Results for the First Quarter of 2021
Brembo’s Board of Directors chaired by Alberto Bombassei examined and approved the Group’s quarterly results at 31 March 2021.
In the first quarter of 2021, net consolidated revenues amounted to €675.1 million, up 17.2% (+20.9% on a like-for-like exchange rate basis) compared to the first quarter of the previous year.
On a like-for-like exchange rate and consolidation basis, as a result of the inclusion into the consolidation scope of the Danish company SBS Friction, acquired effective 1 January 2021 — the increase was 20.2%.
Compared to the first quarter of 2019 — a more homogeneous comparison in light of the effects of the Covid-19 pandemic — revenues for the first quarter of 2021 grew by 1.2%.
In the reporting quarter, all segments in which the Group operates reported growth: the car segment rose by 13.1%, motorbike applications by 40.5% (+33.4% on a like-for-like consolidation basis), applications for commercial vehicles by 31.6% and those for racing vehicles by 3.3% compared to the same quarter of 2020.
At geographical level, sales increased by 20.9% in Italy, by 6.1% in Germany, by 27.6% in France and by 6.2% in the United Kingdom (+8.0% on a like-for-like exchange rate basis).
India grew by 31.2% (+44.3% on a like-for-like exchange rate basis), China by 97.4% (+100.9% on a like-for-like exchange rate basis; +39.6% compared to the first quarter of 2019) and Japan by 20.0% (+20.9% on a like-for-like exchange rate basis). The North American market (USA, Mexico and Canada) rose by 5.9% (+14.4% on a like-for-like exchange rate basis), whereas the South American market (Brazil and Argentina) declined by 21.1%, but with a 3.3% increase on a like-for-like exchange rate basis.
In the first quarter of 2021, the cost of sales and other net operating costs amounted to €419.7 million, with a 62.2% ratio to sales, down slightly in percentage terms compared to €364.7 million (63.3% of sales) for the same period of the previous year.
Personnel expenses amounted to €123.9 million, with an 18.4% ratio to sales, decreasing compared to the same period of the previous year (19.2% of sales). At 31 March 2021, workforce numbered 11,408 (of which 98 from the newly acquired SBS Friction), compared to 11,039 at 31 December 2020 and 11,022 at 31 March 2020.
EBITDA for Q1 2021 amounted to €135.6 million (EBITDA margin: 20.1%), compared to €102.0 million for Q1 2020 (EBITDA margin: 17.7%). EBIT was €83.7 million (EBIT margin: 12.4%) compared to €50.3 million (EBIT margin: 8.7%) for Q1 2020.
Net interest expense for the quarter amounted to €2.7 million (€7.8 million in Q1 2020); this item includes interest expense amounting to €2.8 million (€2.9 million in Q1 2020) and net exchange gains of €0.1 million (net exchange losses of €4.9 million in Q1 2020).
Pre-tax profit was €81.1 million (12.0% of sales) compared to €42.5 million (7.4% of sales) for Q1 2020.
Based on the tax rates applicable under current tax regulations in force in each country, estimated taxes amounted to €19.5 million (€13.0 million in Q1 2020), with a tax rate of 24.0% compared to 30.5% for the same period of 2020.
The period ended with a net profit of €61.4 million (9.1% of sales) compared to €29.8 million for the same period of the previous year.
Net financial debt at 31 March 2021 amounted to €438.9 million, up by €54.2 million compared to 31 December 2020. Without the impact of IFRS 16, net financial debt would have been €229.2 million, up €53.4 million compared to 31 December 2020.