SAF-HOLLAND SE, a leading global supplier of trailer and truck components, reported preliminary fiscal year 2025 results showing solid profitability despite challenging market conditions. Group sales declined approximately 8% to around EUR 1,734 million from EUR 1,876.7 million in the previous year, primarily due to significantly reduced demand in original equipment markets across the Americas and APAC regions.
The company's adjusted EBIT margin remained robust at 9.5%, down slightly from 10.1% in 2024, with adjusted EBIT reaching approximately EUR 164 million compared to EUR 190.5 million previously. This performance underscores the importance of diversified business models in volatile markets, as SAF-HOLLAND's more resilient aftermarket business grew to represent 40% of consolidated sales, generating around EUR 689 million and partially offsetting declines in original equipment segments.
From a regional perspective, the EMEA region maintained its position as the largest sales contributor with approximately 51% of group sales, generating around EUR 884 million in revenue. The Americas region, despite a significant 13% sales decline to around EUR 649 million, achieved an impressive 10.8% adjusted EBIT margin. The APAC region faced particular challenges with sales falling 18% to around EUR 201 million but maintained double-digit profitability for the fourth consecutive year.
Alexander Geis, Chairman of the Management Board and CEO, emphasized the company's resilience in a statement: "The 2025 fiscal year was marked by significantly weaker original equipment markets. In this challenging environment, we once again demonstrated the resilience of our business model." The company's strategic focus on cost management, structural adjustments, and increasing the share of cyclically independent aftermarket business proved crucial in maintaining profitability.
Investment activities were disciplined in response to market conditions, with capital expenditures totaling around EUR 52 million, representing 3.0% of group sales. Investments focused on production efficiency improvements, integration of the Gunite product portfolio in the US, and preparations for the new production site in Rowlett, Texas. Frank Lorenz-Dietz, CFO, noted that "our focus was clearly on earnings quality and securing our financial stability" in the challenging environment.
The company's ability to maintain profitability despite market headwinds highlights the importance of operational flexibility and diversified revenue streams in the commercial vehicle components industry. The growing aftermarket segment, now representing 40% of sales compared to 37.9% previously, provides more stable revenue during economic downturns and positions the company for sustainable performance. Further details will be available in the annual report scheduled for publication on March 19, 2026, with additional information accessible at https://www.safholland.com.
