Valeo’s Bold Vision: Elevating Profits and Growth by 2028
In a highly anticipated move, Valeo has unveiled its ambitious plan, Elevate 2028, setting the stage for a remarkable financial transformation. This plan promises a steady climb towards increased profits, enhanced cash flow, and a return to sales growth, painting a picture of a thriving future for the company.
But here’s where it gets intriguing: Valeo aims to achieve these milestones in a phased manner. Starting from 2022, the company has been consistently improving its profits, a trend that is expected to continue. By 2025, Valeo anticipates a significant boost in cash generation, marking a pivotal moment in its business model evolution. And the cherry on top? A return to sales growth by 2027, driven by a robust order book.
In 2028, Valeo envisions sales reaching €22-24 billion, an impressive operating margin of 6-7%, and a substantial free cash flow of at least €500 million. This heightened cash generation is set to reduce the company’s leverage ratio, bringing it in line with its ambition to achieve an investment-grade rating by 2028.
And this is the part most people miss: Valeo’s success isn’t just about numbers. It’s a testament to the dedication and expertise of its global teams. Christophe Perillat, Valeo’s CEO, recognizes their vital role, crediting their contributions for the company’s technological and financial advancements.
“Our Move Up plan has positioned us well in the market, and our Elevate 2028 plan will further strengthen our financial foundation. Our teams’ courage and agility are the driving forces behind our innovation and excellence.”
With a solid foundation as an industrial leader and technological powerhouse, Valeo is poised to continue its global dominance in key car technologies. The company’s presence and growth across China, India, and North America further solidify its position as a future-ready, electrified, and software-defined automotive leader.
As Valeo hosts its Capital Markets Day on November 20, 2025, in Paris, France, the world gets a glimpse into its financial trajectory. But the real question remains: Can Valeo’s ambitious plan truly elevate its financial performance and solidify its position as an industry leader? Share your thoughts in the comments below!