Valeo's sales for the first half of 2014 were up 7% to EUR6.35bn (US$8.54bn) compared with EUR5.94bn in the first half of 2013. EBITDA for the period was up 11% to EUR740m compared with EUR666m. The net income rose 38% to EUR262m from EUR190m.

Original equipment sales amounted to EUR5.43bn (85% of total sales), up 10% on a like-for-like basis. This performance reflects the gradual entry into production of the high order intake recorded by the group over the last three years.

In the second quarter, 8% like-for-like growth reflects a high prior-period comparison basis due to the upturn in global automotive production as from the second quarter of 2013.

Aftermarket sales (12% of total sales) advanced 3% on a like-for-like basis on the back of continued expansion in Asia and emerging countries and despite unfavourable climatic conditions in Europe adversely affecting the group's business.

Jacques Aschenbroich, Valeo's chief executive officer said: "In the first half of 2014, orders booked by the group totalled EUR9.1bn, up 25% on first-half 2013, once again confirming the group's high organic growth potential. Consolidated sales grew by 10% on a like-for-like basis as did the original equipment segment, which outpaced global automotive production by 7 percentage points. Valeo achieved an operating margin including the share in net earnings of equity-accounted companies of 7.0% of sales. Thanks to the commitment of all our employees, Valeo confirms its ability to achieve an operating margin in excess of 7%."

2014 Outlook:

Based on the following assumptions:

  • Global automotive production up by approximately 3% including an increase in automotive production in
  • Europe of around 2%, and
  • Raw material prices and currencies in line with current levels;

 Valeo has set the following objectives for 2014:

  • Sales growth outperformance in the main production regions,
  • Operating margin slightly higher than 7% of sales.