Schaeffler's Electric Mobility: A Robust & Growing Segment
E-Mobility Continues to Grow Steadily, According to Schaeffler - Electrified Mobility Progressing According to Schaeffler
Shining bright in the automotive world, Schaeffler's Q1 2025 financial results boast a whopping 16.5% increase in net profit and a 14.1% surge in revenue from operations, reaching an impressive ₹265.41 crore and ₹2,110 crore respectively. Fueling this expansion is the growth in leading-edge automotive technologies, such as vehicle lifetime solutions and bearings, with both domestic and international business segments thriving.
The company's leadership characterizes the outlook as bullish, pointing to four consecutive quarters of double-digit year-on-year growth and enhanced financial and operational metrics. The burgeoning electric mobility market, a cornerstone of this success, is projected to continue its robust expansion, driven by the accelerating adoption of electric vehicles (EVs) globally and in developing economies.
Electric mobility, a core aspect of Schaeffler's business, is projected to see substantial growth, supported by the rising demand for advanced bearing solutions, critical for improving the efficiency of EVs. This trend is set to persist, with original equipment manufacturers (OEMs) seeking high-performance, efficiency-focused bearings for EVs.
Through the recent acquisition of Vitesco Technologies, Schaeffler's footprint has expanded significantly in electrification technologies, including electric driveline components and power electronics. This move underpins Schaeffler's ambitions in the rapidly evolving EV market but also introduces new regional dependencies and customer relationships, leading to a higher dependence on the Chinese market. Schaeffler manages this increased exposure to the Chinese automotive sector, navigating geopolitical tensions and tariff risks efficiently.
However, post-acquisition, a downturn in the Chinese automotive sector or further trade restrictions could present challenges for Schaeffler's electric mobility business. To counterbalance these risks, the company's diversified operations and operational efficiency lessen the impact of any single market, mitigating the risks associated with China.
In a nutshell:
- Electric Mobility Segment Outlook: Anticipated to stay robust due to continued global EV adoption and Schaeffler's internal advancements[1][2][3].
- Impact of Vitesco Acquisition: Expands Schaeffler's reach in electric mobility but increases exposure to the Chinese market[4].
- Risk Management: Schaeffler's diversified operations and operational efficiency help manage risks, making the impact of China's fluctuations more manageable[4].
[1] Auto Evolution (2022, April 22). New Models Inspire Growth At Schaeffler. Retrieved from Autoevolution.com
[2] Autocar India (2022, May 05). Schaeffler reports net profit rise despite pandemic impact. Retrieved from Autocarindia.com
[3] Frost & Sullivan (2021, June 09). Bearings Market Overview. Retrieved from Frost.com
[4] Schaeffler (2025). Annual Report. Retrieved from Schaeffler.com
- The growth in Schaeffler's electric mobility segment is anticipated to be driven by continued global EV adoption and the company's internal advancements in this field.
- The acquisition of Vitesco Technologies has expanded Schaeffler's reach in electric mobility, but it also heightens the company's dependence on the Chinese market, which could potentially present challenges.
