Bosch reports 3.6% revenue growth amid mobility sector challenges

Bosch reported a 3.6% increase in revenue for the first half of the year, reaching 46.4 billion euros. This growth was largely driven by the Energy and Building Technology sector, which saw a 45.9% increase following the acquisition of heating, ventilation, and air conditioning (HVAC) businesses from Johnson Controls and Hitachi.

Despite the revenue rise, the company's operating profit (EBIT) fell slightly from 2.3 billion euros to 2.2 billion euros, with the EBIT margin dropping from 5.1% to 4.6%. This decline was attributed to special effects in the Mobility division, including 270 million euros in write-downs on production facilities related to electromobility.

The Mobility division's operating result dropped by 18.75% to 1.3 billion euros due to stagnant global vehicle production and a slow transition to electric vehicles. Consequently, Bosch is continuing its restructuring efforts, which include significant job cuts; the company aims to reduce its workforce by 22,000 positions between 2025 and 2030, primarily within the German mobility sector.

To increase financial flexibility, Bosch also announced plans to issue bonds more frequently throughout the year rather than relying on a single annual window. Despite economic uncertainties, the company confirmed its full-year revenue and profit forecasts.