Overall, the sales of the MAHLE Group developed in line with the growth level of the global automotive industry, with growth of approximately EUR 200 million (4.7%) in comparison with the previous year. Changes in the international currency exchange rate structures led to an increase of EUR 25.7 million (0.6%) in reported sales. Positive effects from the Polish zloty, the Korean won, and, in particular, the Brazilian real were largely eroded by a devaluation of the Japanese yen and the US dollar. On the other hand, additions of companies in 2006 resulting from acquisitions brought sales amounting to EUR 28.5 million (0.7%) into the consolidation group. The major company acquisitions were made in the industrial filtration business segment. Allowing for currency and consolidation effects, the sales increase amounted to 3.5% and was thus on a similar scale to the quantity increases recorded by the market as a whole. This shows that the considerable price reductions on our products could be compensated for by gains of market share and increasing systems supplies. The strongest growth was recorded by the Cylinder Components and Air Management Systems product lines and the Aftermarket, Large Engine Components, and Industrial Filtration profit centers.

Share of Group sales achieved by the product lines and profit centers

The operating profit of the MAHLE Group also increased in line with the rise in sales. Considerable improvements in profit generated by increased sales volumes, the shutdown of unprofitable business divisions, and improvements in productivity were offset by the strain on profit resulting from reductions in sales prices, significant increases in material prices, pay scale increases, and foreign currency changes. The unexpectedly heavy strain prevented a more significant improvement in profit in comparison with the previous year.