(AOF) – OPmobility (formerly Plastic Omnium) inaugurates its new module assembly plant in Austin (Texas) to respond to a historic order from a major American player in electric mobility. Built in just six months, this factory has already produced 100,000 modules since its start-up in September. It is expected to quickly become the group’s largest factory in terms of turnover. The Austin site, with an annual assembly capacity of 2.5 million modules, will have more than 400 employees in 2025.
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Key points
– 27th “tier 1” automotive supplier born in 1946, world number 1 in body parts, fuel systems and modularization;
– Turnover of €9.5 billion achieved mainly in Europe (48%), ahead of North America (29%), China (12%) and the rest of Asia (8%);
– “PO Way” business model: independence, self-financing capacity, investments to capture market growth, innovation, integration of employees;
– Capital controlled 59.4% by the founding Burelle family and welcoming the French state (1.54%), Laurent Brunelle being chairman of the board and Laurent Favre general manager;
– Controlled balance sheet with a debt to equity ratio of 86%, a leverage effect of 1.9 compared to €2.3 billion in liquidity and €289 million in free self-financing.
Challenges
– 2030 strategy “Driving a new generation of mobility” for the 4 branches: – financial objectives, recorded, of €11.5 billion in revenue in 2025 and +€15 billion in 2030,
– IES (intelligent exterior systems), world leader in bumpers and tailgates: strengthening positions in North America (12% by 2025 vs. 9.9%) and in China (26%), as well as in the electric vehicle sector (30% vs. 8% of revenues),
– Lightning 1, new lighting division: target of €1.5 billion in revenue in 2027, via an increased presence in Asia and North America,
– HPBO, world leader in block modules: double-digit growth in sales in North America and Asia,
– CES, world number 1 in tanks and depollution systems: market share increased to 21% in 2030 vs. 21% in fuel systems and launch of an offer of electrical energy storage and management solutions with 1 billion € of income in 2030,
– New Energies, new hydrogen activity of hydrogen tanks and fuel cells: objective of €300 million in revenue in 2025 and €3 billion in 2030, with a market share of 25% in storage and 10 to 15% in batteries, via an annual investment of €100 million,
– Offensive innovation strategy based on 47 R&D centers, boosted by its innovation ecosystem and its investments via the APVentures and Aster funds;
– “Act for climate” environmental strategy of carbon neutrality of activities in 2025 and of the entire value chain in 2050, via reduced energy consumption, eco-design of lightweight and more aerodynamic parts (5 to 17% of ZEV in revenues 2025) and waste recycling;
– Launch of OP’n Soft, an embedded software solutions entity bringing together the group’s expertise (40% of the value of new vehicles linked to software);
Challenges
– Continued outperformance compared to a declining global market;
– Still strong dependence of sales on Volkswagen, Stellantis and Daimler;
– Continued increase in profitability of the lighting business;
– OMEGA transformation plan in response to inflation, customer production shutdowns and semiconductor shortages;
– Control of industrial projects in France, China and the United States in response to requests for modules, pollution control systems, hydrogen tanks and electric vehicle cockpits.
Negotiations with manufacturers
On average, equipment manufacturers represent between 60 to 85% of the manufacturing cost price of a vehicle. According to the Federation of Vehicle Equipment Industries (Fiev) negotiations are very tense with manufacturers regarding the passing on of the increase in costs. The price increases concern electronic components, raw materials, such as steel, nickel, lithium or palladium, energy and transport. The equipment manufacturers mainly negotiate with Stellantis and Renault to set up indices to pass on the increases. They are also betting on innovation, differentiation, moving upmarket and internationalization.