Bosch Lowers Forecast Amid Economic Headwinds

German auto supplier Bosch has revised its business outlook for the year, citing global economic headwinds and supply chain disruptions.

In a statement, Bosch said it now expects sales growth of 5-6% in 2023, down from its previous forecast of 8%. The company also lowered its profit margin target to 7%, down from 8%.

The revision comes as the global economy faces a number of challenges, including the war in Ukraine, rising inflation, and supply chain disruptions. Bosch said these challenges are having a "significant impact" on its business.

Bosch is one of the world's largest auto suppliers, with sales of €78.7 billion in 2022. The company supplies a wide range of products to automakers, including powertrain components, brakes, and steering systems.

The company's revised outlook is a sign of the challenges facing the global auto industry. Automakers are facing rising costs and supply chain disruptions, and demand for new vehicles is slowing. This is putting pressure on auto suppliers like Bosch.

Bosch said it is taking steps to mitigate the impact of the challenges it is facing. The company is focusing on cost reduction, efficiency improvements, and new product development.

Despite the challenges, Bosch said it remains confident in its long-term prospects. The company is investing heavily in new technologies, such as electric vehicles and autonomous driving.

Bosch's revised outlook is a reminder of the challenges facing the global auto industry. However, the company's focus on cost reduction, efficiency improvements, and new product development should help it to weather the current storm.