ANNUAL REPORT FREUDENBERG GROUP

HIGHLIGHTS
[€ million]
2018
2019
2020
2021
2022
Sales
Germany
1,641 
1,477
1,378
1,584
1,736
EU (excluding Germany)
2,448
2,445
2,133
2,411
2,706
Other European countries
429
412
605
743
797
North America
2,434
2,526
2,259
2,599
3,458
South/Central America
285 
284 
194
247
333
Asian
2,016
2,115
2,073
2,244
2,481
Africa/Australia
202 
209 
199
211
242
Total sales
9,455
9,468
8,841
10,039
11,753
Consolidated profit
602 
611 
366
587
640
Cash flow from operating activities
828 
957 
1,139
862
608
Cash flow from investing activities
-581 
-601
-241
-534
-434
Balance sheet total
10,239
11,355
11,855
12,921
13,151
Equity
5,312 
5,820
5,696
6,491
7,108
Equity ratio
52 % 
51 % 
48 %
50 %
54 %
Workforce (as at Dec. 31)
49,137
48,851
47,777
49,836
51,462
Workforce (annual average)
48,894 
49,108
47,909
48,787
50,598

COMPANY BOARDS 
Supervisory Board 
2 
Board of Management 
3 
Executive Council 
4 
Management of the Business Groups 
5 
REPORT OF THE SUPERVISORY BAORD 
6 
FOREWORD OF THE BOARD OF MANAGEMENT 
8 
COMBINED MANAGEMENT REPORT 
Fundamental Information 
Business Model 
14 
Research and Development 
17 
Report on Economic Conditions 
Macroeconomic Environment 
22 
Business Development and Position 
25 
Earnings Position 
27 
Financial Position 
27 
Review of Operations by Business Area 
31 
Report on Events after the Date of the Statement of Financial Position  
60 
Report on Opportunities and Risks  
61 
Report on Expected Developments  
70 
Freudenberg SE (HGB) 
72 
 
FREUDENBERG EMBRACES RESPONSIBILITY   
(Step by Step to Climate Neutrality)  
76  
 
CONSOLIDATED FINANCIAL STATEMENTS OF FREUDENBERG SE 
Consolidated Statement of Financial Position 
130 
Consolidated Statement of Profit or Loss 
132 
Consolidated Statement of Comprehensive Income 
133 
Consolidated Statement of Cash Flows 
134 
Consolidated Statement of Changes in Equity 
135 
Notes to the Consolidated Financial Statements 
136 
Shareholdings 
187 
Independent Auditor’s Report 
197 
2022 FREUDENBERG ANNUAL REPORT  
 
CONTENTS

COMPANY BOARDS
As at December 31, 2022
2
1st row from left:
Wentzler, Schücking, Braun, Cardoso, Freudenberg
2nd row from left:
Freudenberg-Beetz, Haas-Wittmüß, Kairisto, Pott, 
Schildhauer
3rd row from left:
Thielen, Towfigh, Zeschky
Martin Wentzler, Großhesselohe
Chairman of the Supervisory Board 
of Freudenberg SE
Attorney
Dr. Christoph Schücking, 
Frankfurt am Main
Deputy Chairman of the Supervisory 
Board of Freudenberg SE
Attorney and Notary Public (retired)
Anna Maria Braun, LL. M., Melsungen
Chief Executive Officer of B. Braun SE
Carlos M. Cardoso, Incline Village, 
Nevada, USA
Principal of CMPC Advisors LLC
Martin Freudenberg, Heidelberg
Managing Partner of
Jumag Dampferzeuger GmbH
​Dr. Maria Freudenberg-Beetz, 
Weinheim
Biologist
Martin Haas-Wittmüß, Dreieich
Vice President of Springer Nature AG 
& Co. KGaA
Essimari Kairisto, Korschenbroich
Member of the Supervisory Boards 
of Applus+ Services S.A.,
Fortum Oyj, TenneT Holding B.V. and 
Iveco Group N.V.
​Dr. Richard Pott, Leverkusen
Chairman of the Supervisory Board 
of Covestro AG
Walter Schildhauer, Stuttgart
Managing Partner of 
speedwave GmbH
Mathias Thielen, Zürich, 
Switzerland
Managing Director of Credit Suisse AG
Professor Dr. Emanuel V. Towfigh, 
Bad Soden 
University Professor, 
EBS University Law School
Dr. Jürgen Zeschky, Aurich
CEO Enercon
SUPERVISORY BOARD

3
BOARD OF MANAGEMENT
As at December 31, 2022
From left: Krauch, Sohi, Loidl and Krieger
Dr. Mohsen Sohi, Frankfurt am Main
Chief Executive Officer
Dr. Tilman Krauch, Heidelberg
Member of the Board, CTO
Dr. Ralf Krieger, Leimen
Member of the Board, CFO
Esther Maria Loidl, Heidelberg
Member of the Board, CHRO

4 
 
Members 
Business Groups 
Claus Möhlenkamp (CEO) 
Freudenberg Sealing Technologies 
Dr. Andreas Raps (CEO) 
EagleBurgmann 
Frank Müller (CEO)  
Vibracoustic 
Dr. Frank Heislitz (CEO) 
Freudenberg Performance Materials 
Karin Overbeck (CEO) 
Freudenberg Home and Cleaning Solutions 
Filip Krulis (CEO) 
Freudenberg Chemical Specialities 
and the Board of Management 
Membership of the above-mentioned six senior executives in the Executive Council takes stronger account 
of the perspectives of the Business Groups with regard to overarching issues. 
 
EXECUTIVE COUNCIL 
As at December 31, 2022

5 
 
 
 
 
 
MANAGEMENT OF THE BUSINESS GROUPS 
Management 
Business Groups 
Claus Möhlenkamp (CEO and Member of the Executive Council), 
Ludger Neuwinger-Heimes (CFO), 
Dr. Matthias Sckuhr (COO/CTO)  
Freudenberg Sealing Technologies 
Dr. Max Gisbert Kley (CEO), 
Dr. Jan Kuiken (CTO), 
Nils Martens (CCO), 
Jason Meier (CFO)  
 
 
Freudenberg e-Power Systems 
Jason Kollatschny (CEO), 
Bozidar Grcevic (CFO) 
Freudenberg Oil & Gas Technologies 
Dr. Andreas Raps (CEO and Member of the Executive Council), 
Dr. Sebastian Weiss (CFO), 
Dr. Kai Ziegler (CTO) 
EagleBurgmann 
Frank Müller (CEO and Member of the Executive Council), 
Marco Altherr (CFO), 
Dr. Jörg Böcking (CTO), 
Axel Wersel (COO) 
Vibracoustic 
Dr. Frank Heislitz (CEO and Member of the Executive Council), 
Thomas Herr (CFO), 
John McNabb (CTO) 
Freudenberg Performance Materials 
Dr. Andreas Kreuter (CEO), 
Ed Borger (COO), 
Frank Reuther (CFO) 
Freudenberg Filtration Technologies 
Satoshi Kawamura (CEO), 
Yasuhiro Esaki (COO), 
Yukiyasu Izuta (CFO), 
Atsushi Shimoda (CTO) 
Japan Vilene Company  
Karin Overbeck (CEO and Member of the Executive Council), 
Dr. Arman Barimani (CTO), 
Kerstin Borrs (CFO) 
Freudenberg Home and Cleaning 
Solutions 
Filip Krulis (CEO and Member of the Executive Council), 
Dr. Jörg Matthias Großmann (CFO) 
Freudenberg Chemical Specialities 
Dr. Mark Ostwald (CEO), 
Michael McGee (COO), 
Kurt Ziminski (CFO) 
Freudenberg Medical 
As at December 31, 2022

6 
 
Martin Wentzler (Chairman) 
2022 was shaped by the consequences of the war in 
Ukraine and by the impact of the COVID-19 pan-
demic, particularly in China. Several other factors, 
such as high inflation, supply chain disruptions and 
raw material availability, presented considerable 
challenges. Management of the Freudenberg Group 
was adapted to the constantly-changing situation 
and varying conditions throughout the world. The Su-
pervisory Board was closely involved in these pro-
cesses, and was kept informed of developments by 
the Board of Management. There was intensive coor-
dination between the Chief Executive Officer and the 
Chairman of the Supervisory Board. Furthermore, the 
Supervisory Board advised the Board of Management 
in the management of the Group and oversaw and 
monitored the conduct of business. In addition, the 
Chairman of the Supervisory Board, the Chairman of 
the Audit Committee and the Board member respon-
sible for Finance exchanged information on a regular 
basis. 
The Supervisory Board held seven meetings in 2022. 
The markets, sales and earnings development, the fi-
nancial situation, the strategy and the risk manage-
ment of the Group were analyzed and discussed in de-
tail at all the meetings. 
An important topic for the Supervisory Board in the 
year under review was the founding of the new 
Freudenberg e-Power Systems Business Group in 
April 2022. Freudenberg e-Power Systems has 
extensive expertise in battery and fuel cell technology 
and supplies emission-neutral energy systems for 
heavy-duty applications. 
The Supervisory Board also consulted on the Group’s 
decision-making regarding the orderly termination of 
business activities in Russia in line with the local laws 
and regulations. 
A further item on the agenda of the Supervisory 
Board was the reappraisal of Freudenberg’s activities 
in China. At a time of great global economic upheaval, 
the company evaluated developments in China in sev-
eral areas, such as production, supply chain and hu-
man resources, and the impact of these develop-
ments on the Freudenberg Group’s strategy in the 
country. 
Furthermore, the Supervisory Board dealt in depth 
with various investment projects as well as acquisi-
tions and their integration in the Group. SurTec Inter-
national GmbH (a Freudenberg company belonging to 
the Freudenberg Chemical Specialities Business 
Group), Bensheim, Germany, acquired omniTECHNIK 
Mikroverkapselungs GmbH, Munich, Germany, in De-
cember 2022. The transaction also includes the acqui-
sition of all the shares in the joint venture Precote USA 
LLC, East Lansing, Michigan, USA, by Sur Tec Inc., Upper 
Arlington, Ohio, USA. In addition, Freudenberg e-Power 
Systems acquired the remaining ownership interest in 
XALT Energy, LLC, Wilmington, Delaware, USA, in Janu-
ary 2023. 
The Supervisory Board also advised on the “Balance” 
project. The ambition of this project is to further im-
prove talent development at local and regional level in 
both production and administration with a particular 
focus on Asia and North America. 
The Audit Committee met five times in the year under re-
view. The first two meetings focused on the annual finan-
cial statements and the consolidated financial state-
ments as at December 31, 2021, and the report concern-
ing these annual financial statements prepared by the au-
ditor. The auditor also presented its evaluation of the 
standard internal controls applied by Freudenberg. Other 
issues addressed by the Audit Committee included risk 
management in the Group, management of cybersecu-
rity risks, the work of the Ethics Office, the concept for the 
Group-level compliance management system, the appli-
cation mutatis mutandis of the German Corporate 
REPORT OF THE SUPERVISORY BOARD

7 
 
Governance Code, and the project to implement EU sus-
tainability reporting standards. Corporate Audit reported 
to each meeting of the Audit Committee on the status 
and findings of the internal audits.  
The Personnel Committee met three times in 2022. 
One important topic was succession planning in key 
Group bodies. Other topics addressed by the commit-
tee included leadership development and the talent 
management process. 
The Innovation and Technology Committee held 
three meetings. The topics on the agenda included 
key technologies and solutions in the field of hydro-
gen and fuel cells. A further item was KPIs for measur-
ing the efficiency of research and development. Other 
topics included various activities under the Group-
wide sustainability project, such as measuring en-
ergy-saving potential at sites and the electrification of 
production processes. The project’s goals are to re-
duce Group-wide CO2 emissions by 25 percent by 
2025 and to achieve climate neutrality by 2045. 
The annual financial statements, the consolidated fi-
nancial statements compiled pursuant to IFRS, the 
consolidated management report for Freudenberg SE 
and the Group as well as the dependent company re-
port 2022 for Freudenberg SE were audited by Price-
waterhouseCoopers GmbH Wirtschaftsprüfungsge-
sellschaft, Frankfurt am Main, Germany, and were ap-
proved without reservation. The members of the Su-
pervisory Board were provided with the documenta-
tion for the annual financial statements and the audit 
reports in due time. The Supervisory Board approved 
the consolidated financial statements and the com-
bined management report of Freudenberg SE and the 
Group as well as the annual financial statements of 
Freudenberg SE and, following examination, con-
curred with the auditor’s findings. The annual finan-
cial statements of Freudenberg SE as at December 31, 
2022 are therefore adopted. The report drafted by the 
Freudenberg SE Board of Management in compliance 
with Section 312 AktG (German Stock Corporation 
Act) regarding relations with affiliated companies (de-
pendent company report) was audited by the auditor, 
who issued the following opinion: 
“Pursuant to Section 313 AktG, we have been en-
gaged to audit the report of the Board of Manage-
ment on relations with affiliated companies for the fi-
nancial year from January 1 to December 31, 2022, 
prepared in accordance with the provisions of Section 
312 AktG. Based on the results of our audit, the de-
pendent company report does not give rise to any res-
ervations. In accordance with Section 313 (3) 1st sen-
tence AktG., we have therefore issued the following 
opinion:  
Based on our audit and assessment which were car-
ried out in accordance with professional standards, 
we confirm that:  
1. The factual statements made in the report are cor-
rect,  
2. The payments made by the company in connection 
with legal transactions detailed in the report were 
not unreasonably high,  
3. There are no circumstances in favor of a signifi-
cantly different assessment than that made by the 
Board of Management in regard to the measures 
listed in the report.”  
The Supervisory Board examined and approved the 
report on relations with affiliated companies and 
signed off on the auditor's report. The Supervisory 
Board’s examination of the report on relations with 
affiliated companies did not result in any objections 
to the concluding statement by the Board of Manage-
ment in the dependent company report. 
Dr. Christoph Schücking was reelected to the Supervi-
sory Board of Freudenberg SE in 2022. He was also ap-
pointed as Deputy Chairman of the corporate body.  
The Supervisor Board expresses its thanks to the Busi-
ness Group managing bodies and the Board of Man-
agement for successfully overcoming numerous chal-
lenges in the 2022 financial year, for their prudent 
and decisive actions and successful management of 
business. Special thanks go to all Freudenberg em-
ployees for their outstanding and successful endeav-
ors during another challenging year. 
 
Weinheim, March 14, 2023 
For the Supervisory Board 
 
 
 
 
Martin Wentzler 
Chairman

8 
 
 
Dr. Mohsen Sohi (CEO) 
What makes Freudenberg strong 
To date, Freudenberg has mastered the current chal-
lenges comparatively well. Among other factors, this is 
due to the wide range of our products and markets, 
the diversity of our employees from 146 countries 
and our broad-based global positioning.  
Another strength of the Freudenberg Group is its 
technological expertise and innovative strength. 
One third of Freudenberg’s products have been on the 
market for less than four years. The objective of all our 
innovation activities is the continuous expansion and 
renewal of our portfolio of products and services. We 
keep in tune with the times, are bold in our actions, 
and stand for the highest quality levels. This is appre-
ciated by our customers as well as our business part-
ners. 
Another of our strengths is our stable ownership 
structure and the long-term orientation this allows. 
One example is the development of our business in 
the field of medical technology. In 2004, we made our 
first acquisition in this area for €3.4 million. In the 
year under review, the Freudenberg Medical Business 
Group already generated sales of more than €300 
million – and growth will continue over the coming 
years.  
At the same time, constantly questioning who we are 
and what we can improve is in Freudenberg's DNA. 
The ability to react flexibly to new conditions is essen-
tial. In the year under review, Freudenberg reassessed 
its activities in China. At a time of great gobal 
economic upheaval, we can observe competition be-
tween the systems of the USA, China and Europe. We 
have therefore analyzed developments in China and 
assessed their possible impact on our activities. We 
can already say that we will continue to invest in 
China. This country is an important market for us. 
Nevertheless, we do not intend to be dependent on 
our business in China. For this reason, we will step up 
our investments in other regions, including the USA 
or Southeast Asia.  
Wherever Freudenberg is active, all our business activ-
ities are based on our Guiding Principles, which go 
back to the company founder Carl Johann Freuden-
berg. For Freudenberg, values are not negotiable. This 
is why the Group decided to respond to Russia's war 
of aggression against Ukraine by ending investment 
in Russia and terminating business activities in the 
country in an orderly process in line with the local 
rules and regulations. 
FOREWORD OF THE BOARD OF MANAGEMENT 
For Freudenberg, 2022 was an eventful year that posed many challenges. Aside from the effects of the war in 
Ukraine, these included the availability of energy and raw materials, disrupted supply chains and high inflation. 
In addition, we faced fluctuations in demand from customers and a lack of skilled labor. In China, the year was 
also shaped by the COVID-19 pandemic. 
Despite these difficult conditions, 2022 was a successful year for us. Our more than 51,000 employees all played 
a part in this achievement – a heartfelt thank you goes out to everyone. Our business success will allow us to 
make high investments in future technologies, machinery and equipment. This way, we will safeguard the fu-
ture of Freudenberg.

9
The higher operating result is due to sales price increa-
ses, largely offset by significantly higher material and 
energy costs, and higher earnings contributions from 
higher sales volumes. Startup costs for expanding  
battery and fuel cell business continued to be incurred.
8.0%
  Previous year: 8.7%	
4.9%
  Previous year: 5.0% 
 (share of R & D investment  
  in sales)
31.6% 
  Previous year: 32.4% 
 (share in sales of products introduced  
 less than four years ago)
11,753.1
  Previous year: 10,038.7	  
  (€ million)
941.8
  Previous year: 877.3	
                                
  (€ million)
576.8 
  Previous year:  500.2 
  (€ million)
Return on sales 
639.6
  Previous year: 587.1  
  (€ million)
Consolidated profit
54.0% 
 Previous year: 50.2%   
Equity ratio
401.5 
  Previous year: 304.8 
  (€ million) 
  (investments in property, plant  
   and equipment, inter alia)  
CAPEX
R & D ratio 
Investments
New products
Operating result
Research and development 
Financial KPIs
The reasons for the marked rise in a challenging market 
environment are sales price increases as a result of inflation, 
positive exchange rate effects and higher sales volumes.
Sales

10 
 
On the way to climate neutrality 
Climate change is one of the greatest challenges of 
our time. That is why sustainability has top priority at 
Freudenberg. The Group focuses on resource effi-
ciency, particularly with regard to energy and materi-
als, in order to reduce our CO2 emissions. The com-
pany has set itself clear goals in this context: we in-
tend to reduce our CO2 emissions by 25 percent by 
2025 and to be climate-neutral by 2045. We are com-
mitted to a multistep strategy consisting of reduc-
tions in energy use and electrification as well as the 
self-generation and purchasing of green electricity 
and offsets for CO2 emissions.  
The “Be energy efficient” initiative lays the founda-
tion for these efforts. It is an important component of 
the overarching “Sustainability drives Climate Ac-
tion” project, uncovering energy-saving potential at 
Freudenberg locations and focusing on energy con-
sumption, process electrification, and the energy effi-
ciency of buildings. So far, around one-third of the 
Freudenberg Group’s entire CO2 emissions have been 
analyzed under the initiative. 
Renewable energy is one of the most important pil-
lars for greater climate protection and meeting 
Freudenberg’s goals for climate neutrality. In this con-
text, the self-generation of green electricity is an im-
portant component, and is becoming increasingly rel-
evant. Electricity is mainly generated by rooftop pho-
tovoltaic arrays installed at our locations – from China 
to Mexico and Spain.  
In addition to self-generation, Freudenberg is also 
committed to the purchase of green electricity: the 
Group is considered to be an especially reliable part-
ner, and is therefore able to conclude long-term sup-
ply contracts for green electricity with energy suppli-
ers. Examples include the supply of solar power from 
Germany’s largest photovoltaic park in Tramm-Gö-
then or participation in electricity generated by the 
“Nordsee-Ost” offshore wind farm. At the end of 
2022, the Freudenberg sites in Denmark, Sweden and 
Austria purchased 100 percent green electricity. They 
will be joined by sites in other countries in 2023.  
The transformation of mobility 
The topic of mobility is closely linked to sustainability. 
This sector faces a fundamental transformation to e-
mobility. Freudenberg is making massive investments 
in the mobility of the future – in battery, hydrogen 
and fuel cell technology as well as in the development 
of high-tech components for electric vehicles. In view 
of the strategic importance and growth potential of 
this area, we established a new Business Group, 
Freudenberg e-Power Systems, in April 2022. With 
extensive experience and know-how in battery and 
fuel cell technology, the company offers emission-
neutral energy systems for heavy-duty applications.  
In the year under review, Freudenberg e-Power Sys-
tems embarked on cooperation with global technol-
ogy company ZF Friedrichshafen. The goal of this coop-
eration is to develop a hybrid fuel cell/battery drive 
system and the components that are critical for its 
functioning. These zero-emission fuel cells will replace 
conventional diesel drives in trucks and buses, as well 
as maritime applications. The first prototype vehicles 
are expected to hit the roads by 2023, with series pro-
duction scheduled to start shortly thereafter. 
Portfolio development  
As regards acquisitions, Freudenberg focuses on 
companies with extensive technical expertise that 
can help us reinforce our market position in highly-
specialized segments. In December 2022, the 
Freudenberg company SurTec International GmbH, 
Bensheim, Germany, acquired omniTECHNIK 
Mikroverkapselungs GmbH, Munich, Germany. The 
transaction also included the acquisition of all the 
shares in the joint venture Precote USA LLC, East Lan-
sing, Michigan, USA, by Sur Tec Inc., Upper Arlington, 
Ohio, USA. In addition, Freudenberg e-Power Sys-
tems acquired the remaining ownership interest in 
XALT Energy, LLC, Wilmington, Delaware, USA, in Janu-
ary 2023. Freudenberg already held a 50.1 percent  
stake in the joint venture prior to the acquisition. XALT 
Energy produces lithium-ion battery cells. Its subsidi-
ary Freudenberg Battery Power Systems Inc., Wilming-
ton, Delaware, USA, develops and produces complete 
battery systems.

11
People at Freudenberg 
1.8 
LDIFR  
(Lost Day Incident Frequency Rate)
Employees by regions  
146
The employees of the Freudenberg 
Group come from 146 different 
countries.  
51,462
As of December 31, 2022, 
Freudenberg employed 51,462 
people.
60
There are Freudenberg sites 
in 60 countries. 
543  
(in Africa/Australia)
10,711  
(in Asia)
1,004 
(in South/Central America)
11,867  
(in North America)
14,924  
(in Europe without Germany)
12,413 
(in Germany)
(all accidents at work with at least 
one day of work lost per million  
hours worked)

12 
 
Safety of Freudenberg employees 
The safety of our employees is of utmost priority – 
also beyond the COVID-19 pandemic. As a result of a 
number of factors including the lifting of restrictions 
in connection with the pandemic, the LDIFR value (ac-
cidents with at least one day of work lost per million 
hours worked) rose to 1.8 in the year under review 
(previous year: 1.3). Nevertheless, the number of acci-
dents within the Freudenberg Group remains at a low 
level compared with other companies in manufactur-
ing industry. 
Corporate citizenship 
Through its global e2 (education and environment) 
program, Freudenberg supports projects in the two 
key areas of education and the environment. Since 
the program was launched in 2015, the Group has 
provided a total of €18 million to fund not-for-profit 
projects and has already supported about 170 pro-
jects. The special feature of the program is that thou-
sands of Freudenberg employees are involved, and 
every cent donated is used directly to fund projects. 
Furthermore, Freudenberg donated €3 million as im-
mediate humanitarian aid at the beginning of the 
war in Ukraine. Further donations were forthcoming 
from employees and Partners. In addition to dona-
tions to major aid organizations for immediate aid, 
funds also went to a private charitable initiative that 
provides a new home for displaced persons near the 
Ukrainian city of Lviv. Another share of the donation 
went to the Planet Water Foundation, which has in-
stalled six Aqua-Block systems providing people in 
Ukraine with access to clean drinking water. 
Outlook 
We expect the macro-economic and geopolitical envi-
ronment to remain uncertain. Challenges and risks, in 
some cases exacerbated by the war in Ukraine and 
the COVID-19 pandemic, arise in connection with en-
ergy supplies, raw material shortages, price increases, 
delivery problems on the part of suppliers and skilled 
labor shortages. To manage such difficulties, we will 
remain agile at each of our facilities throughout the 
world and will continue to respond quickly and flexi-
bly to constantly-changing demands. In doing so, we 
will always focus on customer centricity. This ap-
proach applies to all sectors and regions. At the same 
time, we intend to continue investing in long-term 
projects. The transformation in mobility, digitalization 
and sustainable solutions will remain our key strate-
gic topics.  
Thanks to employees and customers 
The entire Freudenberg Group has brought a difficult 
year to a successful close in terms of economic perfor-
mance. Our managers and employees have played 
their part with considerable personal dedication and 
high reliability. On behalf of the entire Board of Man-
agement, I would like to thank them most sincerely 
for their efforts. We would also like to express our ap-
preciation to all our customers and business partners 
for their confidence and for their excellent coopera-
tion in these extraordinary times.  
Freudenberg is a strong and healthy company and is 
well-positioned. Together, we will continue to master 
all challenges as we move forward.  
 
Weinheim, March 14, 2023 
For the Board of Management 
 
    
    
    
Dr. Mohsen Sohi 
CEO

13
Sustainability at Freudenberg 
12.2
 (t/million € of sales)
Waste
1,647
(GWh, indirect)
2,583
(GWh, total) 
30%
 (Share of renewable energies in  
 total electricity consumption)
0.22
(Specific energy  
 consumption,  
 kWh/€ of sales) 
936
(GWh, direct)
Energy use
These values represent energy  
consumption in 2022, including  
self-generated and purchased energy.
These values represent the total global CO2 
emissions of the Freudenberg Group in 2022 
(market-based), as a result of the use of 
self-generated and purchased energy.
649
 (1,000 t, total)  
55.2
  (t/million € of sales) 
CO2 emissions
In the year under review, the Freudenberg Group improved its energy efficiency and increased the share of renewable 
energies. Especially as a result of these efforts, Freudenberg reduced its relative CO2 emissions per € million sales to 
about 55 tonnes. Over the coming years, Freudenberg intends to continue this development and consistently remain 
under the target for 2025 of 65 tonnes of CO2 emissions per € million sales.

14 
 
 
 
Organizational structure  
The Freudenberg Group (Freudenberg) is a global 
technology group whose goal is to strengthen its cus-
tomers and society long-term through forward-look-
ing innovations. 
At year-end 2022, the number of companies in 
Freudenberg totaled 457 located in 56 countries, 
427 of these companies were included in the consoli-
dation. 404 companies, including 153 sales compa-
nies and 169 production companies, were fully con-
solidated. The remaining companies were holding or 
management companies.  
 
The new Freudenberg e-Power Systems Business 
Group was founded in April 2022. It bundles the 
Freudenberg Group’s activities in the field of emis-
sion-neutral energy storage and energy generation 
systems, focusing on the battery and fuel cell product 
segments. These activities were previously the re-
sponsibility of the Freudenberg Sealing Technologies 
Business Group.  
Together with partners, customers and the world of 
science, the eleven Business Groups aspire to develop 
cutting-edge products, excellent solutions and ser-
vices for some 40 market segments and for thou-
sands of applications: Seals, batteries, fuel cells, vibra-
tion control components, technical textiles, filters, 
cleaning technologies and products, specialty chemi-
cals, and medical products.  
 
 
As at December 31, 2022.  
For further details on Freudenberg companies, please refer to the chapter entitled “Review of Operations by Business Area”. 
COMBINED MANAGEMENT REPORT 
FUNDAMENTAL INFORMATION 
BUSINESS MODEL 
STRATEGIC MANAGEMENT FREUDENBERG & CO. KOMMANDITGESELLSCHAFT
BUSINESS OPERATIONS FREUDENBERG SE
Business Area
Seals and Vibration 
Control Technology
Business Area
Technical Textiles and 
Filtration
Business Area
Cleaning Technologies 
and Products
Business Area
Specialties
Business Groups
Business Groups
Business Groups
Business Groups
Freudenberg Sealing 
 Technologies
Freudenberg Performance 
Materials
Freudenberg Home and 
Cleaning Solutions
Freudenberg Chemical 
SpeciaIities
Freudenberg e-Power 
Systems
Freudenberg Filtration 
Technologies
Freudenberg Medical
Freudenberg Oil & Gas 
 Technologies
Japan Vilene Company
EagleBurgmann
Vibracoustic

15 
 
Combined Management Report – Business Model
Freudenberg builds on lasting and reliable relation-
ships with customers and partners. The partnership 
with NOK Corporation, Tokyo, Japan, for example, al-
ready spans more than 60 years. Numerous activities 
in the Americas, Asia and Europe have been jointly es-
tablished during the decades-long partnership. 
Freudenberg and NOK Corporation jointly hold shares 
in several companies. Particularly worthy of mention 
are Freudenberg-NOK General Partnership, Wilming-
ton, Delaware, USA, which is fully consolidated in the 
consolidated financial statements, as well as NOK-
Freudenberg Singapore Co. Pte. Ltd., Singapore, which 
is disclosed at-equity as a 50:50 joint venture in the 
consolidated financial statements. 
Further details can be found under “Investments in 
joint ventures” and “Investments in associated com-
panies” in the Notes to the Consolidated Financial 
Statements. 
Across the globe, the Freudenberg Group’s products 
and services make a valuable contribution to the suc-
cess of its customers – rarely visible, but always indis-
pensable, in the spirit of the positioning that reads 
“Freudenberg is a values-based technology group 
that best serves its customers and society”. 
It is Freudenberg’s goal to offer customers in the pas-
senger car and commercial vehicle industry, mechani-
cal and plant engineering, textile and apparel, con-
struction, mining and heavy industry, energy, chemi-
cal, oil and gas industry, medical technology, civil avia-
tion and rail vehicles sectors, and end users excellent 
technological and innovative products as well as ser-
vices. 
Innovation strength, strong customer orientation and 
close collaboration as well as diversity and team spirit 
are the cornerstones of the Group. Commitment to 
excellence, reliability and pro-active, responsible ac-
tion have belonged to the company’s core values ever 
since it was founded in 1849. 
Freudenberg introduced the “Strategic Guide” leader-
ship structure in 2013. Under this concept, the Board 
of Management concentrates on developing the 
Freudenberg Group strategy, approves major invest-
ments, draws up strategic guidelines, and defines 
strategic planning. Operational business is in the 
hands of independent companies whose manage-
ment conducts business under their own responsibil-
ity. These individual companies in turn belong to Busi-
ness Groups. 
Freudenberg has two parent companies: Freuden-
berg & Co. Kommanditgesellschaft (Freudenberg & 
Co. KG), Weinheim, Germany, is the strategic parent 
company, Freudenberg SE, Weinheim, Germany, is the 
parent company with responsibility for managing 
business operations. The corporate bodies of Freuden-
berg & Co. KG are the Management Board, the Board 
of Partners and the General Meeting. The corporate 
bodies of Freudenberg SE are the Board of Manage-
ment, the Supervisory Board and the Shareholders 
Meeting. The composition of the Management Board 
of Freudenberg & Co. KG and the Board of Manage-
ment of Freudenberg SE is identical. This also applies 
to the Board of Partners of Freudenberg & Co. KG and 
the Supervisory Board of Freudenberg SE.  
Freudenberg is a family company and is currently 
owned by some 350 heirs to the founding father Carl 
Johann Freudenberg.

16 
 
Organizational changes  
With the outbreak of the war in Ukraine, the Freuden-
berg Group ceased almost all trading activities in and 
out of Russia and Belarus. The Group will terminate 
all business activities in these countries in an orderly 
process in line with the local laws and regulations.  
Freudenberg significantly scaled back its activities in 
Russia in the year under review. Business operations 
at six of the former nine Russian companies have al-
ready entirely ceased. As a result, there are only three 
Group companies left in the Russian market. Work on 
solutions to fully terminate the activities of these re-
maining units continues. However, this is proving dif-
ficult in light of specific legal obligations and local 
regulatory requirements.  
Acquisitions and disinvestments and discontinued 
operations 
SurTec International GmbH (a Freudenberg company 
belonging to the Freudenberg Chemical Specialities 
Business Group), Bensheim, Germany, acquired  
omniTECHNIK Mikroverkapselungs GmbH, Munich, 
Germany, in December 2022. The transaction also in-
cludes the acquisition of all the shares in the joint ven-
ture Precote USA LLC, East Lansing, Michigan, USA, by 
Sur Tec Inc., Upper Arlington, Ohio, USA. There will be a 
double-digit million increase in annual sales by 
Freudenberg Chemical Specialities as a result of the 
acquisition. 
Furthermore, Freudenberg e-Power Systems ac-
quired the outstanding ownership interest in XALT 
Energy, LLC, Wilmington, Delaware, USA, from co-
owners MBP Investors LLC and TK Advanced Battery, 
LLC, in early January 2023. Until then, Freudenberg 
had held a 50.1 percent stake in the joint venture. 
XALT Energy produces lithium-ion batteries, its sub-
sidiary Freudenberg Battery Power Systems, LLC, Wil-
mington, Delaware, USA, develops and produces com-
plete battery systems.  
Business processes 
In the year under review, Freudenberg conducted op-
erational excellence activities in all areas with a view 
to making processes, services and products better, 
more efficient and safer. 
One important goal for the Freudenberg Group is the 
automation and digitalization of production pro-
cesses. To this end, data are collected from smart 
manufacturing processes and analyzed with the aim 
of achieving optimal and self-adaptive control of pro-
duction steps in the future using advanced methods 
such as artificial intelligence. The basic approach at 
Freudenberg is that digitalization must either offer 
the customer added value or significantly improve in-
ternal efficiency.  
Furthermore, all Business Groups continued to work 
on responding to customer needs even more effec-
tively and optimizing business processes. EagleBurg-
mann, for example, continued with the successful im-
plementation of a global project designed to reduce 
the complexity of its project portfolio and enable in-
telligent project management. Going forward, there is 
to be a stronger focus on anticipating customer 
needs and serving them efficiently using a toolkit 
system. 
Details of this project, together with further exam-
ples, can be found in the chapter entitled “Review of 
Operations by Business Area”.

17 
 
Combined Management Report – Business Model
Research and Development
As a leading technology group and innovative part-
ner, Freudenberg constantly aspires to meet the high-
est demands in terms of product, process and service 
quality. Working on this ambition together with cus-
tomers and partners from the scientific community 
creates solutions that support the sustainable devel-
opment of the environment and society. The com-
pany’s research and development activities therefore 
play an important role in this context. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
In the 2022 financial year, Freudenberg conducted re-
search and development activities in the amount of 
€576.8 million (previous year: €500.2 million). This 
represents 4.9 percent of sales (previous year: 5.0 per-
cent). Research and development activities also in-
clude development expenses for customer-specific 
development projects disclosed under cost of sales in 
the consolidated statement of profit or loss. The Busi-
ness Groups account for the largest share of funds for 
research and development activities.  
Freudenberg measures the effectiveness of research 
and development activities as the share of new prod-
ucts (products less than four years old) in total sales. 
This share is 31.6 percent (previous year: 32.4 per-
cent). 
Lasting competitive advantages through strategic 
innovations 
The goal of all innovation activities is to constantly ex-
pand and refresh the portfolio of products and ser-
vices. Holistic innovation management throughout 
the Group forms the basis for this. Research and de-
velopment activities are defined and pursued at stra-
tegic level by the Business Groups.  
The Freudenberg Technology Innovation corporate 
function has a special part to play in innovation man-
agement. Employees from the corporate function 
have expertise in materials, processes, surface tech-
nology methods, tribology, electrochemistry and digi-
talization. Together with the Business Groups, they fo-
cus on driving medium- and long-term innovation ac-
tivities forward. 
Under the “Janus” program, Freudenberg reevaluated 
the assumptions for developing future scenarios in 
light of recent political and economic changes and de-
fined future growth fields. As part of the “Janus 2.0” 
follow-up program, Freudenberg Technology Innova-
tion is identifying the most promising opportunities 
in the prioritized growth fields, working in close col-
laboration with the Business Groups. 
RESEARCH AND DEVELOPMENT

18 
 
Bundling research topics in overarching 
competence fields 
Drawing on the Business Groups’ technology 
roadmaps, Freudenberg Technology Innovation bun-
dles the strategic research topics from the Business 
Groups into four overarching competence fields 
known as flagships. The subject areas within the indi-
vidual flagships are also continuously refreshed under 
Freudenberg’s ten technology platforms. Once they 
have reached an appropriate maturity level, the tech-
nological solutions resulting from this process are 
transferred to the Business Groups with the goal of 
industrial-scale production. Selective use is also made 
of publicly-funded projects, collaboration in scientific 
networks and patent strategies.  
The four flagships are: 
Process & Data Sciences: 
The automation and digitalization of production pro-
cesses is an important goal in the Freudenberg Group. 
Data from manufacturing process collected for this 
purpose is analyzed to determine how advanced 
methods such as artificial intelligence can be used to 
steer the optimization and self-adaptation of produc-
tion steps in future. 
The “Advanced Data Management” strategic project, 
for example, addresses aspects of the systematic and 
structured creation of value from data. The project 
also focuses on data flow organization, data owner-
ship and data usability. 
Systematic image processing is an important factor in 
speeding up industrial processes with the help of au-
tomated solutions. The “Machine Vision” strategic 
project addresses issues ranging from automated 
grasping or feeding systems and quality control – par-
ticularly as regards surface quality – through to new 
business models for spare parts delivery. 
In addition, an “Internet of Things” lab was set up un-
der this flagship. This lab follows up various data-
driven applications from individual Business Groups 
and develops first prototypes based on the “Mini-
mum Viable Product” principle. Examples include an 
optical switchgear cabinet monitoring system for 
hotspots and sensor data transfer via a low-power 
wireless network.  
Furthermore, the corporate function’s technical cen-
ter laid the groundwork for an inline process control 
system for elastomer injection molding. This involved 
the full digitalization of an injection molding machine 
to address and analyze relevant issues raised by the 
various Business Groups relating to artificial intelli-
gence-aided autonomous process management in 
manufacturing processes. 
Virtualization of Material & Product Development: 
Artificial intelligence (AI) and simulation competence 
play a major role in material development. This flag-
ship addresses the implementation of relevant AI- 
and simulation-aided methods to accelerate material 
development and design the optimal characteristics 
profile of the material to suit its future application, 
while at the same time reducing costs and the eco-
logical footprint.  
The goal of the “Material Informatics” strategic pro-
ject is to improve the efficiency of material develop-
ment by using data-driven methods. The project fo-
cuses on elastomer, polymer and formulation devel-
opment for applications in growth fields such as fuel 
cells. The requirements for the virtualization of a fuel 
cell are extremely challenging because the complex 
interactions between physical, chemical and electro-
chemical factors must be reproduced. This involves 
the use of multiscale technologies where the input 
includes test findings from new characterization 
methods at micro and nano level. Going forward, the 
competence required for this project will be devel-
oped with the help of three PhD students under the 
EU’s BLESSED funding program (Bridging Models at 
Different Scales To Design New Generation Fuel Cells 
for Electrified Mobility) approved by the European 
Commission in 2022.  
The product developers’ job of predicting product 
properties is made simpler through the use of simula-
tion methods developed centrally. The “Macroscopic 
Simulation” strategic project, for example, models 
macroscopic properties such as friction behavior on 
the basis of the materials used, design and operating 
conditions. 
New Mobility & Energy Transition: 
It is Freudenberg’s ambition to help advance the en-
ergy transition by developing innovative components

