    • Leading Women
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Automotive News Europe
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • HOME
      • Latest news
      • Automakers
      • Suppliers
      • New Product
      • Environment/Emissions
      • Sales By Market
      • On The Move
      • Auto Shows
        • Munich Auto Show
        • Geneva Auto Show
        • Paris Auto Show
        • Beijing Auto Show
        • Shanghai Auto Show
    • Features
      • Long Read
      • Interview of the Month
      • Focus on Electrification
      • Focus on Technology
      • Segment Analysis
      • Cars & Concepts
      • Supplier Spotlight
      • Europe By The Numbers
    • Opinion
      • Blogs
      • Commentary
      • Guest columnists
    • Photos
      • Photo Galleries
      • Geneva Photo Gallery
      • Beijing Photo Gallery
      • Frankfurt Photo Gallery
      • Paris Photo Gallery
      • Shanghai Photo Gallery
    • Europe By The Numbers
    • Car Cutaways
    • Resource Center
    • EVENTS
      • ANE Congress
      • ANE Rising Stars
      • ANE Eurostars
    • More
      • Publishing Partners
        • Capgemini: All or nothing: Why circular business models require a holistic approach
        • Capgemini: Invent Head on automotive takeaways from CES 2023
        • Capgemini: Securing the industry's future through a radical rethink
        • Capgemini: Succeeding with the automated driving journey through AI
        • Capgemini: The circular economy is spurring new thinking on EV batteries
        • Capgemini: Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
        • HEXAGON: Plugging into data is the only way to make winning EVs
        • PUBLICIS SAPIENT: The power of post-purchase: How automakers can maximize customer lifetime value
        • TOYOTA EUROPE: Toyota Motor Europe's next-gen C-HR: sensory innovations revealed by Vehicle UX leader
        • TUV Rheinland: Ideas, services and certifications for smart mobility
        • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
        • Toyota Europe
        • UFI Filters
        • SENSEAUTO: Driving the future of mobility with SenseAuto: The AGI power behind the wheel
      • Social Media
        • Facebook
        • Instagram
        • LinkedIn
        • Twitter
      • Contact Us
      • Media Kit
      • About Us