LISI GROUP - Integrated report 2022

AIMING FOR EXCELLENCE 2024-2025. These figures make it possible to measure the speed at which manufacturers and the entire value chain are operating the switch. Of course, this commercial dynamism is a great source of satisfaction for our teams and in particular for our plant at Delle, in France, which thus secures €10M of contracts for the production of battery tray fastening systems, i.e. more, for this site, than the existing activity dedicated to fasteners for combustion engines. What developments can we expect in 2023? The transition to zero-emission vehicles should maintain its momentum and encourage innovation efforts. However, several constraints will continue to weigh on the markets, including inflation. In 2022, we managed to pass through just over 85% of the additional material costs after the rise in steel and plastics. In 2023, these discussions will have to be re-engaged in the context of energy in Europe. Tensions in the labor market, both in Europe and in the United States, will be an important issue to manage if we want to pursue our development. Finally, the question remains open regarding the depth of the recession that is looming in Europe and the United States and regarding its impact on sales of new vehicles. However, I am not worried about the first half of the year because a significant number of vehicles remain on order with manufacturers and are yet to be manufactured. How did these factors influence your strategy? In this context, the division has achieved the ambitions it had set itself for 2022. We managed to maintain a high level of growth by supporting the ramp-up of new programs. The sites have organized themselves to maintain maximum agility in the management of production while having recourse, when necessary, to partial activity to adjust our rates to the production rates of our customers. Over the year, our sales revenue increased by 15% in value and 5% in volume, which is a higher rate than that of the market. The division’s production has been driven by market share gains in recent years in products for the electrification of related functions such as parking brake components, in which we hold a leading position from our French, Chinese and North American industrial bases. We also experienced a very strong increase in our mechatronics activity dedicated to seat mechanisms. Finally, our subsidiary Termax (in Illinois in the United States), a specialist of clipped products, achieved excellent performance with the interior trim fastening solutions that it produces for North American manufacturers. We eventually strengthened our market share on a series of innovative products that go into the composition of the electric powertrain of vehicles that will be produced within 2 to 3 years. This was our second ambition for 2022: on an annual basis, the division signed nearly €70 M worth of new contracts, representing a renewal rate of 12.6% of revenue. More than a third of them relate to products designed for electric vehicles which will be marketed in In 12 months’ time, the division has secured nearly €70 M in new contracts. More than a third of them are directly linked to the electric vehicle programs that will be brought to market in 2024-2025.” – François Liotard CEO, LISI AUTOMOTIVE LISI AUTOMOTIVE 64 LISI – 2022 INTEGRATED REPORT