Gestamp, the multinational company specialized in the design, development and manufacture of highly engineered metal components for the automotive industry, has recorded solid Q3 results with an increase in EBITDA and strong free cash flow generation despite continued challenging market conditions.
Performance during Q32020 has been solid across regions with a 7.1 p.p. revenue outperformance of auto production volumes (IHS data in Gestamp's footprint). Revenues during Q3 2020 have reached EUR 2,038m or a 5.3% increase vs. Q3 2019 at constant FX.
EBITDA grew by 10.8% at constant FX in Q3 2020 vs. Q3 2019. Stronger EBITDA than revenue growth has led to margin expansion to 12.0% in Q3 2020 vs. 11.4% in Q3 2019. Strict cost control and execution of the Transformation Plan announced in July despite sales stabilization, led to profitability increase. Efforts have been focused on consolidating reductions in labor and operating expenses across the group, as well as specific actions in line with objectives and timings of the plan.
Net profit reached €28.4m during Q3 2020, similar to Q3 2019 despite higher FX impact and higher outflow of minority interests due to a better performance in those perimeters.
Gestamp Automocion SA published this content on 29 October 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 10 November 2020 10:44:03 UTC