Strong Organic Growth and Profitability in RVS
RVS posted strong organic growth and increased profitability quarter-over-quarter through the BOOST program. The division's acquisition of duagon is expected to expand its offerings and enhance synergies.
Slight Margin Expansion in CVS
Despite challenges in the North American truck market, the CVS segment achieved a slight margin expansion through cost and efficiency measures and a resilient aftermarket business.
Improved EBIT Margin
Operating EBIT margin improved by 100 basis points year-over-year, with a reported margin of 13.3%, marking the best profitability within the last 16 quarters.
Successful Duagon Acquisition
The acquisition of Duagon is expected to enhance Knorr-Bremse's RVS segment and unlock synergies in electronics, supporting growth in Railway Electronics and Signaling technology units.
Strong Free Cash Flow
Free cash flow in Q3 amounted to EUR 159 million, converting into more than 100%, with a 104% cash conversion rate.