Champfromier, France – Automotive and heavy vehicles parts supplier Akwel has seen a ‘significant decline’ in third quarter sales, amid ongoing ‘tensions of raw materials and electronic components’.
Sales for the quarter ended 30 Sept fell 19.3% to €211 million, as volumes remained at ‘low levels’ for the global automotive industry, said Akwel in a 10 Nov financial statement.
Nevertheless, business during September was above the low points seen in May and June, said the supplier of automotive fluid management systems.
Over the first nine months of the year, sales were up 7.7% at €699 million, due in part to lower base of comparison last year.
Third quarter revenue for products & functions, including air intake pipes, was down 17.2%, according to Akwel.
Other segments including oil, fuel, cooling as well as mechanisms (for opening and closing doors) achieved double-digit growth.
The washing product line, which supplies a range of parts including tanks and sprinklers, posted “a significant decline.”
On the outlook for the full year, Akwel said visibility on production volumes in the global automotive industry was “still extremely poor.”
“Given the trends in October, the target of a rise in annual revenue remains a lofty goal that is increasingly difficult to achieve,” the company added.
In this context, Akwel said it will continue to prepare for its long-term growth by strengthening sales and investing in new mobility solutions.