German Manager Magazine: Webasto: Automotive supplier announces job cuts after disappointing annual results003172

The automotive supplier Webasto is planning massive job cuts. “A double-digit percentage job cut is probably unavoidable,” said CEO Holger Engelmann (58) on Thursday in Stockdorf near Munich. Webasto currently employs 16,600 people worldwide.

“The annual result for 2023 is disappointing and forces us to act.” Last year, sales increased slightly to 4.6 billion euros. However, operating profit before interest and taxes only reached just under 20 million euros. In order to improve the company’s results and secure the future of Webasto, the company has launched a comprehensive savings program, explained Engelmann.

The board will inform employees about goals and decisions in a few weeks. The family business had already adjusted its capacities, decided on a global hiring freeze in the fall and at the beginning of this year majority separated from its charging solutions business.

Webasto boss Holger Engelmann had been looking for a buyer for the loss-making charging station business for months. In February manager magazin reported that the US private equity company Transom Capital Group entered the business.

Engelmann is more confident in other areas. Webasto is well positioned for electromobility with its traditional business with panoramic and sliding roofs, emphasized the CEO.

However, the general conditions for automotive suppliers have continued to deteriorate: “Significant fluctuations in demand, increased cost pressure, inflationary effects, disruptions in the supply chain and weak development in many markets are reflected in our figures,” said Engelmann. The company is preparing for the fact that many external factors will continue to inhibit its business development.

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