Kongsberg Automotive announces EUR 15 million annual overhead cost reduction initiative

03 Jul 2025 08:00 CEST

Kongsberg, July 3, 2025: Kongsberg Automotive (KA) has finalized an overhead
cost reduction plan expected to yield annual savings of EUR 15 million. The
initiative, announced during the company's Q1 presentation on May 7, 2025, is
part of KA's efforts to improve financial performance. This overhead cost
reduction initiative comes in addition to the previously announced cost
adjustment program.

Approximately 150 positions will be affected by the ongoing plan. Implementation
began in May 2025, with most actions scheduled for completion within this year.
Some aspects of the program will extend into Q3 2026.

In parallel, due to ongoing market softness - particularly in the North American
and European truck segments - driven largely by the United States tariffs and
broader geopolitical tensions, KA is adjusting its direct labor levels to align
with lower production volumes as a part of variable cost adjustment. Market
forecasts for the second half of 2025 have been revised downward and currently
fall below the company's earlier expectations. KA is closely monitoring the
situation and will provide an update during the Q2 presentation on August 12,
2025.

KA remains committed to delivering value to its customers and shareholders while
positioning the organization for long-term financial performance and growth.

Media and Communications contact:
Therese Sjöborg Skurdal - Director Group Marketing and Communications
therese.skurdal@ka-group.com
+47 982 14 059

About Kongsberg Automotive ASA
Kongsberg Automotive provides cutting-edge technology to the global vehicle
industry. We drive the global transition to sustainable mobility by putting
engineering, sustainability, and innovation into practice. Our product portfolio
includes driver and motion control systems, fluid assemblies, and industrial
driver interface products. Find more information at
https://www.kongsbergautomotive.com

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