Car parts maker Brose positive about future business

German auto parts supplier Brose Group said it is positive about the sector's future despite the ongoing COVID-19 pandemic and the sweeping chip shortages across the auto industry.

Brose estimated its revenue would stand at 5.3 billion euros ($5.99 billion) by the end of 2021, which will be below the budgeted figures, but said it recorded the highest order intake in its history in the past year.

The company said it expects its growth to average 20 percent year-on-year from 2022 to 2024 and will return to profitability in the same period.

The company said it will invest more than 1.3 billion euros over the next three years in new manufacturing facilities as well as administrative and production buildings.

Its joint venture with Volkswagen AG, Brose Sitech, will be launched at the beginning of 2022, which is to establish itself as a leading supplier of seating systems and interior solutions.

Brose expects the joint venture to increase its sales and employment. "As a result, Brose is planning to increase its business volume to 7.4 billion euros in 2022 and to 9.2 billion euros in 2024," said the company.

The number of employees worldwide is expected to grow from 24,500 at present to over 30,000 in the next three years, including Brose Sitech.

It said it will recruit new employees in manufacturing in Eastern Europe, North America, and China. In Germany, new jobs are being created in the future-oriented fields of IT, software and electronics, Brose said.