Gestamp has reported a year-on-year decline in its first-quarter performance, due to adverse foreign exchange rates in certain markets, as well as lower global light vehicle production volumes.
The Spanish auto components supplier sees low demand remaining in 2026, with an annual reduction of 1.8% of car output to 91.4 million units. The global market contraction is taking place in an environment of rising geopolitical tensions, heightened by the ongoing conflict in the Middle East, according to Gestamp’s latest earnings report, seen by Kallanish.
“The company has continued to face a challenging environment, marked by lower global light vehicle production, cost pressures, and geopolitical and regulatory uncertainties. Against this backdrop, we have remained focused on driving efficiency and flexibility measures to safeguard competitiveness,” says Gestamp executive director Francisco Riberas. “Gestamp remains focused on ensuring a balance between profitability and investment for growth, through a less capital-intensive business profile.”
The company forecasts Ebitda margin above 11.7% and an operating cash flow conversion ratio in the 35% range in 2026.
Gestamp’s Q1 net revenue totalled €2.83 billion ($3.3 billion), down 5% y-o-y. Western Europe had a 36% share with €1.02 billion, down 4% compared to Q1 2025 sales.
The company saw sales in Eastern Europe decline by 2.8% to €494 million, whilst in North America (USMCA) and Asia sales fell by 5.7% and 9.5%, respectively, to €555.3m and €424.2m. Q1 revenue dropped 5.4% in the South American (Mercosur) market to €182.5m.
Ebitda was €303.4m in Q1, 1% up y-o-y.