19 
 
Combined Management Report – Research and Development
for fuel cells, batteries and electrolyzers. The goal of 
this flagship is to analyze relevant technological 
trends and develop an in-depth understanding of 
them. This work identifies and prioritizes technologi-
cal approaches. Freudenberg Technology Innovation 
focuses in particular on building up strategic compe-
tences and the related development of new methods, 
materials and processes for climate-neutral energy 
technology and e-mobility.  
Networking the relevant players along the value chain 
is a key step towards collaborating on new solutions. 
The Freudenberg Technology Innovation corporate 
function expanded the “Energy Transformation” inter-
nal and external networks in the year under review. 
Moreover, Freudenberg participates in selected indus-
trial policy platforms at regional and international 
level.  
Freudenberg Technology Innovation successfully 
placed its “SusSeal4H2” project outline under the “2 + 
2 Green Hydrogen” funding call issued by Germany’s 
Federal Research Ministry in cooperation with Japan. 
The aim of the project is to prove the performance of 
innovative polymer sealing materials when in contact 
with hydrogen under various static and dynamic con-
ditions. Experts will address the development of suit-
able sealing materials with a significantly smaller 
ecological footprint than present materials. The pro-
ject partners are Bundesanstalt für Materialfor-
schung und -prüfung (BAM), Kyushu University in Ja-
pan and NOK Corporation. 
Furthermore, electrochemical facilities at the tech-
nical center were expanded to include specific testing 
and production methods to enable the manufacture 
of proprietary, customized intermediate products in 
the future.  
Sustainable Materials and Processes: 
In order to create a sustainable product portfolio, 
Freudenberg is devoting greater attention to expand-
ing the requisite core competences in materials and 
manufacturing processes through the introduction of 
new key technologies. Flagship activities center on 
bio-based and biologically degradable raw materials, 
new recycling processes and the use of such recy-
clates, as well as efficient manufacturing processes. 
One core task of this flagship is to search for alterna-
tives to per- and polyfluoroalkyl substances (PFAS). Be-
cause of their unique physical and chemical proper-
ties, PFAS are currently used in various key compo-
nents of fuel cells and electrolyzer cells. This chemical 
stability, combined with the resistance to heat and 
weather and pronounced hydrophobicity also means 
that PFAS are resistant to degradation in the natural 
environment. For this reason, the European Union 
(EU) is planning a comprehensive REACH restriction 
process (Registration, Evaluation, Authorisation of 
Chemicals) to ban the manufacture, placement on 
the market and use of PFAS within the EU. Freuden-
berg Technology Innovation has already identified the 
first promising alternatives for selected fuel cell re-
search questions. 
Selected innovations  
Sustainable mobility 
With its innovative high-performance materials, 
Freudenberg Sealing Technologies makes a valuable 
contribution to the further development of sustaina-
ble mobility. These proprietary materials are designed 
to optimize relevant key properties such as flame-re-
tardant capability, electric and thermal conductivity 
and ease of processing for new mobility technologies, 
and to transfer these properties to customer solu-
tions. With Quantix Ultra, for example, Freudenberg 
Sealing Technologies has successfully developed a 
material that neither melts nor catches fire at very 
high temperatures and is well suited to injection 
molding. This innovation brings openings for entirely 
new e-mobility applications. For instance, all compo-
nents installed close to the battery, such as the tubes 
supplying the battery with coolant both during nor-
mal operation and in the event of thermal runaway, 
must comply with stringent flame-retardant specifi-
cations. Another high-performance material is used 
in the DIAvent pressure equalization elements, mak-
ing them extremely robust against mechanical stress. 
Furthermore, the company has improved the perfor-
mance of the silicone-based elastomer for Freuden-
berg's heat shield, preventing the overheating of 
damaged battery cells. 
The vibration specialist Vibracoustic is also support-
ing the advance of sustainable mobility through the 
use of test benches developed in-house to investigate

20 
 
high-frequency decoupling elements: these test 
benches can analyze and optimize complete axle sys-
tems without the need to have the full car on site. 
Successful customer projects have already confirmed 
the applicability of the electric axle test bench for 
meeting the requirements of the increased frequency 
range of electric vehicles. 
The newly-established Freudenberg e-Power Sys-
tems Business Group reached an important mile-
stone with the world’s first type-approved methanol-
powered fuel cell system for use in maritime applica-
tions. The system helps to make ocean shipping cli-
mate-neutral, efficient and safe. 
Energy transformation and sustainability 
Freudenberg Performance Materials helps to trans-
mit clean energy successfully with its water blocking 
tapes used in undersea cables. Thanks to the specially 
developed new materials, power generated by off-
shore wind turbines can be transmitted over long dis-
tances via high-voltage subsea cables, thus advancing 
the energy transformation. Furthermore, the Business 
Group developed a new bio-based binder mixture 
that substitutes biocomponents for synthetic materi-
als. This application is used to reinforce roofing mem-
branes made of recycled PET. The Business Group can 
therefore offer an environmentally-friendly, health-
oriented complete solution for the building industry.  
The WKA 1200 modular-design chamber seal from  
EagleBurgmann will significantly reduce CO2 emis-
sions by lowering barrier gas consumption. The prod-
uct can be used, for example, in compressors for hy-
drogen applications, thus furthering a critical key 
technology for the energy transformation. 
The patent-pending HX series sealrings from 
Freudenberg Oil & Gas Technologies reduce fugitive 
emissions by up to 99 percent compared to conven-
tional sealing solutions for API and ASME flanges. 
Tests confirm that the leak rates for the HX series are 
substantially lower than the current industry stand-
ard. This significantly reduces damage to the climate 
from emissions of gases such as CO2 and methane re-
leased during hydrocarbon transmission or storage – 
and contributes to meeting the goals of the Paris 
Agreement.  
In the year under review, Vibracoustic addressed the 
sustainable procurement of natural rubber and the 
biotechnical recycling of natural rubber scrap, thus 
making a contribution to the circular economy and re-
ducing the footprint of new product solutions. 
Health and safety 
The Vileda Looper from Freudenberg Home and 
Cleaning Solutions is a cordless electric spray mop 
that helps end customers remove up to 99.9 percent 
of bacteria and viruses from floors. The combination 
of rotating microfiber pads and the spray water func-
tion cleans without the use of chemicals. In the Vileda 
Professional division, the digital, cloud-based EviSense 
solution helps cleaning professionals carry out their 
jobs more effectively and efficiently. The sensor-based 
EviSense digital control unit clips onto the mop han-
dle. It uses RFID technology to communicate with 
nearby rooms and supports cleaners by giving them 
useful information such as cleaning progress, out-
standing tasks and whether the mop head needs 
changing. EviSense also enables cleaning companies 
to evidence that cleaning tasks have been performed, 
thus providing an important service for the cleaning 
industry.  
Freudenberg Medical launched HelixFlex in the year 
under review, a high purity thermoplastic elastomer 
TPE tubing designed for use in pharmaceutical and bi-
opharmaceutical applications. The tubing is an alter-
native to silicone, where supplies are becoming in-
creasingly scarce, and can be welded to existing tub-
ing lines and heat-sealed to allow for easy, fast and 
safe fluid handling, transport, and transfer in bio-
pharma processes. 
Korea Vilene Co., Ltd, Pyeongtaek-si, South Korea, a Ja-
pan Vilene Company subsidiary, launched a filter 
substrate that well-known manufacturers are already 
using in air purifiers for the health sector.  
One focus of innovation activities at Freudenberg 
Chemical Specialities was the substitution of per- 
and polyfluoroalkyl substances (PFAS), a family of per-
sistent chemicals. In the release agents market in par-
ticular, the subsidiary Chem-Trend developed numer-
ous PFAS-free solutions for applications in the rubber 
processing industry and for the manufacture of com-
posites. In addition, the subsidiary Capol developed a

21 
 
Combined Management Report – Research and Development
new solution for use in the food industry – a release 
agent based on natural formulations that can be 
sprayed on cheese slices as a substitute for the com-
monly-used plastic interleaving film.  
In the year under review, Freudenberg Filtration 
Technologies completed the installation of the new 
fully-automated impregnation process for activated 
carbon at the Shunde facility in China. The new, pro-
prietary vacuum technology ensures a cleaner, safer 
and more efficient process. 
 
 
 
 
 
 
 
A Freudenberg employee preparing polymer materials with a twin-
screw extruder.

22 
 
The COVID-19 pandemic gradually transitioned to an 
endemic during the course of 2022. While interna-
tional supply chains improved as a result, they never-
theless continued to present a challenge for world 
trade. This situation was compounded by Russia’s in-
vasion of Ukraine on February 24, 2022, putting sig-
nificant additional pressure on the world economy. 
Western industrialized nations agreed on severe sanc-
tions against Russia. Markets were hard hit by the 
sharp drop in supplies of oil and, above all, gas. This 
triggered energy price spikes, some of them dramatic, 
throughout the world. A large share of Ukraine’s ex-
port business collapsed due to the continued military 
aggression. Inflation rates rose significantly world-
wide, causing several central banks to raise interest 
rates. 
The US Federal Reserve was particularly swift in in-
creasing its benchmark interest rate in a series of 
sharp rises, adjusting rates a total of seven times to 
take its benchmark rate to 4.5 percent at the end of 
the year. The European Central Bank began raising its 
interest rates in July 2022, taking the base rate to 2.5 
percent in four steps. In November, the Bank of Eng-
land made the biggest interest rate rise since 1989. 
The Bank Rate at year-end was 3.5 percent. All of 
these restrictive monetary policy measures signifi-
cantly curbed economic development. Many govern-
ments introduced fiscal initiatives to shore up their 
economies. Comparatively warm weather and numer-
ous energy-saving measures prevented serious en-
ergy shortages. 
The Chinese government only eased its strict zero-
COVID policy towards the end of the year and after 
public unrest. The People’s Republic of China fell short 
of its role as a growth engine for the world economy 
in 2022. Other countries in the Asia-Pacific region 
benefited to some extent from this shortcoming. Eco-
nomic output in India again grew strongly, but failed 
to realize its double-digit growth potential due to the 
continued lack of structural reforms. 
 
EUROPE 
 
 
Region 
GDP growth 
2021 
GDP growth 
2022 
Eurozone 
5.1 % 
3.3 % 
Germany 
2.7 % 
1.9 % 
France 
6.7 % 
2.5 % 
Greece 
8.3 % 
5.3 % 
Ireland 
14.2 % 
9.4 % 
Italy 
6.3 % 
3.7 % 
Portugal 
4.3 % 
6.5 % 
Spain 
4.7 % 
4.7 % 
United Kingdom 
7.0 % 
4.2 % 
Sources: Consensus Inc., national statistical offices 
GDP growth 2022: as at February 2023 
GDP growth 2021: as at date reported in previous year  
    
WORLD REGIONS 
 
 
Region 
GDP growth 
2021 
GDP growth 
2022 
Argentina 
9.3 % 
5.3 % 
Brazil 
4.7 % 
2.9 % 
China 
7.9 % 
2.9 % 
India 
9.2 % 
6.9 % 
Japan 
1.7 % 
1.2 % 
Mexico 
5.5 % 
2.9 % 
Russia 
4.5 % 
-2.2 % 
Taiwan 
6.0 % 
3.1 % 
USA 
5.6 % 
2.0 % 
Sources: Consensus Inc., national statistical offices 
GDP growth 2022: as at February 2023 
GDP growth 2021: as at date reported in previous year 
    
   
REPORT ON ECONOMIC CONDITIONS 
MACROECONOMIC  
ENVIRONMENT

23 
 
Combined Management Report – Macroeconomic Environment
Sector-specific environment 
The changes in the macroeconomic environment also 
had an impact on the Freudenberg Group’s main sales 
markets. 
The supply bottlenecks in the automotive industry 
continued in 2022, but eased somewhat as the year 
progressed. As a result, global production of light vehi-
cles grew 6 percent year-on-year to a total of 82.0 mil-
lion units. Growth rates even reached double digits in  
India (23 percent), Germany (12 percent) and North 
America (10 percent). In South Korea (9 percent) and 
China (6 percent), the growth rate was slightly better 
than the global average. In contrast, there was a 
marked decline in production in Japan (-1 percent), It-
aly (-2 percent), and the United Kingdom (-7 percent), 
with a particularly significant fall in Russia (-65 per-
cent) (Source: IHS Markit). 
The share of all-electric vehicles in global production 
rose to just short of 10 percent in 2022 and the share 
of hybrid vehicles grew to a good 9 percent (Source: 
LMC). 
Despite the supply bottlenecks, the shortage of skilled 
labor and the sharp rises in energy prices, production 
in the global mechanical engineering sector in-
creased by 3 percent thanks to unusually high order 
backlogs. The rise in the eurozone was 5 percent, alt-
hough big countries for mechanical engineering such 
as Germany (1 percent) and Italy (4 percent) only 
posted below-average development. France (-1 per-
cent) and the United Kingdom (-10 percent) reported 
a decline. Production momentum in Japan was much 
stronger (9 percent). Growth in China ran at -1 percent 
(Sources: VDMA, national statistical offices).
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
12.6
3.6
9.8
3.3
7.4
26.1
2.2
11.8
5.1
3.7
of
which
China
EU 27
Germany
USA
Mexico
Japan
Brazil
Rest of world
LIGHT VEHICLE DOMESTIC PRODUCTION
2022 production in million units (82.0 million units worldwide)
Source: IHS Markit, February 2023
India
South Korea

24 
 
The textile and apparel industry increasingly felt the 
effects of rising inflation and a corresponding reluc-
tance to spend. This impacted production in key man-
ufacturing countries such as China (-3 percent). In 
contract, the EU27 again recorded strong growth (5 
percent) (Source: national statistical offices). 
It is generally accepted that rising interest rates im-
pact business in the construction industry. This be-
came increasingly obvious during the course of 2022. 
Notwithstanding this phenomenon, the annual aver-
age was often quite robust, for example a 3 percent 
increase in the EU27, 10 percent in the USA, 7 percent 
in Japan and 14 percent in India. The real estate crisis 
that has been smoldering for years in China again 
reared its head with a 10 percent fall in production 
(Source: national statistical offices). 
As is often the case, developments in the medical 
technology industry were largely unaffected by the 
macroeconomic environment. Production in the USA 
grew 8 percent, and just short of 1 percent in Japan. 
Production stagnated in the EU27 (0 percent). (Source: 
national statistical offices). 
The easing of corona measures triggered strong catch-
up effects in private consumption. This momentum 
was only partly dampened by rising inflation that hit 
record levels in many countries and was well above 
the desired level. Instead, savings rates fell further in 
order to satisfy consumer wishes. In many countries, 
increased spending among private consumers was 
higher than GDP growth (Source: national statistical 
offices). 
Given the uncertainty surrounding the war between 
Russia and Ukraine and in light of global economic de-
velopments, the oil price in 2022 was very volatile. The 
average annual price was US $ 94.21 per barrel (WTI), 
some 39 percent higher than the previous year 
(Source: Handelsblatt). 
The euro exchange rate per US dollar fell sharply be-
tween February and October, but recovered slightly to-
wards the end of the year. The annual average ex-
change rate of approx. 1.05 US $ per euro was never-
theless 11 percent below the previous year’s level 
(Sources: Deutsche Bundesbank / European Central 
Bank). 
 
 
 
 
 
 
 
 
 
 
 
 
Source: European Central Bank; month-end rates
 Jan. 
Feb. 
March 
Apr. 
May 
Jun. 
Jul. 
Aug. 
Sep. 
Oct. 
Nov. 
Dec.
EURO EXCHANGE RATE DEVELOPMENT IN 2022
US dollar per euro
1.15
1.10
1.05
1.00
0.95
0.90
0.85

25 
 
Combined Management Report – Macroeconomic Environment
Business Development and Position
For Freudenberg, sales, operating result and return on 
sales are the key financial performance indicators. The 
key performance indicator of operating result de-
scribes the result before income tax without special 
effects (for example, significant restructuring ex-
penses), the profit or loss on disposals of assets, im-
pairment of goodwill, or results of major associated 
companies. The return on sales is calculated from the 
two key performance indicators of sales and operating 
result. 
In its internal reporting, Freudenberg uses the LDIFR 
(Lost Day Incident Frequency Rate) as a non-financial 
key performance indicator. It measures all accidents at 
work with at least one day of work lost per million 
hours worked. The indicator also includes data for 
temporary employees and agency staff. 
 
The forecasts made at the beginning of the year with 
respect to the financial and non-financial key perfor-
mance indicators are regularly reviewed and updated 
in the course of the year. The financial and non-finan-
cial key performance indicators presented are made 
available to the Board of Management on a monthly 
basis. This allows trends and changes to be identified 
in good time so that measures can be taken to coun-
teract any detrimental developments. 
The key financial performance indicators are used for 
assessing business success, the position and develop-
ment of the Group, and focus on sustainable growth 
and a continuous increase in enterprise value as indi-
cators for steering future, values-driven success. 
 
Our performance indicators developed as follows:  
 
FORECAST/ACTUAL COMPARISON FREUDENBERG 
 
ACTUAL 
2021 
Forecast for 2022 
Change 
ACTUAL 2022 
Sales [€ million] 
10,038.7 
slightly above prior-year level 
+17.1 % 
11,753.1 
Operating result [€ million] 
877.3 
marginally increased 
+7.4 % 
941.8 
Return on sales [percent] 
8.7 
at prior-year level 
-0.7 % points 
8.0 
LDIFR [LDI per million working hours] 
1.3 
at prior-year level 
+0.5 
1.8 
 
At €11,753.1 million, sales were noticeably higher 
than the prior-year level of €10,038.7 million, and as a 
result the forecast development was exceeded. The in-
crease despite challenging market conditions is mainly 
attributable to sales price increases as a result of infla-
tion and positive exchange rate effects.  
At €941.8 million, the operating result was higher 
than the prior-year level of €877.3 million and there-
fore above the forecast development. The rise is at-
tributable to sales price increases, largely offset by sig-
nificantly higher material and energy costs and higher 
earnings contributions from slightly higher sales vol-
umes. In addition, startup costs for expanding the bat-
tery and fuel cell business continue to be incurred.  
 
Once more, one focus at all levels of the company in 
the 2022 financial year lay on occupational safety. 
Measures in this area in 2022 again concentrated on 
rules for correct conduct and preventive measures to 
protect against the coronavirus. The internal Safety 
Boost initiative also continued in 2022. Under this in-
itiative, occupational safety activities are continu-
ally intensified and focused. Unsafe situations, acci-
dents at work, environmental incidents and fires 
with potentially high risks are analyzed and re-
ported throughout the Freudenberg Group. The 
LDIFR in the 2022 financial year was 1.8 (previous 
year: 1.3), and therefore did not meet the expected 
development. The rise is in part attributable to the 
fact that many restrictions related to the pandemic 
were lifted. 
BUSINESS DEVELOPMENT AND POSITION

26 
 
Sales 
Freudenberg aims for profitable growth achieved 
both through its own efforts (organic) and through 
acquisitions (external). Key success factors are, in par-
ticular, the innovative product range, customer-ori-
ented, flexible solutions to problems in the different 
sectors of industry, and structured expansion into at-
tractive markets and strategic business areas. 
In the 2022 financial year, Freudenberg generated 
sales of €11,753.1 million (previous year: 
€10,038.7 million). Exchange rate effects totaling 
€495.2 million had a positive effect on sales. These ef-
fects were primarily attributable to developments in 
the exchange rates of the US dollar, the Japanese yen 
and the Mexican peso. Acquisitions in the year under 
review accounted for sales of some €114.2 million. 
Disinvestment effects amounted to some €3.4 mil-
lion. This includes sales of acquired or disinvested 
companies for the period until they are included or 
not included, as the case may be, in the consolidation 
of the Freudenberg Group for a full twelve months.  
Sectors and regions  
Sales distribution by sectors remained generally sta-
ble in the 2022 financial year. The share of sales to the 
other industry sector rose slightly to 12 percent (previ-
ous year: 11 percent). In contrast, the share of sales to 
the mechanical and plant engineering sector de-
creased slightly to 10 percent (previous year: 11 per-
cent). There was no change in the share in total sales 
compared with the previous year for the remaining 
sectors.  
 
 
 
 
 
 
 
 
The North America region accounted for 29 percent of 
total sales (previous year: 26 percent). Freudenberg 
generated a share of 23 percent (previous year: 
24 percent) of total sales in the European Union ex-
cluding Germany. The Asia region accounted for 
21 percent (previous year: 23 percent) of total sales. 
 
 
 
 
 
 
 
 
 
Other 
industry 
sectors 12
Final users 12
Spare parts 
business 5
Energy and water 4
Chemical 3 
Medical and 
pharmaceutical 4
Textile 
and apparel 5
Construction 6
Mechanical 
and plant 
engineering 10
Automotive 
OEMs 39
SALES BY SECTOR [in %]
SALES BY REGION [in %]
Africa / Australia 2
Asia 21
South & Central
America 3
North America 29
Germany 15
EU (excluding 
Germany)
23
Other European 
countries 7

27 
 
Combined Management Report – Business Development and Position
Earnings position 
[€ million] 
2021 
2022 
Sales 
10,038.7 
11,753.1 
Cost of sales 
-6,904.7 
-8,259.5 
Gross profit 
3,134.0 
3,493.6 
Selling expenses 
-1,369.2 
-1,535.7 
Administrative expenses 
-637.2 
-702.5 
Research and development 
expenses 
-428.4 
-506.6 
Other income and expenses 
38.5 
51.6 
Income from participation in 
joint ventures 
26.0 
23.3 
Profit from operations 
763.7 
823.7 
Financial result 
14.5 
33.3 
Profit before income taxes 
778.2 
857.0 
Income taxes 
-191.1 
-217.4 
Consolidated profit 
587.1 
639.6 
    
At €11,753.1 million, sales in 2022 were above the 
level of the previous year. Gross profit fell by 1.5 per-
centage points. The selling expenses ratio decreased 
to 13.1 percent and the administrative expenses ratio 
to 6.0 percent.  
Compared with the previous year, there was an in-
crease in research and development expenses, alt-
hough the research and development expense to 
sales ratio remained at the prior-year level of 4.3 per-
cent. The increase in research and development ex-
penses reflects the continued growth in battery cell 
and fuel cell business. 
The financial result rose by €18.8 million compared 
with the previous year, chiefly as a result of the rise of 
€12.9 million in other investment result and the rise 
of €2.1 million in the pro rata share in the results of 
associated companies. 
The consolidated profit was €52.5 million higher than 
the figure for the previous year. 
Financial position 
Financing management 
Freudenberg SE and the central financing company 
Externa Handels- und Beteiligungsgesellschaft mit 
beschränkter Haftung, Weinheim, Germany, steer all 
the financing activities of Freudenberg, thus ensuring 
that Freudenberg has sufficient liquid funds. As a gen-
eral principle, companies obtain the financing they re-
quire via cash pool agreements or internal loans – for 
legal, fiscal and other reasons, financing in some 
countries also takes the form of bank loans guaran-
teed by Freudenberg SE. 
Freudenberg does not expose itself to financial risks 
through speculation with derivative financial instru-
ments but uses such instruments only for hedging, 
and therefore reducing, risks in connection with un-
derlying transactions and items. Future transactions 
are only hedged if there is a high probability of occur-
rence. In order to ensure the identification and man-
agement of all financing risks, the Freudenberg Group 
pursues a holistic approach to financial risk manage-
ment. The existing financial risks are identified and 
limited in an institutionalized control loop. 
Exchange rate risks on currency markets remain high. 
In addition, there continues to be volatility on the 
credit and capital markets. This also impacts the fi-
nancing conditions for industrial companies. In the 
opinion of the Board of Management, Freudenberg is 
in a good position to tackle these challenges thanks 
to its conservative finance policy. Liquidity measures 
include high reserves of liquid funds and committed 
credit lines with core banks. Liquid funds are always 
invested on the basis of internal directives. These call 
for the risk-based, limit-oriented diversification of fi-
nancial investments between issuers with an invest-
ment grade rating and for investment only for short 
terms. 
A key element in external borrowing is a long-term 
shareholder loan where the interest payable is ori-
ented towards market interest rates for the same 
terms plus a premium. 
As at December 31, 2022, Freudenberg had undrawn 
committed credit lines amounting to about €815 mil-
lion. The interest payable on the certificates of indebt-
edness (“Schuldscheindarlehen”) included in the

28 
 
liabilities to banks is based on variable and fixed com-
ponents. Further details on interest rate structure can 
be found in the section on interest rate risks in the 
Notes to the Consolidated Financial Statements. 
As in the previous year, the rating agency Moody’s 
Deutschland GmbH, Frankfurt am Main, Germany, 
rated Freudenberg SE, Weinheim, at “A3”, with a sta-
ble outlook in the year under review. The Group there-
fore continues to hold a single-A rating. 
This gives Freudenberg very good creditworthiness at 
investment grade level.
 STATEMENT OF FINANCIAL POSITION STRUCTURE 
 
 
 
 
 
Dec, 31, 
2021 
Dec, 31, 
2022 
Change 
 
[€ million] 
[€ million] 
[percent] 
[€ million] 
Asset structure 
 
 
 
 
Non-current assets 
7,401.3 
7,299.0 
-1.4% 
-102.3 
Current assets 
5,519.8 
5,851.9 
6.0% 
332.1 
Assets 
12,921.1 
13,150.9 
1.8% 
229.8 
Capital structure 
 
 
 
 
Equity 
6,490.5 
7,108.0 
9.5% 
617.5 
Non-current liabilities 
3,039.5 
2,558.5 
-15.8% 
-481.0 
Current liabilities 
3,391.1 
3,484.4 
2.8% 
93.3 
Equity and liabilities 
12,921.1 
13,150.9 
1.8% 
229.8 
 
 Capital structure 
In the 2022 financial year, the statement of financial 
position total rose by €229.8 million. The equity ratio 
increased from 50.2 percent to 54.0 percent. Equity 
rose by €617.5 million. This increase is chiefly due to 
the positive consolidated result. Actuarial gains on the 
remeasurement of defined-benefit pension plans also 
contributed to the increase in equity. These effects 
were partially offset by dividend payments to the par-
ent company Freudenberg & Co. KG and holders of 
non-controlling interests. 
Non-current liabilities amounted to €2,558.5 million 
(previous year: €3,039.5 million). This development 
was chiefly due to a reduction of €246.9 million in 
long-term financial debt and a fall in provisions for 
the previous year to a total of €604.9 million. The rea-
son for this development was the use of a higher in-
terest rate for calculations, resulting in actuarial gains.
The €93.3 million rise in current liabilities to €3,484.4 
million was chiefly the result of the increase in trade 
payables. This was partially offset by reduced short-
term other provisions and lower short-term financial 
debt.  
Adjusted for exchange rate effects and changes in the 
consolidated group, non-current liabilities fell by 16.1 
percent, while current liabilities increased by 1.5 per-
cent. As regards the currency structure, reference is 
made to the currency risk section of the Notes to the 
Consolidated Financial Statements. 
pensions and similar obligations from €808.8 million in

29 
 
Combined Management Report – Business Development and Position
Investments 
Adjusted for acquisitions, investments in intangible 
assets, tangible assets and investment properties 
amounted to €401.5 million (previous year: €304.8 
million). 
The Freudenberg Group invested worldwide. The new 
Business Group Freudenberg e-Power Systems began 
to expand its manufacturing and assembly capacities 
for the production of battery systems at Midland, USA. 
At Parets des Vallès in Spain, Freudenberg Sealing 
Technologies started work on the construction of a 
highly advanced plant to manufacture elastomer 
products for the automotive industry. Vibracoustic ex-
panded its production and assembly capacities for 
bellows in Europe, the USA and Mexico. At its location 
in Škofja Loka , Slovenia, Freudenberg Performance 
Materials continued to invest in its needlepunch 
nonwovens plant. 
Investments in Germany totaled €144.3 million (previ-
ous year: €88.0 million). Freudenberg Performance 
Materials expanded its plant for gas diffusion layers (a 
key component of fuel cells) in Weinheim, Germany. 
Vibracoustic increased capacities for air spring produc-
tion in Hamburg, Germany. EagleBurgmann embarked 
on modernization projects for its innovation center at 
the Wolfratshausen facility and for the manufacture 
of mechanical seals and other products at Eurasburg. 
Investments planned for 2023 are likely to be financed 
from cash flow from operating activities and to have 
no major effect on net assets. 
Liquidity 
Cash flow from operating activities in the 2022 finan-
cial year amounted to €607.7 million, corresponding 
to a decrease of €254.1 million compared with the 
previous year. This fall was chiefly due to a significant 
rise in working capital. 
As a result of lower cash outflows for acquisitions, the 
negative cash flow from investing activities decreased 
from €-533.5 million in the previous year to €-434.2 
million. 
Cash flow from financing activities in the 2022 finan-
cial year was €-522.2 million (previous year: €-197.5 
million). The cash outflows mainly concerned the re-
payment of financial debts.  
On the basis of the assessment of the Board of Man-
agement, the Group can meet all of its payment obli-
gations without any restrictions.

30 
 
Assets 
The total assets of Freudenberg increased by €229.8 
million to €13,150.9 million (previous year: €12,921.1 
million). 
Non-current assets fell from €7,401.3 million to 
€7,299.0 million. This development was chiefly due to 
reductions in intangible assets, other non-current as-
sets and deferred tax assets. These falls were partially 
offset by the increase in tangible assets. Adjusted for 
exchange rate effects and changes in the consolidated 
group, non-current assets decreased by €90.4 million. 
Current assets rose by €332.1 million to €5,851.9 mil-
lion. This rise was due chiefly to increases of €311.8 
million in inventories and €335.7 million in current re-
ceivables. The increase was partially offset by the fall 
of €358.9 million in cash and cash equivalents. Ad-
justed for exchange rate effects and changes in the 
consolidated group, current assets rose by a total of 
€301.0 million. 
 Overall assessment 
The 2022 financial year was shaped by a difficult eco-
nomic and geopolitical environment chiefly affected 
by the consequences of the war in Ukraine and by the 
continuing impact of the COVID-19 pandemic – espe-
cially in China. Nevertheless, both the sales and the 
operating result of the Freudenberg Group were above 
the level of the previous year. The Business Groups 
benefited from higher sales prices. On the other hand, 
significant increases in material prices had a negative 
impact on the result. 
As in previous years, Freudenberg continued to invest 
in the future viability of the Group in 2022. In addition 
to customer orientation, key topics were the transfor-
mation in mobility, digitalization and sustainability. 
Special mention should be made of investments in 
the battery and fuel cell business. Freudenberg aims 
for profitable growth which may come both from its 
own resources and from acquisitions. In a volatile en-
vironment and especially in times of crisis, it is benefi-
cial to be a broadly diversified company. We continue 
to aim for a balanced portfolio of cyclical and non-cy-
clical business with sales distributed evenly among 
North and South America, Europe and Asia. The liquid-
ity situation of Freudenberg remains solid. 
Furthermore, occupational safety continued to be one 
of the main focuses of the Group in the 2022 financial 
year. To ensure continuous improvement, develop-
ment work continued on existing measures and inno-
vative approaches were added. In the year under re-
view, the non-financial performance indicator LDIFR 
was 1.8 (previous year: 1.3). 
Against the backdrop of our solid net assets and finan-
cial position and our high-earnings business, our over-
all assessment of the economic position of the Group 
is positive.

31 
 
Combined Management Report – Business Development and Position
Review of Operations by Business Area
The Freudenberg Group’s eleven Business Groups are divided into four Business Areas: “Seals and Vibration Con-
trol Technology”, “Technical Textiles and Filtration”, “Cleaning Technologies and Products”, and “Specialties”. 
They focus on long-term, sustainable and profitable growth.  
Together with its partners, customers and the world of science, the Freudenberg Group aspires to develop cut-
ting-edge products, excellent solutions and services for some 40 market segments and thousands of applica-
tions in the spirit of the positioning that reads “Freudenberg is a values-based technology group that best serves 
its customers and society’’.
Seals and Vibration Control Technology Business 
Area 
In the year under review, the Seals and Vibrations 
Control Technology Business Area comprised the fol-
lowing Business Groups: 
• Freudenberg Sealing Technologies (from page 32) 
• Freudenberg e-Power Systems (from page 35) 
• Freudenberg Oil & Gas Technologies (from page 36) 
• EagleBurgmann (from page 38) 
• Vibracoustic (from page 41) 
Sales in this Business Area amounted to €6,067.1 mil-
lion (previous year: €5,135.4 million). The headcount 
at the close of the financial year was 30,449 (previous 
year: 29,111). 
Technical Textiles and Filtration Business Area 
In the year under review, the Technical Textiles and Fil-
tration Business Area comprised the following Busi-
ness Groups: 
• Freudenberg Performance Materials (from page 44) 
• Freudenberg Filtration Technologies (from page 47) 
• Japan Vilene Company (from page 50) 
In total, the Business Area generated sales of 
€2,760.2 million (previous year: €2,413.4 million) in 
the last year. At year-end 2022, the headcount was 
10,943, compared with 11,227 at the end of the previ-
ous year. 
Cleaning Technologies and Products Business Area 
In the year under review, the Cleaning Technologies 
and Products Business Area comprised the following 
Business Group: 
• Freudenberg Home and Cleaning Solutions  
(from page 52) 
 
Sales in this Business Area amounted to €1,285.4 mil-
lion (previous year: €1,140.2 million). The headcount 
at the close of the financial year was 3,300 (previous 
year: 3,279).  
 
 
 
Specialties Business Area 
In the year under review, the Specialties Business Area 
chiefly comprised the following Business Groups: 
• Freudenberg Chemical Specialities (from page 55) 
• Freudenberg Medical (from page 58) 
Overall, the companies in this Business Area gener-
ated sales totaling €1,902.2 million (previous year: 
€1,593.1 million). At year-end 2022, the headcount 
was 6,770, compared with 6,219 at year-end 2021. 
 
REVIEW OF OPERATIONS BY BUSINESS AREA

32 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
2,199.9 
2,455.5 
Workforce 
13,492 
13,384 
    
 
Seal assembly in the clean room for accumulator production at 
Freudenberg Sealing Technologies in Remagen
Business Group profile 
Freudenberg Sealing Technologies is a long-standing 
technology expert and global market leader for de-
manding and novel sealing technologies for applica-
tions in several different industries, and in particular 
in e-mobility.  
With its unique materials and technology expertise, 
the company is a proven supplier for demanding 
products and applications, as well as a development 
and service partner to customers in the automotive 
industry and in general industries.  
The Corteco brand is a specialist for the independent 
automotive spare parts market. 
Business development (summary) 
• Challenging market environment due to many lock-
downs in China, difficulties with raw materials sup-
ply, and high inflation 
• Significant year-on-year sales growth for the Busi-
ness Group  
• High price increases for materials were largely 
passed on to customers 
• Appreciable growth in Freudenberg Sealing Tech-
nologies business in Europe and North America 
• Freudenberg Sealing Technologies business in 
China did not meet expectations  
FREUDENBERG SEALING TECHNOLOGIES

33 
 
Combined Management Report – Review of Operations by Business Area
Business development (in-depth) 
Business at Freudenberg Sealing Technologies devel-
oped well in 2022, despite difficult market conditions, 
such as the war in Ukraine, several COVID-19 lock-
downs in China, difficulties with the supply of raw 
material and commodities, and high inflation. Overall, 
the Business Group grew sales by 12 percent – driven 
by positive exchange rate effects, higher demand in 
almost all market segments, and across-the-board 
sales price increases. 
Freudenberg Sealing Technologies business in Europe 
and North America grew appreciably year-on-year by 
nine, respectively 25 percent. Business in China, on 
the other hand, did not meet expectations, due to 
several COVID-19 lockdowns and the associated pro-
duction shut-downs and delivery problems as well as 
the drop in market demand in the general Industry 
sector.  
Key events 
• Transformation into a supplier of technology and 
components for e-mobility and other alternative 
drive technologies well on track 
• DIAvent pressure equalization element is innova-
tion highlight  
• Several awards as top employer and for corporate 
citizenship 
In April 2022, Freudenberg Sealing Technologies Bat-
tery & Fuel Cell Systems Division was hived off into a 
new independent Business Group named Freuden-
berg e-Power Systems. Freudenberg Sealing Technolo-
gies had successfully established business in fuel cells 
and battery systems since 2018.  
Freudenberg Sealing Technologies used 2022 to pro-
gress further with the transformation from an estab-
lished provider of seals for internal combustion en-
gines to a supplier of technology and components for 
e-mobility and other alternative drive technologies. 
The Business Group Divisions built up extensive prod-
uct portfolios for new electric drivetrain applications. 
At the end of 2022, the vast majority of new enquiries 
from automotive customers related to e-mobility ap-
plications.  
Innovations such as the DIAvent pressure equalizing 
element are and will remain the drivers of this trans-
formation: The hermetically sealed housings of lith-
ium-ion batteries for vehicles must be equipped with 
special devices that perform the necessary pressure 
equalization. DIAvent combines several functions in a 
single component: pressure equalization during nor-
mal operation, fast and reliable opening for emer-
gency degassing in a worst-case scenario – the ther-
mal runaway of a cell – and subsequent closing after 
pressure equalization. The element thus not only en-
sures significantly greater safety, but is also more ro-
bust than conventional solutions. What started out in 
development as a single product has now become a 
complete DIAvent product family with a broad range 
of applications. Numerous industrial-scale orders 
have been placed by vehicle manufacturers and bat-
tery producers.  
Nomination of the DIAvent pressure equalization ele-
ment for the Automotive News PACE Award 2022 is 
confirmation that Freudenberg Sealing Technologies 
has established itself on the e-mobility market. The 
prestigious annual award from the US "Automotive 
News" newspaper is given to automotive suppliers in 
recognition of a technological innovation in product 
or process.  
DIAvent is one of several promising innovations from 
the Business Group. Others new developments in-
clude the flame barrier fabrics and heat shields as 
well as established products such as the Plug&Seal 
connectors.  
For the automotive industry, electromagnetic shield-
ing is a key issue for the future, because effectively 
protecting the many electronic components and sys-
tems in electric vehicles from disruptions caused by 
electromagnetic waves is a major challenge. "Seal & 
Shield" is the name of one possible solution marketed 
by Freudenberg Sealing Technologies to meet this 
challenge. Coatings with a high level of electric con-
ductivity that deflect electromagnetic waves from the 
surface of plastic housings were developed. The pro-
tective coating, the plastic housing and its seal create 
a single unit. The Business Group's "Seal & Shield" so-
lutions were nominated for the Altair Enlighten 
Award 2022. The award honors the greatest sustaina-
bility and lightweighting advancements that success-
fully reduce carbon footprint, mitigate water and

34 
 
energy consumption, and leverage material reuse and 
recycling efforts. 
Freudenberg Sealing Technologies also applies its ex-
pertise in fuel cell sealing solutions to develop ad-
vanced sealing solutions for electrolyzers. By bonding 
its sealing materials to electrolyzer stack plates, the 
company offers customers plate units designed to op-
timize sealing performance in aggressive electrolyzer 
environments. 
Freudenberg Sealing Technologies invested in ma-
chinery, plant and locations in the year under review. 
At the Lajosmizse site in Hungary, for example, the 
Business Group invested several million euros in a 
new workshop, a modern 300 square meter ware-
house and a roughly 1,200 square meter production 
hall. Automated production cells and a modern auto-
mated robot unit were also installed at the site. This 
investment brought a significant increase in manu-
facturing capacity and flexibility.  
The Business Group won several top employer awards 
in 2022. Freudenberg Sealing Technologies in Parets 
del Vallès, Spain, was recognized as a Best Workplace 
by the Great Place to Work international research and 
management consultancy. Freudenberg-NOK Sealing 
Technologies in Plymouth, USA, was honored with the 
Top Workplace Award 2022 from Detroit Free Press for 
the fifth time in succession. Furthermore, 
"Wirtschaftskammer Tirol" (Chamber of Commerce of 
Tirol) and "Kammer für Arbeiter und Angestellte" 
(Chamber of Labor) recognized Freudenberg Sealing 
Technologies in Kufstein, Austria, as an excellent 
training company.  
In addition, the Freudenberg Sealing Technologies lo-
cation in Pinerolo, Italy, was honored with the "Wel-
come. Working for Refugee Integration" award from 
the UN Refugee Agency for the third time. 
Location changes 
Ground-breaking for the new Freudenberg Sealing 
Technologies factory in Parets del Vallès, Spain, took 
place in September 2022. The factory is scheduled to 
commence operations in the second half of 2023. 
Given growing demand for elastomer products from 
the automotive industry, the factory is being entirely 
rebuilt. The new production facility will rank among 
the most modern and sustainable plants operated by 
Freudenberg Sealing Technologies. A photovoltaic ar-
ray will supply the site with green electricity. A highly-
efficient energy recovery system will deliver energy 
for HVAC applications and the factory will use waste 
heat from the machines for the heating and warm 
water system.  
The new Integrated Precision Solutions Lead Center 
facility in Emmerich, Germany, was commissioned in 
September 2022. Until then, the Lead Center operated 
two plants. What used to be the second plant was ex-
panded, because the former main plant located in a 
mixed zone near the inner city was no longer fit for 
the purpose of this project.

35 
 
Combined Management Report – Review of Operations by Business Area
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
0.0 
87.4 
Workforce 
0 
751 
    
 
An employee operating a rolling unit for aluminum foil at a 
stamping machine – this foil is used in lithium-ion batteries.  
Business Group profile 
The Freudenberg e-Power Systems Business Group 
was founded in April 2022. It bundles the Freuden-
berg Group’s activities in the field of emission-neutral 
energy storage and energy generation systems in the 
battery and fuel cell products segment. The Business 
Group specializes in challenging heavy-duty applica-
tions for road and maritime applications. The battery 
and fuel cell systems are used in trucks and buses as 
well as cruise ships and ferries. 
Business development / key events 
2022 was shaped by sales growth in the battery seg-
ment. Significant business growth at Freudenberg 
Battery Power Systems, LLC, Wilmington, USA, was at-
tributable to the delivery of battery systems to North 
American manufacturers of city and school buses. 
Strong momentum came from the U.S. administra-
tion’s financial incentives for switching to renewable 
energy together with initiatives to reduce harmful 
emissions. The Business Group made significant 
progress in fuel cell development with the installation 
of the first two 100-kilowatt methanol-powered sys-
tems on a cruise ship, together with type approval for 
the methanol fuel cell system from the international 
classification society RINA (Registro Italiano Navale). 
Preparations for further maritime and road-based 
projects are underway. The Business Group is cooper-
ating with ZF Friedrichshafen AG to develop a highly-
integrated complete electric drive solution for heavy-
duty commercial vehicles. 
Furthermore, the Business Group acquired the out-
standing ownership interest in XALT Energy, LLC, Wil-
mington, USA, from co-owners MBP Investors LLC and 
TK Advanced Battery, LLC, in early January 2023. Until 
then, Freudenberg had held a 50.1 percent stake. XALT 
Energy produces lithium-ion batteries, its subsidiary 
Freudenberg Battery Power Systems, LLC, Wilmington, 
USA, develops and produced complete battery sys-
tems.  
 
