17-Nov-2020 / 18:46 CET/CEST
Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
HERZOGENAURACH | 17 November 2020 | Schaeffler AG's (ISIN DE000SHA0159, WKN SHA015) Board of Managing Directors today agreed the following Mid-term Targets up to 2025. The Mid-term Targets are based on a Financial Framework which provides targets for the Schaeffler Group as well as for its three Divisions.
The Mid-term Targets for the three Divisions are as follows:
Automotive Technologies
Automotive Aftermarket
Industrial
FX-adjusted
sales growth
200-500 basis points above Light Vehicle Production growth
above
global GDP growth
above
worldwide Industrial Production growth
EBIT margin before special items
4 - 6%
13 - 15%
12 - 14%
The targets for the FX-adjusted sales growth apply on average for the period 2021-2025. The lower end of the respective target ranges for the EBIT margin before special items should be reached in 2023 at the latest. The values regularly published by IHS Markit form the basis for the growth of the Light Vehicle Production. The growth of the global GDP and the growth of the worldwide Industrial Production is determined using data from Oxford Economics.
For the Schaeffler Group the following Mid-term Targets apply until 2025:
Schaeffler Group
Return on Capital Employed (ROCE)
12 - 15%
ROCE defined as reported EBIT divided
by average capital employed
Free Cash Flow Conversion
0.3 - 0.5
Free Cash Flow Conversion defined as Free Cash Flow before cash in- and outflows for M&A activities divided by EBIT reported
The lower end of the respective target ranges should be reached in 2023 at the latest.
Furthermore, the Board of Managing Directors of Schaeffler AG has set the following parameters for its capital structure and its dividend policy. The debt leverage of the Schaeffler Group defined as net debt divided by EBITDA before special items shall be 1.2x to 1.7x in the years 2021-2025. The dividend policy remains unchanged. As before, the aim is to distribute 30% - 50% of net income before special items after taxes to the shareholders.
"EBIT", "EBIT margin (before special items)", "EBITDA (before special items), "free cash flow before cash in- and outflows for M&A activities", "average capital employed" and "net income before special items" have the meaning ascribed to them in the annual report 2019 on pages 14f and 30, which may be retrieved under www.schaeffler.com.
Renata Casaro,
Head of Investor Relations,
Schaeffler AG, Herzogenaurach, Germany
Phone +49 9132 82-4440,
E-Mail: ir@schaeffler.com
Dr. Axel Lüdeke,
Vice President Business and Financial Communications & PR,
Schaeffler AG, Herzogenaurach, Germany
Phone +49 9132 82-5000,
E-Mail: presse@schaeffler.com
17-Nov-2020 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de
Language:
English
Company:
Schaeffler AG
Industriestr. 1-3
91074 Herzogenaurach
Germany
Phone:
09132 - 82 0
E-mail:
ir@schaeffler.com
Internet:
www.schaeffler.com
ISIN:
DE000SHA0159
WKN:
SHA015
Indices:
SDAX
Listed:
Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
Schaeffler AG is a Germany-based company primarily engaged in the manufacture of automotive parts. Its activities are divided into two business segments: Automotive and Industrial. The Automotive segment comprises four subdivisions: Engine Systems, such as rolling bearing solutions, products for belt and chain drives, as well as valve train components; Transmission Systems, torsion and vibration dampers, clutches and double clutch systems, torque converters, bearing solutions and gearshift components; Chassis Systems, such as wheel bearings, steering components and power-assisted steering systems; and Automotive Aftermarket, offering repair service, among others. The Industrial segment is managed based on regions: Europe, Americas, Greater China and Asia/Pacific. The Company is also active in the field of digitalization of production.
SCHAEFFLER AG 
