Last week in Paris, Valeo set out new targets for revenue and profitability . Barring any extrinsic economic events affecting the industry as a whole,
Valeo now expect sales of about €14bn in 2015, with an operating margin rate of more than 7%. The French-based supplier are ahead of their 2013 targets set one year ago, which included about €10bn in sales, an operating margin rate of 6 to 7 percent, and a return on capital employed of over 30 percent. Valeo, based in part on their record €12.5bn worth of orders taken last year, seek to outperform whole-automobile production rates by an average 3 percent per year from now until 2015. Expansion in Asia and other emerging markets is expected to drive this level of performance, as is the development and release of innovative products—particularly those meant to reduce CO2 emissions. Valeo have asserted their intent, in accord with boosted sales and revenue, to play an active role in any potential industry consolidation, while maintaining financial discipline aimed at restoring their investment grade rating.
