Akwel reports ‘more pessimistic outlook’ for 2026

Champfromier, France – Automotive and heavy vehicle parts maker Akwel anticipates a double-digit decline in 2026 revenue as major automotive programmes are delayed or cancelled across Europe and the US.

The French group posted lower sales in the third quarter, citing currency effects as one of the factors weighing on performance.

Consolidated revenue fell 3.9% year-on-year to €220.1 million, down 2% at constant scope and exchange rates. 

Akwel noted that currency movements, particularly in the US dollar, had a negative impact of €4.4 million during the quarter.

Over the first nine months of 2025, consolidated revenue fell 3.6% year-on-year to €757 million, Akwel reported 6 Nov.

During the period, revenue in Europe, Middle East and Africa fell 1.6% year-on-year to €491 million, while the Americas saw a 6.7% drop in sales to €215 million.

Asia reported a 13.6% decline in sales to €24.6 million.

In terms of segments, revenue for the ‘products and functions’ division fell 1.4% year-on-year to €712.6 million over the first three quarters.

Within the division, cooling, decontamination, fuel, and oil product lines posted year-on-year increases of 1.6%, 7.0%, 5.1% and 5.7%, respectively.

Other product lines, including ‘air’, mechanisms, and control, remained in decline, posting decreases of 19.1%, 4.7% and 5.5%, respectively.

The ‘tools’ division recorded revenue of €11.0 million.

When publishing its half-year results earlier this year, Akwel indicated that it anticipated a decline in activity for 2025 that was less severe than that of the previous year.

This, it noted, was supported by the postponement to 2026 of the production shutdown of SCR tanks. (ERJ report)

However, at the nine-month mark, Akwel said its business prospects for the coming year are “more pessimistic”.

“Having concluded its budgetary process, the group now anticipates a double-digit decline in its consolidated revenue for 2026,” said Akwel, linking the forecast largely to an “expected decrease” in volumes of SCR tanks.

This, Akwel said, is further compounded by an unfavourable outlook across all product lines: the cancellation, postponement or significantly delayed commencement of several programmes related to the production of electric vehicles both in Europe and in the US.

Additionally, it said, there is “a lesser impact” from the discontinuation of some fluid and mechanism programmes for vehicles with internal combustion engines – particularly diesel vehicles – as well as difficulties encountered with hydrogen engines.

Beyond the ongoing and planned transition of its decontamination activity, in 2026 Akwel said it expects to face “the high inertia and uncertainties encountered by most vehicle and parts manufacturers.”

These include “depressed markets and slow progress in electric vehicle development – particularly in mature economies – restrictive and/or unclear customs practices, pressure from Chinese competitors, and the need to adapt and control costs in a context of constrained volumes.”