Schaeffler (SHA0) Pre-close call summary

Executive summary

• Q2 2026 sales remained flat year-over-year at €5.92 billion, with marginal negative FX-adjusted growth; EBIT before special items to be higher than Q2 2025, nearing the midpoint of full-year guidance of 3.5%-5.5%.

• EBIT margin improved to 3.5%, approaching the midpoint of full-year guidance.

• Free cash flow was moderately negative in Q2 due to restructuring and integration cash outs, but full-year guidance remains on track.

• Two divisions are trending at the upper end of full-year guidance, one at the midpoint, and one approaching the lower end; group margin remains within the EBIT range despite a volatile market.

Trading performance and revenue trends

• E-Mobility saw high single-digit FX-adjusted sales growth, supported by a one-off in the U.S.; sales reached €1.24 billion with a -15.6% EBIT margin, reflecting China challenges and US strength.

• Powertrain & Chassis achieved €2.22 billion in sales and a 10.3% EBIT margin, with robust US market performance and mid-single-digit negative FX-adjusted growth due to China and phase-outs.

• Vehicle Lifetime Solutions posted €808 million in sales and a 14.0% EBIT margin, with stable demand in Europe and Americas and positive trends in China and Asia Pacific.

• Bearings & Industrial Solutions reported €1.61 billion in sales and a 5.5% EBIT margin, with flat year-over-year sales and support from aerospace bearings.

Profitability and margins

• Group EBIT margin rose to 3.5% in Q2 2026, higher year-over-year and within guidance.

• E-Mobility EBIT margin improved year-over-year, within the full-year guidance range of -15% to -13%, partially driven by a one-off.

• Powertrain & Chassis margin approached the midpoint of the 10%-12% guidance range, despite a negative one-off effect.

• Vehicle Lifetime Solutions EBIT margin expected to be strong, above prior year and within the 13.5%-15.5% guidance range.

• Bearings & Industrial Solutions margin is higher than prior year, around the upper end of the 7%-9% guidance range, reflecting successful structural measures.