Analyst Note| Richard Hilgert |
No-moat rated French auto parts supplier Faurecia reported third-quarter 2021 revenue of EUR 3.4 billion, representing a 17.6% drop on an as reported basis compared with EUR 4.2 billion reported in the prior year as the chip crisis caused erratic customer production this year while the third quarter of 2020 marked a strong COVID-19 recovery. Faurecia only reports revenue in the first and third quarter. Excluding currency translation, acquisitions, and divestitures, organic revenue declined 11.4%. The year-over-year decrease was 780 basis points better than the 19.2% plunge in third-quarter global light vehicle production.