Global technology leader doubles down on innovation and sustainability targets while navigating challenging economic conditions and increasing competition from Asia
08 May 2025 | 1785 Views | By Angitha Suresh
The Bosch Group is forging ahead with its ambitious Strategy 2030 despite facing significant market headwinds in 2024, as the technology giant reported a 1.4 percent decline in sales revenue to 90.3 billion euros. The company saw its EBIT (earnings before interest and taxes) from operations drop to 3.1 billion ...
This is an Autocar Pro Plus article. Subscribe to continue reading.
The Bosch Group is forging ahead with its ambitious Strategy 2030 despite facing significant market headwinds in 2024, as the technology giant reported a 1.4 percent decline in sales revenue to 90.3 billion euros. The company saw its EBIT (earnings before interest and taxes) from operations drop to 3.1 billion euros, resulting in an EBIT margin of 3.5 percent, down from 5.3 percent in the previous year.
Despite these challenges, Bosch achieved a 4 percent year-on-year sales increase in the first quarter of 2025 and remains committed to its target margin of 7 percent by 2026, though company leadership acknowledges this as an extremely challenging goal given global market conditions.
"In the 2024 business year, we achieved important improvements in terms of costs, structures, and portfolio. We are sticking to our ambitious targets in order to continue to grow and strengthen our financial independence," said Stefan Hartung, chairman of the board of management of Robert Bosch GmbH. "Our Strategy 2030 gives us the orientation we need, especially in times of global turbulence, to become one of the top three providers in our core markets in five years' time at the latest."
The strategy is reflected in Bosch's financial targets, with the company aiming to achieve annual growth between 6 and 8 percent on average until 2030, assuming normal inflation rates between 2 and 3 percent.
To boost innovation, Bosch announced a new venture capital fund of 250 million euros through its subsidiary Bosch Ventures. The company registered more than 6,700 patents last year, solidifying its position among the world's 100 most innovative companies according to analysts Clarivate.
Bosch also underscored its commitment to sustainability by announcing new CO2 reduction goals. The company plans to double its scope 3 emission reduction target from 15 percent to 30 percent by 2030 compared to 2018 levels. "Climate change won't disappear just because the global economy currently has other challenges to deal with," Hartung emphasized.
For 2025, Bosch anticipates modest growth in the global economy of 2¼ to 2¾ percent and is aiming for organic sales revenue growth between 1 and 3 percent. The company expects a significant improvement in EBIT margin compared to 2024, even as it continues substantial investments in future technologies.
The planned acquisition of parts of Johnson Controls and Hitachi's HVAC business, expected to be completed by mid-2025, could add one to two percentage points to total sales this year, with full consolidation occurring in 2026.
Across business sectors, Bosch sees growth opportunities in electromobility, hydrogen technology, software-defined vehicles, and the expansion of its heating and air-conditioning business. The company's Consumer Goods sector is focusing on cordless devices and connected home appliances, while Industrial Technology pursues software and services revenue targets of 1 billion euros by early next decade.
Regional performance varied in 2024, with sales revenue declining by 4.9 percent in Europe while growing by 4.8 percent in the Americas and 0.7 percent in Asia Pacific. Overall headcount fell by 2.7 percent to 417,859 employees worldwide, with the company projecting continued workforce reductions, particularly in Germany and Europe.
Founded in 1886, the Bosch Group has established itself as a global leader in technology and services across mobility, industrial technology, consumer goods, and energy and building technology sectors. The company's special ownership structure, with 94 percent of shares held by Robert Bosch Stiftung GmbH, a charitable foundation, allows for long-term planning and significant investments in future technologies.