 
FREUDENBERG E-POWER SYSTEMS

36 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
70.2 
97.5 
Workforce 
376 
398 
    
 
A Freudenberg Oil & Gas Technologies employee tests a polymer 
sample at the material testing lab in Houston, Texas, USA. 
Business Group profile 
Freudenberg Oil & Gas Technologies is a global pro-
vider of critical sealing and connector solutions, niche 
products and services to the global energy market – 
including the oil and gas, renewable energies and al-
ternative energies market segments. The products are 
used in the drilling, extraction and processing of oil 
and gas, and enable energy generation from geother-
mal, tidal and solar sources. 
Freudenberg Oil & Gas Technologies develops and de-
livers products, technologies and services for a wide 
range of customers including oil and gas producers, 
original equipment manufacturers (OEMs), and engi-
neering and service companies that in turn provide 
technologies, equipment and services for onshore 
and offshore oil and gas production and energy gen-
eration systems throughout the world. The Business 
Group has its own materials and product testing lab 
in Houston, Texas, USA, and operates production and 
service centers in Canada, Malaysia, Norway, Singa-
pore, United Kingdom, United Arab Emirates and the 
USA. 
Business development (summary) 
• Recovery in upstream sector continued in the year 
under review 
• Number of drilling rigs grew worldwide in 2022  
• OPEC-plus countries cut oil production levels from 
October 2022 
• Business Group sales developed better than ex-
pected 
• All three Freudenberg Oil & Gas Technologies Stra-
tegic Business Units contributed to growth 
FREUDENBERG OIL & GAS TECHNOLOGIES

37 
 
Combined Management Report – Review of Operations by Business Area
Business development (in-depth) 
2022 saw the upstream sector of the oil and gas mar-
ket continue its recovery. Overall investments in this 
sector grew by 15 percent versus the previous year, 
with most of the increase coming from higher prices. 
Overall activity grew by around 28 percent year-on-
year, measured by the total number of drilling rigs in 
operation worldwide, although this level is still lower 
than the 2019 pre-corona pandemic level.  
The market again reverted to oversupply due to a 
slowing global economy, resulting in the OPEC-plus 
countries cutting oil production by some 100 million 
barrels per day from October 2022 in order to bring 
supply and demand back into balance.  
Russia’s invasion of Ukraine impacted the global oil 
and gas market in two ways: first, it disrupted the de-
livery of natural gas to Europe previously supplied by 
Russia. Second, it affected the overall supply chain for 
key components used in end products within the oil 
and gas industry, resulting in extended delivery times 
and higher prices. 
Freudenberg Oil & Gas Technologies’ activities contin-
ued to increase in the year under review. Sales by the 
Business Group developed better than expected. All 
three Freudenberg Oil & Gas Technologies Strategic 
Business Units contributed to growth.  
Key events 
• Demand for the Business Group’s prototype service 
continued  
 
• Offshore products successfully brought to land-
based applications 
 
• New high-integrity products commercialized    
 
In 2022, all Strategic Business Units at Freudenberg 
Oil & Gas Technologies continued to focus on product 
and market diversification, resulting in new product 
commercialization and market share growth.  
The Pressure Control Strategic Business Unit contin-
ued to gain share in the certified drilling and geother-
mal drilling markets in the year under review, and 
worked with the global energy company Chevron Cor-
poration to certify the Business Group’s proprietary 
Ultra annular seal to a continuous high operating 
temperature.  
Furthermore, the prototype service offered by 
Freudenberg Oil & Gas Technologies continued to be 
successful in the year under review. This service pro-
vides dedicated project management that brings to-
gether Freudenberg Oil & Gas Technologies’ leading 
expertise in engineering, manufacturing and testing. 
The Business Group first collaborates with its custom-
ers to develop sealing solutions based on Freuden-
berg Oil & Gas Technologies’ design and materials ex-
pertise, and subsequently uses its product develop-
ment and testing laboratory to provide verified, certi-
fied solutions tailored to the requirements of the in-
dustry. In addition, the Engineered Seals Strategic 
Business Unit commercialized new FFKM elastomers 
and a cross-linked PEEK thermoplastic for high pres-
sure and high temperature applications. 
The High Integrity Connectors Strategic Business Unit 
successfully brought Freudenberg Oil & Gas Technolo-
gies offshore products and technologies to land-
based applications, more specifically in West Texas, 
USA. Further key offshore projects were also won.  
New products commercialized by the Business Group 
in 2022 included a single bolt high integrity connector 
for pipeline applications, a patent-pending seal ring 
for use in flanges which shows reductions of fugitive 
emissions of up to 99 percent versus conventional 
seals, and an all-electrically operated high integrity 
connector.

38 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
823.2 
917.7 
Workforce 
5,645 
5,883 
    
 
Assembling a seal supply system at the EagleBurgmann Business 
Group
Business Group profile 
EagleBurgmann is one of the leading international 
manufacturers of industrial sealing technology. The 
Business Group develops, manufactures and markets 
a broad range of high-quality products for pumps, 
compressors, agitators and special equipment. These 
sealing solutions are used where safety and reliability 
are most important, for example, in the (petro-)chem-
ical industry and refineries, the pharmaceutical as 
well as the food processing industry, power plant 
technology or water applications.  
Throughout the world, EagleBurgmann offers its cus-
tomers sealing solutions that enable entire sectors of 
industry to become more sustainable and “greener”. 
A dense sales and service network ensures the best 
possible customer proximity and is optimally comple-
mented by digital offerings.  
 
Business development (summary) 
• EagleBurgmann once again global first fit market 
leader 
• Double-digit growth rates in energy, water and oil 
& gas sectors 
• Pronounced increase in incoming orders in year un-
der review 
• Rising prices and disrupted supply chains particu-
larly challenging 
• Growth in digital business activities as digital chan-
nels expanded  
EAGLEBURGMANN

39 
 
Combined Management Report – Review of Operations by Business Area
Business development (in-depth) 
EagleBurgmann successfully defended and expanded 
its position as the global market leader in the first fit 
market (OEM business). The Business Group thus also 
laid the foundation for robust development of the 
profitable aftermarket in services and spare parts. Ea-
gleBurgmann recorded above-average growth in the 
aftermarket during the year under review.  
In terms of applications, sales growth was especially 
evident in products for agitators, mixers and knead-
ers. Furthermore, the Business Group was particularly 
successful in the core market segments of energy and 
water, where double-digit growth was recorded. At 
the same time, the oil and gas market witnessed a re-
vival. There, too, the Business Group reported double-
digit growth.  
There was a pronounced increase in incoming orders 
for the year as a whole. This offers positive prospects 
for the Business Group for the coming financial year. 
Major challenges in 2022 came in particular from ris-
ing prices on raw material markets and supply chain 
disruptions.  
Digital sales channels were professionalized by fur-
ther developing the online shop and improving many 
aspects of online sales. This met with a positive re-
sponse from customers, as confirmed by growth in 
EagleBurgmann’s digital activities. 
Key events 
• Several new contracts in the "Major International 
Projects" business area 
• Delivery of mechanical seals for world’s largest sea-
water desalination plant  
• Products from the Business Group prevent me-
thane emissions  
• New market segments gain importance due to the 
energy transition 
EagleBurgmann concluded several new contracts in 
the "Major International Projects" business area. Un-
der one such project, for example, EagleBurgmann is 
supplying seals and sealing systems for a refinery be-
longing to the Chinese company Hengli Group. This 
project represents progress in EagleBurgmann's busi-
ness development in Asia. 
In addition, the Business Group supported construc-
tion of the world’s largest seawater desalination plant 
in the year under review. The plant is being built near 
Tel Aviv at a total investment of almost half a billion 
euros. Once built, it will desalinate an annual 100 bil-
lion liters of water and convert it into potable and in-
dustrial process water for over 1.5 million people, 
thus meeting 20 percent of Israel’s water needs. A re-
verse osmosis process is used to purify the water. This 
physical process to remove substances dissolved in 
liquids uses pressure to reverse the natural osmosis 
process. EagleBurgmann supplied state-of-the-art 
SH3 and SH15 mechanical seals specially developed 
for extremely high pressures in water applications. 
Not only do they allow for a reliable and smooth oper-
ation but, thanks to their durability, they also help 
make the desalination plant more sustainable. 
At the World Climate Conference in Egypt, leaders 
and heads of state from all over the globe repeated 
their pledge to reduce methane emissions by 30 per-
cent by 2030. EagleBurgmann supplies products that 
help achieve this goal: one example is the CobaDGS 
mechanical seal that significantly reduces methane 
emissions from pipeline compressors used to 
transport natural gas. Another example is the RoTech 
booster, a gas seal booster that keeps gas seals relia-
bly clean during standby conditions and prevents 
venting the compressor, thus releasing methane to 
the environment. More widespread use of this equip-
ment can prevent the emission of several million 
tonnes of CO2 equivalent per year.  
New market segments are gaining importance due to 
the energy transition and the associated reduction in 
the use of fossil raw materials. EagleBurgmann is fo-
cusing more closely on projects concerning the use of 
hydrogen, energy storage and reducing emissions. 
The Business Group responded to technical chal-
lenges, both old and new, such as CO2 and hydrogen 
sealing issues, by engineering technologically-ad-
vanced sealing solutions for compressors and pumps 
for these critical applications. Developments in the

40 
 
fields of carbon dioxide and hydrogen continue to be 
closely monitored and are part of EagleBurgmann's 
strategy to assume technical market leadership with 
products such as the "Zero Leakage" range, thus con-
tributing to achieving new standards. 
In the year under review, EagleBurgmann also suc-
cessfully continued with a global project to reduce 
the complexity of the product portfolio and manage 
the portfolio intelligently. Going forward, there is to 
be a stronger focus on anticipating customers' needs 
and serving them efficiently using a toolkit system. 
Milestones in the EagleBurgmann Complexity Man-
agement Program in the year under review were 
modernized products manufactured using global 
modular processes. This aims to save costs, increase 
flexibility and counteract bottlenecks in raw materials 
and manufacturing capacity thanks to shorter deliv-
ery times. The Business Group also responded to per-
sistently higher material costs by expanding the 
global purchasing network.  
The digital transformation of the Business Group was 
a further important strategic project. EagleBurg-
mann's "Smart Seal Sensor" product line celebrated 
its market launch following the successful conclusion 
of the project with a Canadian pipeline operator. Go-
ing forward, smart products fitted with sensors will 
enable EagleBurgmann customers to digitally moni-
tor the operating parameters of mechanical seals, vis-
ualize their performance and process data on web-
based platforms.  
Location changes 
EagleBurgmann opened a new manufacturing facility 
in Valinhos, near São Paulo, Brazil. A workforce of over 
100 manufactures mechanical seals, expansion joints 
and supply systems at the new plant. The majority of 
EagleBurgmann customers in Brazil come from the 
chemical industry, mining, the oil and gas industry, 
and the refinery sector. The new facility was designed 
with a special focus on sustainability aspects such as 
energy supply and consumption. Valinhos is a further 
pillar in EagleBurgmann's global production network 
strategy. 
A major project for the future continued at EagleBurg-
mann's largest manufacturing location in Eurasburg, 
Germany. Over the period up to 2027, production of 
mechanical seals and other products is to be modern-
ized, automated and digitized. As a further step in 
this project, production was refocused and realigned, 
further manufacturing workstreams were restruc-
tured, and the internal flow of goods optimized.

41 
 
Combined Management Report – Review of Operations by Business Area
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
2,042.1 
2,509.0 
Workforce 
9,598 
10,033 
    
 
Engine mount production at the Vibracoustic facility in Martorell, 
Spain
Business Group profile 
Vibracoustic is a global leading NVH (noise, vibration, 
harshness) expert for the automotive industry and 
provides tailored solutions that offer more comfort, 
while contributing to efficiency, safety and the operat-
ing life of vehicles. Thanks to its know-how through-
out the entire product life cycle and in all vehicle sys-
tems, and its broad product portfolio, Vibracoustic 
provides solutions to current and future NVH chal-
lenges in all vehicle segments.  
With a global network of production and engineering 
sites, the Business Group supplies almost all light and 
commercial vehicle manufacturers as well as their di-
rect suppliers worldwide with components that sig-
nificantly improve driving comfort. 
Business development (summary) 
• Challenging environment for Vibracoustic   
• The Business Group nevertheless grew faster than 
the market and won orders in all regions, vehicle 
segments, and product and customer groups  
 
• Appreciable increase in Vibracoustic sales in the 
year under review primarily attributable to higher 
business volume  
 
VIBRACOUSTIC

42 
 
Business development (in-depth) 
The automotive industry was still clearly feeling the 
impact of the corona pandemic repercussions in 
2022. Added to this were new challenges either trig-
gered or exacerbated by the ongoing war in Ukraine.  
Increases in personnel and materials costs, supply 
chain bottlenecks and global vehicle production that 
remains well below the pre-corona level set the scene 
for a difficult market environment for Vibracoustic in 
the year under review. All Business Group sites con-
centrated on easing the challenging situation 
through cost control and efficiency improvements.  
Despite the difficult environment, Vibracoustic grew 
faster that the market thanks to the "Air Springs" 
product group and the favorable customer/vehicle 
mix. The Business Group won orders in all regions, ve-
hicle segments, and product and customer groups, 
thus strengthening the company's order backlog for 
future growth.  
Vibracoustic sales in 2022 grew more strongly than 
expected, mainly due to higher business volume.  
In addition, there were numerous discussions with 
customers concerning price adjustments and infla-
tion compensation. During these discussions, Vi-
bracoustic was able to push through price increases 
for its products and partially offset cost rises. 
Key events 
• New structure defined with four business divisions 
in future  
• Product innovations such as a new hydraulic level-
ing system launched  
• Intensive work on "Best Reach", "Best Cost" and 
"Best Quality" strategic topics  
Vibracoustic conducted a project in 2022 to evaluate 
the structure of its divisions in light of changing mar-
ket and customer needs. A new structure with four 
business divisions was defined: "Mounts", "Air 
Springs", "Damping and Decoupling", and "Commer-
cial Vehicles". Preparations to roll out this structure ef-
fective January 1, 2023, were made in the year under 
review. 
Market launches by Vibracoustic in 2022 included 
platforms in all regions and for all product groups. 
These included electric vehicles from premium Ger-
man, US and Chinese automotive brands, large SUV 
and commercial vehicle platforms, as well as compact 
vehicles for European car makers. 
Vibracoustic made large-scale investments in bellows 
manufacturing and assembly capacities in Europe 
and North America in response to significantly higher 
global demand for passenger car air springs. Further-
more, the company invested in the market launch of 
various rubber-to-metal products in 2022, above all in 
Germany, Spain, Poland, USA, Mexico and China. 
Vibracoustic rolled out product innovations, such as a 
hydraulic leveling system, in 2022. This technology is 
an innovative, cost-efficient ride height and suspen-
sion leveling system mainly for use in electric vehicles. 
It enables car manufacturers to offer ride height ad-
justability in lower segment cars.  
The Business Group also commercialized innovative 
decoupling solutions for auxiliary systems such as 
coolers, pumps and compressors, in electric vehicles. 
These mounting solutions safely decouple auxiliary 
components and increase durability as well as com-
fort both during the ride and when stationary, for in-
stance during fast charging.

43 
 
Combined Management Report – Review of Operations by Business Area
Vibracoustic continued its intensive work on its stra-
tegic topics of "Best Reach", "Best Cost" and "Best 
Quality" in the year under review. Aside from digitali-
zation initiatives, the focus was on the "Vibracoustic 
Energy Efficiency" sustainability program. Based on 
Freudenberg's "Be Energy Efficient" initiative, this pro-
gram aims to analyze and reduce energy consump-
tion, thus lowering CO2 emissions and saving energy 
costs. 
Location changes  
In light of market developments, Vibracoustic decided 
in the year under review to dissolve the joint venture 
called Vibracoustic-Ikhwezi (Pty) Ltd., East London, 
South Africa, and shut down the production facility in 
East London, South Africa. Relocation of the produc-
tion volume to other Vibracoustic manufacturing 
sites began in 2022. The facility in East London is to 
close during the first half of 2023.

44 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
1,320.4 
1,571.5 
Workforce 
4,927 
5,058 
    
 
Inside the clean room: producing PU foam for advanced wound 
care products
Business Group profile  
Freudenberg Performance Materials is a leading 
global supplier of innovative technical textiles for a 
wide range of markets and applications, including au-
tomotive, construction, apparel, energy, filter media, 
healthcare, building interiors, shoe and leather goods, 
as well as special applications.  
Business development (summary)  
• Business recovered throughout the first half of 
2022, but this was followed by a downturn in the 
second six months of the year  
• Very uncertain business climate, high raw material 
and energy prices, raw material availability and sup-
ply chain reliability proved challenging 
• Significant sales growth at Freudenberg Perfor-
mance Materials mainly shaped by growth in North 
America in the “Building Materials”, “Apparel” and 
“Carpets”, “Filtration”, and “Shoes” global segments 
• Strong demand for gas diffusion layers for fuel cells   
FREUDENBERG PERFORMANCE MATERIALS

45 
 
Combined Management Report – Review of Operations by Business Area
Business development (in-depth)  
Following the outbreak of the COVID-19 pandemic in 
2020 and the associated downturn on global markets, 
Freudenberg Performance Materials business re-
bounded significantly in 2021. This trend continued 
throughout the first half of 2022, but slackened no-
ticeably or even reversed in the second six months of 
the year. Overall, Freudenberg Performance Materials 
sales in the year under review clearly exceeded the 
level of the previous year.  
The very challenging business environment persisted 
in 2022 and continued to be shaped by a high degree 
of uncertainty. There were further significant in-
creases in raw material and energy prices during the 
course of the year under review, with prices at a sub-
stantially higher level than the previous year. Raw ma-
terial availability remained an uncertainty factor. 
Moreover, Freudenberg Performance Materials con-
tinued to face major challenges from global supply 
chain problems. This applied in particular with regard 
to the availability of transport containers as well as 
the COVID-19 lockdowns in China. 
The Business Group’s sales growth in the year under 
review was essentially shaped by growth in North 
America in the global segments of “Building Materi-
als”, “Apparel” and “Carpets”, “Filtration”, and “Shoes” 
and by “Coated Technical Textiles”. 
The “Building Materials” segment saw significant 
year-on-year sales growth. Very high demand from 
customers, particularly in the first half of the year, 
was met despite heavy pressure on supply chains. The 
second six months saw a decline in business com-
pared with the first half of the year.  
There was strong growth in the “Apparel” segment in 
2022, in part attributable to market recovery from the 
impact of the COVID-19 pandemic and to the 
stronger focus on functional apparel.  
Sales in the “Coated Technical Textiles” segment in-
creased in the year under review. The main growth 
drivers for business were industrial applications, truck 
tarpaulins and sun protection.  
The “Carpet” segment expanded on the back of 
strong business in North America. However, this 
business cooled off at global level during the second 
half of the year. 
Gas diffusion layer business benefited from contin-
ued growth in new mobility and again saw strong de-
mand. Even though production was expanded fur-
ther, it was still not possible to meet demand from all 
customers due to capacity limitations. Capacity ex-
pansion is currently underway and will substantially 
enhance production. This underscores the Business 
Group’s ambition to proactively shape the break-
through of fuel cell stack mass production for the mo-
bility transformation. 
Overall, the “Healthcare” segment saw positive devel-
opment during the year under review. Components 
for advanced wound care in particular contributed to 
this development. Transdermal business was trans-
ferred to Freudenberg’s Japan Vilene Company effec-
tive January 1, 2022.  
The automotive market remained volatile in the year 
under review, in part as a result of the COVID-19 lock-
downs in China and the continued shortage of chips. 
This reduced demand for products in this segment. 
The effects of the shortage were felt most severely in 
the Asia-Pacific market.  
The market for anti-condensation products in Europe 
and North America developed very well in the first 
half of the year under review. The business climate in 
Europe cooled down noticeably in the second six 
months. Demand on the American market, however, 
remained stable. 
Key events 
• New line for needle-punched nonwovens commis-
sioned at the Filc group production location in 
Škofja Loka, Slovenia 
• Installation of a new gas diffusion layer facility in 
Weinheim started 
• Ebbw Vale and Littleborough facilities in the United 
Kingdom awarded the first silver medals from 
EcoVadis 
A new line for needle-punched nonwovens was com-
missioned at the Škofja Loka, Slovenia,  production

46 
 
location of FILC tovarna filca d.o.o. Filc had reached its 
capacity limits due to high demand.  
Furthermore, the decision was taken to invest in a 
new line for EnkaMat products at the Changzhou site 
in China. EnkaMats are 3D matrix mats that prevent 
erosion. Despite possible COVID-19 restrictions, pro-
duction is scheduled to commence in 2023. 
Installation of a new factory for gas diffusion layers 
began in Weinheim during the year under review. It is 
planned to commence production in summer 2023. 
Approval to expand gas diffusion layer production ca-
pacity at the Weinheim location was given in the year 
under review in order to meet future demand in the 
high-growth market for fuel cell applications. Com-
missioning of the additional production plant is 
planned for October 2024.  
In light of market changes in the apparel market, 
Freudenberg Performance Materials is focusing on 
the manufacture of base materials for interlinings at 
the Weinheim location from 2023. Material finishing 
and coating will in future be bundled at the Italian 
site in Sant’Omero. To that end, machinery and plant 
must be relocated from Weinheim to Sant’Omero. Im-
plementation of the necessary infrastructure 
measures at the Sant’Omero site is already well ad-
vanced. Most of this work is to be completed in the 
first quarter of 2023. 
Toyota Boshoku Europe recognized FILC tovarna filca 
d.o.o., Škofja Loka, Slovenia, as one of the best suppli-
ers with the Silver TBEU Award in the category of 
quality. The jury praised the high quality of the com-
plex decorative material for car headliners and seats. 
The Ebbw Vale and Littleborough facilities in the 
United Kingdom were awarded the Silver Medal from 
EcoVadis, the provider of business sustainability rank-
ings. Freudenberg Performance Materials manufac-
tures solutions for advanced wound care and ostomy 
products at these two locations. With the award, 
EcoVadis recognized the company’s performance in 
the categories of environment, ethics, labor and hu-
man rights, and sustainable procurement.  
In 2022, Freudenberg Performance Materials in Kai-
serslautern, Germany, together with Freudenberg Fil-
tration Technologies and Freudenberg Medical, the 
two other Business Groups that operate at the 
location, received the state of Rhineland-Palatinate 
award for their exemplary contribution to the integra-
tion of severely disabled people into working life. The 
award recognizes the high proportion of disabled em-
ployees in the total workforce. The quota is just under 
15 percent, and is therefore even higher than the fig-
ure for 2016 when Freudenberg in Kaiserslautern was 
honored with a special award from the state of Rhine-
land-Palatinate.  
The independent jury at the leading ISPO trade fair 
nominated the 100 percent biodegradable thermal 
insulation comfortemp nature Lyocell HO 60x, made 
from Lyocell regenerated fibers, for the Textrends 
Award fall/winter 2024/25 season.  
Filc received the Golden Key Award from the US Rural 
Builder trade journal for its Dr!pstop product brand. 
The award honors consistently high quality and excel-
lent customer service. Over 30,000 readers of the 
magazine vote for the Golden Key Award winners.

47 
 
Combined Management Report – Review of Operations by Business Area
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
578.3 
677.0 
Workforce 
3,894 
3,552 
    
 
Freudenberg employees at work on the production line for mi-
cronAir cabin air filters with an activated carbon layer 
Business Group profile 
Freudenberg Filtration Technologies is a development, 
production and application specialist for air and liquid 
filtration. The Business Group’s solutions help make 
customers' industrial processes more efficient, con-
serve resources, protect people and the environment, 
helping improve quality of life.  
As a globally renowned partner for reliable, energy ef-
ficient filtration designs, Freudenberg Filtration Tech-
nologies is dedicated to competency in the automo-
tive & transport, energy & resources, hygiene, com-
fort & health, production & building technology in-
dustries and to technologically sophisticated special 
applications.  
System solutions such as the development, installa-
tion and the operation of complete filtration solutions 
as well as wide-ranging services for air and water 
quality management complement the innovative 
product portfolio. 
Business development (summary)  
• Business year shaped by numerous challenges, 
such as energy crisis, price increases, supply chain 
bottlenecks and labor shortages  
• Investments in key future topics, such as smart au-
tomation in production, digital solutions and 
strengthening innovation capabilities  
• Business development in automotive filtration and 
industrial filtration generally positive  
• Marked downturn in sales in the Consumer division 
due to weaker demand for indoor air purifiers 
• Integration of new "Residential & Commercial" divi-
sion develops as planned 
FREUDENBERG FILTRATION TECHNOLOGIES

48 
 
Business development (in-depth)  
The business year was shaped by several challenges. 
These included the war in Ukraine, the energy crisis, 
price increases, supply chain bottlenecks, a reluctance 
to spend triggered by the economic situation, and the 
COVID-19 pandemic. The sharp increases in energy, 
transport and raw material costs were offset by price 
adjustments. In addition, a considerable effort was re-
quired to prevent supply bottlenecks resulting from 
volatile supply chains. The impact of the growing la-
bor shortage in many countries was particularly no-
ticeable at some production facilities, above all in the 
USA. Rationalization measures in manufacturing op-
erations, activities to improve purchasing logistics 
and systematic cost and liquidity management con-
tributed to cushioning the negative effects. 
At the same time, Freudenberg Filtration Technologies 
is also focusing on important future topics: expand-
ing smart automation in production, shaping busi-
ness processes efficiently through Six Sigma Green 
and Black Belt training, the efficient use of digital so-
lutions, improving customer relations management, 
and strengthening innovation capabilities.  
Given the overall unstable geopolitical and economic 
situation, market development for filtration applica-
tions was generally satisfactory. Market momentum 
was shaped by the continued high need to protect 
people from contaminants and the necessity to opti-
mize industrial processes in terms of operating cost 
efficiency and sustainability. The year-on-year rise in 
sales at Freudenberg Filtration Technologies was 
chiefly attributable to growth in the industrial and 
automotive filter business, the two acquisitions in the 
USA that took place in 2021, and favorable exchange 
rate effects for the Business Group. 
Overall, business with automotive filters was good, 
and sales growth was recorded. The Business Group's 
Automotive team pressed ahead with expanding new 
segments such as buses and agricultural machinery 
through innovations and marketing campaigns, and 
recorded higher demand for air filters and humidifiers 
for fuel cell drivetrains. One example is the fuel cell fil-
ters supplied by Freudenberg Filtration Technologies 
for India's first zero-emission bus powered by hydro-
gen fuel cells. 
Demand for indoor air purifiers in Asia and North 
America weakened in the year under review as the 
market showed signs of saturation following the very 
high momentum during the pandemic and as con-
sumers were reluctant to spend in light of the weaker 
economic situation. This resulted in a marked down-
turn in sales in the Consumer division, and the Busi-
ness Group responded with flexible cost-cutting 
measures. Freudenberg Filtration Technologies ex-
pects the market to pick up again and believes it is 
well placed to respond with innovative products, 
modern production lines at the new facility in 
Shunde, and an experienced sales and development 
team.  
Business with industrial filters grew year-on-year, 
with increased sales in North America, India and 
South Africa in particular. The market position in the 
Middle East was expanded thanks to the successful 
acquisition of new customers. While sales in the stra-
tegic segments of gas turbines and compressors and 
industrial painting as well as general air filtration de-
veloped very well, there was a sharp downturn in or-
ders for respiratory mask media as a result of over-
supply. The production line for certified mouth-nose 
masks in Kaiserslautern set up at the beginning of the 
Corona pandemic was therefore shut down.  
In 2021, Freudenberg Filtration Technologies estab-
lished the new "Residential & Commercial" division 
with the acquisition of two residential air filter manu-
facturers in the USA. In 2022, the division performed 
well in a very competitive market environment. The 
post-merger integration process to integrate both ac-
quisitions in Freudenberg Filtration Technologies pro-
cesses and systems and leverage synergies and effi-
ciency improvements has so far proceeded to plan.

49 
 
Combined Management Report – Review of Operations by Business Area
Key events 
• One of the largest photovoltaic arrays in the entire 
Freudenberg Group was commissioned at the new 
location in Shunde, China   
• Business Group invested worldwide in productivity 
increases  
• Market launch of new products, such as new filter 
elements based on high-performance nano fiber 
media for fine particle filtration in vehicle cabins 
Freudenberg Filtration Technologies installed one of 
the largest photovoltaic arrays in the entire Freuden-
berg Group at its new location in Shunde, Foshan City, 
China, in the year under review. At over 9,500 square 
meters, the array will generate over 1.8 million kilo-
watt hours of electricity per year, and save more than 
1,100 tonnes of CO2 emissions. The new array can 
meet up to 20 percent of electricity demand at the 
Business Group's largest site worldwide. This invest-
ment is one of several measures aimed at achieving 
climate neutrality at the Business Group's own facili-
ties by 2039. 
Investments in productivity increases were also made. 
A further high-speed pleating machine for automo-
tive filters was commissioned in Kaiserslautern, Ger-
many. Investments in new standardized smart auto-
mation for manufacturing plant also progressed suc-
cessfully. Smart automation not only boosts the 
productivity of manufacturing plant, but also contrib-
utes to more sustainable production processes by re-
ducing cycle times. A further focus lay on reducing the 
number of physically demanding tasks through the 
use of cobot technologies. 
Investments in improving occupational safety and in-
creasing the level of automation were made at the 
production sites in the USA acquired the previous 
year. The optimization measures in warehousing and 
dispatching begun at the site in Weinheim, Germany, 
the previous year were successfully concluded. 
Freudenberg Filtration Technologies launched several 
new products: examples include new filter elements 
based on high-performance nano fiber media for fine 
particle filtration in vehicle cabins. A premium cas-
sette filter with lower flow resistance, longer service 
life and a new burst protection grid for safer 
operation was developed for the turbomachinery 
market segment. A new integrated filtration solution 
improves protection against harmful dust concentra-
tions in mining vehicles. One process technology in-
novation is a fully-automated impregnation method 
for activated carbon. 
Location changes 
In the USA, the site in Belvidere, Illinois, that has be-
longed to Freudenberg since 2021 was modernized 
and expanded. The nearby sites in Huntley and 
Walker were closed and operations relocated to Bel-
videre as well as the site in Keyes, also Illinois. Produc-
tion capacity at the facility in Pasadena, Texas, was ad-
justed following expiry of business with a major cus-
tomer. Some 100 jobs were affected.

50 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
514.7 
511.7 
Workforce 
2,406 
2,333 
    
 
Japan Vilene Company employees at the nonwovens production 
line at the Shiga facility, Japan  
Business Group profile  
Since it was established in 1960, Japan Vilene Com-
pany has been one of the leading nonwoven manu-
facturers on the Japanese market. The company’s 
motto ‘‘Engineering Fabric Innovation’’ exemplifies 
the Business Group’s long-standing material exper-
tise and extensive know-how in production processes 
and technologies as well as nonwoven processing.  
The Business Group’s “Automotive”, “Medical”, “Elec-
trical” and “Industrial” divisions offer a broad portfo-
lio of products for a wide range of applications. 
Business development (summary)  
• Business Group sales were slightly lower than the 
previous year 
• Sharp increases in material and energy process 
proved challenging  
• Mixed developments in individual sectors and 
world regions  
• Demand for car floor mats dropped in the year un-
der review  
JAPAN VILENE COMPANY

51 
 
Combined Management Report – Review of Operations by Business Area
Business development (in-depth)  
Japan Vilene Company sales in 2022 were slightly 
lower than the previous year. The sharp increases in 
material and energy prices were particularly challeng-
ing.    
Sales developments by the Business Group in the vari-
ous world regions were mixed. While there was a 
slight decrease in business in North America, Europe 
and the home market of Japan, sales in the rest of 
Asia (excluding Japan) saw growth.  
Japan Vilene Company’s performance in the various 
units and sectors was similarly mixed. Sales in the Ap-
parel & Amenity Division, for example, were lower as 
demand for medical protective clothing in the third 
year of the COVID-19 pandemic was down on the pre-
vious years. There was lower demand for headliners 
and car floor mats from Japan Vilene Company in the 
automotive industry, in part attributable to disrup-
tions in vehicle production in Japan and North Amer-
ica due to the shortage of vehicle parts. In contrast, 
Business Group sales of filters for use in buildings and 
factories in Japan increased in the year under review.   
Key events 
• Transdermal business transferred from Freuden-
berg Performance Materials  
 
• Focus on digitalization, productivity improvements 
and sustainability  
 
Japan Vilene Company took over the transdermal 
business from the Freudenberg Performance Materi-
als Business Group effective January 1, 2022. Japan 
Vilene Company has thus assumed responsibility for 
global transdermal business. The Business Group be-
gan direct transdermal nonwoven base material sales 
to customers in the USA and Europe in the year under 
review.  
A major tornado caused extensive damage to the fa-
cility of Hanns Glass GmbH & Co. KG, Meuselwitz, a 
German company belonging to Japan Vilene Com-
pany, in Paderborn, Germany, in May 2022. Production 
was interrupted for several weeks; most of the facility 
was again operational by the end of 2022. The site 
manufactures products for the automotive industry 
such as carpets and mats for car interiors. 
Alongside digitalization, sustainability was a further 
focus issue for the Business Group in 2022. Under 
Freudenberg’s “Sustainability drives Climate Action” 
sustainability project Japan Vilene Company identi-
fied energy efficiency potential – and thus also CO2 
savings potential – at the facilities in Shiga and Tokyo, 
both Japan.  
Companies belonging to Japan Vilene Company con-
stantly work on new products and services. One ex-
ample of these efforts comes from Korea Vilene Co., 
Ltd., Pyeongtaek-si, South Korea, a Business Group 
subsidiary, that launched a filter substrate already be-
ing used by manufacturers to build air purifiers for 
the health sector.  
Japan Vilene Company was again recognized for its 
achievements in 2022. Among other awards, Nissan 
honored Japan VIAM Co., Ltd., Moriyama, Japan, as the 
best supplier of car floor mats for the seventh year in 
succession. 
Location changes  
VITECH Manufacturing L.P., Hopkinsville, Kentucky, 
USA, a company belonging to Japan Vilene Company, 
ceased production of nonwovens for car headliners in 
July 2022. Production is being integrated in 
Vitechmex Nonwovens S.A. de C.V., Aguascalientes, 
Mexico, another unit in the Business Group. The goal 
is to serve customers even better and improve 
productivity.

52 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
1,140.2 
1,285.4 
Workforce 
3,279 
3,300 
    
 
Good working atmosphere: Freudenberg Home and Cleaning So-
lutions employees at the plant near Bologna, Italy 
Business Group profile 
Freudenberg Home and Cleaning Solutions is a lead-
ing international company for branded cleaning prod-
ucts and systems as well as laundry care products. 
The products are sold inter alia under the brand 
names Vileda, Vileda Professional, O-Cedar, Gimi, 
Oates, Gala, Wettex and Marigold. 
Detailed market expertise, innovations, effective new 
products and a strong customer focus all help the 
company succeed. International market and cus-
tomer research, innovation centers and production fa-
cilities in all regions of the world, as well as a dedi-
cated sales network in more than 35 countries, also 
help the company thrive. 
Business development (summary)  
• Double-digit sales increase for the Business Group 
through higher sales volume, price adjustments 
and favorable exchange rate effects 
• Persistently high material and transport costs 
proved challenging 
• Freudenberg Home and Cleaning Solutions con-
sumer business growth in the EMEA, North and 
South America and Asia regions 
• New sales record for Vileda Professional  
 FREUDENBERG HOME AND CLEANING SOLUTIONS

53 
 
Combined Management Report – Review of Operations by Business Area
Business development (in-depth)  
Overall, the consumer climate in 2022 was subdued. 
The reasons for this were high inflation and the asso-
ciated reluctance to spend.  
Freudenberg Home and Cleaning Solutions neverthe-
less won market share in its product segments. The 
double-digit year-on-year increase in Business Group 
sales is attributable to a higher sales volume, price ad-
justments and favorable exchange rate effects. Persis-
tently high material and transport costs impacted 
business development.  
Adjusted for exchange rate effects, Freudenberg 
Home and Cleaning Solutions consumer business in 
the EMEA region, i.e., the economic region comprising 
Europe, the Middle East and Africa, grew further in 
2022. Growth was driven in particular by the Spin 
Mop and Spray Mop floor cleaning products. Laundry 
care product sales also developed well, with sales 
rises in the high single-digit range.  
Freudenberg Home and Cleaning Solutions recorded 
double-digit growth in North and South America and 
grew its market share in all markets. In this region the 
Business Group was able to build on the success of 
EasyWring Spin Mop System in particular. This prod-
uct is the market leader in the US and Canada. The 
EasyWring RinseClean Spin Mop and the PetPro 
Broom and Dustpan innovations also made a signifi-
cant contribution to sales growth.  
In Asia, Freudenberg Home and Cleaning Solutions 
business continued to improve steadily and recorded 
double-digit growth in the 2022 financial year. Key 
growth drivers were strategic products such as Spin 
Mops and the Gala brand No Dust Broom in India. 
In the professional cleaning business, Vileda Profes-
sional not only more than made good the losses from 
the previous year as restrictions imposed during the 
pandemic were lifted in 2022, but also recorded 
growth and posted a new sales record. Sales grew in 
all regions and the global market position expanded. 
Particularly noteworthy are developments in the 
“Foodservice and Hotel” customer segment in the 
countries of Southern Europe as travel activity re-
bounded when most corona restrictions were lifted. 
Key events  
• Numerous innovations launched – these included a 
solution for communicating with cleaning profes-
sionals 
 
• Recognized with prestigious awards, including the 
Red Dot Design Award and the Clean House Award  
 
• In 2022, Freudenberg Home and Cleaning Solutions 
decided to change its business model for consumer 
business in Chile 
 
Innovations once again grew business for Freuden-
berg Home and Cleaning Solutions in 2022: one ex-
ample is the Vileda SUN-RISE rotary dryer in the laun-
dry care segment for the Europe, Middle East and Af-
rica economic region. The product is designed for dry-
ing laundry outdoors and its patented tensioning sys-
tem ensures the lines are always tight and do not sag. 
Furthermore, the lines can be fully retracted into the 
arms by means of a special closing system, keeping 
them clean from rain and dirt.  
The Vileda Looper and the Vileda JetClean Pet in the e-
products segments are examples of further innova-
tions:  
The Vileda Looper is a lightweight, cordless electric 
spray mop. The combination of rotating microfiber 
pads and the spray water function cleans floors ef-
fortlessly and thoroughly.  
The Vileda JetClean Pet is a further development of 
the Vileda-JetClean-3in1 suction mop for hard floors 
specially designed for pet owners.  
In the professional cleaning business, Vileda Profes-
sional expanded its portfolio in the strategically im-
portant segment of digitally-aided cleaning with the 
EviSense solution. EviSense is a digital sensor unit de-
signed for installation on cleaning equipment. 
EviSense connects with all mop heads and all rooms 
and communicates with them. The system supports 
cleaners by giving them useful information on when 
they need to change the mop head, which rooms 
have already been cleaned and what cleaning tasks 
still remain. The system was nominated for the “Inter-
clean Innovation Award” at the Interclean exhibition 
in 2022.

54 
 
The Business Group and its products were recognized 
with prestigious awards in 2022: the PetPro Broom 
and Dustpan from the O-Cedar brand were honored 
twice, receiving both the Red Dot Design Award and 
the Clean House Award from the Better Home and 
Gardens magazine. Furthermore, the Indian sales 
company was recognized with several industry 
awards for its #whyjustcleanhome marketing cam-
paign; under this initiative, the company cleaned up 
the streets of three big cities in preparation for the Di-
wali festival for the third year in succession.   
In 2022, Freudenberg Home and Cleaning Solutions 
decided to change its business model for consumer 
business in Chile. In order to maintain long-term prof-
itability, the Business Group decided to switch from 
the local sales company to a local distributor model 
by the end of the second quarter of 2023.

