Germany – Commercial vehicle brake and components manufacturer, Knorr-Bremse AG, based in Munich, Germany, has announced a stable set of 2024 financial results with EUR 7.8 billion in revenue compared to 2023 figures of EUR 7.92 billion, a decrease of 4 percent. 2023 sales came in at EUR 8.18 billion, compared to EUR 8.25 billion in 2023 (a difference of -1.6%). With EUR 729 million in free cash flow, the company is in good financial health heading into the year ahead. 

Of the two divisions (CVS and RVS), Knorr-Bremse said the Commercial Vehicle Systems (CVS) Division’s revenues were down 13.9% due to unstable geopolitical and market conditions. 2024 revenues came in at EUR 3.84 billion (2023: EUR 4.18 billion). Order intake was down 14.6% at EUR 3.74 billion (2023: EUR 4.21 billion).

Operational highlights

As part of Knorr-Bremse's Boost 2026 strategy, aimed at optimising its portfolio and focusing more on its core competencies, the company made strategic sales of assets in 2024 including its subsidiary GT Emissions Systems, to Rcapital Partners (a UK-based private equity firm) for an undisclosed fee. GT Emissions Systems, based in Peterlee (UK), produces emission control systems for diesel engines used in both on-highway and off-highway vehicles, including components like exhaust throttle and exhaust gas recirculation valves. The company then sold its steering systems subsidiary, R.H. Sheppard Co Inc (Sheppard) to U.S. investment firm Balmoral RHS Acquisition Corp.

Finally, Knorr Bremse sold a majority stake in Kiepe Electric GmbH, a specialist in electric traction equipment, to Heramba GmbH (of Heramba Holdings Inc). Knorr-Bremse retains 15% equity in the company and has committed to remaining a strategic partner. Heramba will take over all business activities and employees (500 +).

In terms of major investments, the company opened a new manufacturing plant in Dalian in China’s Liaoning province, to increase its share of the local market for commercial vehicle braking systems. The facility covers an area of 40,000 square metres and has an annual production capacity of 1 million air compressors, 1 million dampers and 700,000 disc brakes for commercial vehicles.

2025

The company expects revenues between EUR 8.1 and 8.4 billion and free cash flow between EUR 700 million and EUR 800 million for 2025. The company is looking to restructure the business in 2025 with an anticipated cost of EUR 50 million.

CEO report

Marc Llistosella, Chief Executive Officer of Knorr-Bremse said:

Our good results are thanks to a strong team performance. We proved yet again in 2024 that we can handle crises and attain our ambitious goals. Our Truck Division, which currently has to contend with a difficult market situation worldwide, nevertheless generated a double-digit return, a very strong accomplishment. Our Rail Division is an innovation driver and a mover in the rail sector, and was able to significantly increase its result to an all-time record high. Knorr-Bremse is in a very good position operationally. However, we as the global market leader must not be satisfied with what we have achieved: In 2025, we want to implement the next level of our BOOST strategy program, which clearly focuses on sustainable and profitable growth.