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Bosch Profit Nearly Halves in 2025 on Restructuring Hit

Management says higher tariffs and mounting price pressure mean no broad improvement expected in 2026.

Overview

  • Provisional 2025 EBIT fell about 45% to €1.7 billion, as the operating margin dropped to roughly 1.9% on slightly higher revenue of €91.0 billion.
  • Bosch booked around €2.7 billion in provisions for workforce reductions after announcing about 13,000 additional Mobility jobs to be cut in Germany.
  • Global headcount declined to roughly 412,400 at year-end, with Germany down to about 123,100, and management reiterates there will be no operational dismissals.
  • Executives expect tougher tariffs and intensified price pressure to weigh on 2026, with audited results and formal guidance due in April and a 7% return targeted no earlier than 2027.
  • The Nexperia-related chip disruption drove higher costs and is expected to take at least another six months to normalize, prompting a shift to multi-sourcing for critical parts.