55 
 
Combined Management Report – Review of Operations by Business Area
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
1,257.3 
1,457.2 
Workforce 
3,817 
3,991 
    
 
These SurTec employees in Zwingenberg share a joke while clean-
ing a mobile mixing tank.
Business Group profile 
The Freudenberg Chemical Specialities Business 
Group comprises the operationally autonomous divi-
sions of Klüber Lubrication, Chem-Trend, SurTec, OKS 
and Capol.  
Klüber Lubrication is a leading manufacturer of spe-
cialty lubricants. Chem-Trend is one of the leading 
suppliers of release agents used to manufacture com-
posite, rubber, plastic, metal and polyurethane 
molded parts. SurTec is a globally active supplier of 
chemical specialties for surface treatment and elec-
troplating. OKS specializes in performance lubricants 
and in repair and maintenance products. Capol is a 
specialized provider of surface treatment products for 
the confectionary industry and pigments and natural 
flavors for the food industry. 
Business development (summary)  
• Successful year for Freudenberg Chemical Speciali-
ties  
• Growth in almost all regions and in key market seg-
ments  
• Sharp rise in cost prices for energy and raw materi-
als  
• Raw material shortages, logistic and supply chain 
problems proved challenging 
FREUDENBERG CHEMICAL SPECIALITIES

56 
 
Business development (in-depth)  
All Freudenberg Chemical Specialities divisions re-
ported a successful year. The five companies belong-
ing to the Business Group developed better than ex-
pected given the generally difficult economic environ-
ment. Demand was stable in key market segments 
such as automotive, food, renewable energy, textile 
and electronics.  
Sales growth is in part attributable to a higher busi-
ness volume, favorable exchange rate effects and 
price adjustments. The sharp rise in cost prices for en-
ergy, external services, materials and other consuma-
bles made these price adjustments necessary.  
Significantly higher inflation rates impacted custom-
ers’ purchasing power in many markets. Raw material 
shortages, logistic and supply chain problems contin-
ued to prove challenging.  
The situation for the teams in functional areas con-
cerned directly or indirectly with the continuity of 
business processes and uninterrupted deliveries to 
customers again proved challenging. However, the 
measures to safeguard business operations and com-
petitiveness introduced back in 2020 are proving their 
worth as efficient tools and thus making a contribu-
tion to stabilizing operational processes and main-
taining customer deliveries at a satisfactory level.  
While the first six months of 2022 still felt some of 
the impact of the COVID-19 pandemic, the opera-
tional level in the second half of the year almost re-
turned to normal, highlighting Freudenberg Chemical 
Specialities’ ability to adapt business processes to 
changed conditions. The Business Group outper-
formed its original business targets for the year as a 
whole. There was growth in almost all regional mar-
kets. The Americas, especially South America, posted 
strong growth. Developments on most Asia markets 
were at a level similar to the previous year, although 
Business Group companies felt the effects of the lock-
downs in China imposed by the government in con-
nection with China’s zero Covid policy. Growth in Eu-
rope was lower.  
 
 
Developments in the various divisions were as fol-
lows:   
With its specialty lubricants and the associated ser-
vices, Klüber Lubrication reported growth in most of 
its market segments. Volatility in certain markets seg-
ments was more than offset by growth elsewhere.  
Chem-Trend, the release agent and process chemicals 
specialist, also posted stable development, even 
though demand from customers in some key indus-
tries, such as thermoplastics, weakened.  
The total sales volume at SurTec in the chemical sur-
face treatment market such as the construction and 
electronics industry and decorative and functional 
electroplating, was lower than expected.  
Development of Capol, a supplier of confectionary fin-
ishing products and other food additives, was stable 
and outperformed the sales figures for 2021.  
OKS, the specialist for products for chemotechnical 
maintenance and repair also recorded growth. Meas-
ured against the other divisions this growth was 
smaller, as demand from specialist retailers for pro-
cess chemical materials and maintenance products 
decreased due to volatile industrial production. Fur-
thermore, global distribution problems proved chal-
lenging. 
Key events  
• SurTec acquired omniTECHNIK Mikroverkapselungs 
GmbH, a specialist in thread locking products  
• Integration of acquisitions in 2021 successfully con-
cluded 
• Klüber Lubrication was the only lubricant manufac-
turer to receive a top supplier award for innovation 
and sustainability from leading automotive sup-
plier Schaeffler 
SurTec International GmbH, Bensheim, Germany, ac-
quired omniTECHNIK Mikroverkapselungs GmbH, 
Munich, Germany. The transaction also includes the 
acquisition of all the shares in the joint venture Pre-
cote USA LLC, East Lansing, Michigan, USA, by SurTec 
subsidiary SurTec Inc., Upper Arlington, Ohio, USA. The 
acquisition contract lays the foundations for the two

57 
 
Combined Management Report – Review of Operations by Business Area
companies to be integrated in the SurTec Group in the 
future. 
TRAXIT started operations at its production facility in 
Huzhou, China, in November 2020. The plant also 
meets more stringent requirements in terms of effi-
ciency, sustainability and environmental protection 
and is designed for growth. This includes expansion 
capacity to accommodate administrative functions, 
laboratories, quality management, production and 
warehousing in the future. The second, older TRAXIT 
production facility in Tianjin, China, had reached its 
capacity limit with no prospect of further expansion 
to meet the growing demand from customers antici-
pated for the future. These were the main reasons be-
hind the decision taken during the year under review 
to discontinue production in Tianjin and relocate pro-
duction capacities from Tianjin to Huzhou. Relocation 
will be completed in 2023. 
All business of Italtecno Srl, Modena, Italy, acquired by 
SurTec in 2021 has been fully integrated. The same 
applies for Deurowood GmbH, Hard, Austria, acquired 
in 2021, which has now been fully integrated in 
Chem-Trend business.  
Special project groups in the five divisions deliver sig-
nificant input to enhance sustainability in terms of 
protecting natural resources, internal added value. 
and at customer level, resulting in major progress in 
strategic portfolio and innovation management. 
Freudenberg Chemical Specialities presented Opera-
tional Excellence Awards for the first time to encour-
age greater awareness of the significance of opera-
tional excellence projects in its five divisions. Five 
awards for outstanding achievements were pre-
sented. 
Klüber Lubrication was the only lubricant manufac-
turer to receive a top supplier award for innovation 
and sustainability from leading automotive supplier 
Schaeffler. Furthermore, Klüber Lubrication received a 
gold rating and a Gold Award from EcoVadis – a 
global provider of sustainability rankings for compa-
nies that has conducted tens of thousands of audits 
in recent years.

58 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2021 
2022 
Sales [€ million] 
232.1 
327.2 
Workforce 
2,037 
2,404 
    
 
A snapshot of catheter manufacturing at the facility operated by 
VistaMed, a Freudenberg company, in Carrick-on-Shannon, Ireland
Business Group profile 
Freudenberg Medical is the global partner for the de-
sign, development and production of innovative med-
ical devices that play a critical role in a variety of medi-
cal and pharmaceutical procedures. All products help 
improve people’s health every day – everywhere 
around the globe.  
The portfolio includes complex catheters, hypotubes, 
engineered needles, balloons and coating solutions 
for minimally invasive procedures as well as precision 
molded components, medical silicone and plastic 
tubing 
Business development (summary)  
• Medical device market continued its recovery in nu-
merous countries in the year under review 
• Freudenberg Medical benefited from increased de-
mand for products needed to fight the COVID-19 
pandemic 
• Significant year-on-year increase in Business Group 
sales due to the launch and ramp-up of innovative 
products 
FREUDENBERG MEDICAL

59 
 
Combined Management Report – Review of Operations by Business Area
Business development (in-depth)  
In 2022, the medical device market in numerous 
countries continued to rebound from the downturn 
caused by the COVID-19 pandemic. Elective surgical 
procedures were postponed during the peak phases 
of the pandemic, resulting in a decline in demand for 
medical devices. The backlog of such operations de-
creased during the year under review. The market for 
medical devices was nevertheless impacted by the 
sharp rise in inflation, raw material and labor short-
ages as well as shipping and logistics delays in 2022. 
However, since the healthcare sector has priority ac-
cess to critically needed raw materials and services, 
large-scale production shutdowns were avoided. 
In the year under review, Freudenberg Medical bene-
fited from demand for products that were needed to 
fight the COVID-19 pandemic. These included ther-
moplastic components for diagnostic testing devices 
and silicone tubing. The Business Group supplies the 
latter to pharmaceutical companies that produce the 
COVID-19 vaccines needed worldwide. The silicone 
tubing meets the highest quality and regulatory re-
quirements because it comes into direct contact with 
the drugs. 
Freudenberg Medical continued to outperform the 
market in the year under review and recorded a signif-
icant year-on-year increase in sales. This is due to the 
launch and ramp-up of innovative products that help 
to improve patients’ quality of life. Examples include 
the introduction of the nasal inhaler against migraine 
headaches, a Ranger Paclitaxel drug-coated balloon to 
treat peripheral artery disease, and diagnostic testing 
devices to identify most viral and bacterial respiratory 
infections. 
Key events 
• Increase in shareholding in Cambus Teoranta, Spid-
dal, Ireland  
• Virtual reality training for catheter manufacturing 
employees 
A key investment project to increase capacity was the 
expansion of a class 7 clean room at the facility in Ala-
juela, Costa Rica. The new production capacity was 
commissioned in the fourth quarter of 2022. Other 
investments by the Business Group in the year under 
review included medical coating lines, state-of-the-art 
injection molding equipment, and the expansion of 
automation capabilities at production sites. 
In March 2022, Freudenberg Medical acquired a fur-
ther 4.9 percent share in Cambus Teoranta, Spiddal, 
Ireland, bringing its total shareholding to 94.9 per-
cent. The company develops and manufactures tech-
nologically advanced hypotubes and specialty nee-
dles. Going forward, Cambus will operate in the mar-
ket as “Freudenberg Medical”; to that end, a rebrand-
ing process launched in the year under review will be 
completed in 2023.  
Robust and repeatable processes are paramount in 
the highly-regulated medical device market. To meet 
these requirements and maintain competitiveness, 
Freudenberg Medical established a center of excel-
lence for automation integration into molding, coat-
ing, and assembly processes. The significantly higher 
number of internally-developed automation solutions 
makes the Business Group less dependent on work-
force fluctuations and high labor costs. Fluctuation 
and the associated induction of employees on the 
shop floor remain a major challenge for Freudenberg 
Medical. That applies in particular to highly-special-
ized manual catheter manufacturing, where many 
process steps must be accomplished under magnifi-
cation. In the year under review, Freudenberg Medical 
replaced traditional training that required line down-
times and tied up needed resources by training in a 
virtual environment where employees train at their 
individual pace. This is also more sustainable as train-
ing scrap is widely reduced.

60 
 
Major events after the date of the statement of finan-
cial position which are not included either in the 
statement of profit or loss or the statement of finan-
cial position are explained in the Notes to the Consoli-
dated Financial Statements under the section “Major 
events after the date of the statement of financial po-
sition.”
REPORT ON EVENTS AFTER THE DATE OF THE STATEMENT OF 
FINANCIAL POSITION

61 
 
Combined Management Report – Report on events after the date of the statement of financial position
Report on Opportunities and Risks
Freudenberg is exposed to numerous opportunities 
and risks inseparably associated with business activi-
ties. Monitoring technological, political and social 
changes in particular is part of proactive entrepre-
neurship. This often generates opportunities to be 
harnessed in order to secure and specifically improve 
the company’s competitiveness. Opportunities are ad-
dressed in the context of the annual planning process 
and pursued and reported throughout the year. Long-
term opportunities for profitable growth are, inter 
alia, identified as part of the strategy process. 
Freudenberg operates a Group-wide risk manage-
ment system to identify risks in a timely fashion and 
respond to them appropriately. Newly-acquired com-
panies can temporarily increase the Group’s risk pro-
file as described below until the integration process 
has been completed. The following presentation is in 
line with the assessment of the Board of Manage-
ment. 
Opportunities 
Global presence 
Due to its global presence, Freudenberg has for many 
years been able to offer products and services at uni-
form worldwide standards. As a result, Freudenberg 
can keep pace with the international strategies of its 
customers, for example in production or research and 
development. Traditionally, Freudenberg has also lev-
eraged this expertise for many customers from Europe 
or North America in emerging economies. Vice versa, 
some progress is being made to successfully support 
the international strategy of customers from emerg-
ing economies entering the market in Western Eu-
rope. If this trend were to intensify in the future, 
Freudenberg could generate additional benefit from 
its global network.  
Investments in strategic growth areas and regions 
A central element of strategic planning is the continu-
ous evolution of existing business through product 
and process innovations with a view to achieving prof-
itable, significantly faster-than-market growth in ex-
isting business areas. This is also accomplished by ex-
panding the portfolio through selective, targeted ac-
quisitions in order to close identified technology gaps 
and gain access to new markets. The successful 
growth strategy in the defined areas therefore contin-
ues. Examples in 2022 include the acquisition of om-
niTECHNIK Mikroverkapselungs GmbH, Munich, Ger-
many, and Precote USA LLC, East Lansing, Michigan, 
USA. Options to acquire new areas of business that 
complement Freudenberg are also examined. In the 
long term, Freudenberg’s goal is a strategically bal-
anced portfolio of cyclical and noncyclical businesses 
with sales distributed evenly among the regions of 
North and South America, Europe and Asia.  
REPORT ON OPPORTUNITIES AND RISKS

62 
 
Forward-looking product development 
Social trends, ecological imperatives and the regula-
tory environment are constantly changing. Changes in 
consumer behavior and growing expectations of prod-
ucts and services, for example with regard to the sus-
tainability of products and their manufacture or to 
compliance with human rights throughout the supply 
chain, are key drivers in the search for innovative solu-
tions, new raw materials and recycling opportunities. 
Significant market potential and opportunities for the 
future lie in the systematic focus on such changes and 
the Group’s ensuing innovation activities at as early a 
stage as possible. Freudenberg’s sustainability criteria 
for product development are material consumption, 
waste and saving energy along with reducing emis-
sions and water consumption. The Group-wide “Sus-
tainability drives Climate Action” program coordinates 
the special focus on saving energy and reducing CO2 as 
well as the Group’s positioning on climate protection 
and climate change. Several Business Groups offer 
new products that reduce fugitive emissions by up to 
99 percent compared to conventional sealing solu-
tions, thereby reducing the release of toxic substances 
into the environment or increasing the process effi-
ciency or longevity of future-oriented facilities. 
Mobility 
The term “new mobility” as used by Freudenberg de-
scribes solutions offered to customers spanning the 
entire spectrum of drive technologies, such as opti-
mized internal combustion engines, hybrid solutions, 
battery electric vehicles and fuel cell systems. Gas dif-
fusion layers from Freudenberg are a performance-de-
fining component in fuel cells. Traditional products 
such as the classic Simmerring have been advanced 
further through targeted efforts to develop special 
conductive properties for applications in electric mo-
tors. Special seals for use in fuel cells, and components 
for the electromagnetic shielding of high-voltage 
parts in electric powertrains open up further fields of 
application, some of them entirely new. An innovative 
membrane product for use in batteries combines 
pressure equalization during normal operation, open-
ing for emergency degassing and subsequent closing 
after pressure equalization in a single component. Air 
spring systems that optimize passive cooling of bat-
teries installed in the floor pan are used in electric ve-
hicles and hybrid models. Freudenberg’s filter systems 
feature in all types of vehicle, including those powered 
by batteries or fuel cells.  
Applications for trucks, buses and ships are developed 
in collaboration with partners. Freudenberg’s strength 
as a partner lies in its broad-based line-up, together 
with its industrialization know-how and its technol-
ogy and materials competence, for example, its bat-
tery and fuel cell expertise.  
Freudenberg regards itself as well prepared for the 
changes in drive technologies in a range of applica-
tions, given that other components and systems off-
set reductions in demand for products such as con-
ventional seals. Going forward, Freudenberg will re-
main a competent provider of solutions for high-tech 
innovations for all types of drivetrains.  
Digitalization 
At Freudenberg, digitalization centers on gaining a 
better understanding of customers’ wishes, reducing 
cycle times, updating products and making them 
more innovative, and commercializing products faster. 
All efforts pursue at least one of two objectives: to en-
hance customer benefit or to leverage internal effi-
ciencies. 
New applications and products cover a broad spec-
trum, from intelligent filter systems that are activated 
exactly when the air must be purified through to the 
smart, precise measurement of lubricating oils to 
meet real requirements efficiently during mainte-
nance work, for example on cable cars. Examples of 
new digital applications include sensor technology 
that can monitor the condition of a seal in real time, 
can predict when a seal must be replaced, and can 
document the entire process. The practical execution 
of upcoming projects is supported by a “Digitalization 
Hub” that structures and implements digitalization 
projects. Parallel to this, a key focus lies in knowledge 
transfer and networking with business units.  
Further development of strategic issues 
Throughout the world regions, Freudenberg’s know-
how and innovative capability are used in some 
40 market segments and for thousands of applica-
tions. The company engages in numerous activities

63 
 
Combined Management Report – Report on Opportunities and Risks
specifically targeted at pooling this knowledge, be-
cause the potential thus generated makes a key con-
tribution to securing the future. Synergies are har-
nessed to drive key strategic issues such as digitaliza-
tion, sustainability and material efficiency across the 
Business Groups. Joint projects and programs are al-
ways implemented under expert guidance and 
achieve concrete results.  
The Freudenberg Technology Innovation corporate 
function focuses on the future-oriented technological 
development of the Group as a whole. Independently 
identified trends, technologies and developments, to-
gether with technology topics from within the Group, 
are bundled into strategic subject areas and struc-
tured for further development. This includes expertise 
in analyzing complex datasets and modelling, new 
mobility topics, the energy transition, as well as sus-
tainable materials and the associated processes. In 
this context, strengthening existing external and in-
ternal networks and establishing new ones is becom-
ing increasingly important in order to identify trends 
promptly, evaluate them and work on solutions to-
gether with partners.  
Talent management 
A talent management process covering the majority 
of employees worldwide has been in place at Freuden-
berg for several years. A shared HR system landscape 
enables a uniform procedure for talent management 
throughout the entire Group. It includes harmonized 
assessment systems and is based on standardized 
skills profiles and definitions of potential. This en-
hances the comparability of assessments and facili-
tates efficient personnel development. The process 
enables Freudenberg to take personnel decisions on 
the basis of sound and reliable information. 
 
Risk management system 
The Group’s risk management system is a decentral-
ized system oriented to the organizational structure. It 
covers all fully-consolidated Freudenberg companies. 
This process in particular ensures the structured iden-
tification, assessment, control and monitoring of main 
risks. The process also includes appropriate risk com-
munication and the continuous improvement of the 
risk management system, allowing, for example, the 
mapping of sustainability risks. 
The primary objective of the risk management system 
is the early identification of risks that might jeopardize 
the continued existence of the company and the initi-
ation of appropriate countermeasures. The intention 
is not to avoid all potential risks, but rather to create 
the leeway for taking a deliberate decision to enter 
into a risk backed by a comprehensive knowledge of 
the main factors involved. 
The risk management strategy is derived from the 
general strategy of the Group. The risk management 
system is continually developed, refined and audited. 
Controlling, internal auditing, the compliance organi-
zation, the Code of Conduct, the internal control sys-
tem, various quality assurance systems as well as sev-
eral corporate functions make a significant contribu-
tion to the success of the Group’s risk management.  
 
Risks 
Risks are defined as all future developments, events or 
actions that could have a negative impact on the tar-
gets and strategies of the Group. 
The following deals with risks classified as significant 
for Freudenberg ranked in descending order by their 
importance according to the potential level of dam-
age. These quantifiable and non-quantifiable risks can 
have very differing impacts. They may occur individu-
ally and independent of one another, or simultane-
ously. In all cases, they have the potential to impact 
the net assets, financial position or results of opera-
tions of the Group directly or indirectly in the short or 
long term. Quantitative data are not disclosed be-
cause qualitative factors affecting operating activities 
such as failure to meet corporate targets or damage to

64 
 
the company’s reputation are included in impact clas-
sification. 
Macroeconomic and sectoral risks 
Freudenberg offers solutions in many customer seg-
ments and sectors and is active in many regions and 
countries. The broad diversification of the Group re-
duces dependence on individual customers, customer 
groupings, suppliers, raw materials, technologies, re-
gions and countries. Freudenberg is actively involved 
in the rapid development of alternative automotive 
drivetrain technologies through intensified research 
and development activities in various product groups, 
and tests the findings in several cooperation projects 
with industrial partners. Notwithstanding, Freuden-
berg is dependent on the general economic situation, 
particularly with regard to the general demand for its 
products and services, and also exposed to the effects 
of geopolitical risks. The unexpected duration and in-
tensity of the Russia-Ukraine war already has far-
reaching consequences. The military escalation and 
the embargo measures imposed are already causing 
significant disruption in global supply chains with di-
rect and indirect impact on the Group. This is evi-
denced by restricted availability of products, especially 
raw materials and bought-in parts, inflationary effects 
and significant wide-scale increases in the cost of en-
ergy supply and logistics that that are unavoidable or 
cannot be offset by short-term operational or strategic 
measures and will continue to persist. International 
trade disputes with disruptive effects on regional and 
global supply chains are monitored particularly 
closely. In spite of sustained efforts to diversify further, 
a slump in demand in a specific region or sector or a 
persistent international trade dispute, for example, 
can lead to a substantial decline in sales and earnings 
for Freudenberg, as for other companies, and thus 
pose a significant risk for Freudenberg. The broad-
based diversification of the Group with respect to geo-
graphic regions and business sectors will help to keep 
the overall impact on Freudenberg within managea-
ble limits despite isolated problem areas. Permanent 
changes in geopolitical borderlines could require ad-
justments to the Group’s strategic orientation. 
Freudenberg has taken measures to limit the negative 
consequences of demand-side risks. In particular, the 
company has appropriate capacity flexibility and prac-
tices active working capital management. 
Freudenberg regularly monitors several success indi-
cators and can thus respond promptly to negative de-
velopments. In the context of a long-term response to 
demand-side risks, Freudenberg makes targeted in-
vestments in research and development, in individual 
regions and customer relations, as well as in selected 
strategic growth areas. 
Legal risks and compliance 
Freudenberg is a globally active manufacturer of func-
tionally relevant technical components and system 
parts, including battery and fuel cell systems, for the 
automotive industry as well as many other sectors of 
industry. The Group manufactures mechanical clean-
ing equipment and filter products for end users and is 
active in the manufacture and sale of medical materi-
als and components. Freudenberg also develops and 
produces specialty lubricants, release agents and a 
broad range of specialty chemicals for very diverse ap-
plications. Wide-ranging services in the various busi-
ness segments round off the Freudenberg portfolio. 
Consequently, Freudenberg is exposed to several legal 
risks. These include in particular risks in the fields of 
product liability, data protection, contractual warranty 
risks, competition and antitrust law, tax and excise 
duty law, M&A transactions, asset misappropriation, 
anti-corruption regulations, money laundering, in-
fringements of intellectual property rights (patents 
and brand law), export controls, chemicals regulation 
as well as risks in the fields of occupational health and 
safety and environmental protection. These risks can 
affect Freudenberg to various degrees and can lead 
not only to fines or other penalties or compensation, 
for example, but can also impact the reputation and 
image of the Group as a whole. In extreme cases, legal 
risks could have a significant effect on Freudenberg.  
Freudenberg has many measures in place to respond 
to these legal risks. These include comprehensive 
quality assurance mechanisms tailored to the require-
ments of the respective business models and value 
chains, clearly-defined product specifications, instruc-
tions, regular training for employees, documentation, 
and preventive contractual solutions containing provi-
sions limiting liability and taking account of the par-
ties’ spheres of influence. These measures are flanked 
by customary insurance cover which is thoroughly an-
alyzed on an annual basis and, where necessary, 
adapted to changed conditions.

65 
 
Combined Management Report – Report on Opportunities and Risks
The Group conducts its global business in many differ-
ent jurisdictions under different legal and regulatory 
frameworks that are undergoing change and becom-
ing steadily more complex. The scale and scope of the 
laws and regulations that must be observed are sub-
ject to constant changes that are sometimes difficult 
to predict, and call for the monitoring of legislative 
trends, interdisciplinary and cross-border communica-
tion as well as a swift response and proactive ap-
proach. This includes, for example, the current prepa-
rations to comply with the form and content of legis-
lative initiatives such as the Corporate Sustainability 
Reporting Directive or the Act on Corporate Due Dili-
gence Obligations in Supply Chains. Measures under-
taken in this context include an analysis to identify 
risks arising from human rights violations within the 
Group’s own area of responsibility and along the sup-
ply chain, and expanding the remit of the Ethics Office 
to include reports from external whistleblowers. 
By tradition, compliance with laws and regulations as 
well as internal guidelines and Freudenberg’s own 
Guiding Principles and Business Principles has very 
high priority at Freudenberg. Employees are made 
aware of and trained in the relevant legal risks for 
their respective Business Group and the regions of rel-
evance for Freudenberg; they are expected to observe 
and comply with these requirements.  
Freudenberg uses classic methods (documents trans-
lated into all the main relevant languages and in-per-
son seminars) to communicate compliance issues 
through training, dialog and discussions. Digital com-
munication media such as web-based training, e-
learning tools, interactive video conferences, and simi-
lar, are also being increasingly used to reach as many 
employees as possible.  
Despite all carefully applied control and prevention 
mechanisms in our compliance structure and compli-
ance measures, there is a residual risk that is unavoid-
able given the size and complexity of our global or-
ganization. Furthermore, the possibility that Freuden-
berg or Freudenberg employees unconsciously in-
fringe(s) third-party rights cannot be entirely ruled 
out; this could trigger negative judicial consequences 
or damage the image or reputation of Freudenberg.  
Information security risk 
Modern business processes are to a significant extent 
based on information captured, processed, exchanged 
and stored digitally. Potential risks caused by disrup-
tions in these processes could impact both internal 
business processes and communication with custom-
ers and suppliers, and could, for example, lead to the 
interruption of operations at Freudenberg or at a third 
party. Demands on the reliability and security of IT sys-
tems are intensifying as a result of technological pro-
gress and the trend towards greater process network-
ing.  
The aim of the guideline on information security is-
sued by the Board of Management is to preserve the 
confidentiality, availability and integrity of infor-
mation. Freudenberg deals with the relevant infor-
mation security risks by operating information secu-
rity management systems oriented to the ISO/IEC 
27001:2013 international standard. The Business 
Groups and corporate functions conduct regular risk 
assessments and implement appropriate measures. 
For example, measures such as geographically sepa-
rate, redundant data centers are implemented to deal 
with technical risks.  
At Freudenberg, as elsewhere, the relevance of cyber 
risks is steadily growing. Freudenberg counters new, 
professional attack techniques, such as supply chain 
attacks, through the risk-based continued develop-
ment of protection and response mechanisms, and by 
expanding expert capacities, particularly as regards 
monitoring, and response capabilities in the event of 
an incident. In this context, the IT security level of IT 
service providers is regularly reviewed and aligned 
with Freudenberg’s requirements.  
Various forms of internal training and communication 
measures encourage heightened awareness on the 
part of employees with regard to the secure handling 
of information and information processing systems 
and processes. Despite all technical, organizational 
and awareness measures, significant system failures 
and damage to Freudenberg as the result of a cyberat-
tack cannot be ruled out.

66 
 
Interruptions of operations and long-term 
disruptions 
The classic risk of unplanned interruptions of opera-
tions has several possible causes. The main ones are 
interruptions in production, the current pronounced 
uncertainty regarding the availability of specific raw 
materials and energy, delays in upstream stages of the 
supply chain or in the Group’s own supply chain levels, 
restricted availability of IT infrastructure, damage 
from natural hazards, or any combination of these 
causes. Possible consequences are loss of sales reve-
nue and earnings, contract infringements, contractual 
penalties and claims for damages as well as reputa-
tional damage.  
Recent years have seen an increase in nature events 
probably associated with climate change. Freuden-
berg real estate is also affected by regional floods, fires 
and storms, and damage can result in an impact on 
sales revenue and earnings. Insurance cover has been 
arranged for actual damage and any resulting inter-
ruption of operations. 
Freudenberg has taken numerous precautions to 
maintain and safeguard IT systems (back-up solutions, 
emergency data centers) as well as to meet contrac-
tual delivery obligations (dual/multi-sourcing, lead 
centers with interchangeable infrastructures, cross-
plant tools, crisis training at relevant production loca-
tions) and to ensure delivery reliability and contract 
compliance, and has also insured individual risks 
deemed by Freudenberg to merit cover. While not uni-
versal, these concepts and their evolution have also 
proved their worth in the special circumstances of a 
pandemic setting. Despite all the measures that have 
already been taken or will be taken in the event of an 
emergency, there is a residual risk of a temporary in-
terruption in operations, for example, in the event of 
sudden, wide-scale interruptions in energy supply, 
with a possible impact on the sales revenue and earn-
ings of the Group.  
Financial risks 
As an internationally active company with major 
shareholdings in other countries, Freudenberg is ex-
posed to financial risks which under certain circum-
stances could significantly impact the net assets, fi-
nancial position or results of operations of the Group. 
Such risks include financial risks from the Group’s 
M&A activities arising from the potential impairment 
of goodwill and investments or of unrecognized obli-
gations. Freudenberg employs various measures to 
manage these risks. The Group has several expert 
groups specifically tasked with the identification, anal-
ysis and steering of Freudenberg’s financial risk profile. 
This also includes the regular review of financial risk 
management methodology and steering.  
Various measures to safeguard liquidity are in place 
which allow Freudenberg to react swiftly to unex-
pected liquidity-related risks. Such risks are hedged by 
solid bank and Partners’ financing as well as high liq-
uid reserves. Freudenberg has a high equity ratio, a 
stable level of Partners’ reserves, and comprehensive 
credit lines.  
In addition, Freudenberg is exposed to exchange rate 
and interest rate risks. Managing these risks is imple-
mented by internal guidelines and processes and 
monitored by a treasury management system. In line 
with a central framework of regulations, exchange 
rate risks are determined locally on a cause-specific 
basis and steered under a consultation process. Inter-
est rate risks arise from possible changes in the mar-
ket rate and can lead to changes in the market value 
of fixed interest investments.  
Funds for subsidiaries are made available in the form 
of loans or cash pool agreements. Freudenberg com-
panies channel surplus liquidity to the central finance 
department.  
Binding internal guidelines for Freudenberg compa-
nies clearly specify that derivative financial instru-
ments may not be used for speculative purposes, but 
only for hedging risks in connection with underlying 
transactions and associated financing operations.  
The Group’s conservative finance strategy was one of 
several factors that led the rating agency Moodyʼs 
Deutschland GmbH, Frankfurt am Main, Germany, to 
confirm its Freudenberg SE “A3” rating with a long-
term “stable” outlook in June 2022. This gives 
Freudenberg very good creditworthiness at invest-
ment grade level.

67 
 
Combined Management Report – Report on Opportunities and Risks
Risks from technological progress and third-party 
innovations 
As a highly diversified technology group, Freudenberg 
is active in numerous product and market segments, 
some of which differ considerably. Moreover, Freuden-
berg conducts its entrepreneurial activities on the ba-
sis of different business models. Consequently, 
Freudenberg operates in a constantly changing envi-
ronment and is exposed to technological progress and 
a wide range of innovations. In specific terms, this 
means that Freudenberg comes up against new prod-
ucts, technologies or organizational structures.  
Freudenberg addresses the implications of these cus-
tomary risks in its regularly updated corporate strat-
egy and limits these risks by various measures, in par-
ticular in-house research and development and inno-
vation. The most important pillar and key driver of in-
novation at Freudenberg is to be found in the Business 
Groups, whose research and development activities 
are closely geared to their customers. In addition, the 
Freudenberg Group acquires companies or business 
units to add to the Group’s technology and product 
portfolio and to enhance competitiveness through in-
novation.  
With the Freudenberg Technology Innovation corpo-
rate function, Freudenberg has created an organiza-
tional unit that pools the Group’s technical knowledge 
– in particular on cross-sectional technologies. At 
4.9 percent, Freudenberg invested a substantial share 
of sales in research and development in the 2022 fi-
nancial year. The share of sales attributable to new 
products totaled 31.6 percent. 
Contractual risks  
Freudenberg enters into contracts with third parties 
on a daily basis and makes continuous adjustments to 
its portfolio through acquisitions and disinvestments 
of companies and business units. During the course of 
these activities, obligations are assumed or commit-
ments undertaken that may change as time goes by, 
must be complied with over a longer period of time, or 
may prove impossible to meet as a consequence of 
unforeseen events, such as the consequence of raw 
material supply bottlenecks. These activities could in 
retrospect prove disadvantageous and, above all, could 
negatively impact the earnings situation of the Group. 
Freudenberg has several measures in place to deal 
with these significant risks, such as comprehensive 
upfront analyses and checks with regard to acquisi-
tions supported by consultations with internal and ex-
ternal experts and consultants and, where appropri-
ate, plausibility checks on the outcomes of the consul-
tation process. This is complemented by interdiscipli-
nary and supra-regional risk management resources 
established at both Business Group and holding com-
pany level, as well as the continuous improvement 
and further development of systematic contract man-
agement and contract monitoring in line with busi-
ness demands. These measures significantly reduce 
the risk.  
Occupational safety, health protection and 
environmental risks 
Freudenberg has production sites in some 60 coun-
tries, some of which operate under very different con-
ditions. There are operational risks with regard to pro-
duction processes in particular in terms of workflows, 
production equipment and the processing of hazard-
ous materials. Freudenberg trains employees to com-
ply with safety regulations and in the use of protective 
equipment, and fulfills all relevant safety require-
ments and guidelines.  
Freudenberg locations are repeatedly exposed to natu-
ral hazards as a result of the presence in various re-
gions and climate zones. In spite of the usual preven-
tive measures, natural hazards such as earthquakes, 
floods, forest fires, mudslides or extreme snowfall can 
occasionally negatively impact the business opera-
tions of the units concerned. Natural hazards are 
taken into consideration as part of the site selection 
process and for acquisition projects. By using natural 
hazard databases, Freudenberg can conduct portfolio 
analyses on natural hazards as well as trends and risks 
relating to medium- and long-term climate risks and 
take appropriate action. 
Freudenberg has been monitoring the risk of a global 
pandemic for several years (SARS, avian influenza virus 
H5N1, zika virus) and initiated or prepared basic pro-
tective measures. In spite of the precautions taken, 
with the international outbreak of the SARS-CoV-2 
coronavirus it was not possible to avoid the impact on 
employees, working conditions or supply chains, or 
the effect of falling demand. Temporary plant closures

68 
 
and loss of sales in some areas contrasted with sales 
growth in other areas of the Group, highlighting the 
benefits of the Group’s strong international and sec-
toral diversification.  
The precautions and measures to fight pandemics 
have been developed further on the basis of the expe-
rience gathered to date. Despite the hygiene 
measures in place at sites, Freudenberg employees 
can nevertheless be affected at work or in a private 
context. Depending on the course of events, in partic-
ular with regard to a further sharp global outbreak of 
this or another virus or lengthy quarantine measures, 
effects leading directly or indirectly to loss of sales rev-
enue or earnings cannot be excluded. We expect the 
COVID-19 virus or mutations thereof could continue 
to impact the working environment and business ac-
tivities through 2023 at least.  
Group-wide standards in the fields of occupational 
safety, health, environment and fire protection define 
and implement the minimum requirements and 
guidelines for the Business Groups. Internal and exter-
nal audit processes monitor the implementation of 
programs to constantly minimize risks in these fields 
at the Business Groups. The audit findings are system-
atically evaluated and measures implemented 
throughout the Group. Sites regularly conduct emer-
gency and evacuation exercises. Despite all of these 
preventive measures, significant occupational health 
and safety and environmental risks cannot be entirely 
ruled out.  
In the case of hazardous substances, efforts are, for 
example, made to identify substitutes for substances 
with proven, unacceptable risks before a statutory pro-
vision comes into effect with a view to minimizing po-
tential and customary risks arising in connection with 
such hazardous substances. This also forestalls unde-
sirable effects through a possible ban on a given sub-
stance. In addition, many product developments are 
subject to a stage gate process which among other 
things ensures that new products have a better envi-
ronmental performance than their predecessors and 
that certain undesirable substances are not used in 
the development of new products.  
Since it was launched in 2002, the worldwide “We all 
take care” initiative motivates Freudenberg employees 
to make their work and their workplaces safer, health-
ier and more environmentally friendly as well as 
taking responsibility for society. The initiative is sup-
ported by the Group's top management, employee 
representatives and senior executives in the Business 
Groups, and the best projects are honored each year.  
 
Internal control and risk management 
system (referred to the Group financial 
reporting process) 
The Group internal control and risk management sys-
tem for the financial reporting process at Freudenberg 
is tasked with ensuring the functionality, compliance 
and effectiveness of financial reporting in the Group. 
The internal control system includes measures de-
signed to ensure the complete, accurate and timely 
transmission and presentation of information of rele-
vance for the preparation of the consolidated financial 
statements and the consolidated management report 
of the Group. 
The consolidated financial statements and the consol-
idated management report of the Group are prepared 
centrally. The minimum requirements regarding re-
porting content submitted by the companies are de-
fined and controlled centrally, and the time frame and 
process requirements are monitored. The regularly up-
dated IFRS accounting guidelines form the basis for 
the IFRS reporting packages of the parent company 
and of all domestic and foreign subsidiaries included 
in the consolidation. There are binding instructions for 
Freudenberg’s internal coordination and other prepar-
atory work for the financial statements. 
Freudenberg uses a standard software tool for the 
Group financial reporting process. This tool is used 
throughout the company worldwide and clearly de-
fines user rights observing the principle of the separa-
tion of functions. The system covers both reporting by 
Freudenberg companies and the data for the consoli-
dated financial statements. Additional controls are 
implemented in the consolidation process. 
The consolidation process is also supported by a soft-
ware tool for the automatic reconciliation of balances 
throughout the Group. The individual companies have 
a local internal control system which is the responsi-
bility of the respective Business Group and which 
must comply with uniform minimum requirements 
applicable throughout the Group.

69 
 
Combined Management Report – Report on Opportunities and Risks
The Corporate Controlling & Accounting function or-
ganizes seminars for employees involved in this pro-
cess in the event of important changes in financial re-
porting procedures and IT applications, thereby guar-
anteeing a consistently high standard of reporting. Ac-
tuarial reports and evaluations are compiled by spe-
cialist service providers.  
There is a clear demarcation of tasks between the cor-
porate function and the companies. The segregation 
of functions and the dual control principle are system-
atically applied. It is standard procedure for the 
Freudenberg auditor and the auditors of the consoli-
dated companies to review the functionality and com-
pliance of the relevant reporting process. Suggestions 
for improvements are regularly discussed and opti-
mized. In addition, the functionality and compliance 
of processes of relevance to financial reporting are re-
viewed regularly under an internal auditing process. 
The complete package of processes, systems and con-
trols adequately ensures that the Group’s reporting 
process is in accordance with IFRS and other regula-
tions and laws of relevance to financial reporting and 
is reliable. 
 
Overall assessment of the opportunities 
and risks 
Freudenberg has an in-depth understanding of the 
short- and long-term opportunities necessary for the 
further development of existing business areas and 
the development of new activities to secure the future 
of the Group, and actively pursues these opportuni-
ties. 
In our opinion, based on the probability of occurrence 
and potential impact of the risks described above, 
they do not individually or cumulatively present a risk 
to the continued existence of Freudenberg.

70 
 
The assumptions made in the report on expected de-
velopments are based on the operative planning of 
the Freudenberg Group for 2023 adopted by the Board 
of Management and the Supervisory Board. This plan-
ning is premised on our underlying expectations re-
garding macroeconomic conditions and develop-
ments in the markets of relevance to the Group. The 
assessments of future business development take 
their orientation from the targets set by our Business 
Groups as well as the opportunities and risks arising 
from expected market conditions and the competitive 
situation in the planning period. Set against this back-
drop, we adjust our expectations for business develop-
ment on a case-by-case basis in line with the latest 
forecasts.  
We expect the generally challenging macroeconomic 
environment to continue in the 2023 financial year. 
Measured against a noticeable global economic recov-
ery in 2021 and slight growth in 2022, we expect sub-
dued global economic growth in 2023.1 Economic and 
geopolitical uncertainty remains high in 2023. One 
uncertainty factor is the threat to geopolitical stability 
with far-reaching consequences for trade relations 
and supply chains. Further developments in the con-
flict between Russia and Ukraine as well as a possible 
intervention by China in Taiwan in particular are un-
certain. There are growing indications of a recession, 
or at least stagnation, in some regions that could 
prove lengthy or intensify further and could result in a 
downturn in customer demand. There is also uncer-
tainty regarding price developments on procurement 
markets for raw materials and, more particularly, en-
ergy. Labor markets are facing a shortage of skilled 
workers and inflationary developments. Against this 
backdrop, we expect modest business development in 
the markets relevant to the Group. 
With regard to our regional core markets, we expect 
the slight increase of 1.9 percent in Germany's eco-
nomic growth in 2022 to be followed by a recession-
ary phase with minus 0.5 percent growth in 2023. In 
the eurozone, which remains the Group's largest sales 
region, we expect to see growth stagnate at 0.0 per-
cent in 2023 after a 3.3 percent increase in 2022. High 
prices for raw materials, intermediate products and 
energy along with persistent supply chain problems, 
will impact economic development. Forecasts put in-
flation in the eurozone at an average of 6.1 percent in 
2023. This will dampen consumption. Following sev-
eral major hikes in interest rates, the European Central 
Bank announced at the end of 2022 that there would 
be further increases in the key rate to bring inflation 
back down to the 2 percent target. Rising interest 
rates are expected to impact investment activity. 
We expect economic growth in the USA to drop from 
2.0 percent in 2022 to only 0.3 percent in 2023. Given 
the low unemployment rate, private consumption re-
mains a growth driver, but is cooling down somewhat 
due to rising interest rates. The central bank in the 
United States continues to fight inflation at the ex-
pense of the economy.  
In Japan, growth is forecast to be a robust 1.2 percent. 
Private consumption is stimulating growth now that 
COVID restrictions have been lifted. 
Economic development in the emerging economies 
will present a mixed picture. China remains one of the 
most important growth regions for Freudenberg. Fol-
lowing growth of 2.9 percent in 2022, we anticipate 
an increase of 4.6 percent in 2023 on the back of an 
expansive fiscal and monetary policy alongside the 
easing of the zero-COVID policy. We forecast economic 
growth of 5.7 percent for India in 2023.  
Against the backdrop of subdued global economic 
growth in 2023, developments in the sectors served 
by Freudenberg will be mixed. The automotive sector 
is a particularly important industry for Freudenberg. 
Based on 6.2 percent growth in the automotive indus-
try in 2022, we expect production to increase 
REPORT ON EXPECTED DEVELOPMENTS 
1 Sources: In this chapter, all figures related to economic developments are based on data from Consensus Economics, the European Commission, the Inter-
national Monetary Fund, the World Bank, the OECD, and the marketing research and consulting company Schlegel und Partner.

