Finance
Car parts supplier Forvia expects 2026 sales decline
Published by Global Banking & Finance Review®
Posted on February 24, 2026
1 min readLast updated: February 24, 2026
Tags:Automotive industry
Quick Summary
Forvia expects 2026 sales to dip to €20–21bn but sees its operating margin improving to 6–6.5%. Guidance reflects softer demand across regions and assumes 92.8m light vehicles produced worldwide.
Feb 24 (Reuters) - France-based car parts supplier Forvia expects its sales to fall in 2026, reflecting declines across all major regions where it operates.
Forvia, which supplies parts to Stellantis, Volkswagen and Ford, forecast lower annual sales of between 20 billion and 21 billion euros ($24 billion and 25 billion), but sees a higher operating margin of between 6% and 6.5% in 2026.
The outlook is based on the estimated worldwide automotive production of 92.8 million light vehicles this year, Forvia said in its earnings statement.
The group also expects a decline in sales to 21-22 billion euros by 2028 including potential divestitures and an operating margin of at least 7.0% of sales.
Forvia is now in advanced negotiations with several parties to divest its interiors business, as part of an ongoing push to trim its portfolio, it said.
It expects to reduce its leverage ratio so that its net debt will be 1.2 times EBITDA by 2028 from 1.7 times in 2025.
($1 = 0.8497 euros)
(Reporting by Mathias de Rozario in Gdansk and Gilles Guillaume in Paris, editing by Milla Nissi-Prussak and Matt Scuffham)
Key Takeaways
- •Forvia forecasts 2026 sales of €20–21 billion, indicating a year-on-year decline.
- •Despite lower revenue, the company targets a higher operating margin of 6%–6.5% in 2026.
- •Management cites broad-based slowdowns across all major regions it operates in.
- •The outlook assumes 92.8 million light vehicles produced globally in 2026.
- •Forvia supplies major automakers including Stellantis, Volkswagen and Ford.
Frequently Asked Questions about Car parts supplier Forvia expects 2026 sales decline
1What is the main topic?
Forvia issued 2026 guidance calling for lower sales of €20–21 billion but a higher operating margin of 6%–6.5%, reflecting a weaker demand backdrop and ongoing efficiency measures.
2Why does Forvia expect margins to rise while sales fall?
Management points to cost controls, efficiency programs and business mix improvements, which are expected to support operating margin expansion despite softer revenue.
3What assumptions underpin the 2026 outlook?
Forvia’s view is based on estimated global production of 92.8 million light vehicles in 2026 and continued demand softness across its key regions.
