AKWEL has just announced a net income of €13.6 million for the first half of 2025, reflecting a significant 32.9% drop compared to the same period last year. The automotive parts and systems manufacturer, based in Champfromier, is grappling with challenging market conditions and ongoing customer disputes.
In its latest financial report, AKWEL revealed a consolidated turnover of €510.6 million, down 3.4% from €528.8 million in 2024. The company experienced a dramatic decline in EBITDA, which plummeted by 86.8% to just €6.5 million. This downturn is largely attributed to a dispute over SCR tanks, leading to an external costs impact of €52.5 million.
Despite these setbacks, AKWEL demonstrated resilience by controlling salary costs and enhancing operational performance across its factories. The company has also successfully postponed the production shutdown of SCR tanks to 2026, allowing it to maintain strategic partnerships with key customers.
The Group reported a current operating income rise to €27.8 million, improving its current operating margin to 5.4%, up from 4.6% in 2024. However, total operating income fell to €26.8 million, a drop of 7.4% from the prior year, highlighting the challenges faced in the current automotive market.
AKWEL’s net cash position, including lease liabilities, stood at €139.2 million as of June 30, 2025, an increase from €133.4 million at the end of 2024. The company continues to prioritize its strategic goals, focusing on developing its electric vehicle product potential and optimizing operational efficiencies.
Looking ahead, AKWEL’s Annual General Meeting is scheduled for September 30, 2025, with the dividend payment for the 2024 financial year set for October 7, 2025. As a family-owned business traded on Euronext Paris, AKWEL operates in 20 countries and employs 8,600 people globally, emphasizing its commitment to innovation and sustainability in the automotive sector.
As developments unfold, stakeholders will be closely monitoring AKWEL’s next moves in navigating this tumultuous landscape. The company’s ability to adapt and respond to ongoing challenges will be crucial in the months ahead.