71 
 
Combined Management Report – Report on Expected Developments
worldwide by 3.6 percent in 2023. We anticipate 
growth of 5.3 percent in Europe, 5.4 percent in North 
America, 6.8 percent in Japan, 7.7 percent in India, and 
1.1 percent in China. A return to the 2019 pre-crisis 
level is only expected post-2023. 
In the mechanical and plant engineering industry, 
Freudenberg's second most important sector, we an-
ticipate an increase of 1.0 percent in 2023. 
Private consumption is also expected to see positive 
development. We expect growth of 1.2 percent in the 
industrialized nations, with higher rates in some of 
the emerging economies, for example 5.8 percent in 
China and 6.1 percent in India. 
In the oil and gas industry we anticipate growth rates 
of between 0.0 and 5.0 percent in the industry's re-
gions. 
To manage the uncertainties outlined above, we will 
stay agile at each of our locations throughout the 
world and continue to respond swiftly and flexibly to 
changing requirements. Customer centricity is a main 
focus of all our efforts. This principle applies to all sec-
tors and regions. We will therefore continue to invest 
in long-term projects. The mobility transformation, 
digitalization and sustainable solutions will remain 
our key strategic themes. We will adopt a selective and 
focused approach to developing our portfolio further 
and strengthening it through acquisitions relating to 
promising technologies. Our efforts in this context are 
guided by the findings of the foresight project named 
“Odyssey” that examined what the world might look 
like in 2050 and what business opportunities this 
might bring for Freudenberg. The project was 
launched in 2015, and a follow-up project called “Ja-
nus” started in 2020 to address the impact of recent 
political and economic changes on the framework set 
out in “Odyssey”. Additionally, the interdisciplinary “Ja-
nus” team was tasked in the 2021 financial year with 
analyzing the impact of the COVID-19 pandemic, 
growing protectionism, nationalism and trade con-
flicts on the future. Our long-term goal is a balanced 
portfolio of cyclical and non-cyclical businesses with 
equal sales contributions from North and South 
America, Europe and Asia.  
In 2023, we will again continue to drive forward with 
our projects in the fields of sustainability, non-finan-
cial key performance indicators and corporate 
citizenship. As a responsible, innovative technology 
group, Freudenberg will once again implement nu-
merous measures in environmental protection, occu-
pational health and safety. As in the previous year, spe-
cial attention will again be devoted to occupational 
safety. We expect to see the Lost Day Incident Fre-
quency Rate (LDIFR) in the 2023 financial year on the 
level of the previous year. 
Given the opportunities and risks described in the pre-
vious chapter, or in the event that the expectations 
and assumptions described above do not materialize, 
the actual development of Freudenberg may show a 
positive or negative deviation from this report on ex-
pected developments.  
Anticipated sales developments in our Business 
Groups reflect the regional and sectoral developments 
and challenges described above. We expect Group 
sales in the 2023 financial year to be slightly higher 
than the level of the previous year. Set against the 
backdrop of a persistently challenging macroeco-
nomic environment, we anticipate a slightly higher 
operating result. On the basis of these forecasts, we 
expect a return on sales for 2023 at the level of the 
previous year.  
Weinheim, March 14, 2023 
The Board of Management

72 
 
Freudenberg SE is a wholly-owned subsidiary of 
Freudenberg & Co. KG, Weinheim, Germany, and the 
parent company with responsibility for the operations 
of the Freudenberg Group. 
The net assets, financial position and results of opera-
tions of Freudenberg SE are characterized by its hold-
ing function. The company holds interests in affiliated 
companies and it is the profit from these investments 
that dominates the earnings situation of Freudenberg 
SE. 
The annual financial statements of Freudenberg SE 
are set up in accordance with the Handelsgesetzbuch 
(HGB – German Commercial Code) and the Aktieng-
esetz (AktG – German Stock Corporation Act). 
[€million] 
2021 
2022 
Sales 
36.8 
46.9 
Investment result 
544.0 
702.0 
Other operating income 
8.3 
2.8 
Material expenses 
-25.9 
-32.7 
Personnel expenses 
-7.7 
-18.6 
Other operating expenses 
-90.1 
-103.8 
Financial result 
-26.1 
-25.1 
Profit before taxes 
439.3 
571.5 
Income taxes 
-40.5 
-17.7 
Profit for the year 
398.8 
553.8 
 
The sales of Freudenberg SE largely result from the 
charging of services and from royalties for the 
Freudenberg global brand amounting to €12.8 million 
(previous year: €9.9 million). 
The investment result increased from €544.0 million 
to €702.0 million. The positive development in the re-
sults of individual affiliates had a corresponding im-
pact on the overall result. The rise in dividend pay-
ments from €33.4 million to €62.7 million also had a 
positive effect. 
Other operating income fell from €8.3 million to €2.8 
million. In the previous year, income from the reversal 
of provisions had been €5.3 million higher than in 
2022. 
Material expenses rose from €25.9 million to €32.7 
million and represent services purchased. 
At €18.6 million, personnel expenses were considera-
bly higher than the level for 2021 (previous year: €7.7 
million). This figure was boosted by the amount of 
€8.3 million allocated to provisions for pensions. The 
previous year had been characterized by the positive 
effect of the reversal of provisions for pensions in the 
amount of €2.4 million. In the year under review, ex-
penses for salaries, at €10.1 million, ran at about the 
prior-year level of €10.0 million.  
The other operating expenses rose from €90.1 mil-
lion to €103.8 million. This rise was chiefly due to 
higher research and development expenses as well as 
expenses for data processing services.  
The financial result rose by €1.0 million and is there-
fore at the same level as the previous year.  
Income taxes fell by €22.8 million from €40.5 million 
to €17.7 million. This was mainly due to the lower tax-
able income of Freudenberg SE and affiliates and to a 
fall of €6.1 million in taxes for prior periods. 
At €553.8 million (previous year: €398.8 million), the 
profit for the year of Freudenberg SE was above the 
level of the previous year. 
 
FREUDENBERG SE (HGB) 
EARNINGS SITUATION

73 
 
Combined Management Report – Freudenberg SE (HGB)
[€ million] 
2021 
Dec. 31, 2022 
Intangible assets 
7.9 
6.1 
Tangible assets 
1.6 
1.7 
Financial assets 
2,762.1 
2,965.4 
Receivables and other assets 
3,041.2 
3,226.7 
Cash at bank and in hand 
169.1 
71.5 
Total assets 
5,981.9 
6,271.4 
Equity 
3,836.0 
4,296.3 
Provisions 
163.8 
153.3 
Liabilities 
1,982.1 
1,821.8 
Total equity and liabilities 
5,981.9 
6,271.4 
 
The assets of Freudenberg SE as the holding company 
chiefly consist of shares and participations in compa-
nies and amounts receivable from these companies. 
As of the statement of financial position date, finan-
cial assets had risen by €203.3 million to €2,965.4 mil-
lion (previous year: €2,762.1 million).  
Receivables and other assets mainly include amounts 
receivable from affiliates. As at the date of the state-
ment of financial position, these had risen by €185.5 
million to €3,226.7 million (previous year: €3,041.2 
million). This is mainly the result of higher cash pool 
receivables from Externa Handels- und Be-
teiligungsgesellschaft mit beschränkter Haftung with 
headquarters in Weinheim, Germany. 
Equity increased to €4,296.3 million (previous year: 
€3,836.0 million). The net retained profit rose by 
€460.4 million from €3,090.7 million to €3,551.1 mil-
lion. The profit for the year increased from €398.8 mil-
lion to €553.8 million. The retained profit was reduced 
by dividends paid in the amount of €93.5 million (pre-
vious year: €101.5 million). 
  
 Provisions fell by €10.5 million from €163.8 million to 
€153.3 million and chiefly include provisions for pen-
sions. 
Liabilities decreased by €160.3 million from €1,982.1 
million to €1.821.8 million, chiefly as a result of loan 
repayments. 
Against the backdrop of our sound situation with re-
spect to net assets and financial position and the high 
earnings of our affiliates, we assess the general eco-
nomic situation of Freudenberg SE as positive. This 
statement is not affected by any events reported in 
the chapter “Report on Events After the Date of the 
Statement of Financial Position”. 
As the parent company of the Freudenberg Group re-
sponsible for business operations but without its own 
business operations, Freudenberg SE mainly receives 
income from its affiliates. As a general principle, ex-
pectations concerning business developments within 
the Freudenberg Group therefore also have an impact 
on the earnings of Freudenberg SE. For this reason, the 
assumptions and statements made in the report on 
expected developments for Freudenberg are equally 
relevant to Freudenberg SE. 
In December 2022, the Shareholders Meeting resolved, 
as proposed by the Supervisory Board and the Board of 
Management, to pay a dividend of €93.5 million (previ-
ous year: €101.5 million) to the sole shareholder 
Freudenberg & Co. KG in 2021 from the net retained 
profit as at December 31, 2021, which amounted to 
€3.090.7 million. 
The Board of Management proposes that the retained 
profit for the 2022 financial year, amounting to 
€3,551.1 million should be carried forward to new ac-
count. 
 
ASSETS, LIABILITIES AND FINANCIAL POSITION 
SUMMARY STATEMENT  
REPORT ON EXPECTED DEVELOPMENTS 
NET RETAINED PROFIT AND DIVIDEND 
Dec. 31,

74 
 
“We hereby declare in accordance with Sec. 312, Para 
3, AktG (German Stock Corporation Act) that, on the 
basis of the circumstances of which we were aware at 
the time when transactions with affiliated companies 
were implemented or acts or forbearances were taken, 
our company received consideration comparable with 
that obtainable from a non-affiliated company and 
did not suffer any disadvantage as a result of such 
acts or forbearances.” 
 
 
SUMMARY CONCLUDING STATEMENT 
OF DEPENDENT COMPANY REPORT OF  
FREUDENBERG SE

75 
 
Combined Management Report – Freudenberg SE (HGB)

78
86
104
112
118
122
Freudenberg embraces responsibility.
Technology and Responsibility
Sustainability
Human Rights and Labor
Health, Safety and Environmental Protection
Corporate Citizenship
Compliance
Examples of how Freudenberg embraced responsibility  
in 2022 can be found on the following pages.

Step by Step 
     
to Climate Neutrality

78
Excellent technology and
          living values 
Freudenberg defines success as achieving financial 
success while at the same time taking the compa-
ny’s responsibility for society and the environment 
seriously. The two goals are inseparably linked and 
firmly anchored in the company’s Guiding Principles.

79
Technology and Responsibility
Freudenberg is an agile and flexible global technolo-
gy company with a scientifically-based vision of prog-
ress. Our employees are experts in products, services 
and solutions that are at the forefront of technology 
and used in thousands of applications and about 40 
market segments. Our seals, vibration-control com-
ponents, batteries and fuel cells, technical textiles, 
filters, cleaning technologies, specialty chemicals and 
medical products make a valuable contribution to 
the success of our customers around the world. The 
company has always been family-owned, and the 
values of the founder Carl Johann Freudenberg have 
kept it grounded. We have been true to these values 
since 1849. 
Freudenberg offers creative technical 
solutions with excellent quality. 
Their bedrock is technological 
expertise and the capacity  
to innovate.

80
Freudenberg stands for excellent technologies and 
innovations. For the company, though, that is not 
enough: while markets and metrics are important, 
Freudenberg is also resolved to take responsibility 
for society. 
This responsibility comes in many forms: Freuden-
berg has set itself clear environmental goals, and as-
pires to become a climate-neutral company by 2045. 
The company also encourages diversity among the 
workforce and stands for a corporate culture that 
enables all employees to contribute their strengths. 
Freudenberg also embraces this responsibility 
outside the company in many areas where aid is 
needed. In 2022, for example, 3 million euros of im-
mediate aid was donated to help victims of the war 
in Ukraine. The company also runs a global program 
to support education and environmental protection.
These examples demonstrate the depth of Freuden-
berg’s commitment to its value orientation. 
The themes of the Freudenberg Group’s Guiding Principles 
are value for customers, leadership, responsibility, innova-
tion, people, and long-term orientation. The “Responsibili-
ty” Guiding Principle is particularly relevant with regard to 
Freudenberg’s responsibility for society: 
RESPONSIBILITY
Our company and its family shareholders together are com-
mitted to protecting the environment and being responsi-
ble corporate citizens in all countries and communities in 
which we do business. We take all possible care to ensure 
the safety of the workplace and of our products. As a family 
company, we strive for the highest standards of personal 
behavior. Fairness and integrity guide our conduct amongst 
ourselves, toward our business partners and toward the 
general public. 
More than 
markets
and
 metrics

81
Responsibility for society encompasses five areas at 
Freudenberg:  
Sustainability; Health, Safety and Environmental 
Protection; Corporate Citizenship; Compliance;  
Human Rights and Labor.
By tradition, all these themes are important for Freuden-
berg and are also anchored in the company’s Values and 
Principles as well as the Code of Conduct. 
For politics and society, fairer and more sustainable 
business is becoming increasingly important. The EU’s 
Corporate Sustainability Reporting Directive, for exam-
ple, places a growing focus on environmental, social and 
governance (ESG) issues. From the 2025 financial year 
at the latest, companies must report on ESG issues, for 
example when the application of the double materiality 
principle identifies these issues as important. Further-
more, under the EU Taxonomy Regulation, companies 
are required to disclose which of their products contrib-
ute to meeting the EU’s environmental objectives. 
Technology and Responsibility
Freudenberg Values and Principles 
 
Areas relevant to the “Responsibility” theme
Freudenberg is a values-based 
technology company that feels a 
responsibility to its customers and 
society.
VALUE FOR CUSTOMERS
INNOVATION
LEADERSHIP
PEOPLE
RESPONSIBILITY
LONG-TERM
ORIENTATION
   
   
   
   
   
   
   
   
 
 
 
 
   
   
   
   
   
   
 H
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O
M
PL
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D 
 S
A
FE
T
Y

82
Freudenberg has always been values-oriented. 
Freudenberg is a participant of the UN Global Com-
pact, because values are non-negotiable and because 
communicating our actions to the public is equally 
important. Through its participation, the company 
affirms its support for the ten basic principles on hu-
man rights, labor, anti-corruption and environmental 
protection agreed by the United Nations. Freuden-
berg is also committed to the seventeen Sustainable 
Development Goals that were proclaimed as a global 
framework in 2016, shortly after the Paris Climate 
Conference. Freudenberg prioritizes eight of the 17 
goals where it can make an important contribution.
Sustainable 
Development Goals: 
Freudenberg focuses on eight 
of the 17 goals. 
One example of a sustainable solution is employing used and recycled plas-
tic. Recycled polypropylene pellets are transformed into red components for 
the Vileda brand of the Freudenberg Home and Cleaning Solutions Business 
Group. Here the focus is on goals 12 and 13 on the list of Sustainable Devel-
opment Goals.
 Commitment to global  
sustainability 
goals

83
From a global perspective, sustainability has many 
facets. For an industrial company like Freudenberg 
with manufacturing locations all over the world, the 
following eight Sustainable Development Goals out 
of a total of 17 are at the center of business activities. 
For each of them, we have defined the contribution 
we are striving to make in our daily work.
GOOD HEALTH AND WELL-BEING
Occupational health and safety have top priority at Freudenberg. It goes without saying that we 
offer our employees a health service. Along with the prevention of common diseases, healthy 
nutrition and the mental health of our employees are especially important to us.
AFFORDABLE AND CLEAN ENERGY
We aim to secure access to reliable, modern and affordable energy for all our locations. Around 
the world, there are completely different conditions for procuring clean energy. Where possible, 
we conclude long-term contracts that guarantee a supply of clean energy and generate green 
electricity ourselves.   
INDUSTRY, INNOVATION AND INFRASTRUCTURE
The value of a robust infrastructure to an industrial company is self-explanatory. We promote 
sustainable industrialization through ongoing investment in existing and new plants. Our prod-
ucts are used in large infrastructure projects. 
RESPONSIBLE CONSUMPTION AND PRODUCTION
We use resources responsibly. We prioritize the use of recyclates and recyclable raw materials as well 
as reducing the volume of packaging. Our employees are trained to internalize working methods in our 
companies and assess them using key performance indicators. 
QUALITY EDUCATION
Demographic change in Europe makes a shortage of skilled labor likely in the future. Other conti-
nents have overwhelmingly young populations. In both cases, we need robust training schemes. 
We promote lifelong learning for our employees through numerous vocational training and 
further education courses.
DECENT WORK AND ECONOMIC GROWTH
We have a social obligation to all of our employees. Discrimination and the marginalization 
of vulnerable persons have no place in the company. The Group maintains good and trusting 
relations with employee representatives.
REDUCED INEQUALITIES
Diversity is anchored in the Group’s Values and Principles. With a range of initiatives, Freudenberg 
supports a work environment where everyone is valued, respected and heard. Special attention is 
paid to a balanced gender distribution in which targeted career development enables women to 
serve in top leadership positions.
CLIMATE ACTION
The industrial sector accounts for a high proportion of global greenhouse gas emissions. By 2045 
at the latest, we aspire to be climate-neutral in terms of Scope 1 and 2, and we are adopting crucial 
measures to achieve this goal. First, we are maximizing energy efficiency and reducing our energy 
consumption. Second, we are electrifying our energy supply. Third, we are using green electricity. 
Fourth, we are offsetting unavoidable CO2 emissions.

84
Since its launch in 2002, the Freudenberg-wide “We 
all take care” initiative has honored employees and 
teams who are especially committed to making work 
safer, healthier and more environmentally-friendly, 
or who have made a commitment to society. With 
283 projects submitted, participation in the year 
under review was exceptionally high. The focus was 
on climate protection and sustainability.
For the 17 finalists, the outcome came as a com-
plete surprise. For the first time since the Freuden-
berg-wide “We all take care” initiative was launched 
in 2002, the jury selected four joint first places in the 
“We all take care” Award. In doing so, the jury demon-
strated the great significance of the initiative for the 
Group.
The four winners in 2022: 
•	 Freudenberg Service
•	 Freudenberg Performance Materials
•	 Freudenberg Sealing Technologies, Remagen
•	 Freudenberg Sealing Technologies, Weinheim
  4 x    1st   places
Nothing but winners in the 
»We all take care« Award 
Freudenberg-wide initiative

85
Among the four winners were Freudenberg Service, 
who made a key contribution to combating the pan-
demic with its vaccination center at Weinheim Indus-
trial Park, and Freudenberg Performance Materials in 
Nantong, who found a way to significantly reduce its 
energy consumption with the aid of intelligent com-
pressed air control. Freudenberg Sealing Technologies 
took home two trophies: after the devastating floods 
in the Ahr valley, the Freudenberg Sealing Technol-
ogies team from Remagen was commended for its 
efforts in assisting colleagues and the neighboring 
communities in the disaster area. Freudenberg Seal-
ing Technology in Weinheim used digital methods to 
analyze motion sequences ergonomically to improve 
workplace design.
In addition, two further Business Groups each 
received a special prize: as a first-time contributor to 
“We all take care”, Japan Vilene Company submitted a 
project for the prevention of cutting injuries. The jury 
also praised Vibracoustic’s Turkish site in Bursa for its 
submission of numerous project ideas over the last 
years. This year, the site came up with an idea on how 
to prevent workplace accidents involving industrial 
robots, and also launched a social relief project.
Safer, healthier, more environmentally friendly: that is what the “We all take care” Award stands for.
Technology and Responsibility

86
Freudenberg’s understanding of sustainability is very 
focused: sustainability is about resource efficiency, 
particularly with regard to energy and materials, in 
order to reduce CO2 emissions.
Sustainability
Fully focused 
on climate neutrality

87
Sustainability
The Group’s commitment to climate protection also 
makes good business sense. Demand for sustain-
able products is rising. That takes innovation and 
represents a huge opportunity for Freudenberg as a 
technology company. At the same time, sustainable 
companies are more attractive to customers, who 
integrate them as suppliers into their own sustain-
ability programs.
Developments on the energy market are another rea-
son why minimizing our own energy consumption 
pays off. Energy supplies, in Europe in particular, are 
being disrupted – all the more so since Russia invad-
ed Ukraine in February 2022. Global supply lines have 
been realigned; Russia’s role as a key global energy 
supplier has altered significantly. This geopolitical 
shift occurred at the same time as the transforma-
tion to renewable energy continued, placing entirely 
new demands on electricity suppliers’ infrastructure. 
All in all, there was chaos – albeit temporary – and 
great uncertainty on the energy market. The result 
was very volatile, soaring energy prices. 
Freudenberg’s definition of sustainability is consis-
tent with the UN’s Brundtland definition. The com-
pany would like to help keep our planet livable far 
into the future. That means producing as little waste 
and emissions as possible and minimizing the use of 
water, energy and materials.
One thing has emerged from the energy 
crisis: Freudenberg is on the right track. 
Reducing energy consumption, alongside 
the purchase and self-generation of 
green electricity, is making our company 
less dependent on energy prices as well 
as increasing climate protection.   
The purchase and self-generation of green electricity are part of Freuden-
berg’s multistep strategy.

88
Climate change is one of the greatest challenges of 
our time. That is why sustainability has top priority 
at Freudenberg and the company has set itself clear 
goals: 
Freudenberg has set its course for climate-neutral 
manufacturing. The first milestone is to reduce 
relative CO2 emissions, measured per million euros 
of sales, by 25 percent over the period from 2020 to 
2025. Freudenberg aspires to be a climate-neutral 
company by 2045. The company is laying the foun-
dation for this ambitious goal with a wide-ranging 
project called “Sustainability drives Climate Action.” 
Since 2019, the opportunities and challenges that 
man-made climate change poses for Freudenberg 
have been analyzed. The company has turned to a 
multistep strategy: reductions in energy use, electrifi-
cation, as well as the purchasing and self-generation 
of green electricity, and offsets for CO2 emissions. 
Some of these steps are being implemented simulta-
neously.
Relative CO2 emissions are to be 
reduced by 25 percent by
.
2025

89
The four steps to CO2 neutrality apply for all Freuden-
berg companies. However, the baselines vary from 
Business Group to Business Group – in some cases 
quite significantly – depending, for example, on how 
much energy is needed for their production processes. 
The technological hurdles that must be overcome, 
such as those in research and development, are just as 
varied. That is why some Freudenberg companies will 
Sustainability
4 steps to CO2 neutrality
CO2
CO2 
Reduction
Electrification
Green electricity
Offsets
1
2
3
4
-neutral
Freudenberg aspires to be a  
climate-neutral company by 
at the latest.
2045
achieve climate-neutral manufacturing sooner than 
others. What is important is the verifiable measure-
ment and documentation of our progress so that 
every company can contribute to our common goal 
of becoming a climate-neutral company by 2045.

90
Decreasing energy consumption at every site
The “Be energy efficient” initiative, or “Bee” for 
short, lays the foundation for uniform and compara-
ble energy standards within the Freudenberg Group. 
It is an important component of the “Sustainability 
drives Climate Action” project and has been un-
covering energy-saving potential at Freudenberg 
locations since 2019. It focuses in particular on 
the issues of energy consumption, process electri-
fication, and the energy efficiency of buildings. So 
far, around one-third of the Freudenberg Group’s 
entire CO2 emissions have been analyzed under the 
initiative.
Energy saving potential of up to 30 percent has been 
identified through reductions in energy use. Efforts 
in 2022 concentrated in particular on compressed 
air, heat recovery and cooling/refrigeration: ener-
gy monitoring also helps to save energy through 
organizational measures. As part of the “Bee” 
initiative, energy-efficiency experts have developed 
a flexible consulting approach for the sites. It ranges 
from measures that can be quickly carried out, to 
decision-making aids for long-term investments in 
production facilities. The services are rounded out 
by the Bee Academy, a comprehensive online train-
ing program covering the fundamentals of energy 
management and energy efficiency.
Renewable energy is one of the most important 
pillars for greater climate protection and meeting 
Freudenberg’s goals for climate neutrality. In addi-
tion to purchasing power supplies, the self-genera-
tion of green electricity is an important component, 
and is becoming increasingly relevant. Electricity is 
mainly generated by rooftop photovoltaic arrays. In 
2022, these systems were commissioned at various 
sites, for example in China and Holland. 
Freudenberg is considered to be an especially 
reliable partner, and was therefore again able to 
conclude long-term supply contracts for green 
electricity with energy suppliers in 2022. Under 
what are known as “power purchase agreements,” 
the electricity is delivered at a fixed price over a ten-
year period. These agreements are a cornerstone of 
Freudenberg’s efforts to achieve its climate goals, 
and they make a major contribution to renewable 
energy’s steady growth.  
At the end of 2022, the 
Freudenberg sites in Denmark, 
Sweden and Austria operated 
entirely on green electricity. 
Germany, Italy and Spain will 
follow in 2023.
Freudenberg is convinced that 
reducing CO2 emissions first and 
foremost means energy conservation, 
process electrification, and the 
purchase and self-generation  
of green electricity.

91
Freudenberg plays a major role in shaping the de-
velopment of emission-free mobility
The focus of Freudenberg’s research and develop-
ment departments is on future-oriented, sustain-
able innovations. 
Products from the Freudenberg Group drive issues 
for the future such as the energy transformation, 
or support the advance of electromobility. Freuden-
berg develops environmentally-friendly key tech-
nologies and solutions for hydrogen applications, 
for example, or designs a hybrid battery-fuel cell 
powertrain for trucks and long-distance buses. A 
new Business Group – Freudenberg e-Power Sys-
tems – was founded in 2022, highlighting the sig-
nificance of battery and fuel cell technology for the 
Freudenberg Group. Freudenberg e-Power Systems 
is one of the leading suppliers of emission-neutral 
energy systems for heavy-duty applications. The 
company offers customized, hybrid solutions for 
sustainable and efficient electromobility.
A further example of Freudenberg’s strategy to 
invest in electromobility applications is the acqui-
sition of the remaining stake in XALT Energy, LLC, 
Wilmington, Delaware, USA. XALT Energy produces 
lithium-ion battery cells, its subsidiary Freudenberg 
Battery Power Systems develops and produces com-
plete battery systems.
Sustainability
Freudenberg is investing heavily in the 
mobility of the future. In batteries, 
hydrogen and fuel cell technology, as 
well as the development of high-tech 
components for electric vehicles. 
Freudenberg develops environmentally-friendly key technologies and solutions for hydrogen applications.

92
The three most important areas of activity for all 
Business Groups are energy efficiency, CO2 emis-
sions and waste. The company has introduced eight 
key performance indicators throughout the Group 
that create transparency with regard to improve-
ments in these areas and help to drive sustainability 
at Freudenberg. Freudenberg introduced a new 
sustainability reporting system at all sites in 2022. 
With this tool, energy consumption and CO2 emis-
sions as well as the amount of waste generated can 
be documented in a verifiable manner.   
Freudenberg wishes to reduce its 
relative CO2 emissions, measured per 
million euros of sales, by 25 percent 
by 2025. Freudenberg aspires to be a 
climate-neutral company by 2045 at 
the latest. Both goals are referred to 
Scope 1 and Scope 2.
Figures for 2022 show a very positive trend. Freudenberg is progressing 
faster than planned on reducing CO2 emissions. 
Group-wide 
Key Performance  
Indicators  
on Sustainability

93
These metrics quantify the Freudenberg 
Group’s global CO2 emissions in 2022  
(market-based) from self-generated and 
purchased energy.
649
 (total, 1,000 t)
55.2
  (t/million euros sales) 
12.2
  (t/million euro sales)
1,647
(indirect, GWh)
2,583
(total, GWh)
30%
(renewable energy as a proportion  
 of total energy consumption)
0.22
(energy efficiency, 
 kWh/euro sales)
936
(direct, GWh)
Waste
CO2 emissions
Energy use
These metrics show energy consump-
tion from self-generated and purchased 
energy in 2022.
In the year under review, the Group continued to im-
prove its energy efficiency and increased the share 
of renewable energies. Especially as a result of these 
efforts, Freudenberg reduced its relative CO2 emis-
sions per € million sales to about 55 tonnes. Over 
the coming years, Freudenberg intends to continue 
this development and consistently remain under the 
target for 2025 of 65 tonnes of CO2 emissions per  
€ million sales.
Sustainability

94
Sustainability has two dimensions for the Freuden-
berg Group. First, the way the company shapes 
its own processes and uses its systems to reduce 
resource consumption (footprint). Second, Freuden-
berg offers numerous products and solutions that 
enable customers to manufacture more efficiently 
and sustainably or to make their products more 
resource-efficient (handprint).
 
Handprints and footprints are always a matter of 
resource and energy efficiency, and that invariably 
means technology. Examples of successful sustain-
ability projects can be found on pages 96 to 103. 
The five subject areas – materials, waste, energy, 
emissions and water – have the greatest relevance 
for the Freudenberg Group as a whole.
 
By reducing its footprint and 
expanding customers’ handprints, 
Freudenberg is contributing  
to greater sustainability  
worldwide.

95
Materials 
Materials efficiency
Recycled, renewable and 
substitute materials
End of life (EOL) 
product handling
Waste 
Waste handling
Energy
Energy efficiency
Renewable energy
Emissions
Air pollution/
emissions
Water
Water pollution
Water use
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Sustainability

96
Examples of successful 
sustainability projects
When process understanding meets energy expertise: Japan Vilene Company 
employees worked with the energy team from Freudenberg Service to identify 
savings potential.
HANDprint
FOOTprint
many employees from various disciplines partic-
ipated in the workshops and investigations with 
Freudenberg Service colleagues – from production 
to maintenance and operational excellence – the 
analysis in Japan was very successful. It led to an 
intensive exchange that brought together the best 
of both worlds: the in-depth energy expertise of the 
Freudenberg Service team on the one hand and a 
profound understanding of processes by Japan  
Vilene Company employees on the other. 
In cooperation with its local energy suppliers and en-
ergy consultants, who were also present during the 
analysis, Japan Vilene Company is now implement-
ing the optimization proposals that were identified. 
As a result, energy consumption at the sites will be 
considerably reduced and CO2 emissions significant-
ly lowered. 
Energy experts evaluate Japan Vilene Company sites 
The first analysis – a virtual one carried out at a dis-
tance of 12,000 kilometers – took place at the height 
of the Corona pandemic in 2021. A second, very 
detailed evaluation was then conducted in Japan 
in fall 2022 when the energy efficiency team from 
Freudenberg Service in Weinheim visited the Shiga 
and Tokyo facilities of Japan Vilene Company. 
As part of the “Bee - Be energy efficient” initiative, a 
key component of the “Sustainability drives Climate 
Action” project, the team identifies energy efficiency 
and CO2 savings potential at Freudenberg sites. The 
team uses either the online “Bee Basic Analysis” or 
an on-site “Bee Advanced Analysis.” 
The Japan Vilene Company sites in Shiga and Tokyo 
opted to participate in both analyses. The virtual ba-
sic analysis in 2021 identified initial savings poten-
tial as well as low-investment measures that could 
be quickly implemented. 
In fall 2022, the energy efficiency team then traveled 
to Japan for several days to conduct a “Bee Advanced 
Analysis” and assess the production processes and 
supporting systems. The aim was to evaluate the 
maximum energy efficiency level of the two sites – 
based on state-of-the-art technology. Concrete 
site-specific suggestions for improvement were then 
made, particularly in the areas of “compressed air,” 
“heat recovery,” and “cooling/refrigeration.” 
Since the management of Japan Vilene Company 
attached considerable importance to the topic and

97
Sustainability
While Freudenberg has so far concentrated on PPAs 
for the supply of solar power, the focus in 2022 was 
primarily on the purchase of electricity from wind 
power. The idea behind this is that solar and wind 
complement each other over the course of the year 
and together form the foundation for future power 
supply. In order to manage the renewable energies 
portfolio along these lines, Freudenberg concluded 
an agreement in 2022 under which the company will 
participate in the electricity generated by “Nordsee 
Ost” offshore wind farm from 2025 onwards. 
The wind farm is located off the island of Helgoland, 
covers an area of 24 square kilometers and has been 
fully operational since 2015. Its 48 wind turbines gen-
erate enough climate-friendly electricity to supply 
around 320,000 households. This makes Nordsee Ost 
one of the largest commercial wind power projects 
off the German coast.
HANDprint
FOOTprint
Sun and wind – a good combination. Freudenberg favors both solar and wind power. 
After the sun comes the wind
The purchase of green electricity, i.e. electricity from 
renewable sources such as wind, solar and hydro 
power, plays an important role for Freudenberg in 
achieving its climate neutrality goals. Freudenberg 
is regarded as a particularly reliable partner, which 
enables the company to conclude long-term supply 
contracts for green electricity with energy suppliers. 
Known as “power purchase agreements”, or PPAs for 
short, these are long-term bilateral agreements be-
tween energy suppliers and purchasers on the basis 
of which investments are made for the expansion 
of renewable energy. This type of contract not only 
actively drives climate protection, but can also be 
financially rewarding. The special feature is that the 
electricity is delivered at a fixed price over the regular 
contract term of ten years, thus offering greater plan-
ning security.

98
The array consists of roughly 38,000 individual solar panels – making it one of Freudenberg’s largest.
Planning for the array started in November 2021, and 
the project was officially launched four months later. 
Installation work began in early June 2022. Despite 
the restrictions imposed due to the COVID-19 pan-
demic a well as typhoons and extreme temperatures 
in the summer months, the array was commissioned 
in fall 2022. One of the biggest challenges was to 
meet all the operational requirements in terms of 
safety and reliability. Together with the insurance and 
construction companies, a great deal of work went 
into designing the construction and selecting the 
right materials.
Employees at the Shunde facility are proud to be 
contributing to greater sustainability at Freudenberg 
thanks to self-generated green electricity – in combi-
nation with energy efficiency measures.
Green electricity self-generation 
At Freudenberg, when it comes to goals for tackling 
climate change and achieving CO2 neutrality, renew-
able energy is a key driver. Along with the purchase 
of green electricity, self-generation is an important 
aspect that is becoming increasingly relevant. One 
example is the Freudenberg Filtration Technologies 
site in Shunde, China, where a photovoltaic array was 
commissioned in fall 2022.
At over 9,500 square meters, the array is one of the 
largest in the Freudenberg Group. Its generating 
capability will be of the order of 2 million kilowatt 
hours, thus saving more than 1,500 tonnes of CO2 
emissions. The array can meet up to 20 percent of 
the site’s electricity demand, and is Freudenberg 
Filtration Technologies’ largest as well as one of the 
Freudenberg Group’s largest in the world.
HANDprint
FOOTprint

99
applications. The first prototype vehicles are expected 
to hit the road by 2023, with series production sched-
uled to start shortly thereafter. 
This project is founded on Freudenberg’s foresight ap-
proach. Group employees have been working on fuel 
cell technology for some 30 years and have built up 
expertise and a depth of value creation that is unique 
in the industry. Freudenberg manufactures essential 
fuel cell components such as gas diffusion layers, 
sealing materials and humidifiers. This has generated 
a complete technological understanding – from raw 
materials through to finished systems – and enables 
Freudenberg to design fuel cells for a long service life 
and the highest possible system efficiency. 
HANDprint
FOOTprint
Clean drive systems use hydrogen instead of diesel
The transport industry is under intense pressure to 
meet binding targets for climate protection. Vehicle 
manufacturers and suppliers are pulling out all the 
stops to develop numerous innovative concepts for 
CO2 emission-free road freight traffic. 
The Freudenberg Group plays a key role in shaping 
the development of sustainable mobility. One ex-
ample is the cooperation between the Freudenberg 
e-Power Systems Business Group and the global tech-
nology company ZF Friedrichshafen. The goal of this 
cooperation is to develop a hybrid fuel cell/battery 
drive system and the components that are critical for 
its functioning. In a first step, work focuses on devel-
oping these emission-free fuel cells to replace diesel 
drives in trucks and buses as well as for maritime 
Freudenberg and ZF Friedrichshafen are jointly developing a hybrid fuel cell/battery drive system.
Sustainability

100
circularity on the basis of scientific principles. The 
evaluation algorithm functions on a sophisticated 
points system. A product is only classed as circular 
if it is awarded a minimum number of points in a 
circularity ranking. 
Because technologies always evolve over time, 
experts at Freudenberg Home and Cleaning Solu-
tions regularly review the tool to stay current and 
continuously develop it further. DESIGNED-FOR-CIR-
CULARITY has been an integral part of the Business 
Group’s innovation process since spring 2022 and 
has already tested over sixty products.
More sustainability in the innovation process
Circular economy – a term that is becoming ever 
more popular all over the world in view of dwindling 
resources. The principle: the more raw materials that 
are fed back into the economic cycle after use, the 
more efficient and sustainable that cycle will be.
Researchers at Freudenberg Home and Cleaning 
Solutions teamed up with experts from a sustain-
ability consultancy firm to develop a unique ap-
proach to align the future product portfolio more 
closely to circularity. This approach centers on the 
DESIGNED-4-CIRCULARITY tool. It helps product 
developers to systematically evaluate products for 
HANDprint
FOOTprint
Freudenberg Home and Cleaning Solutions is committed to the circular economy – the Business Group uses PET granulate from recycled materials (photo) as 
well as tools to evaluate product circularity.

