Despite a challenging global economic environment, Bosch Group remains firmly committed to its Strategy 2030, focused on long-term growth, innovation, and sustainability. The company reported sales of €90.3 billion for 2024, a slight decline of 1.4% year-on-year, or 0.5% when adjusted for exchange-rate effects. Earnings before interest and taxes (EBIT) from operations stood at €3.1 billion, down from €4.8 billion in 2023, reflecting global market pressures and ongoing structural adjustments.
Presenting the annual financials, Stefan Hartung, Chairman of the Board of Management, emphasised the company’s resolve: “Our strategic focus provides the guidance we need in turbulent times. We remain committed to becoming one of the top three players in our core markets by the end of the decade.”
Navigating Headwinds with Strategic Clarity
The company increased sales by 4% in Q1 2025 and aims for an EBIT margin of 7% by 2026, supported by portfolio optimisation, structural cost control, and regionalisation.
Key to this transformation is Bosch’s intensified focus on sustainable and digital technologies, with targeted investments in software-defined mobility, hydrogen engines, energy-efficient HVAC systems, and smart industrial solutions. In 2024, Bosch invested €7.8 billion in R&D (8.6% of sales), alongside €5.1 billion in capital expenditure. Despite reduced EBIT, positive free cash flow of €0.9 billion and a healthy equity ratio of 44.3% underscored Bosch’s financial stability.
Climate Goals: Doubling Down On Scope 3
In a bold sustainability move, Bosch has doubled its CO₂ reduction target for Scope 3 emissions, aiming for a 30% cut by 2030, up from its original 15%. “Climate change won’t pause just because the economy has other challenges,” Hartung said. The company continues to align its innovation and product strategies with this ambition.
Sectoral Snapshot
- Mobility: Sales fell slightly to €55.8 billion, but Bosch pushed ahead with 50 new electromobility projects, innovations in ADAS and cockpit computing, and hydrogen engine development for heavy-duty applications. EBIT margin stood at 3.8%.
- Industrial Technology: Sales declined to €6.4 billion, hit by market slowdowns in construction and machinery. The company is banking on its Hydraulic Hub and factory automation solutions to drive software-based growth in coming years.
- Consumer Goods: Saw modest growth of 1.6% to €20.3 billion, boosted by expansion in cordless power tools and home appliances adopting the Matter connectivity standard.
- Energy & Building Technology: Revenue dropped to €7.5 billion, largely due to European heating market contraction. However, the upcoming acquisition of Johnson Controls-Hitachi HVAC operations is expected to significantly strengthen this vertical, particularly in North America and India.
Regional Performance
Bosch’s European operations saw a 4.9% decline in revenue, but growth returned in the Americas (+4.8%) and Asia Pacific (+0.7%), underlining the strength of its global footprint. The company’s regionalisation strategy is centred on staying close to customers and localising key production and development efforts.
Outlook 2025: Growth Despite Uncertainty
While Bosch anticipates modest global economic growth of 2.25–2.75% in 2025, it projects organic sales growth of 1–3%, with improved margins driven by efficiency, innovation, and strategic acquisitions. If the Johnson Controls-Hitachi deal closes mid-year, Bosch estimates an additional 1–2 percentage points in sales growth for 2025.
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