OPmobility plans to eliminate 770 positions in Europe and adjusts its 2026 targets
The automotive supplier has presented industrial reorganization and research projects in Germany and France, citing a sharper-than-anticipated deterioration in the automotive market. According to the group, these projects would result in the elimination of approximately 460 positions across the Rhine and 310 in France.
Free cash flow expected above €220 million and declining net debt
OPmobility issued a press release on October 7, 2026 at 5:45 p.m. in which it adjusts its targets for fiscal year 2026. In addition to the operating margin range of €430 to €450 million, the supplier is targeting free cash flow exceeding €220 million. It confirms its objective to reduce its net debt at the end of 2026 compared to the end of 2025 and expects a group net result described as "significant".
Operating margin, as defined by the group, incorporates the share of profit from equity-accounted companies and amortization of acquired intangible assets, before other operating income and expenses. Free cash flow corresponds to operating cash flow, reduced by capital expenditures net of disposals, taxes and net interest paid, and adjusted for changes in working capital requirements.
The group attributes this adjustment to recent trends in automotive production. The latest forecasts from Mobility Global, published in September 2026, were revised downward, particularly in China. Some of the group's clients continue to adjust their activity levels, mainly in Europe.
This is coupled with persistent inflation and volatility in raw material and certain component prices, which the group links to geopolitical tensions in the Middle East. The press release describes an industry facing declining volumes, increased competition, and the rise of Chinese automakers.
At the same time, OPmobility indicates it is accelerating the development of its production capacity, primarily in North America and Asia, to support the growth of these regions. The stated priorities remain cash generation, debt reduction, and selective resource allocation.
Two industrial sites and two R&D centers affected in Europe
The announced measures target Western Europe, a region that represents nearly half of the group's sales. In France, OPmobility plans to adapt its research and development organization at the Alphatech sites in Venette (Oise) and Labège (Haute-Garonne).
The group links this decision to the decline in development activity for its clients in the Powertrain segment. This segment is affected by European regulations providing for the end of internal combustion engines by 2035, as well as delays in the hydrogen mobility market, marked by project cancellations in the United States and Europe. The objective is to consolidate expertise at the Lachelle site, adjacent to Alphatech, to improve the efficiency of innovation investments. OPmobility will retain two R&D centers in France: Sigmatech, in the Ain department, and Lachelle.
On the industrial side, the group plans to transfer production from its exterior parts plant in Sterbfritz, Hesse, to other German sites. It cites a German market with excess industrial capacity and declining automotive production. In France, it plans to adapt the capacity of the Flers-en-Escrebieux site in the North to changes in its clients' activity.
These projects will be conducted in compliance with the legal frameworks of each country, the press release specifies. For fiscal year 2026, OPmobility anticipates restructuring costs of between €120 and €130 million for these initiatives. The group presents these measures as a lever intended to improve its competitiveness, margin profile, and cash generation in the medium term, through better utilization of its industrial assets.
An agreement on Hyundai Mobis lighting to illustrate investment strategy
The group cites the agreement signed on September 30, 2026 to acquire Hyundai Mobis' lighting business as an example of targeted investment. This transaction is valued at 600 billion won, approximately €390 million in enterprise value, and is expected to be completed in the second half of 2027.
The press release was published at the end of the trading session, as OPmobility's share price crossed the €12.73 threshold on the Paris Stock Exchange during the day. OPmobility achieved economic revenue of €11.5 billion in 2025. It operates 152 plants, 40 R&D centers, and 38,100 employees.
A conference call with Félicie Burelle, Chief Executive Officer, was scheduled for the same day at 6:30 p.m. Third quarter 2026 revenue will be presented on October 21, 2026.