101
Sustainability
weight and thus saves energy and lowers CO2 emis-
sions during service life.
Furthermore, the entire process it is designed for 
sustainability – all the way from production to the 
end of service life. The staple fiber is already up to 
50 percent recycled when it is made into underbody 
panels. The aim is to increase the content of recycled 
staple fiber further. In the future, 100 percent of 
the waste generated in production at Freudenberg 
Performance Materials and at customers is to be 
recycled. And if suitable conditions are established 
at the automotive manufacturers, it would even be 
possible to take back the underbody shield after end 
of life, i.e. after about 15 years of use in the vehicle, 
recycle it and use it for new applications.    
Freudenberg automotive underbody shields promote sustainable mobility.
Circular economy in the automotive industry:  
Sustainable innovation: underbody shield for auto-
mobiles
Cars are made up of about 30,000 components on 
average. This figure alone highlights just how com-
plex and challenging circularity in the automotive 
industry is. The underbody shield from the Freuden-
berg Performance Materials Business Group is a 
sustainable innovation that protects cars from the 
many effects of the environment. The combination 
of staple fiber and spunbond nonwovens provides 
greater stiffness than competing products made of 
pure staple fibers, excellent acoustic absorption and 
greater water repellency through what is known as 
the lotus effect. 
Freudenberg’s underbody shield also has a low 
weight: it is up to 25 percent lighter than conven-
tional underbody panels – that reduces vehicle 
HANDprint
FOOTprint

102
EagleBurgmann is supplying seals for the world’s largest seawater desalination plant.
of-the art mechanical seals specially developed for 
extremely high pressures in water applications. Not 
only do they allow for a reliable and smooth oper-
ation but, thanks to their durability, they also help 
make the desalination plant more sustainable. 
A reverse osmosis process is used to purify the wa-
ter. This physical process to remove substances dis-
solved in liquids uses pressure to reverse the natural 
osmosis process. The new plant will be the largest 
and most advanced desalination plant in the world. 
And when it comes to saving energy and preventing 
pollution, it is a true game-changer.
Seals for the world’s largest seawater desalination 
plant
Just a few kilometers south of Tel Aviv, something 
big is happening. With a total investment of almost 
half a billion euros, the world’s largest seawater 
desalination plant, “Sorek II”, is under construction 
there. Once built, the plant will desalinate an annual 
100 billion liters of water and convert it into potable 
and industrial process water for over 1.5 million 
people, thus meeting 20 percent of Israel’s water 
needs. 
EagleBurgmann, a Freudenberg and EKK Group 
company, is supporting the project with sustainable 
sealing solutions, or – to be more specific – state-
HANDprint
FOOTprint

103
Sustainability
improve the aerodynamics and thus further improve 
energy efficiency by increasing the vehicle’s range. 
Furthermore, air springs can optimize the airflow 
under the car for better passive battery cooling in 
electric vehicles. Unlike traditional springs, air springs 
have very flexible leveling adjustment capabilities – 
a further advantage. They protect the batteries in 
bad road conditions and always secure a minimum 
ground clearance. Furthermore, switchable air 
springs can provide different degrees of stiffness, 
allowing quick transition between a firm suspension 
for safe driving behavior, and a more comfortable 
setup for long road trips.
Air springs increase the range of electric vehicles 
Electromobility is here to stay. The electrification of 
the drive train, no matter if fully or partly electric, also 
affects the comfort and ride experience of the pas-
sengers. Freudenberg’s Vibracoustic Business Group 
develops new technologies to ensure comfortable, 
sustainable and safe travel in light and commercial 
battery electric vehicles. The Vibracoustic portfolio of 
innovative NVH (noise, vibration, harshness) solu-
tions covers a raft of products; the Business Group’s 
air springs are one concrete example offering several 
advantages for electric vehicles. 
Air springs not only increase driving comfort, but they 
also allow the lowering of the car at high speeds to 
HANDprint
FOOTprint
cient operation of HVAC systems and the necessary 
filter efficiency for good indoor air quality. Their 
high dust-loading capacity and low pressure drop 
make it possible to realize energy savings in indus-
try.
In addition to energy-efficient filters, Freudenberg’s 
Viledon filterCair Service offers energetic system 
inspections: Freudenberg’s service technicians carry 
out customized analyses and services. Almost any 
ventilation system can be optimized in this way. The 
benefits are twofold: energy consumption is cut 
and CO2 emissions are reduced.
Saving energy in industry with Viledon 
Companies aiming to reduce their energy con-
sumption – and therefore their energy costs – need 
to look at the operation of their fans and HVAC 
systems. They account for a significant share of 
industrial energy consumption. 
Filtration solutions from the Freudenberg Group 
can help to lower the energy costs of such systems 
by up to 30 percent. Numerous companies from 
various sectors of industry have already opted for 
energy-efficient filter solutions from Freudenberg 
and are now enjoying the benefits – from hospitals 
to airports and pharmaceutical firms. 
Viledon air filters from Freudenberg combined with 
controlled fans guarantee the optimum energy-effi-
HANDprint
FOOTprint

104
Diverse teams drive innovation at Freudenberg. The 
best solutions and innovations occur when employ-
ees contribute their varied experience, knowledge 
and skills to a collaboration. Employees provide 
new ideas, generate imaginative solutions and cre-
ate innovative products. Freudenberg employees 
all have a common foundation: entrepreneurship 
in their mindset and actions. This spirit unites them 
around the world.
Together 
Human Rights  
 and Labor
we are strong

105
In Germany, the employee headcount was 12,413 
(previous year: 11,918 ), in Europe (excluding 
Germany) the number was 14,924 (previous year: 
14,450), in North America 11,867 (previous year: 
11,528), in Asia 10,711 (previous year: 10,474),  
in Africa/Australia 543 (previous year: 542) and  
in South America/Central America 1,004 (previous 
year: 924). 
51,462
staff were employed by Freudenberg as of 
December 31, 2022 (previous year: 49,836 employees).
Freudenberg Group employees by region
Human Rights and Labor
  2021
  2022
Africa/
Australia
Asia
South/Central 
America
North 
America
Europe 
(excluding Germany)  
Germany
12,413
11,918
14,924
11,867
1,004
543
10,474
14,450
11,528
924
542
10,711

106
Strengthening the employer brand  
 
The employer brand made further progress in 
the year under review. Addressing target groups 
individually, and inspiring and attracting talent 
continues to be Freudenberg’s goal. The activities 
led to a sharp rise both in the number of followers 
on social networks – especially LinkedIn, WeChat 
and Facebook – and in the number of visitors to the 
Freudenberg career website. Career fairs and in-
house events as well as LinkedIn campaigns proved 
to be successful measures. These measures focused 
on offerings tailored to the regions.
Attractiveness 
Freudenberg provides numerous benefits that are 
constantly being expanded to become, and remain, 
attractive for existing employees and new hires 
alike. The benefits tend to vary from region to region 
and site to site, but in the main go well beyond the 
statutory minimum requirements for the respective 
countries. 
Under the talent management program, Freuden-
berg supports the continuous further development 
of its employees through numerous vocational 
training, advanced training and professional de-
velopment programs at all hierarchical levels. The 
Freudenberg Group also believes a good work-life 
balance is important in helping to preserve and 
improve the health and well-being of employees, 
especially during the COVID-19 pandemic. As part of 
an occupational health management program, the 
Group provides the best possible medical support 
and promotes a wide range of sport and fitness 
programs. 
Freudenberg is repeatedly recognized with awards 
that confirm the Group is an attractive employer. In 
2022, for example, Freudenberg-NOK Sealing Tech-
nologies in Detroit, USA, was honored for the fifth 
time in a row by the “Detroit Free Press” newspaper 
as a “Top Place to Work”. In Spain, Freudenberg Seal-
ing Technologies was rated “Best Place to Work”.
In order to remain an attractive employer in fu-
ture, Freudenberg is exploring the working worlds 
of the future from various perspectives under a 
wide-ranging project. The project topics include 
future collaboration within the company, flexibili-
zation of work and workplace design of the future. 
The project also addresses what is expected of 
Freudenberg management regarding remote lead-
ership and communication. 
Talent management 
The goal of the talent management process is holis-
tic and professional personnel development as well 
as the successful identification and advancement of 
high potentials. Under the process, employees are 
given balanced and calibrated feedback from their 
superiors, who also discuss the next development 
steps with them. As part of the talent management 
process, succession candidates for specialist and 
leadership functions are systematically identified 
to ensure the long-term stability of the leadership 
teams. Talent development across Business Groups 
continued to gain ground in 2022. Regional and 
functional talent conferences in particular are pro-
gressively leading to a shared understanding of key 
positions and high potentials in the organization, 
joint responsibility for talent advancement and 
optimal staffing decisions. 
As a result of the recruiting module implemented 
under Workday, Freudenberg’s global employee 
information system, employees can keep up-to-
date on open positions and apply for vacant posts, 
thus taking a proactive part in their own develop-
ment. Furthermore, supervisors receive regular 
training on how to conduct high-quality feedback 
discussions with their employees, thus supporting 
employees’ personal and professional development.

107
9%
Fixed term 91%
Open-end
Human Rights and Labor
Employment ratios 
(as at December 31, 2022)  
4%
Part-time 96%
Full-time
There are country-specific requirements 
and regulations for part-time work.

108
Labor shortage, fluctuation and recruiting 
One of the greatest challenges for Freudenberg in 
2022 was filling vacant posts in both direct and indi-
rect areas. The labor market is clearly shifting from an 
employer to an employee market, above all in North 
America, but the shift is also becoming increasingly 
obvious in other regions as well. When coupled with 
higher fluctuation, this means that at times, vacant 
positions cannot be filled. The shortage of manpower 
results in extra work for the remaining employees, 
and that in turn drives fluctuation higher.
In 2021, some 8 percent of the workforce left 
Freudenberg at their own request: the fluctuation 
rate went up to 10 percent in 2022. There were 
regional differences, with higher numbers in North 
America and lower figures in Germany. Fluctuation 
among production employees was greater than fluc-
tuation in what are termed “indirect” areas. Where 
fluctuation rates are high, Freudenberg takes specific 
steps at local and regional level to remedy the causes 
and retain the workforce.
In all, Freudenberg was able to recruit 7,800 new 
employees in 2022. Recruiting activities focused on 
Europe as well as North America, China and India. 
Well over a year after the launch of the new electron-
ic recruiting platform, the number of candidates has 
risen sharply. The Freudenberg Group received over 
100,000 applications in the year under review.
Diversity and inclusion
Diversity is anchored in the Group’s Values and Prin-
ciples and also clearly positioned within the brand. 
Freudenberg is convinced that teams made up of 
people of various ages and genders and with diverse 
cultural backgrounds are more successful. In 2022, 
people from 146 nations (previous year: 136) worked 
together at Freudenberg. The “Diversity and Inclusion 
Community” was established to strengthen activities 
in an inclusive work environment still further.  
The 30 community members developed measures 
in five different areas, such as inclusion culture at 
Freudenberg. The goal of the various initiatives is to 
create a work environment in which every employee 
feels valued, respected and heard. 
One particular focus for Freudenberg is balanced 
gender distribution, where special attention is paid to 
the hiring process, the early identification of female 
talent, the targeted career promotion of women into 
top leadership positions, and the targeted networking 
of women within the company. The share of female 
senior managers in the year under review was approx. 
22 percent. 
The Group defined several racial diversity measures 
in the USA in 2021 and these were implemented in 
2022. One such measure was support from Freuden-
berg for various institutions and programs that are 
especially devoted to the advancement of minorities. 
Freudenberg does not exclusively think of diversity in 
terms of gender, age or religion, but also plans to place 
a greater emphasis on geographic diversity going 
forward. Many of the company’s experts and manag-
ers are located in Europe, particularly Germany. In the 
medium term, there will be an even stronger effort to 
establish good local and regional leadership, both in 
production and administration. The goal is to balance 
know-how and expert knowledge across all regions. 
Project “Balance” was launched with this in mind in 
2021. Its goal is to create a framework for strength-
ening local talent and succession planning for senior 
management positions in Asia and North America. 
Concrete measures for the USA and China were drawn 
up in 2022.

109
7,819
(new hires in 2022)  
146
(Freudenberg employees come   
  from 146 nations)   
60
(There are Freudenberg    
  facilities in 60 countries)   32%
(female professionals and managers)  
New hires 
Diversity
63 
(in Africa/Australia)
1,311 
(in Asia)
257 
(in South/Central America)
2,694 
(in North America)
2,023 
(in Europe excluding Germany)
1,471 
(in Germany)
Human Rights and Labor
Freudenberg does not exclusively think of diversity 
in terms of gender, age or religion, but also plans to 
place a greater emphasis on geographic diversity 
going forward.

110
Personnel development  
In total, some 500 managers again participated in 
the various leadership development programs orga-
nized by Freudenberg in 2022. 
Some training measures, in particular the leader-
ship development programs, were again organized 
as in-person events as the pandemic measures were 
gradually eased. 
Training at Freudenberg
In 2022, 123 persons (previous year: 91) began 
training at Freudenberg companies in Germany. A 
total of 351 persons in Germany and 433 persons 
worldwide were enrolled in a training program as 
of December 31, 2022. 93 new vocational trainees 
began their training at Freudenberg in Weinheim in 
2022, of which 49 came from Freudenberg and 44 
from outside companies.
The quality of the training at Freudenberg is highly 
regarded by other companies. This is shown by the 
fact that well-respected companies in the region 
have repeatedly sent their young talent to be trained 
at Freudenberg in Weinheim. The training ranges 
from two-year technical programs to commercial 
courses and dual studies at cooperative state univer-
sities. In recent years, the Freudenberg Training Cen-
ter has specialized in digitalization topics and is an 
acknowledged learning hotspot for both vocational 
training and continuing education. 
The Training Center in Weinheim is also known for its 
social engagement. Since 2016, under the “Training 
for Refugees” donation-funded project, refugees 
have been offered a technical internship with the 
prospect of starting vocational training at Freuden-
berg. So far, a total of 59 refugees have taken up this 
offer, and 36 have subsequently begun their train-
ing at Freudenberg. All of the 19 trainees who have 
already graduated have found jobs – eleven of them 
with Freudenberg and eight with outside companies. 
Six refugees from the preparatory internship joined 
the scheme in 2021/22, and Freudenberg enabled 
them to take part in vocational training to become 
machine and plant operators. 
In recent years, the Freudenberg 
Training Center has specialized 
in digitalization topics and is an 
acknowledged learning hotspot 
for both vocational training and 
continuing education.

111
500
  (Participants in programs  
    from all regions) 
433
(Trainees at Freudenberg world   
  wide as at December 31, 2022) 351
(Trainees at Freudenberg in Germany  
  as of December 31, 2022)
Management development
Training
Human Rights and Labor

112
The HSE (Health, Safety and Environment) Guideline 
includes the HSE principles and defines the Freuden-
berg Group’s Values and Principles for HSE. The over-
arching goals are avoiding all accidents, preventive 
healthcare, and continuously reducing the negative 
impact of the Group’s business on the environment.
Focus on people
Health, Safety and
 Environmental Protection
and the environment

113
Health, Safety and Environmental Protection
Freudenberg is committed to the well-being of its 
employees and their personal development. Oc-
cupational safety and health are encouraged and 
practiced at all hierarchy levels within Freudenberg. 
Health, safety and environmental protection are an 
integral part of all processes. 
This approach has enabled the Freudenberg Group 
to maintain the number of accidents at a low level 
relative to industry benchmarks. Existing mea-
sures are reinforced and enhanced with innovative 
approaches to ensure continuous improvement. Suc-
cess in occupational safety serves as a benchmark 
for other areas where Freudenberg also engages in 
continuous improvement. In addition to reducing 
environmental impacts, this is particularly relevant 
with regard to health protection. 
The safety of employees in the workplace has top pri-
ority at Freudenberg. An HSE week is held each year, 
during which all Freudenberg Group sites are called 
on to implement HSE initiatives that go beyond daily 
routines. Aside from various occupational safety and 
fire prevention training programs, measures in 2022 
also focused on aspects of sustainability, such as 
saving energy and avoiding waste, as well as on the 
positive benefits of ergonomic factors for a healthy 
working environment – including remote working. 
Furthermore, communication played a role in the 
context of practical emergency and crisis manage-
ment training.
Internal and external audit processes and standard-
ized HSE assessments at sites operated by all Busi-
ness Groups monitor the implementation of internal 
standards and programs to improve occupational 
health, safety and environmental protection, as well 
as fire prevention. The findings from such audits are 
systematically evaluated and remedial measures 
implemented.

114
Environmental protection  
Freudenberg is committed to protecting the envi-
ronment and assumes responsibility for making its 
activities as environmentally-compatible as possible.
The goal is to continuously reduce the negative 
environmental impact along the entire value chain 
by using natural resources more efficiently, reducing 
emissions, saving energy, water and other consum-
ables, and by optimizing transport processes. Many 
sites conduct analyses to identify energy-saving 
potential and implement the findings.    
 
One example of Freudenberg’s endeavors in the 
field of environmental protection is a project at the 
Freudenberg Home and Cleaning Solutions site in 
Salo, Finland. All waste generated at the site is fully 
recycled. This goal has been achieved in various ways, 
for example through process optimization measures 
such as reducing scrap. Furthermore, used mops are 
collected from end users, recycled and returned to the 
production cycle. 
Another example from the year under review comes 
from SurTec Germany, where waste water was re-
duced by up to 20 percent through process optimiza-
tion and intelligent process combination.
Management systems  
The roll-out of management systems for occupation-
al health and safety (OHSAS 18001 and conversion 
to ISO 45001) and environmental protection (ISO 
14001) continued in the 2022 financial year. 
Many sites have introduced energy management 
systems in accordance with DIN EN ISO 50001 or 
EN 16246 to improve energy consumption, thereby 
reducing the impact of industrial activities on the 
environment. 
Investment 
The proportion of direct investment in environ-
mental protection, occupational health and safety 
in overall investment in tangible assets, intangible 
assets and investment properties was 12.2 percent 
(previous year: 10.1 percent). A new category of 
sustainability-related investment was introduced 
in 2021. Here, the main focus is on the reduction of 
energy consumption and carbon dioxide emissions. 
In 2022, the proportion of investment devoted to 
sustainability was 2.7 percent. 
Freudenberg strives to make its 
activities as environmentally 
compatible as possible. One example 
of these endeavors is a project at the 
Freudenberg Home and Cleaning 
Solutions site in Salo, Finland. All 
waste generated at the site 
 is fully recycled.

115
Events  
 
In 2022, the Freudenberg Group recorded 55 (previ-
ous year: 46) environmental and crisis management 
events. 
There was a major fire at the Freudenberg Perfor-
mance Materials site in Suzhou, China, in March, 
and another one at the Freudenberg Sealing Tech-
nologies site in Kufstein, Austria, in December. There 
were also minor fires at various sites, and operations 
were interrupted on several occasions as a result of 
power outages or process-related shutdowns. No 
employees were injured in any of these events. There 
were also various environmental events involving 
substance release, none of which resulted in envi-
ronmental damage.
There was a string of natural disasters in 2022. 
A severe tornado wreaked extensive damage to 
buildings and materials at the Japan Vilene Compa-
ny site in Paderborn, Germany, and operations were 
interrupted. The Freudenberg Sealing Technologies 
site in Hamburg, Germany, also suffered storm 
damage. There were two incidents of heavy rainfall 
in Weinheim and at the Freudenberg Performance 
Materials site in Hückelhoven, during which water 
penetrated buildings. Operations at Hückelhoven 
were interrupted as a result. There were site closures 
in Australia due to flooding.
Health, Safety and Environmental Protection
SurTec Germany was able to reduce waste water by up to 20 percent through intelligent process combination.

116
Resource consumption  
Freudenberg used 2,583 gigawatt hours of energy in 
2022 (previous year: 2,600 gigawatt hours). Con-
sumption breakdown by energy sources is as follows: 
•	 Energy purchased from external sources (electrici-
ty, steam and district heat; 1,647 gigawatt hours) 
•	 Gas (859 gigawatt hours) 
•	 Heating oil (14 gigawatt hours) 
•	 Self-generated renewable energy (3 gigawatt 
hours)
The 2,583 gigawatt hours incurred costs totaling 
some 284 million euros. Energy costs accounted for 
2.4 percent of total sales (previous year: 2.6 percent).
Contaminated sites 
Provisions for contaminated sites were some  
3.5 percent lower than the previous year.
Work on the rehabilitation plan for the former 
Freudenberg Sealing Technologies site in Pinerolo, 
Italy, continued, as did work on the ongoing ground-
water monitoring programs at locations such as the 
Klüber Lubrication site in São Paulo, Brazil, and the 
Freudenberg Sealing Technologies site in Montrond, 
France. 
Monitoring requirements specified by the authori-
ties were implemented at the Weinheim site and at 
Freudenberg Sealing Technologies in Bristol, USA and 
Chem-Trend in Howell, USA.
Preventive healthcare 
The impact of the COVID-19 pandemic and the 
associated restrictions lost much of their intensity in 
2022. Nevertheless, issues such as hygiene concepts, 
dealing with cases of infection, the comprehensive 
Corona vaccination program or the continued wides-
cale use of remote working were still of relevance. 
All over the world, there has been an increase in the 
number of mental health problems as a result of the 
pandemic. Freudenberg employees are unfortunately 
among those affected. That is why a comprehensive 
mental health initiative was launched at several 
sites in 2022, addressing topics such as how to deal 
with stressful situations or illness. In Weinheim, 
for example, numerous employees benefited from 
the support offered by presentations, workshops 
and consultations organized in cooperation with an 
industrial psychologist. 
Once again, a large number of excellent projects fo-
cusing on the needs of employees were submitted in 
2022 under the Freudenberg-wide “We all take care” 
initiative. Team solidarity was the subject of some of 
these projects aimed at strengthening psychosocial 
factors such as how to manage an increased work-
load or communication between colleagues through 
team interaction.
The winning project in Group 1 “Occupational Health 
Management” was an entry from Freudenberg 
Sealing Technologies in Weinheim. The “BIONIC@
Components” project took an innovative approach to 
ergonomics. Body sensors were used to record move-
ments while performing tasks and these motion 
sequences were then digitized and transferred to an 
avatar. The data can be used to assess occupational 
safety and identify stress patterns or for training or 
redesigning workplaces.

117
 Occupational safety 
Freudenberg’s internal reporting uses the LDIFR (Lost 
Day Incident Frequency Rate). The metric serves as 
a non-financial key performance indicator for the 
Freudenberg Group. All workplace accidents with 
at least one day of work lost per million hours are 
measured. In 2022, the LDIFR climbed to 1.8 (previous 
year: 1.3). This corresponds to a global figure of 186 
accidents at work (previous year: 133). 
There were five serious accidents in 2022. In three 
cases, employees suffered permanent damage to 
fingers or hands. In two cases, the injured employees 
were hospitalized for more than seven days, but did 
not suffer permanent damage. 
Occupational safety focuses on measures aimed at 
raising awareness of safe conduct among all employ-
ees as well as the design of safe working systems. 
This is illustrated by successful “We all take care” 
ideas such as that submitted by first-time contributor 
Japan Vilene Company for the prevention of cut-
ting injuries. The “We all take care” jury also praised 
Vibracoustic’s Turkish site in Bursa for its submission 
of numerous project ideas over the last years. In 2022, 
the site came up with an idea on how to prevent 
work accidents involving industrial robots.
The internal Safety Boost initiative continued in 2022 
with the focus on different issues. Attention centered 
on work instructions and hidden routines as well as 
hazard assessment of critical tasks. Critical-event 
communication was intensified. Unsafe situations, 
workplace accidents, environmental incidents and 
high-risk fires are investigated and reported Freuden-
berg-wide. 
With regard to safety culture, the safety culture 
assessment tool was developed further. The regular 
internal review of the safety culture at sites is increas-
ingly becoming a mandatory element of the Safety 
Boost program in the Business Groups. 
Health, Safety and Environmental Protection
Occupational health and safety have top priority at Freudenberg

118
At Freudenberg, corporate citizenship goes beyond 
the value chain. The Group wants to be recognized as 
a good neighbor in the communities where it oper-
ates, which is why it supports a whole raft of social 
projects – from small local initiatives to complex in-
ternational programs. All the campaigns are tailored 
to local requirements, and Freudenberg employees 
often participate in their free time.
 
Corporate Citizenship
Helping  
where help is needed

119
Corporate Citizenship
 Examples of e2 projects
So far, the e² initiative has supported some 170 proj-
ects worldwide. They all show that commitment can 
make a difference. Here are some examples: 
Help for orphans in Vietnam 
Many children in Vietnam suffer from the effects of 
harsh social and economic conditions. Abandoned 
by family members or orphaned, they are often left 
to fend for themselves. The SOS Children’s Villages in 
Vietnam take care of such children. In 2022, Klüber 
Lubrication employees in Vietnam supported the 
work of the SOS Children’s Villages in Ben Tre and Da 
Lat, southern Vietnam. The program included joint 
activities such as gardening, self-defense training 
and the teaching of life skills.
Cooperation with an elementary school in the USA  
Children need a good education and the feeling 
that someone believes in them. Thanks to financial 
support from e² and the personal commitment of 
EagleBurgmann employees, the children at Kirk 
Elementary School in Houston, Texas, now have both, 
giving them much better chances for the future. This 
is the 150th project supported by e².
Bird-proof glass in the Czech Republic and Slovakia 
Glass facades and windows pose a major threat to 
birds. They do not recognize the glass as an obstacle 
and often die from the impact. Teams from Freuden-
berg Home and Cleaning Solutions in the Czech 
Republic and Slovakia are helping to prevent such 
bird strikes. Together with their project partners, 
they stick small stickers on the glass facades of hous-
es and bus stops. In addition, the employees visit 
schools and inform children and young people about 
the life of native birds.
Global program for education and environmental 
protection 
Since the founding of the company, Freudenberg 
has been committed to serving the community. 
Corporate citizenship was strengthened with the 
launch of the e² (education and environment) 
program in 2015. The program’s goal is to provide 
people with access to education and employment 
and to support environmental protection. The e² 
program supports projects on the basis of a cata-
log of defined criteria and complements existing 
individual initiatives. In 2021, Freudenberg decid-
ed to provide e² with a further four million euros in 
funds, bringing total funding to 18 million euros.
Landmark project: The 150th e² project helps children from financially disad-
vantaged households to a good education.

120
Freudenberg’s aim is to provide long-term support 
for projects in the two key areas of education and 
the environment. However, in exceptional situations 
the company takes a flexible approach to its funding 
rules, and also provides spontaneous assistance. 
In response to the Corona pandemic, the company 
supported food banks worldwide and distributed 
face masks to protect people. In the year under re-
view, Freudenberg also responded just as swiftly and 
decisively to Russia’s invasion of Ukraine. The compa-
ny donated €3 million as immediate humanitarian 
aid for those affected by the war in Ukraine. Further 
donations were forthcoming from employees and 
Partners. Many of them were also actively engaged 
in providing support.
After arranging for the immediate aid which was so 
After arranging for the immediate aid which was so 
important right at the start of the war, Freudenberg 
focused more heavily on organizations dedicated to 
the long-term support and integration of refugees. 
So far, some 40 organizations in Ukraine and other 
European countries have received assistance. 
One of these is the Ukrainian Friends Foundation 
which builds container villages. 20 houses in the 
container village near Lviv were built with donations 
from Freudenberg. The company has also provided 
funds for maintenance. A container houses up to 
four people, with preference given to families with 
children. Each container is connected to the sewage 
network and contains a small kitchen and dining 
table, in addition to four beds.
20 containers in the container village near Lviv were financed through donations from Freudenberg employees and Partners.

121
Here are some examples of the Freudenberg Group’s 
long-term orientation on local aid projects:
Training center in India 
Since 2009, Freudenberg has offered young people 
the opportunity to qualify as electricians, welders, 
plumbers, motor mechanics, and machinists under 
dual training programs at a non-profit training cen-
ter in Nagapattinam, India in the province of Tamil 
Nadu, south of Chennai. So far, around 800 young 
people have had a successful start to their careers. 
Most have found a job in the large, well-known 
organizations located in and around Chennai. The 
Nagapattinam region is poor, populated mainly by 
farmers and fishers, and suffered enormously from 
the 2004 tsunami. 
School project in China 
A primary school in the Chinese village of Haijin in 
Sichuan Province devastated by an earthquake in 
May 2008 was rebuilt with support from Freuden-
berg and reopened in 2009. The building has space 
for up to 300 schoolchildren and can give them a 
good start to their education. Freudenberg employ-
ees visit the school every year and organize various 
activities such as the summer camp, extra tuition 
and a Christmas party.
“Service Day” in North America 
Every year, more than 60 Freudenberg sites in North 
America take part in a range of corporate citizenship 
activities. A large number of employees again came 
together for the 2022 “Service Day” to plant trees, 
clean up parks and install water towers.
   
Freudenberg Foundation 
Since 1984, the Freudenberg Foundation has been 
helping to bring about real, long-term change by 
promoting inclusion, education and democracy. As a 
non-profit company, the Foundation is a Partner of 
Freudenberg & Co. KG. The main focus of all its proj-
ects is the social, linguistic, educational and profes-
sional integration of children and young people. 
Corporate Citizenship

122
Compliance
As early as 1887, when his sons joined the company, 
founder Carl Johann Freudenberg drafted his first 
principles of business conduct. The document forms 
the basis for the Freudenberg Group’s 10 Business 
Principles with which Partners and employees identi-
fy. One principle stipulates that success has to come 
from performance; Freudenberg shall not engage in 
any illegal or unethical business practices. 
Abiding by laws and
       regulations

123
Business Principles and Guiding Principles
The Guiding Principles derived from the Freuden-
berg Group’s Business Principles define the values 
shaping conduct towards employees, business 
partners, stakeholders and third parties.
Compliance structure
Freudenberg is a company whose Business Groups 
are entrepreneurially-driven and operate with a 
large degree of independence. Along with the hold-
ing company, these Business Groups are therefore 
responsible for conduct that complies with laws 
and regulations. Both the Board of Management 
of Freudenberg SE and the top management of the 
individual Business Groups clearly subscribe to this. 
At the holding level, the focus is on compliance is-
sues of critical importance throughout the Business 
Groups and in an international context that could 
pose a threat to Freudenberg, especially in terms of 
the company’s reputation. 
Given the Freudenberg Group’s global presence and 
its product and market diversity, anti-corruption and 
anti-trust legislation are seen as potential risk areas. 
Freudenberg’s ambition is to continuously improve 
its compliance organization, documentation and 
processes. A corporate function at the holding 
level coordinates Freudenberg-wide compliance 
measures, thereby strengthening and expanding 
collaboration between Group-level units and com-
pliance managers in the Business Groups. Among 
other benefits, this promotes the implementation 
of Freudenberg compliance standards, best practice 
exchange and the further development of compli-
ance programs. 
An updated version of the training program on vari-
ous compliance issues was rolled out online in 2022. 
E-learning courses are available for many individual 
topics, giving employees from defined fields and 
areas of responsibility the opportunity to raise their 
awareness of specific compliance topics. 
Compliance

124
Code of Conduct
The Code of Conduct is derived from the Business 
Principles and Guiding Principles, in particular the 
“Responsibility” Guiding Principle. It covers stan-
dards of conduct that are valid worldwide. It is 
designed to ensure that law-abiding and responsi-
ble behavior remains the cornerstone of business 
conduct. 
The Code of Conduct is available to employees 
worldwide in 26 languages. It has been communicat-
ed and explained to all employees across the globe. 
The Business Groups have made use of the available 
communication channels in many ways. This consis-
tent, continuous communication, which is also man-
datory for new employees, and the binding nature of 
the Code of Conduct (for example, as an attachment 
to employment contracts) underscore the unequiv-
ocal requirement to adhere to these standards of 
behavior. The globally standardized e-learning tool 
on the Freudenberg Code of Conduct is an appropri-
ate instrument for all employees to become familiar 
with the Code’s contents. The tool makes it possible 
to monitor participation and success, and invites 
feedback from employees. 
Freudenberg plans to strengthen and further devel-
op the role of the Code of Conduct as a cornerstone 
of corporate culture and to expand help and support 
for employees and their supervisors. In these efforts, 
Freudenberg focuses in particular on regular ex-
The Freudenberg Code of Conduct 
is available in 26 languages. The 
globally standardized e-learning tool 
on the Freudenberg Code of Conduct 
is an appropriate instrument for all 
employees to become familiar with 
the contents.
change with Business Group Compliance managers 
and on active collaboration with the Ethics Offices 
and their staff.
The Code of Conduct was revised in 2022 to ade-
quately reflect changes in legislation and significant 
developments with regard to compliance standards. 
The new features refer in particular to more pre-
cise details governing essential issues in the fields 
of human rights and climate protection as well as 
taking into account new aspects such as matters 
concerning cooperation with business partners or 
prohibition of money laundering. It is planned to roll 
out an update of the e-learning tool to include these 
changes in 2023.

125
Corporate Audit and Risk Management
Aside from the main objective of reviewing the 
effectiveness of the internal control system in place, 
the work of Corporate Audit in 2022 also focused on 
identifying other potential risks and/or asset misap-
propriation.
Compliance
Ethics Offices
The Ethics Offices are an important element of 
Freudenberg’s Compliance Management System. 
They serve as a confidential point of contact for all 
employees and third parties (i.e., persons outside the 
Freudenberg Group, such as suppliers or customers) 
wishing to report an actual or potential infringement 
of laws or Freudenberg’s Business Principles or Guid-
ing Principles. The option to report compliance viola-
tions via a channel that guarantees confidentiality or 
to give warning of imminent offenses is designed to 
foster the culture of trust and protect Freudenberg’s 
Values and Principles even more effectively.

126
The UN Global Compact is the world’s largest and 
most important initiative promoting responsible 
corporate governance. Since signing the Global 
Compact in 2014, Freudenberg has made a volun-
tary commitment to ensuring its business is val-
ues-based and sustainable. 
Freudenberg regularly reports on how the company 
is implementing the ten principles of the Global 
Compact and its contribution to achieving the UN 
Sustainable Development Goals in what is known as 
the UN Global Compact Communication on Prog-
ress (CoP). To date, this Communication on Progress 
comprised the section of the Freudenberg Annual 
Report entitled “Responsibility for Society” with its 
chapters on “Sustainability”, “Health, Safety and 
Environmental Protection”, “Corporate Citizenship”, 
“Compliance” and “Human Rights and Labor”. 
The UN Global Compact has, however, changed the 
format of the Communication on Progress. Starting 
in 2023, all participants – and that includes Freuden-
berg – must complete a standardized questionnaire 
containing some 70 questions – mostly multiple 
choice – in sections on Governance, Human Rights, 
Labor, Environment and Climate, and Anti-Corrup-
tion. The completed questionnaires will be available 
during the course of 2023 from the UN Global Com-
pact website at https://www.unglobalcompact.org. 
UN Global Compact  
Communication on Progress

The 2022 report on responsibility at  
Freudenberg is available online at  
https://www.freudenberg.com/responsibilityreport

128

129 
Consolidated Statement of Financial Position 
130 
Consolidated Statement of Profit or Loss 
132 
Consolidated Statement of Comprehensive Income 
133 
Consolidated Statement of Cash Flows 
134 
Consolidated Statement of Changes in Equity 
135 
Notes to the Consolidated Financial Statements 
136 
Shareholdings
187
CONSOLIDATED FINANCIAL STATEMENTS OF 
FREUDENBERG SE 
CONTENTS

130 
[€ million] 
Note 
Dec. 31,2021 
Dec. 31,2022 
ASSETS 
Intangible assets 
(1) 
2,846.3 
2,743.7 
Tangible assets 
(2)
2,769.5
2,878.3
Investment properties 
(3) 
13.9 
12.2 
Investments in joint ventures 
(4) 
233.7 
243.1 
Investments in associated companies 
(5) 
962.9 
944.2 
Other financial assets 
137.3 
125.3 
Financial assets 
1,333.9 
1,312.6 
Other non-current assets 
(7) 
105.4 
61.2 
Deferred taxes 
(26) 
332.3 
291.0 
Non-current assets 
7,401.3
7,299.0
Inventories 
(6) 
1,523.4 
1,835.2 
Trade receivables 
1,527.3
1,810.7
Other current assets 
208.8 
261.1 
Current receivables 
(7)
1,736.1
2,071.8
Current tax assets 
73.5 
117.0 
Cash and cash equivalents 
(8) 
2,186.8 
1,827.9 
Current assets 
5,519.8 
5,851.9 
12,921.1 
13,150.9 
CONSOLIDATED STATEMENT OF FINANCIAL 
POSITION 
ASSETS

131 
 
Consolidated Financial Statements – Consolidated Statement of Financial Position
 
[€ million] 
Note 
Dec. 31,2021 
Dec. 31,2022 
EQUITY AND LIABILITIES 
 
 
 
Subscribed capital 
 
450.0 
450.0 
Capital reserves 
 
50.2 
50.2 
Retained earnings 
 
5,618.3 
6,258.5 
Equity without non-controlling interests 
 
6,118.5 
6,758.7 
Non-controlling interests 
 
372.0 
349.3 
Equity 
(10) 
6,490.5 
7,108.0 
Provisions for pensions and similar obligations 
(11) 
808.8 
604.9 
Other long-term provisions 
(12) 
121.6 
146.4 
Long-term provisions 
 
930.4 
751.3 
Financial debt 
 
1,593.4 
1,346.5 
Other non-current liabilities 
 
185.0 
165.6 
Liabilities 
(13) 
1,778.4 
1,512.1 
Deferred taxes 
(26) 
330.7 
295.1 
Non-current liabilities 
 
3,039.5 
2,558.5 
Other current provisions 
(12) 
801.7 
763.0 
Current tax liabilities 
 
149.2 
121.1 
Financial debt 
 
1,077.3 
1,047.4 
Trade payables 
 
1,025.7 
1,203.4 
Other current liabilities 
 
337.2 
349.5 
Liabilities 
(13) 
2,440.2 
2,600.3 
Current liabilities 
 
3,391.1 
3,484.4 
 
 
12,921.1 
13,150.9 
    
 
 
 
EQUITY AND LIABILITIES

132 
 
[€ million] 
Note 
2021 
2022 
Sales 
(14) 
10,038.7 
11,753.1 
Cost of sales 
(15) 
-6,904.7 
-8,259.5 
Gross profit 
 
3,134.0 
3,493.6 
Selling expenses 
(16) 
-1,369.2 
-1,535.7 
Administrative expenses 
(17) 
-637.2 
-702.5 
Research and development expenses 
(18) 
-428.4 
-506.6 
Other income 
(19) 
116.2 
147.6 
Other expenses 
(20) 
-77.7 
-96.0 
Income from investments in joint ventures 
(4),(21) 
26.0 
23.3 
Profit from operations 
 
763.7 
823.7 
Income from investments in associated companies 
(5),(22) 
41.1 
43.2 
Other investment result 
(23) 
14.4 
27.3 
Other interest and similar income 
(24) 
16.6 
24.5 
Interest and similar expenses 
(25) 
-57.6 
-61.7 
Financial result 
 
14.5 
33.3 
Profit before income taxes 
 
778.2 
857.0 
Income taxes 
(26) 
-191.1 
-217.4 
Consolidated profit 
 
587.1 
639.6 
Of which: attributable to Freudenberg 
 
558.1 
626.5 
Of which: attributable to non-controlling interests 
(27) 
29.0 
13.1 
   
CONSOLIDATED STATEMENT  
OF PROFIT OR LOSS

133 
 
Consolidated Financial Statements – Consolidated Statement of Profit or Loss
Consolidated Statement of Comprehensive Income
[€ million] 
Note 
2021 
2022 
Consolidated profit 
 
587.1 
639.6 
 
 
 
 
Other comprehensive income: 
 
 
 
Remeasurement of defined benefit plans 
(11) 
85.8 
184.3 
Changes in value of securities 
 
-0.3 
-3.3 
Income tax relating to items that will not be reclassified to profit or loss 
(10) 
-23.8 
-53.9 
Share in other comprehensive income of joint ventures 
(4) 
0.1 
0.0 
Share in other comprehensive income of associated companies 
(5) 
42.3 
-8.7 
Items that will not be reclassified to profit or loss 
 
104.1 
118.4 
 
 
 
 
Exchange rate differences 
(10) 
213.4 
-38.6 
Changes in value of derivative financial instruments 
(10) 
-0.2 
-0.1 
Miscellaneous comprehensive income 
 
-1.0 
1.1 
Income tax relating to items that will be reclassified subsequently 
to profit or loss when specific conditions are met 
(10) 
-7.5 
-4.1 
Share in other comprehensive income of joint ventures 
(4) 
-1.1 
0.6 
Share in other comprehensive income of associated companies 
(5) 
31.9 
38.5 
Items that will be reclassified subsequently to profit or loss when specific conditions 
are met 
 
235.5 
-2.6 
 
 
 
 
Other comprehensive income for the year 
 
339.6 
115.8 
 
 
 
 
Total comprehensive income for the year 
 
926.7 
755.4 
Of which: attributable to Freudenberg 
 
881.1 
734.3 
Of which: attributable to non-controlling interests 
 
45.6 
21.1 
 
CONSOLIDATED STATEMENT OF  
COMPREHENSIVE INCOME

134 
 
[€ million] 
Note 
2021 
2022 
Profit before taxes 
 
778.2 
857.0 
Depreciation, amortization and impairment losses on intangible assets, tangible 
assets, investment properties and financial assets less write-ups 
 
510.2 
554.9 
Income from investments and interest income 
 
-39.1 
-59.5 
Income taxes paid 
 
-205.2 
-343.1 
Profit or loss on disposal of intangible assets, tangible assets, investment properties 
and financial assets 
 
-10.6 
20.5 
Dividends received 
 
32.2 
63.4 
Other expenditure and income not affecting payments 
 
35.6 
12.1 
Changes in inventories, trade receivables and other assets 
 
-426.2 
-587.3 
Changes in trade payables and other liabilities 
 
128.1 
179.1 
Changes in provisions 
 
98.7 
-50.1 
Interest paid 
 
-51.9 
-58.5 
Interest received 
 
11.8 
19.2 
Cash flow from operating activities 
(28) 
861.8 
607.7 
 
 
 
 
Cash inflow from disposals of intangible assets, tangible assets and investment 
properties 
 
44.0 
14.0 
Cash outflow from acquisitions of intangible assets, tangible assets and investment 
properties 
 
-304.8 
-401.5 
Cash inflow from disposals of financial assets 
 
7.5 
7.0 
Cash outflow from acquisitions of financial assets 
 
-20.6 
-4.1 
Cash inflow in connection with the disposal of consolidated companies or other 
business units less cash disposed of 
 
18.5 
0.7 
Cash outflows in connection with the acquisition of consolidated companies or 
other business units less cash acquired 
 
-278.1 
-50.3 
Cash flow from investing activities 
 
-533.5 
-434.2 
 
 
 
 
Dividend payments to shareholders/non-controlling interests 
(29) 
-138.7 
-137.3 
Payments from transactions with non-controlling interests 
 
4.0 
-2.2 
Cash inflow from the take-up of financial debts 
 
412.6 
196.1 
Cash outflow from the repayment of financial debts 
 
-470.9 
-575.7 
Cash inflow from disposals of loans and securities held as 
non-current assets 
 
2.7 
9.7 
Cash outflow from acquisitions of loans and securities held as 
non-current assets 
 
-7.2 
-12.8 
Cash flow from financing activities 
 
-197.5 
-522.2 
 
 
 
 
Changes in cash and cash equivalents with effect on payments 
(31) 
130.8 
-348.7 
Changes in cash and cash equivalents from changes in consolidated group 
 
0.0 
0.0 
Changes in cash and cash equivalents from exchange rate differences 
 
34.6 
-10.2 
Cash and cash equivalents at beginning of year 
 
2,021.4 
2,186.8 
Cash and cash equivalents at end of year 
 
2,186.8 
1,827.9 
    
CONSOLIDATED STATEMENT OF CASH FLOWS

Consolidated Financial Statements – Consolidated Statement of Cash Flows 
Consolidated Statement of Changes in Equity 
 
 
 
135 
 
 [€ million] 
Subscribed 
capital 
Capital 
reserves 
Currency 
translation 
Remeasure- 
ment of 
defined benefit 
obligations 
Fair value 
measure- 
ment of 
securities 
Financial 
investments 
accounted for 
using the 
equity 
method 
Status Jan. 1, 2021 
450.0 
50.2 
-296.3 
-456.3 
13.5 
75.9 
Changes in consolidated 
group 
 
 
 
 
 
 
Consolidated profit 
 
 
 
 
 
 
Appropriation of profit 
 
 
 
 
 
 
Other comprehensive 
income 
 
 
189.2 
81.2 
-1.3 
70.2 
Status Dec. 31, 2021 
450.0 
50.2 
-107.1 
-375.1 
12.2 
146.1 
 
 
 
 
 
 
 
Status Jan. 1, 2022 
450.0 
50.2 
-107.1 
-375.1 
12.2 
146.1 
Changes in consolidated 
group 
 
 
 
 
 
 
Consolidated profit 
 
 
 
 
 
 
Appropriation of profit 
 
 
 
 
 
 
Other comprehensive 
income 
 
 
-46.5 
184.1 
-3.4 
19.4 
Status Dec. 31, 2022 
450.0 
50.2 
-153.6 
-191.0 
8.8 
165.5 
    
[€ million] 
Tax effects 
recognized 
in equity 
Other 
retained 
earnings 
Total 
retained 
earnings 
Equity 
without 
non- 
controlling 
interests 
Non- 
controlling 
interests 
Equity 
Status Jan. 1, 2021 
129.1 
5,373.5 
4,839.4 
5,339.6 
356.5 
5,696.1 
Changes in consolidated 
group 
 
-0.7 
-0.7 
-0.7 
7.1 
6.4 
Consolidated profit 
 
558.1 
558.1 
558.1 
29.0 
587.1 
Appropriation of profit 
 
-101.5 
-101.5 
-101.5 
-37.2 
-138.7 
Other comprehensive 
income 
-30.6 
14.3 
323.0 
323.0 
16.6 
339.6 
Status Dec. 31, 2021 
98.5 
5,843.7 
5,618.3 
6,118.5 
372.0 
6,490.5 
 
 
 
 
 
 
 
Status Jan. 1, 2022 
98.5 
5,843.7 
5,618.3 
6,118.5 
372.0 
6,490.5 
Changes in consolidated 
group 
 
-0.6 
-0.6 
-0.6 
0.0 
-0.6 
Consolidated profit 
 
626.5 
626.5 
626.5 
13.1 
639.6 
Appropriation of profit 
 
-93.5 
-93.5 
-93.5 
-43.8 
-137.3 
Other comprehensive 
income 
-58.9 
13.1 
107.8 
107.8 
8.0 
115.8 
Status Dec. 31, 2022 
39.6 
6,389.2 
6,258.5 
6,758.7 
349.3 
7,108.0 
 
CONSOLIDATED STATEMENT  
OF CHANGES IN EQUITY

136 
 
General 
Freudenberg is an international industrial group 
mainly active as a supplier to the automotive, me-
chanical engineering, oil and gas, and construction in-
dustries as well as the textile and apparel industries. 
The portfolio also includes medical technology and 
consumer goods. 
The consolidated financial statements of Freuden-
berg SE, Weinheim, Germany (registered with Mann-
heim Local Court, HRB 714579), for 2022 have been 
drawn up in accordance with the International Finan-
cial Reporting Standards (IFRS) as they are to be ap-
plied in the European Union (EU) as of the date of the 
statement of financial position (December 31, 2022). 
Freudenberg SE, Weinheim, Germany, is included in 
the consolidated financial statements of Freudenberg 
& Co. Kommanditgesellschaft, Weinheim, Germany, 
which are published in the “Unternehmensregister” 
(Business Register). 
Freudenberg SE has availed itself of the right as laid 
down in Sec. 315e (3) HGB (“Handelsgesetzbuch”, Ger-
man Commercial Code) to set up its consolidated fi-
nancial statements in accordance with IFRS. 
The Group currency is the euro. All amounts are indi-
cated in million euros unless otherwise stated. 
Accounting standards applied for the first time in 
the reporting year 
In the 2022 financial year, the application of the fol-
lowing amended and new standards was binding for 
the first time: 
 
Standards/Amendments 
Designation 
Impact 
IAS 16 
Amendments to IAS 16 – Property, Plant and 
Equipment: Proceeds before Intended Use 
No material impact 
IAS 37 
Amendments to IAS 37 – Onerous Contracts: Cost 
of Fulfilling a Contract 
No material impact 
IFRS 3 
Amendments to IFRS 3 – Reference to the 
Conceptual Framework 
No material impact 
Various standards 
Annual Improvements to IFRS Standards 2018–
2020 
No material impact 
 
NOTES TO THE CONSOLIDATED  
FINANCIAL STATEMENTS

137 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Accounting standards published but not yet applied 
The following standards, interpretations and amend-
ments published by the International Accounting 
Standards Board (IASB) and the IFRS Interpretations 
Committee are not yet binding. The application of 
these standards, interpretations and amendments is 
subject to endorsement by the EU which, in some 
cases, is still pending. 
 
 
 
 
 
 
Standards/Interpretations/Amendments 
Application 
binding from1 
Endorsed by 
EU 
Probable Impact 
IAS 1 
Amendments to IAS 1 – 
Classification of Liabilities as 
Current or Non-current 
January 1, 2024 
No 
No material impact 
IAS 1 
Amendments to IAS 1 – Non-current 
Liabilities with Covenants 
January 1, 2024 
No 
No material impact 
IAS 8 
Amendments to IAS 8 – Definition 
of Accounting Estimates 
January 1, 2023 
Yes 
No material impact 
IAS 12 
Amendments to IAS 12 – Deferred 
Tax related to Assets and Liabilities 
arising from a Single Transaction 
January 1, 2023 
Yes 
No material impact 
IFRS 16 
Amendments to IFRS 16 – Lease 
Liability in a Sale and Leaseback 
January 1, 2024 
No 
No material impact 
IFRS 17 
Insurance Contracts, including 
Amendments to IFRS 17  
January 1, 2023 
Yes 
No material impact 
IFRS 17 
Amendments to IFRS 17 –Initial 
Application of IFRS 17 and IFRS 9: 
Comparative Information 
January 1, 2023 
Yes 
No material impact 
Various 
standards 
Amendments to IAS 1 and IFRS 
Practice Statement 2 – Disclosure of 
Accounting Policies 
January 1, 2023 
Yes 
No material impact 
1 From this date or for reporting periods beginning after this date.

138 
 
Consolidated group 
Apart from Freudenberg SE, 57 German (previous year: 
61) and 346 foreign (previous year: 359) affiliated 
companies, with respect to which Freudenberg SE has 
the power to direct the relevant activities of the com-
pany, the right to variable returns from the company 
and the ability to affect such variable returns, are fully 
consolidated. 
Freudenberg operates a joint venture in the field of 
mechanical seals within the EagleBurgmann Business 
Group together with the partner Eagle Industry Co., 
Ltd., Tokyo, Japan. Freudenberg holds a 25-percent 
stake in EagleBurgmann Japan Co., Ltd., Tokyo, Japan. 
The partner also holds a 25-percent indirect stake in 
EagleBurgmann Germany GmbH & Co. KG, Wolf-
ratshausen, Germany. According to the joint venture 
agreement between the partners, Freudenberg exer-
cises control over affiliated companies of the Eagle-
Burgmann Group in which Freudenberg holds less 
than half of the voting rights of the other company; 
such affiliated companies are therefore fully consoli-
dated. 
In the consolidated financial statements, 1 German 
(previous year: 1) and 12 foreign (previous year: 12) 
joint ventures are included. These legally independent 
companies are managed jointly with the partner com-
pany in each case. Both parties hold rights to the net 
assets of the companies. The joint ventures are consol-
idated by the equity method. 
In addition, 9 foreign (previous year: 9) associated 
companies are included in the consolidated financial 
statements. Freudenberg does not control these com-
panies but only exercises a significant influence. These 
companies are consolidated by the equity method. 
All affiliated companies, joint ventures and associated 
companies are listed under “Shareholdings”. 
In the year under review, 4 companies were included 
in the consolidated financial statements as fully con-
solidated affiliated companies for the first time. 21 
companies which had previously been fully consoli-
dated were no longer included as fully consolidated 
affiliated companies due to sale, liquidation or merger. 
The timing of the initial consolidation is determined 
on the basis of the date when Freudenberg SE gained 
control. In the event of loss of control, deconsolidation 
is effected. 
Acquisitions and disposals  
In December 2022, SurTec International GmbH, Bens-
heim, Germany, acquired all the shares in om-
niTECHNIK Mikroverkapselungs GmbH, Munich, Ger-
many (“omniTECHNIK”). The transaction also includes 
the acquisition of all the shares in Precote USA LLC, 
East Lansing, Michigan, USA, by SurTec Inc., Upper Ar-
lington, Ohio, USA. SurTec is a division of the Freuden-
berg Chemical Specialities Business Group. om-
niTECHNIK is a globally active specialist in the field of 
reactive and non-reactive coatings for fasteners. The 
company is fully consolidated as part of the Freuden-
berg Group. From the Group point of view, this acqui-
sition was not material. As the acquisition took place 
late in the financial year, the purchase price allocation 
is still provisional. 
The consideration transferred for all acquisitions 
which were not material from the Group point of view 
ran into the mid-double-digit range in millions of eu-
ros. In 2022, assets totaling about €31.4 million were 
acquired as a result of all the acquisitions classed as 
not material. The resulting goodwill is classed as of 
secondary importance. As a result of the dates of the 
acquisitions, the acquisitions, which were not mate-
rial from the Group point of view, had no material ef-
fect on Group sales. 
The purchase price allocations for the acquisition of 
PPA Holdings, Inc., Indianapolis, Indiana, USA, and R.P.S. 
Products, Inc., Hampshire, Illinois, USA, which had not 
been finalized as at December 31, 2021, were re-
viewed in the year under review. There were no mate-
rial changes.

139 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Consolidation methods 
The consolidated financial statements are based on 
the annual accounts of Freudenberg SE and the con-
solidated companies according to IFRS. All the annual 
accounts concerned were drawn up as at Decem-
ber  31, 2022. In accordance with IFRS 10, the accounts 
of the individual companies to be included in the con-
solidated financial statements were drawn up apply-
ing uniform accounting and measurement methods. 
The acquisition costs of the individual consolidated 
companies are set off against the pro-rata share in the 
fair value of the equity of the companies concerned as 
of the date of acquisition according to the purchase 
method. Identifiable acquired assets and liabilities are 
also included in the consolidated statement of finan-
cial position at their fair values as of the acquisition 
date. Any remaining differences are shown as good-
will. 
Inter-company profits and losses, sales, expenses and 
income and all receivables and payables between con-
solidated companies are eliminated. Deferred taxes 
are set up on consolidation transactions affecting net 
income. 
Joint ventures and associated companies are consoli-
dated by the equity method on the basis of financial 
statements drawn up in accordance with IFRS. 
The differences arising from the acquisition of share-
holdings in joint ventures and associated companies 
form part of the book value of the shareholding in the 
company concerned. Amortization is not recognized 
on goodwill in subsequent periods. An impairment 
test is carried out on the book value of the sharehold-
ing in the joint venture or associated company as a 
whole if there are indications that the carrying 
amount could be impaired. 
 
 
 
 
 
Accounting and measurement principles 
Acquired intangible assets are capitalized at acquisi-
tion cost and amortized on a systematic basis. 
Systematic amortization is based on the following 
useful lives: 
Software 
3 to 8 years 
Patents 
10 to 12 years on average 
Licenses  
depending on contract term 
    
Intangible assets with finite useful lives acquired in a 
business combination are amortized on a systematic 
basis over useful lives of up to 25 years. 
An impairment test is carried out on goodwill at least 
once per year. For the impairment test, the goodwill 
acquired is allocated to the groups of cash-generating 
units expected to benefit from the business combina-
tion. In line with internal management reporting, the 
groups of cash-generating units are represented by 
the Business Groups. An impairment loss is recognized 
if the carrying amount of the group of cash-generat-
ing units is higher than its recoverable amount. The re-
coverable amount is the higher of the fair value less 
costs of disposal and the value in use of the group of 
cash-generating units. 
The value in use of the group of cash-generating units 
concerned is determined by the discounted cash flow 
method on the basis of a detailed planning period of 
five years. The fair value less costs of disposal is deter-
mined using an appropriate measurement model. 
This is based on measurement multipliers, discounted 
cash flow measurement models, prices quoted on ex-
changes or other indicators of fair value which are 
available. The discount rates used for the determina-
tion of the fair value are based on the weighted aver-
age cost of capital (hereafter WACC) determined sepa-
rately for each group of cash-generating units.  
Impairments of capitalized goodwill are shown under 
other expenses in the consolidated statement of 
profit or loss. Reversals of impairments are not recog-
nized with respect to goodwill for which impairments 
have been recognized.

140 
 
Impairment losses going beyond goodwill are recog-
nized for individual assets of cash-generating units if 
the fair value less costs of disposal of such units or the 
value in use of such units has fallen below their carry-
ing amount. 
Provided that such assets meet the requirements of 
IAS 38, internally generated intangible assets are car-
ried as assets at production cost and are amortized on 
a systematic basis over their useful lives, if their useful 
lives are finite. 
If the useful life of intangible assets is not considered 
to be finite, no amortization is effected. An impair-
ment test is carried out on such assets annually. An in-
tangible asset may be regarded as having an indefi-
nite useful life when, based on an analysis of all of the 
relevant factors, there is no foreseeable limit to the pe-
riod over which the asset is expected to generate net 
cash flows for the Group. 
Expenditure in connection with development projects 
is capitalized as intangible assets if, in addition to 
meeting the criteria of IAS 38, a Group threshold is ex-
ceeded. Otherwise, development expenditure is 
shown as expenses. Capitalized development ex-
penditure is amortized on a straight-line basis over 
the underlying useful life of the product concerned. 
Amortization of capitalized development expenditure 
is normally recognized in research and development 
expenses. 
Tangible assets are capitalized at acquisition or pro-
duction cost. In the case of assets produced by Group 
companies, production cost also includes directly at-
tributable cost as well as pro-rata overheads and de-
preciation.  
Borrowing costs are capitalized as part of acquisition 
or production cost in the case of qualifying assets.  
Expenditure for repairs and maintenance is generally 
shown as expenses. Such expenditure is only capital-
ized if future economic benefits in connection with 
such expenditure are probable and the acquisition or 
production cost can be reliably measured. 
Taxable grants and tax-free investment subsidies, nor-
mally paid by public bodies, are set off against acquisi-
tion or production cost or recognized in the statement 
of financial position as deferred income. 
Movable non-current assets and industrial buildings 
are depreciated over their useful lives, normally on a 
straight-line basis.  
Systematic depreciation is determined on the basis of 
the following useful lives: 
Buildings 
max. 50 years 
Machinery and equipment 
5 to 20 years 
Other fixtures, fittings and office 
equipment 
3 to 20 years 
 
An impairment test on tangible and intangible assets 
assigned to cash-generating units is always carried 
out if circumstances or changed conditions indicate 
that the carrying amount of such cash-generating 
units may not be recovered. The composition of the 
cash-generating units is determined at the divisional 
or regional level as a function of the business model 
and differs between Business Groups. If the impair-
ment of an asset reflected by a write-down in the past 
is reduced or eliminated, the impairment loss is re-
versed. The amortized acquisition or production cost 
represents the upper limit of measurement in such 
cases. 
Under IFRS 16, right-of-use assets and corresponding 
payment obligations are recognized for all leased as-
sets. The right-of-use asset represents the lessee’s 
right to use a leased asset (the underlying asset) for 
an agreed term in return for a charge. In accordance 
with the relief options allowed by IFRS 16, Freuden-
berg recognizes lease payments associated with un-
derlying assets of low value as expenses on a straight-
line basis in the statement of profit or loss. Assets of 
low value are identified on the basis of classes of as-
sets. Leased assets in the classes of machinery and 
equipment, IT equipment and other fixtures, fittings 
and office equipment are classed as of low value. In 
the case of leased assets in the other classes of assets 
land and buildings, passenger cars, fork lift trucks and 
IT infrastructure, right-of-use assets and correspond-
ing lease liabilities are recognized even if the term of 
the lease is short (less than 12 months). In the case of 
contracts which include a lease component and an-
other non-lease component, such as a service install-
ment, Freudenberg recognizes such non-lease compo-
nents as part of the lease in accordance with the prac-
tical expedient allowed by IFRS 16. Right-of-use assets

141 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
are depreciated on a straight-line basis over the 
shorter of the useful life of the asset and the term of 
the lease. In the event that the exercise of a purchase 
option is assessed as reasonably certain, the right-of-
use asset is depreciated over the useful life of the un-
derlying asset irrespective of the term of the lease. 
Land and buildings held to earn rentals from third par-
ties are dealt with as investment properties. Such 
properties are measured at acquisition cost. Invest-
ment properties are depreciated over their useful lives. 
This approach normally corresponds to straight-line 
depreciation. Systematic depreciation is calculated on 
the basis of a maximum useful life of 50 years. The fair 
value is determined by the discounted cash flow 
method. 
Participations are shown at fair value. In some cases, 
amortized cost represents the best estimate of fair 
value. 
Investments in joint ventures and associated compa-
nies are shown at acquisition cost on first-time con-
solidation and subsequently adjusted for changes in 
the share of the shareholder in the net assets of the 
company concerned. In the event that the losses of a 
joint venture or associated company attributable to 
Freudenberg exceed the value of the share in that 
company, no further impairment losses are recog-
nized. If there is objective evidence of impairment or 
value recovery in the case of such participations, as-
sumptions concerning future business developments 
must be made with a view to determining the recover-
able amount.  
Long-term loans are discounted if the amount of such 
discount is significant. 
Inventories are shown at acquisition or production 
cost or at net realizable value, where this is lower. In-
ventories of raw materials and consumables and mer-
chandise are measured by the weighted average cost 
method. Production cost includes directly attributable 
costs as well as production and material overheads 
and depreciation. 
On first recognition, receivables and other financial as-
sets are measured at fair value. Fair value normally cor-
responds to the consideration to be received for goods 
or services transferred to the customer. Subsequent 
measurements of such assets are effected at amortized 
cost using the effective interest method. Long-term re-
ceivables are only discounted if the amount of such dis-
count is significant. A loss allowance is recognized on 
the basis of the expected loss model. Further infor-
mation on the expected loss model is given in note (13). 
Contract assets, which are mainly the result of realiza-
tion of revenue over time for customer-specific prod-
ucts and development contracts, are recognized at 
amortized cost. For determining impairment losses on 
contract assets, the simplified procedure for determin-
ing the expected credit losses is applied. 
The other financial assets are classified and measured 
on the basis of the business model within which the 
financial assets are held and on the basis of contrac-
tual cash flows at the time of acquisition. There are 
differences between the treatment of equity and debt 
instruments. Investments in equity instruments 
which are held as long-term strategic participations, 
and which are not expected to be sold within the 
short- to medium-term future are measured in equity 
without effect on net income. Debt instruments with 
cash flows not consisting solely of interest payments 
and principal repayments, investments for which an-
other measurement would result in an accounting 
mismatch and shares in partnerships are measured at 
fair value through profit or loss. An impairment test is 
carried out for debt instruments measured at amor-
tized cost or at fair value through other comprehen-
sive income. 
Cash at bank or in hand is shown at its nominal value. 
Cash held in foreign currencies is converted using the 
exchange rate as of the statement of financial posi-
tion date. The expected credit loss model is applied. 
Derivative financial instruments that do not meet the 
requirements for hedge accounting are measured at 
fair value through profit or loss.  
Non-current assets and groups of assets held for sale 
are shown separately in the statement of financial po-
sition if they are available for immediate sale in their 
present condition and the sale of such assets is highly 
probable within the next 12 months. Such assets are 
shown at the lower of fair value less costs to sell and 
book value. Systematic depreciation is not recognized 
on such assets from the date of reclassification. Liabili-
ties included in a disposal group are shown separately 
under liabilities.

142 
 
The requirement for the reversal of the impairment of 
assets has been complied with both for non-current 
and for current assets. Unless individual standards call 
for a different measurement, the amortized acquisi-
tion or production costs represent the upper limit of 
measurement in such cases. 
Provisions for pensions and similar obligations are de-
termined by the projected unit credit method using 
actuarial principles. Service cost and the net interest 
on the net defined benefit liability are recognized un-
der personnel expenses with an impact on net in-
come. Gains and losses from remeasurements of the 
net defined benefit liability are disclosed under other 
comprehensive income. Assets held to provide bene-
fits for employees are measured at fair value. 
Deferred taxes are calculated on temporary differ-
ences between the book values of assets and liabilities 
in the consolidated statement of financial position 
and their tax bases, taking into account the applicable 
national income tax rates valid on the date of realiza-
tion and already in force on the statement of financial 
position date. In addition, deferred tax assets are rec-
ognized for tax losses carried forward if sufficient tax-
able income will be available in the future. Deferred 
tax assets and liabilities are only set off against each 
other in cases where the income taxes concerned are 
levied by the same tax authority and concern the 
same period. In the case of deferred tax assets which 
are not impaired following the offsetting, it is as-
sumed that future taxable income will be sufficient to 
allow the realization of the deferred tax assets 
formed. 
Other provisions allow for all recognizable risks and 
uncertain obligations towards third parties which will 
probably result in an outflow of resources which can 
be reliably estimated. Such provisions are recognized 
at their most probable settlement value and dis-
counted if the amount of such discount is significant. 
Reimbursement rights in this connection are shown 
separately under other assets. In its contracts with 
customers, Freudenberg provides for warranty services 
for general repair obligations but does not provide for 
any extended warranties. In accordance with IFRS 15, 
the existing warranties are mainly classified as assur-
ance-type warranties and are recognized in accord-
ance with IAS 37 – Provisions, Contingent Liabilities and 
Contingent Assets. 
Liabilities are disclosed and measured in accordance 
with IFRS 9 except where another more specific stand-
ard is applicable. Liabilities are normally measured at 
fair value less transaction costs. Subsequent measure-
ments of financial liabilities are normally effected in 
accordance with IFRS 9 at amortized cost using the ef-
fective interest method. 
Contract liabilities relate to considerations received 
from customers in advance of performance under a 
contract. Contract liabilities are recognized as sales as 
soon as the promised goods or services have been 
transferred to the customer. 
Lease liabilities include fixed payments defined in the 
lease (less any lease incentives to be provided by the 
lessor), variable lease payments that depend on an in-
dex or a rate and amounts expected to be payable by 
the lessee under residual value guarantees. In addi-
tion, payments on the basis of purchase or extension 
options must be taken into consideration if the lessee 
is reasonably certain to exercise that option. In the 
case of termination options, penalties for terminating 
the lease are only to be included if the lease term re-
flects the lessee exercising an option to terminate the 
lease. Lease payments must be discounted using the 
interest rate implicit in the lease if that rate can be 
readily determined. If that rate cannot be readily de-
termined, the lessee’s incremental borrowing rate 
must be used. This is normally the case with Freuden-
berg. The specific incremental borrowing rate for a 
lease is determined on the basis of an interest matrix. 
This matrix is based on interbank rates and takes into 
consideration the term and currency of the lease as 
well as a risk premium. 
Put options granted to the holders of non-controlling 
interests for the sale of their shares are recognized as 
forward purchases. The item recorded in equity for 
these shares is de-recognized and a liability measured 
at fair value, which corresponds to the net present 
value of the price at the time of exercise, is recognized. 
As at each statement of financial position date, the li-
ability is remeasured. The remeasurement depends on 
exchange rate changes, adjustments to corporate 
planning assumptions and the discount rate. Any re-
sulting changes in book value are recognized with an 
effect on net income.

143 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Sales are measured at the fair value of the considera-
tion received or to be received. Sales are recognized 
when control of the promised good or service is trans-
ferred to the customer. Control of an asset refers to 
the ability to direct the use of, and obtain substantially 
all of the remaining benefits from, the asset. 
The delivery of goods normally represents a perfor-
mance obligation that is satisfied at a specific point in 
time. In determining the timing of satisfaction, the 
transfer of control of the asset is taken as the main cri-
terion. Normally, this is the time when the goods are 
physically delivered to the customer. 
Sales from the delivery of customer-specific products 
are recognized over time, provided Freudenberg has 
an enforceable right to payment from the customer in 
an amount that at least compensates Freudenberg for 
the performance completed to date plus a reasonable 
profit margin. The amount of revenue is based on the 
progress towards complete satisfaction of a perfor-
mance obligation and measured on the basis of the 
units produced. 
Sales from the performance of services are recognized 
in the accounting period in which the services are per-
formed. Revenue is recognized in the amount which 
Freudenberg has a right to invoice, as this amount of 
consideration corresponds directly to the value to the 
customer of Freudenberg’s performance completed to 
date. Customers are normally invoiced monthly.  
Sales in connection with customer-specific develop-
ment projects are realized over time. In the case of 
fixed-price contracts, the amount of sales is measured 
based on the cost incurred to date related to the total 
expected cost to be incurred in connection with the 
full satisfaction of the performance obligation. In the 
case of customer-specific development projects for 
which Freudenberg has a right to consideration from a 
customer in an amount that corresponds directly to 
the value to the customer of Freudenberg’s perfor-
mance completed to date, sales are recognized as a 
practical expedient in the amount of the considera-
tion which Freudenberg has a right to invoice.  
Invoices are normally issued following the physical de-
livery of goods to the customer or the performance of 
the service promised in the contract. Payments by cus-
tomers under fixed-price contracts are based on a con-
tractually agreed payment plan. There are normally no 
contracts with customers under which the time be-
tween the transfer of a promised good or service and 
payment in connection with such transfer exceeds 
one year.  
In the event that the service performed by Freuden-
berg exceeds the payments received or to be received 
by Freudenberg, a contract asset is recognized. As 
soon as the right to receive the consideration from the 
customer becomes unconditional, the contract asset 
is reclassified to trade receivables. If the payments re-
ceived from the customer exceed the service per-
formed by Freudenberg, a corresponding contract lia-
bility is recognized. 
The performance obligations entered into by Freuden-
berg under contracts with customers normally have 
an expected original duration of one year or less. In 
the case of longer terms, Freudenberg is normally en-
titled to consideration corresponding directly to the 
performance of services completed to date. Accord-
ingly, the performance obligations contracted but not 
yet (fully) fullfilled on the reporting date are not dis-
closed. 
The consolidated statement of cash flows is broken 
down into cash flows from operating, investing and fi-
nancing activities. Effects arising from changes in the 
consolidated group and the effects of exchange rate 
differences have been eliminated from the consoli-
dated statement of cash flows. The influence of these 
effects on cash and cash equivalents is indicated sepa-
rately. In the consolidated statement of cash flows, in-
terest paid and interest received are allocated to cash 
flow from operating activities.

144 
 
The exercise of judgment and estimates in the 
application of accounting and measurement 
methods 
In some cases, it is necessary to apply accounting 
methods based on estimates or the exercise of discre-
tion in connection with the establishment of the con-
solidated financial statements. Normally, these meth-
ods include complex, subjective assessments and the 
use of uncertain assumptions which may be subject 
to change. It is therefore conceivable that actual 
amounts in the future and future events may deviate 
from the forecasts made as estimates for the same re-
porting period could have been made differently for 
equally understandable reasons. Such accounting 
methods based on estimates and the exercise of dis-
cretion may therefore have a material impact on the 
net assets, financial position and results of operations 
in the consolidated financial statements and may also 
change over the course of time. The estimates used 
for the establishment of the consolidated financial 
statements and the underlying assumptions are regu-
larly reviewed and any changes are taken into consid-
eration as soon as better information is available. 
The composition of a cash-generating unit and the de-
termination of the recoverable amount for the perfor-
mance of impairment tests is connected with assess-
ments made by management concerning future de-
velopments and experience gained in the past. The 
cash flows predicted on the basis of these assess-
ments may be affected by factors including volatility 
of capital markets, exchange rate fluctuations and ex-
pected economic development. The WACCs used for 
discounting take into account the market risk and the 
capital structure of companies comparable to the ap-
plicable group of cash-generating units. Changes in 
these factors may have significant impact on the ex-
istence or amount of a value impairment. Further de-
tails are given in note (1). 
The actuarial assessments for the determination of 
provisions for pensions and similar obligations are 
based on major assumptions and estimates with re-
spect to the discount rates used and expected future 
adjustments to salaries and pensions as well as life ex-
pectancy. All the parameters used are regularly re-
viewed as of the statement of financial position date. 
Any changes in the parameters used may lead to 
changes in statement of financial position values. Fur-
ther details are given in note (11). 
The determination of the settlement amount of provi-
sions for guarantees and warranties, restructuring, en-
vironmental risks and litigation is normally connected 
with estimates and uncertainty. For the measurement 
of such values, the assessments of local independent 
experts are used in some cases. In the future, devia-
tions between actual events and the assumptions 
made may necessitate adjustments to the Group’s 
provisions. More detailed information on provisions is 
given in note (12). 
The measurement of leases is based in part on esti-
mates and assessments concerning the term of the 
lease. Extension and termination options must be 
taken into consideration in the determination of the 
term if it is reasonably certain that the lessee will ex-
ercise an extension option or not exercise a termina-
tion option. In assessing whether the lessee is reason-
ably certain to exercise an option to extend the lease 
or not to exercise an option to terminate the lease, all 
relevant facts and circumstances that create an eco-
nomic incentive for the lessee to exercise or not exer-
cise the option concerned must be taken into consid-
eration. Such aspects may include penalties, fixtures 
installed on the leased asset by the lessee and the op-
portunity cost of exercising or not exercising the op-
tion concerned. Information on leased assets is given 
in note (2). 
The measurement of certain derivative financial in-
struments without an active market such as put or 
call options and earn-out clauses is based on probabil-
ity predictions and the best possible estimates of the 
expected settlement amount, taking into considera-
tion recognized mathematical finance methods. The 
same applies to the determination of expected credit 
losses recognized as loss allowances in connection 
with financial instruments measured at amortized 
cost. Further information on financial instruments is 
given in note (13).

145 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
When determining whether sufficient taxable income 
will be available in the future for assessing the value 
of deferred tax assets and the usability of losses car-
ried forward, various estimates, including the develop-
ment of tax planning strategies, must be made. Devia-
tions between the actual results and the estimates 
made may have an effect on the assets, liabilities and 
earnings situation. Further details are given in note 
(26). 
The determination of the amount and timing of reve-
nue from contracts with customers is affected by a 
number of estimations. Sales are recognized in the 
amount of the consideration to which Freudenberg 
expects to be entitled. Especially in the case of the de-
livery of goods the amount of consideration may vary 
as a result of variable consideration. The amount of 
variable consideration is based on estimates and is de-
termined upon the inception of the contract and reas-
sessed at the end of each reporting period. The varia-
ble consideration is estimated either by using the ex-
pected value method or by using the most likely 
amount method. This depends on which method 
Freudenberg expects to better predict the amount of 
consideration to which it will be entitled. Sales are 
only recognized to the extent that it is highly probable 
that a significant reversal will not occur when the un-
certainty associated with the variable consideration is 
subsequently resolved. Amounts which have been re-
ceived (or are to be received) and which will probably 
have to be refunded are recognized as refund liabili-
ties and disclosed under other liabilities.  
For the recognition of sales from customer-specific de-
velopment projects, estimates need to be made con-
cerning the degree of completion or the total cost of 
the contract. A change in these estimates may lead to 
an increase or reduction in sales in the reporting pe-
riod. 
Fair value is determined on the basis of input factors 
in three defined categories. Determination is based on 
estimates and assumptions associated with uncer-
tainty. The following fair value measurement hierar-
chy is applied: 
Level 1: Use of quoted prices (unadjusted) in active 
markets for identical assets or liabilities that the entity 
can access at the measurement date. 
Level 2: Determination of fair value using measure-
ment procedures based on observed input factors for 
similar assets or liabilities in active markets or for 
identical assets or liabilities in markets that are not ac-
tive. 
Level 3: Measurement of assets and liabilities using 
measurement methods based on unobservable inputs 
as adequate observable market data are not available 
for the measurement of fair value. 
Currency translations 
The financial statements of almost all companies in-
cluded in the consolidated financial statements which 
are not located in the eurozone are drawn up in the 
national currencies concerned. This is normally the 
currency of the primary economic environment in 
which the companies concerned operate (concept of 
functional currency). 
In the accounts of individual companies, foreign-cur-
rency receivables and liabilities are translated at the 
exchange rates as of the date of the statement of fi-
nancial position. 
Goodwill created as a result of acquisitions on or after 
March 31, 2004, is carried as an asset of the economi-
cally independent foreign companies concerned in 
their respective functional currencies. 
In the consolidated financial statements, the financial 
statements of all companies not located in the euro-
zone are translated in accordance with the following 
principles: 
• Statement of financial position items are translated 
at the exchange rate as of the date of the statement 
of financial position. 
• Statement of profit or loss items are translated at av-
erage annual exchange rates. 
• Differences arising from the use of different ex-
change rates are recognized in equity without an ef-
fect on net income. 
• The same principles are used in the case of invest-
ments in joint ventures and associated companies 
consolidated by the equity method.

146 
 
As a result of the assessment that Argentina is a hy-
perinflation country, our activities in Argentina have 
been reported in accordance with IAS 29 since January 
1, 2018. Such reporting had no material impact on the 
net assets, financial position or results of operations 
of the Group as at December 31, 2022.  
In addition to Argentina, Turkey has been classed as a 
hyperinflation country since the second quarter of 
2022. The principles of IAS 29 have therefore also been 
applied to Group companies in Turkey for the first 
time with effect from the beginning of the 2022 fi-
nancial year. Inflation adjustments were determined 
on the basis of the consumer price index published by 
the Turkish Statistical Institute (TURKSTAT). As at De-
cember 31, 2022, this index had reached the value of 
1,128.45 (previous year: 686.95).  From the point of 
view of the Group, neither first-time application nor 
current inflation adjustments on the basis of historic 
acquisition and production costs had a material im-
pact on the net assets, financial position or results of 
operations of the Group as at December  31, 2022.

147 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
The exchange rates of currencies used for currency 
conversion which are material to the annual financial 
statements developed as follows: 
 
 
Country 
Currency 
Closing rate 
Average rate 
 
1 euro = 
Dec. 31,2021 
Dec. 31,2022 
2021 
2022 
Brazil 
BRL 
6.3101 
5.6386 
6.3786 
5.4051 
China 
CNY 
7.1947 
7.3582 
7.6069 
7.0744 
United Kingdom 
GBP 
0.8403 
0.8869 
0.8584 
0.8548 
India 
INR 
84.2292 
88.1710 
87.3135 
82.7154 
Japan 
JPY 
130.3800 
140.6600 
130.3200 
138.1390 
Mexico 
MXN 
23.1438 
20.8560 
24.0516 
21.0536 
USA 
USD 
1.1326 
1.0666 
1.1816 
1.0500 
   
Differences arising from the use of different ex-
change rates compared with the previous year are 
shown in the statement of changes in intangible 
and tangible assets with respect to non-current as-
sets and in the consolidated statement of compre-
hensive income with respect to equity.

148 
 
(1) 
Intangible assets 
Changes in intangible assets from January 1 to 
December 31,  2021: 
 
 
[€ million] 
Internally 
generated 
software 
Concessions, 
licenses and 
others1 
Goodwill 
Payments 
made 
on account 
Intangible 
assets 
in course of 
construction 
Total 
ACQUISITION/PRODUCTION COST 
Status Jan. 1, 2021 
4.1 
1,968.3 
1,886.8 
1.8 
3.5 
3,864.5 
Changes in consolidated 
group 
0.0 
58.4 
180.9 
0.0 
0.0 
239.3 
Exchange rate differences 
0.4 
34.9 
47.7 
0.0 
-0.1 
82.9 
Additions 
0.1 
6.3 
0.0 
1.1 
3.5 
11.0 
Disposals 
0.0 
-7.6 
-1.2 
0.0 
0.0 
-8.8 
Reclassifications2 
-0.1 
2.6 
0.0 
-0.3 
-1.2 
1.0 
Status Dec. 31, 2021 
4.5 
2,062.9 
2,114.2 
2.6 
5.7 
4,189.9 
 
 
 
 
 
 
 
AMORTIZATION 
Status Jan. 1, 2021 
3.4 
982.5 
212.8 
0.0 
0.0 
1,198.7 
Changes in consolidated 
group 
0.0 
-1.0 
0.0 
0.0 
0.0 
-1.0 
Exchange rate differences 
0.3 
23.8 
8.6 
0.0 
0.0 
32.7 
Additions - systematic 
0.1 
108.8 
0.0 
0.0 
0.0 
108.9 
Impairment losses 
0.0 
12.8 
0.0 
0.0 
0.0 
12.8 
Disposals 
0.0 
-7.4 
-1.1 
0.0 
0.0 
-8.5 
Status Dec. 31, 2021 
3.8 
1,119.5 
220.3 
0.0 
0.0 
1,343.6 
 
 
 
 
 
 
 
Book value Dec. 31, 2021 
0.7 
943.4 
1,893.9 
2.6 
5.7 
2,846.3 
1 Intangible assets identified in connection with purchase price allocations mainly concern customer lists/relations, technologies and know-how.  
2 The reclassifications also include transfers to other items in the statement of financial position.  
 
 
 
NOTES TO THE CONSOLIDATED  
STATEMENT OF FINANCIAL POSITION

149 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Changes in intangible assets from January 1 to 
December 31,2022: 
 
[€ million] 
Internally 
generated 
software 
Concessions, 
licenses and 
others1 
Goodwill 
Payments 
made 
on account 
Intangible 
assets 
in course of 
construction 
Total 
ACQUISITION/PRODUCTION COST 
Status Jan. 1, 2022 
4.5 
2,062.9 
2,114.2 
2.6 
5.7 
4,189.9 
Changes in consolidated 
group 
0.0 
17.2 
9.8 
0.1 
0.0 
27.1 
Exchange rate differences 
0.2 
3.2 
9.2 
0.0 
-0.1 
12.5 
Additions 
0.1 
8.1 
0.0 
1.3 
2.8 
12.3 
Disposals 
0.0 
-17.8 
0.0 
0.0 
-0.2 
-18.0 
Reclassifications2 
0.0 
8.5 
0.0 
-1.6 
-6.4 
0.5 
Status Dec. 31, 2022 
4.8 
2,082.1 
2,133.2 
2.4 
1.8 
4,224.3 
 
 
 
 
 
 
 
AMORTIZATION 
Status Jan. 1, 2022 
3.8 
1,119.5 
220.3 
0.0 
0.0 
1,343.6 
Changes in consolidated 
group 
0.0 
-0.4 
0.0 
0.0 
0.0 
-0.4 
Exchange rate differences 
0.2 
2.9 
-0.9 
0.0 
0.0 
2.2 
Additions – systematic 
0.1 
110.5 
0.0 
0.0 
0.0 
110.6 
Impairment losses 
0.0 
24.3 
17.4 
0.0 
0.0 
41.7 
Disposals 
0.0 
-17.1 
0.0 
0.0 
0.0 
-17.1 
Status Dec. 31, 2022 
4.1 
1,239.7 
236.8 
0.0 
0.0 
1,480.6 
 
 
 
 
 
 
 
Book value Dec. 31, 2022 
0.7 
842.4 
1,896.4 
2.4 
1.8 
2,743.7 
1 Intangible assets identified in connection with purchase price allocations mainly concern customer lists/relations, technologies and know-how.  
2 The reclassifications also include transfers to other items in the statement of financial position.  
 
The impairment losses with respect to concessions, li-
censes and others recognized in the year under review 
chiefly concern technologies. They are the result of a 
revised assessment of the future usefulness of these 
assets. 
Goodwill was subjected to an impairment test in the 
2022 financial year. Apart from the expected develop-
ments in sales and profit as well as net investments of 
the Business Groups concerned, the basic assump-
tions used for determining the value in use of the 
groups of cash-generating units included a growth 
rate ranging from 0.5 to 2.0 percent (previous year: 0.5 
to 2.0 percent) and pre-tax WACCs ranging from 7.2 
percent to 15.6 percent (previous year: ranging from 
6.3 percent to 10.0 percent). On this basis, it was not 
necessary to recognize any impairment of goodwill, 
except in the case of the group of cash-generating 
units of Freudenberg e-Power Systems. This impair-
ment was the result of lower expectations concerning 
medium-term earnings and a challenging market en-
vironment. On the basis of a WACC of 15.6 percent 
and the growth rate mentioned above, an impairment 
loss of €23.1 million was recognized. 
The three significant goodwill items are assigned to 
the groups of cash-generating units Vibracoustic, 
Freudenberg Filtration Technologies and Freudenberg 
Sealing Technologies. The WACCs used for the impair-
ment test were 10.6 percent (previous year: 7.3 per-
cent) for Vibracoustic, 10.5 percent for Freudenberg 
Filtration Technologies (previous year: 8.1 percent) and 
11.5 percent (previous year: 10.0 percent) for Freuden-
berg Sealing Technologies. The assumed sustainable

150 
 
growth rate for all three groups of cash-generating 
units was 2.0 percent (previous year: 2.0 percent). The 
book values of these goodwill items are shown in the 
following table: 
[€ million] 
Goodwill 
 
Dec. 31,2021 
Dec. 31,2022 
Vibracoustic 
835.9 
835.9 
Freudenberg Filtration 
Technologies 
256.0 
259.6 
Freudenberg Sealing 
Technologies 
218.7 
183.8 
    
The sales of Vibracoustic rose in 2022 compared with 
the previous year. It is expected that global light vehi-
cle production will increase in 2023 compared with 
the previous year. This figure will still be below the 
production level recorded in the pre-crisis year of 
2019. The operational planning for Vibracoustic as-
sumes growth in sales in 2023.   
Freudenberg Filtration Technologies benefited from 
growth in industrial and automotive business in 2022. 
The “Residential & Commercial” division, newly estab-
lished in 2021 with the acquisition of two manufac-
turers of residential and filters in the USA also contrib-
uted to the growth in sales in 2022. To date, the post-
merger integration project has proceeded to schedule. 
The company’s plans for 2023 assume growth in the 
sales of Freudenberg Filtration Technologies.  
Despite significant disruptions in purchasing markets 
and global supply chains, Freudenberg Sealing Tech-
nologies completed the 2022 financial year with or-
ganic growth in sales above the pre-crisis level. In April 
2023, the former Battery and Fuel Cell Systems divi-
sion of Freudenberg Sealing Technologies together 
with the appropriate goodwill was hived off into an 
independent Business Group under the name of 
Freudenberg e-Power Systems. Although the raw ma-
terials and energy supply situation had stabilized at 
the end of 2022/beginning of 2023, the resulting chal-
lenges and especially high inflation will remain the 
determining factors for business in 2023. The demand 
for high-quality sealing solutions is developing posi-
tively and in overall terms a slight growth in business 
volume is expected in 2023. 
In the case of a variation in the WACC of up to +1.0 per-
centage points or a variation in the sustainable growth 
rate of up to -1.0 percentage points, it would have been 
necessary to recognize further impairments of all re-
maining goodwill in the amount of €20.1 million for 
the group of cash-generating units of Japan Vilene 
Company and €23.1 million for the group of cash gen-
erating units of Freudenberg e-Power Systems. There 
would have been no need for impairment with respect 
to other goodwill items.

151 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
(2) 
Tangible assets 
Changes in tangible assets from January 1 to  
December 31, 2021: 
 
 
[€ million] 
Land and 
buildings 
Machinery 
and 
equipment 
Other 
fixtures, 
fittings and 
office 
equipment 
Payments 
made on 
account 
Construction 
in progress 
Total 
ACQUISITION/PRODUCTION COST 
Status Jan. 1, 2021 
2,123.2 
3,953.5 
963.3 
34.8 
153.1 
7,227.9 
Changes in consolidated 
group 
22.3 
10.3 
2.3 
0.0 
0.7 
35.6 
Exchange rate 
differences 
64.0 
107.8 
13.9 
1.1 
6.2 
193.0 
Additions 
60.1 
62.5 
66.2 
34.3 
151.3 
374.4 
Disposals 
-53.8 
-90.3 
-66.3 
-3.7 
-4.7 
-218.8 
Reclassifications1 
56.4 
103.8 
19.7 
-29.8 
-153.1 
-3.0 
Status Dec. 31, 2021 
2,272.2 
4,147.6 
999.1 
36.7 
153.5 
7,609.1 
 
 
 
 
 
 
 
DEPRECIATION 
Status Jan. 1, 2021 
917.4 
2,865.6 
722.9 
0.1 
2.5 
4,508.5 
Changes in consolidated 
group 
1.1 
5.0 
1.0 
0.0 
0.0 
7.1 
Exchange rate 
differences 
23.7 
69.3 
10.5 
0.0 
0.2 
103.7 
Addition – systematic 
113.7 
181.4 
83.8 
0.0 
0.0 
378.9 
Addition - impairment 
2.9 
3.2 
0.5 
0.0 
3.6 
10.2 
Write-ups 
-0.7 
-0.9 
-0.1 
-0.1 
0.0 
-1.8 
Disposals 
-26.9 
-76.8 
-60.9 
0.0 
-0.1 
-164.7 
Reclassifications1 
-2.0 
-0.1 
-0.2 
0.0 
0.0 
-2.3 
Status Dec. 31, 2021 
1,029.2 
3,046.7 
757.5 
0.0 
6.2 
4,839.6 
 
 
 
 
 
 
 
Book value Dec. 31, 2021 
1,243.0 
1,100.9 
241.6 
36.7 
147.3 
2,769.5 
1 The transfers also include reclassifications to other items in the statement of financial position.

152 
 
Changes in tangible assets from January 1 to  
December 31,  2022: 
 
[€ million] 
Land and 
buildings 
Machinery 
and 
equipment 
Other 
fixtures, 
fittings and 
office 
equipment 
Payments 
made on 
account 
Construction 
in progress 
Total 
ACQUISITION/PRODUCTION COST 
Status Jan. 1, 2022 
2,272.2 
4,147.6 
999.1 
36.7 
153.5 
7,609.1 
Changes in consolidated 
group 
-3.5 
0.2 
0.4 
0.0 
-0.2 
-3.1 
Exchange rate 
differences 
12.5 
25.9 
4.5 
0.2 
1.5 
44.6 
Additions 
111.5 
93.8 
73.8 
41.5 
196.8 
517.4 
Disposals 
-46.4 
-117.9 
-69.9 
-1.1 
-1.2 
-236.5 
Reclassifications1 
13.9 
118.1 
18.1 
-19.5 
-130.6 
0.0 
Status Dec. 31, 2022 
2,360.2 
4,267.7 
1,026.0 
57.8 
219.8 
7,931.5 
 
 
 
 
 
 
 
DEPRECIATION 
Status Jan. 1, 2022 
1,029.2 
3,046.7 
757.5 
0.0 
6.2 
4,839.6 
Changes in consolidated 
group 
-1.9 
-0.2 
-0.3 
0.0 
0.0 
-2.4 
Exchange rate 
differences 
5.8 
13.8 
3.9 
0.0 
0.1 
23.6 
Addition – systematic 
120.1 
189.9 
85.6 
0.0 
0.0 
395.6 
Addition - impairment 
0.3 
5.6 
0.1 
0.0 
0.1 
6.1 
Write-ups 
0.0 
-0.7 
-0.1 
0.0 
0.0 
-0.8 
Disposals 
-32.8 
-109.7 
-65.2 
0.0 
-0.6 
-208.3 
Reclassifications1 
0.0 
0.6 
-0.8 
0.0 
0.0 
-0.2 
Status Dec. 31, 2022 
1,120.7 
3,146.0 
780.7 
0.0 
5.8 
5,053.2 
 
 
 
 
 
 
 
Book value Dec. 31, 2022 
1,239.5 
1,121.7 
245.3 
57.8 
214.0 
2,878.3 
1 The transfers also include reclassifications to other items in the statement of financial position. 
     
For impairments of tangible assets, Freudenberg re-
ceived compensation totaling €7.6 million (previous 
year: €0.1 million) in the year under review. The im-
pairments were largely due to natural catastrophes. 
 
During the year under review, Freudenberg received 
government grants in the amount of €0.2 million (pre-
vious year: €3.3 million).

153 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Additional disclosures on leased assets – right-of-
use assets 
As a result of the application of IFRS 16, Freudenberg 
recognizes right-of-use assets in respect of leased assets. 
The following amounts are recognized in the statement 
of changes in tangible assets under the category “Land 
and buildings” (land and buildings) or “Other fixtures, 
fittings and office equipment” (passenger cars, forklift 
trucks and IT infrastructure): 
 
[€ million] 
Land and 
buildings 
Passenger cars 
Forklift trucks 
IT 
infrastructure 
Total 
Acquisition/Production cost 
438.1 
74.5 
30.1 
9.2 
551.9 
Of which: additions 
51.2 
20.8 
7.1 
1.4 
80.5 
Depreciation 
159.2 
40.6 
14.0 
4.8 
218.6 
Book Value Dec. 31, 2021 
278.9 
33.9 
16.1 
4.4 
333.3 
    
[€ million] 
Land and 
buildings 
Passenger cars 
Forklift trucks 
IT 
infrastructure 
Total 
Acquisition/Production cost 
524.6 
76.9 
33.6 
10.3 
645.4 
Of which: additions 
97.9 
22.0 
5.5 
2.5 
127.9 
Depreciation 
212.2 
44.2 
18.9 
5.7 
281.0 
Book Value Dec. 31, 2022 
312.4 
32.7 
14.7 
4.6 
364.4 
    
In the 2022 financial year, the interest expense for 
leased assets amounted to €6.2 million (previous year: 
€6.9 million). In addition, expenses for leased assets of 
low value and short-term leases were recognized in 
the statement of profit or loss in the amount of €19.3 
million (previous year: €19.2 million). The total cash 
outflow for leasing in 2022 was €127.0 million (previ-
ous year: €118.6 million).

154 
 
(3) 
Investment properties 
Details of land and buildings held by Freudenberg as 
investment properties are shown in the table below: 
[€ million] 
2021 
2022 
Rent income 
5.3 
5.3 
 
There were no significant direct operating expenses in 
the year under review or in the previous year. 
There are no restrictions on the saleability of invest-
ment properties. There are no contractual obligations 
to purchase, build or develop investment properties. 
Furthermore, Freudenberg is not under any contrac-
tual obligations to repair or maintain such investment 
properties going beyond its statutory obligations. 
 
Changes in investment properties from January 1 to 
December 31:
[€ million] 
2021 
2022 
ACQUISITION/PRODUCTION COST 
 
 
Status Jan. 1 
56.6 
55.2 
Exchange rate differences 
0.1 
0.0 
Additions 
0.1 
0.0 
Disposals 
-1.6 
0.0 
Status Dec. 31 
55.2 
55.2 
 
 
 
DEPRECIATION 
 
 
Status Jan. 1 
39.9 
41.3 
Additions - systematic 
1.7 
1.7 
Disposals 
-0.3 
0.0 
Status Dec. 31 
41.3 
43.0 
 
 
 
Book value Dec. 31 
13.9 
12.2 
   
The fair value of investment properties was €31.6 mil-
lion (previous year: €43.4 million) and was calculated 
on the basis of discounted cash flows (level 3 inputs).

155 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
(4) 
Investments in joint ventures 
The joint venture agreement with NOK Corporation, 
Tokyo, Japan, is of major importance for Freudenberg.  
NOK-Freudenberg Singapore Pte. Ltd., Singapore, is a 
50:50 joint venture between the Japanese NOK Corpo-
ration and Freudenberg SE with the objective of  
serving the high-growth Chinese and Indian markets 
with locally-produced and imported sealing products. 
The summarized financial information of this joint 
venture company is set out below: 
[€ million] 
NOK-Freudenberg Singapore 
Pte. Ltd. 
 
Dec. 31,2021 
Dec. 31,2022 
Current assets 
326.5 
326.8 
Of which: cash and cash equivalents 
111.3 
126.4 
Non-current assets 
279.5 
283.4 
Current liabilities 
146.3 
131.3 
Of which: current financial liabilities 
14.3 
12.5 
Non-current liabilities 
14.8 
16.6 
Equity without non-controlling interests 
444.9 
462.3 
Freudenberg share 
50.0 % 
50.0 % 
Pro-rata share in equity 
222.4 
231.2 
At-equity measurement 
222.4 
231.2 
    
 
2021 
2022 
Sales 
522.3 
529.6 
Profit or loss from continuing operations 
50.8 
45.1 
Other comprehensive income 
29.1 
-6.6 
Total comprehensive income 
79.9 
38.5 
Of which: depreciation and amortization 
-26.7 
-29.6 
Of which: interest income 
0.8 
1.7 
Of which: interest expenses 
-1.4 
-1.1 
Of which: income tax expense or income 
-19.7 
-18.5 
 
Freudenberg  received a dividend amounting to €8.4 
million (previous year: €0.0 million) from NOK-
Freudenberg Singapore Pte. Ltd. 
The total carrying amount of interests in all individual 
joint ventures which are not material was €11.9 mil-
lion (previous year: €11.3 million).
The pro-rata share of the profit or loss from continu-
ing operations of all individual joint ventures classed 
as not material was €0.8 million (previous year: €0.6 
million) and the pro-rata share in other comprehen-
sive income was €0.2 million (previous year: €0.3 mil-
lion).

156 
 
(5) 
Investments in associated companies 
For Freudenberg, its most important investment in as-
sociated companies is its participation in the Japanese 
company NOK Corporation with its registered office in 
Tokyo, Japan. NOK Corporation applies Japanese GAAP. 
Adjustment to the financial reporting requirements of 
Freudenberg was effected on the basis of the infor-
mation published by NOK Corporation. 
The NOK Group manufactures and supplies sealing 
products, flexible printed circuits, roll products for of-
fice equipment and further products such as specialty 
lubricants. 
This major associated company provided the follow-
ing figures in its consolidated interim financial state-
ments as at December 31: 
[€ million] 
NOK Corporation 
 
Dec. 31,2021 
Dec. 31,2022 
Current assets 
2,965.9 
2,916.5 
Non-current assets 
3,403.4 
3,159.2 
Current liabilities 
1,511.1 
1,374.6 
Non-current liabilities 
802.6 
738.7 
Treasury shares 
-1.8 
-17.5 
Non-controlling interests 
377.5 
378.6 
Equity without treasury shares and non-controlling interests 
3,679.9 
3,601.3 
Freudenberg share 
25.1% 
25.1% 
Pro-rata share in equity 
923.7 
903.9 
Goodwill 
7.1 
7.1 
At-equity measurement 
930.8 
911.0 
    
 
2021 
2022 
Sales 
5,118.3 
5,186.6 
Profit or loss from continuing operations 
179.4 
179.4 
Other comprehensive income 
316.0 
135.4 
Total comprehensive income 
495.4 
314.8 
  
The fall in the other comprehensive income of NOK 
Corporation is chiefly due to the negative develop-
ments in securities. 
Freudenberg received dividends in the amount of 
€18.1 million (previous year: €12.6 million) from NOK 
Corporation. 
As at December 31, 2022, the market value of the 
shareholding in NOK Corporation was €362.7 million 
(¥51,019.1 million) (previous year:€417.3 million; 
¥54,408.8 million). 
The total carrying amount of interests in all associated 
companies classed as not material was €33.2 million 
(previous year: €32.1 million).  
The pro-rata share in the profit or loss from continuing 
operations of all individual associated companies 
classed as not material was €6.0 million (previous 
year: €4.6 million) and the pro-rata share in the other 
comprehensive income of these companies was €-0.7 
million (previous year: €1.1 million). The pro-rata share 
in the total comprehensive income was therefore €5.3 
million (previous year: €5.7 million).

157 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
(6) 
Inventories 
Inventories break down as follows: 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Raw materials and 
consumables 
507.9 
653.5 
Work in progress 
193.1 
225.1 
Finished goods and 
merchandise 
736.8 
878.1 
Customer-specific tools in 
construction 
80.2 
72.7 
Payments made on account 
5.4 
5.8 
 
1,523.4 
1,835.2 
 
Inventories rose by €311.8 million compared with the 
previous year. After eliminating the effects of changes 
in the consolidated group and exchange rate effects, 
inventories increased by about 19 percent. 
Write-downs of inventories totaling €57.6 million 
(previous year: €34.6 million) were recognized as ex-
penses in the reporting year.  
Write-ups totaling €27.4 million (previous year: €25.7 
million) were recognized as the reason for the impair-
ment losses concerned no longer existed in accord-
ance with the requirement to reverse write-downs. 
The inventories shown are not subject to any signifi-
cant restrictions on title or disposal. 
 
(7) 
Receivables 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Trade receivables 
1,527.3 
1,810.7 
Of which: Residual term 
up to 1 year 
1,527.3 
1,810.7 
 
 
 
Other assets 
314.2 
322.3 
Of which: Residual term 
up to 1 year 
208.8 
261.1 
Of which: Residual term 
more than 1 year 
105.4 
61.2 
 
After adjustment for effects resulting from changes in 
the consolidated group and exchange rate effects, 
trade receivables rose by about 18 percent. 
Contract assets have not been disclosed as a separate 
item but under other assets in the statement of finan-
cial position, because the amount concerned was not 
material. As at December 31, 2022, contract assets 
amounted to €8.6 million (previous year: €9.0 million). 
Changes in contract assets are mainly the result of the 
satisfaction of performance obligations laid down in 
contracts with customers. Contract assets are nor-
mally a result of contracts meeting the requirements 
for the realization of sales over time. 
The other assets include pension plan assets in excess 
of the corresponding pension obligations amounting 
to €7.8 million (previous year: €25.6 million). 
The other assets also include other tax receivables in 
the amount of €100.2 million (previous year: €86.4 
million) and liability insurance claims totaling €4.4 
million (previous year: €4.6 million). 
The claims for reimbursement in connection with rec-
ognized provisions, which are included in other assets, 
are shown in the other provisions under note (12).

158 
 
(8) 
Cash and cash equivalents 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Securities 
180.6 
161.1 
Checks and cash in hand 
1.5 
2.1 
Cash at banks 
2,004.7 
1,664.7 
 
2,186.8 
1,827.9 
    
Liquidity was reduced slightly, especially as a result of 
the repayment of certificates of indebtedness and the 
financing of acquisitions. 
(9) 
Assets and groups of assets held for sale 
As at December 31, 2022 (as in the previous year), no 
assets or liabilities were classified as held for sale.

159 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
(10) Equity 
The subscribed capital in an the amount of €450.0 
million (previous year: €450.0 million) consists of 450 
million no-par-value registered shares. The sole share-
holder of Freudenberg SE is Freudenberg & Co. Kom-
manditgesellschaft, Weinheim (hereafter: Freuden-
berg & Co. KG). 
The reserves break down as follows: 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Capital reserves 
50.2 
50.2 
Retained earnings 
5,618.3 
6,258.5 
 
5,668.5 
6,308.7 
 
The capital reserves consist of contributions in kind 
made by the shareholder. 
The retained earnings include net income earned by 
the Group in the past and not distributed as well as 
reserves of companies included in the consolidated fi-
nancial statements including expenses and income 
recorded without effect on net income. 
The profit distributed in the reporting year amounted 
to €93.5 million (previous year: €101.5 million). This 
corresponded to a profit per share of €0.21 (previous 
year: €0.23). 
The Board of Management proposes that the 2022 
net retained profit in the amount of €3,551.1 million 
(previous year: €3,090.7 million) should be carried for-
ward to new account. 
In the reporting year, income (+) and expenses (-) 
which had previously been recorded without an effect 
on net income with respect to the following compo-
nents of other comprehensive income were reclassi-
fied to the statement of profit or loss: 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Exchange rate differences 
-0.5 
5.3 
 
-0.5 
5.3 
 
In the 2022 financial year, tax effects (income (+) / ex-
penses (-)) recorded without effect on net income are 
attributable to the various items of other comprehen-
sive income as follows: 
 [€ million] 
Dec. 31,2021 
Dec. 31,2022 
Remeasurement of defined 
benefit plans 
-24.5 
-53.2 
Securities and other items 
-6.8 
-4.1 
 
-31.3 
-57.3

160 
 
Non-controlling interests 
The change in non-controlling interests in the equity 
of consolidated affiliated companies from €372.0 mil-
lion to €349.3 million was mainly the result of divi-
dends paid. These were offset by the  allocation of 
profit for the year and exchange rate differences. 
In the case of the following affiliated company, the 
consolidated financial statements include significant 
non-controlling interests in the amount of 25 percent 
of the shares: 
[€ million] 
 
 
Freudenberg-NOK General 
Partnership, Wilmington, 
Delaware, USA 
Dec. 31,2021 
Dec. 31,2022 
Profit (+)/loss (-) attributable 
to non-controlling interests 
14.0 
20.0 
Total amount of non-
controlling interests 
135.5 
159.7 
 
   
This affiliated company is included in the consolidated 
financial statements with the following values: 
[€ million] 
 
 
Freudenberg-NOK General 
Partnership, Wilmington, 
Delaware, USA 
Dec. 31,2021 
Dec. 31,2022 
Current assets 
381.7 
520.3 
Non-current assets 
293.8 
306.5 
Current liabilities 
115.1 
127.5 
Non-current liabilities 
32.2 
32.2 
    
 
2021 
2022 
Sales 
629.0 
810.2 
Profit (+)/loss (-) 
56.2 
127.5 
Total comprehensive income 
95.5 
159.1 
 
Freudenberg-NOK General Partnership , Wilmington, 
Delaware, USA, paid dividends in the amount of €5.0 
million (previous year: €3.9 million) to the holder of 
the non-controlling interests.  
Other non-controlling interests especially concern the 
EagleBurgmann Business Group, where they arise as a 
result of the contractual agreements with the partner 
Eagle Industry Co. Ltd., Tokyo, Japan.

161 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
(11) Provisions for pensions and similar 
obligations 
The Freudenberg pension scheme consists of both de-
fined contribution and defined benefit pension plans. 
Defined benefit plans include both fixed salary and fi-
nal salary plans. The provisions for pensions and simi-
lar obligations include obligations arising from current 
pensions and future pension entitlements. 
The pension plans at the Freudenberg Group mainly 
concern German, Japanese and British companies. The 
pension obligations of the German companies are 
commitments financed by provisions. These obliga-
tions are subject to the rules of the pension plan con-
cerned and the applicable statutory provisions. The 
plans include benefit commitments dependent on 
service periods and on salaries and provide for disabil-
ity benefits and benefits for surviving dependents as 
well as for retirement benefits. 
The pension plans of British companies are managed 
by third party pension funds. The representatives of 
the pension funds are legally obliged to act in the in-
terest of all participants in the plan. In cooperation 
with investment advisers, they are responsible for the 
development and regular review of investment strat-
egies for the plan assets. Commitments based on age 
and years of service include both retirement benefits 
and certain forms of survivor benefits. Most of these 
plans are frozen and future entitlements can no 
longer be earned by plan participants. The pension 
obligations of these companies are mainly financed 
by plan assets, funded chiefly by employers’ contribu-
tions. 
The pension plans in Japan consist of benefit commit-
ments based on age and years of service. These pen-
sion plans are managed by a third-party pension 
fund. The pension obligations of the Japanese compa-
nies are mainly financed by plan assets, funded solely 
by employers’ contributions. 
Apart from pension obligations, this item also in-
cludes obligations similar to pensions, such as 
amounts paid to employees upon the termination of 
their employment which do not constitute termina-
tion benefits. These benefits vary in accordance with 
the legal, tax and economic conditions in the coun-
tries concerned. 
All defined benefit schemes of the Freudenberg Group 
are subject to typical actuarial risks, especially invest-
ment and interest risks. 
Current service cost and net interest on the net de-
fined benefit liability are disclosed in the statement of 
profit or loss under personnel expenses in the relevant 
functional areas. 
In the case of the defined contribution plans, there are 
no additional obligations apart from the payment of 
contributions. Contributions paid are expensed under 
personnel expenses and amounted to €83.9 million in 
2022 (previous year: €76.1 million). 
The defined benefit obligations were calculated on ac-
tuarial principles by the projected unit credit method. 
The calculation was based on the following discount 
rates as major actuarial assumptions: 
 
Dec. 31,2021 
Dec. 31,2022 
Germany 
1.10 % 
3.70 % 
Japan 
0.55 % 
1.51 % 
United Kingdom 
1.93 % 
4.80 % 
 
In the case of the other foreign companies, the dis-
count rates ranged from 1.5 to 10.2 percent (previ-
ous year: 0.1 to 2.6 percent). 
The Heubeck 2018 G actuarial tables were used in the 
case of the German companies. A uniform trend in 
salaries and pensions of 2.5 percent was defined for 
the relevant pension plans. As a result of the pension 
plan regulations, the assumed trend in salaries and 
pensions only has an effect on the value of pension 
obligations in exceptional cases.

162 
 
Net obligations are shown in the following items of 
the statement of financial position: 
 [€ million] 
Dec. 31,2021 
Dec. 31,2022 
Provisions for pensions and 
similar obligations 
808.8 
604.9 
Other assets 
25.6 
7.8 
 
783.2 
597.1 
    
Net obligations are calculated as follows: 
 [€ million] 
Dec. 31,2021 
Dec. 31,2022 
Present value of funded 
obligations 
514.5 
345.9 
Fair value of plan assets 
-515.7 
-346.8 
Surplus (-)/deficit (+) 
-1.2 
-0.9 
Present value of unfunded 
obligations 
784.4 
598.0 
 
783.2 
597.1

163 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Defined benefit obligations developed as follows: 
 
[€ million] 
Germany 
Japan 
United 
Kingdom 
Miscella- 
neous 
2021 
Present value of defined benefit obligations, 
Jan. 1, 2021 
785.4 
129.0 
330.3 
112.8 
1,357.5 
Current service cost 
16.6 
3.8 
0.0 
5.2 
25.6 
Interest cost 
6.4 
0.6 
4.3 
1.5 
12.8 
Gains (-) and losses (+) from remeasurement of 
defined benefit obligations 
-59.8 
-1.0 
-13.5 
-3.0 
-77.3 
Gains (-) and losses (+) on settlements 
0.0 
0.0 
0.0 
-0.1 
-0.1 
Past service cost 
0.0 
0.0 
0.0 
0.0 
0.0 
Contributions by plan participants 
0.0 
0.0 
0.0 
0.4 
0.4 
Liabilities extinguished on settlements 
0.0 
0.0 
0.0 
-0.2 
-0.2 
Benefits paid 
-20.3 
-4.9 
-12.3 
-6.0 
-43.5 
Changes in consolidated group 
0.0 
0.0 
0.0 
-2.2 
-2.2 
Other changes 
0.5 
0.0 
0.0 
2.9 
3.4 
Exchange rate differences 
0.0 
-3.8 
23.1 
3.2 
22.5 
Present value of defined benefit obligations, 
Dec. 31, 2021 
728.8 
123.7 
331.9 
114.5 
1,298.9 
    
[€ million] 
Germany 
Japan 
United 
Kingdom 
Miscella- 
neous 
2022 
Present value of defined benefit obligations, 
Jan. 1, 2022 
728.8 
123.7 
331.9 
114.5 
1,298.9 
Current service cost 
15.9 
3.6 
0.0 
5.2 
24.7 
Interest cost 
7.2 
0.6 
5.6 
2.2 
15.6 
Gains (-) and losses (+) from remeasurement of 
defined benefit obligations 
-196.0 
-9.2 
-99.4 
-15.0 
-319.6 
Gains (-) and losses (+) on settlements 
0.0 
0.0 
0.0 
0.0 
0.0 
Past service cost 
0.1 
0.0 
0.0 
2.0 
2.1 
Contributions by plan participants 
0.0 
0.0 
0.0 
0.5 
0.5 
Liabilities extinguished on settlements 
0.0 
0.0 
0.0 
-0.1 
-0.1 
Benefits paid 
-20.9 
-4.8 
-14.0 
-12.2 
-51.9 
Changes in consolidated group 
0.0 
0.0 
0.0 
-2.0 
-2.0 
Other changes 
0.0 
0.0 
0.0 
-0.8 
-0.8 
Exchange rate differences 
0.0 
-9.0 
-17.5 
3.0 
-23.5 
Present value of defined benefit obligations, 
Dec. 31, 2022 
535.1 
104.9 
206.6 
97.3 
943.9

164 
 
The plan assets of funded pension plans developed as 
follows: 
 
[€ million] 
Japan 
United 
Kingdom 
Miscella- 
neous 
2021 
Fair value of plan assets, Jan. 1, 2021 
114.1 
333.5 
37.6 
485.2 
Interest income 
0.5 
4.4 
0.4 
5.3 
Gains (-) and losses (+) from remeasurement of plan assets 
8.7 
-1.3 
1.1 
8.5 
Contributions by employer 
6.1 
4.3 
2.2 
12.6 
Contributions by plan participants 
0.0 
0.0 
0.4 
0.4 
Liabilities extinguished on settlements 
0.0 
0.0 
-0.1 
-0.1 
Benefits paid 
-4.7 
-12.3 
-2.1 
-19.1 
General plan administration costs 
0.0 
-0.1 
-0.2 
-0.3 
Changes in consolidated group 
0.0 
0.0 
0.0 
0.0 
Other changes 
0.0 
0.0 
1.4 
1.4 
Exchange rate differences 
-3.4 
23.3 
1.9 
21.8 
Fair value of plan assets, Dec. 31, 2021 
121.3 
351.8 
42.6 
515.7 
    
[€ million] 
Japan 
United 
Kingdom 
Miscella- 
neous 
2022 
Fair value of plan assets, Jan. 1, 2022 
121.3 
351.8 
42.6 
515.7 
Interest income 
0.0 
6.0 
0.3 
6.3 
Gains (-) and losses (+) from remeasurement of plan assets 
-15.4 
-118.1 
-1.7 
-135.2 
Contributions by employer 
0.9 
4.6 
3.1 
8.6 
Contributions by plan participants 
0.0 
0.0 
0.5 
0.5 
Liabilities extinguished on settlements 
0.0 
0.0 
0.0 
0.0 
Benefits paid 
-0.3 
-14.0 
-6.4 
-20.7 
General plan administration costs 
0.0 
-0.2 
0.0 
-0.2 
Changes in consolidated group 
0.0 
0.0 
-1.8 
-1.8 
Other changes 
0.5 
0.0 
-0.6 
-0.1 
Exchange rate differences 
-8.9 
-18.5 
1.1 
-26.3 
Fair value of plan assets, Dec. 31, 2022 
98.1 
211.6 
37.1 
346.8

165 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
The fair value of plan assets with quoted prices in ac-
tive markets was as follows: 
 [€ million] 
Dec. 31,2021 
Dec. 31,2022 
Equity instruments 
86.5 
37.3 
Interest-bearing securities 
293.3 
70.8 
Other assets 
106.5 
216.7 
 
486.3 
324.8 
 
The fair value of plan assets without quoted prices in 
active markets was as follows: 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Interest-bearing securities 
1.8 
0.3 
Other assets 
27.6 
21.7 
 
29.4 
22.0 
 
In the following year, contributions in the amount of 
€12.4 million (previous year: €14.9 million) will proba-
bly be made to plan assets. The weighted average du-
ration of defined benefit obligations as at the end of 
the reporting year was 13.3 years (previous year: 16.6 
years).  
As at the end of the financial year, expected dis-
counted pension payments as a function of the due 
date were as follows.  
[€ million] 
Dec. 31,2022 
2023 
48.0 
2024-2027 
150.8 
2028-2032 
219.6 
In the reporting year, gains and losses from the re-
measurement of the defined benefit obligations and 
plan assets recognized in retained earnings developed 
as follows: 
[€ million] 
2021 
2022 
Gains (+) and losses (-) from 
remeasurement, Jan. 1 
-444.5 
-363.0 
Gains (+) and losses (-) from 
remeasurement of defined 
benefit obligations 
77.3 
319.6 
Of which: as a result of 
changed financial 
assumptions 
75.3 
340.1 
Of which: as a result of 
changed demographic 
assumptions 
-1.9 
2.9 
Of which: as a result of 
experience-based 
adjustments 
3.9 
-23.4 
Gains (+) and losses (-) from 
remeasurement of plan 
assets 
8.5 
-135.3 
Reclassifications/other 
changes 
0.1 
-16.9 
Exchange rate differences 
-4.4 
21.8 
Gains (+) and losses (-) from 
remeasurement, Dec. 31 
-363.0 
-173.8 
 
The possible changes in the defined benefit obligation 
as a result of changes in the discount rate, a major ac-
tuarial assumption, were calculated on the basis of 
the projected unit credit method. If the discount rate 
as at the statement of financial position date had 
been 0.50 percentage points lower, the present value 
of defined benefit obligations as at the statement of 
financial position date would have been €50.6 million 
(previous year: €120.5 million) higher. If the discount 
rate as at the statement of financial position date had 
been 0.50 percentage points higher, the present value 
of defined benefit obligations as at the statement of 
financial position date would have been €62.4 million 
(previous year: €82.8 million) lower.

166 
 
(12) Other provisions 
[€ million] 
Personnel 
obligations 
Warranties 
and 
guarantees 
Restructu- 
ring 
Miscella- 
neous 
Total 
Status Jan. 1, 2022 
468.1 
104.8 
50.0 
300.4 
923.3 
Increases 
330.5 
38.9 
5.6 
175.2 
550.2 
Unwinding of discount and 
effect of change in discount rate 
-0.1 
0.0 
0.0 
-1.4 
-1.5 
Amounts used 
-309.0 
-14.3 
-14.5 
-107.4 
-445.2 
Reversal 
-25.7 
-35.1 
-8.7 
-60.9 
-130.4 
Exchange rate differences 
3.9 
1.1 
0.9 
4.7 
10.6 
Changes in consolidated group 
0.4 
0.0 
-0.7 
-0.1 
-0.4 
Other changes 
-4.3 
0.1 
0.0 
7.0 
2.8 
Status Dec. 31, 2022 
463.8 
95.5 
32.6 
317.5 
909.4 
Of which: long-term 
86.5 
14.3 
4.2 
41.4 
146.4 
Of which: short-term 
377.3 
81.2 
28.4 
276.1 
763.0 
 
 
 
 
 
 
Reimbursement claims connected with provisions 
and shown in the statement of financial position 
under other assets 
0.2 
0.0 
0.0 
0.0 
0.2 
 
The provisions for personnel obligations mainly in-
clude provisions for other short-term employee bene-
fits such as bonuses and commissions, provisions for 
vacation not taken and other long-term employee 
benefits such as long-term remuneration compo-
nents as well as provisions for partial early retirement 
and provisions for termination benefits. 
The provisions for guarantees and warranties concern 
products supplied and services rendered. Provisions 
for restructuring are recognized if a detailed, formal 
restructuring plan has been prepared and communi-
cated to the parties concerned. The provisions cover 
expenditure directly connected with the measures 
adopted. 
The miscellaneous provisions include the following 
items: 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Commissions 
34.5 
38.8 
Onerous contracts 
42.5 
28.9 
Legal action 
30.3 
28.1 
Other 
193.1 
221.7 
Total 
300.4 
317.5

167 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
(13) Liabilities 
 
Residual term 
 
Residual term 
 
[€ million] 
Short-term 
Long-term 
Dec. 31,2021 
Short-term 
Long-term 
Dec. 31,2022 
Liabilities to banks 
(= financial debt) 
189.3 
582.6 
771.9 
120.3 
367.5 
487.8 
Cash pool liabilities 
125.6 
0.0 
125.6 
114.7 
0.0 
114.7 
Other financial debt 
53.2 
113.5 
166.7 
90.6 
62.6 
153.2 
Lease liabilities 
88.7 
255.0 
343.7 
94.2 
269.1 
363.3 
Shareholder’s loans 
402.0 
300.0 
702.0 
412.0 
300.0 
712.0 
Accounts of 
Freudenberg & Co. KG Partners 
218.5 
342.3 
560.8 
215.6 
347.3 
562.9 
Financial debt 
1,077.3 
1,593.4 
2,670.7 
1,047.4 
1,346.5 
2,393.9 
Trade payables 
1,025.7 
0.0 
1,025.7 
1,203.4 
0.0 
1,203.4 
Contract liabilities 
64.6 
0.0 
64.6 
59.7 
0.0 
59.7 
Miscellaneous liabilities 
272.6 
185.0 
457.6 
289.8 
165.6 
455.4 
Other liabilities 
337.2 
185.0 
522.2 
349.5 
165.6 
515.1 
 
2,440.2 
1,778.4 
4,218.6 
2,600.3 
1,512.1 
4,112.4 
 
The average interest rate on long-term liabilities to 
banks is 1.03 percent (previous year: 1.03 percent). 
The other financial debt includes loans by third par-
ties with an interest rate between 0.50 and 6.57 per-
cent on the long-term portion. 
The interest payable on the certificates of indebted-
ness included in the liabilities to banks is based on 
variable and fixed components. Cash flows for varia-
ble and fixed interest and repayment of principal will 
probably be as follows from 2023 to 2027:
[€ million] 
Book value 
Cash flows 
 
Dec. 31,2022 
2023 
2024 
2025-2027 
Certificates of indebtedness 
354.0 
65.8 
5.1 
303.6 
   
The cash pool liabilities are towards the parent com-
pany and its affiliates not included in the consolidated 
group of Freudenberg SE and are of a short-term na-
ture. 
Lease liabilities have been recognized since 2019 as a 
result of the application of IFRS 16. As at December 31, 
2022, possible future cash outflows in the amount of 
€36.0 million (previous year: €38.5 million) were not in-
cluded in lease liabilities because a lease had been con-
cluded but not yet incepted as at the date of the state-
ment of financial position or because it was not as-
sessed as reasonably certain that an extension option 
would be exercised. The cash flows for the leasing lia-
bilities shown in the statement of financial position 
break down as follows: 
[€ million] 
Dec. 31,2022 
2023 
96.8 
2024-2027 
208.1 
2028 ff. 
106.6 
 
The loans granted by the shareholder were extended 
during the reporting year. Interest is payable on these 
loans at rates between 2.34 and 3.83 percent (previ-
ous year: between 0.75 and 3.35 percent). The long-
term portion of these loans consists of two tranches 
of the same amount, one with a term of four years 
and one with a term of five years. 
The interest rates applicable to deposits in accounts of 
Freudenberg & Co. KG Partners as at the date of the

168 
 
statement of financial position vary between 0.50 and 
4.20 percent depending on the individual agreements 
(previous year: between 0.50 and 3.00 percent). The 
long-term portion of these accounts has a term of be-
tween one year and five years.  
Miscellaneous liabilities include liabilities for outstand-
ing wages and salaries, holiday pay and special bonuses 
and liabilities for other taxes, as well as liabilities in con-
nection with social security and other refund liabilities. 
 
Contingent liabilities and other financial obligations 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
CONTINGENT LIABILITIES 
 
 
Guarantees 
14.9 
14.6 
Warranty agreements 
1.4 
0.6 
Miscellaneous 
3.9 
2.6 
 
20.2 
17.8 
OTHER FINANCIAL COMMITMENTS 
 
 
Purchase commitments in connection with the delivery of goods and services 
195.5 
157.3 
Purchase commitments in connection with tangible assets 
72.6 
85.4 
Purchase commitments in connection with intangible assets 
0.4 
0.1 
Miscellaneous 
9.6 
4.5 
 
278.1 
247.3 
 
In addition, the following contingent liabilities and 
other financial commitments concern joint ventures: 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
CONTINGENT LIABILITIES 
 
 
Warranty agreements 
14.2 
13.6 
 
14.2 
13.6 
OTHER FINANCIAL COMMITMENTS 
 
 
Purchase commitments in connection with the delivery of goods and services 
0.3 
1.2 
 
0.3 
1.2

169 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
(14) Sales  
[€ million] 
2021 
2022 
Sales from sales of goods 
9,807.0 
11,500.9 
Sales from research and 
development / 
research and development 
licenses 
106.9 
116.1 
Sales from services 
9.6 
16.9 
Sales from production-related 
licenses 
1.3 
2.3 
Other sales 
113.9 
116.9 
 
10,038.7 
11,753.1 
 
Other sales include, inter alia, sales from the sale of 
customer-specific tools, sales from rental and lease 
contracts and sales from support and supplementary 
operations. At Freudenberg, long-term performance 
obligations arise under rental and lease agreements. 
Further details are given in note (3). 
The breakdown of sales by sectors is given below: 
[€ million] 
2021 
2022 
Automotive OEMs 
3,897.0 
4,593.6 
Final users 
1,182.9 
1,439.8 
Mechanical and plant 
engineering 
1,095.0 
1,162.0 
Construction 
628.4 
739.4 
Spare parts business 
545.6 
585.5 
Textile and apparel 
463.0 
582.1 
Medicine and 
pharmaceuticals 
411.1 
506.5 
Energy and water 
410.0 
483.1 
Chemical 
254.8 
270.9 
Other industry sectors 
1,150.9 
1,390.2 
 
10,038.7 
11,753.1 
 
In the 2022 financial year, sales in the amount of 
€27.4 million (previous year: €27.4 million) were rec-
orded which had been recognized as contract liabili-
ties at the beginning of the financial year. 
(15) Cost of sales 
Cost of sales, amounting to €8,259.5 million (previous 
year: €6,904.7 million), indicates the cost of goods and 
services sold. Apart from individual directly attributa-
ble costs, such as personnel expenses and material ex-
penses, overheads including depreciation/amortiza-
tion as well as development expenses for customer-
specific development projects are also shown under 
cost of sales. 
(16) Selling expenses 
Selling expenses, amounting to €1,535.7 million (pre-
vious year: €1,369.2 million), include all expenses in-
curred in the sales area, for example personnel, adver-
tising, carriage and packaging expenses. 
(17) Administrative expenses 
In 2022, administrative expenses amounted to €702.5 
million (previous year: €637.2 million). Administrative 
expenses include all expenses which cannot be allo-
cated to production, sales or research and develop-
ment and concern, inter alia, personnel expenses and 
miscellaneous administrative expenses. 
(18) Research and development expenses 
Apart from personnel and material expenses, research 
and development expenses chiefly include the cost of 
licenses and patents occurring in the course of devel-
opment projects. 
NOTES TO THE CONSOLIDATED 
 STATEMENT OF PROFIT OR LOSS

170 
 
(19) Other income 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Income from recharges 
21.2 
20.8 
Income from disposals of long 
term assets 
21.0 
7.1 
Currency and exchange gains1 
4.7 
4.8 
Income from other secondary 
business 
1.6 
2.2 
Miscellaneous income 
67.7 
112.7 
 
116.2 
147.6 
1 After offsetting of exchange rate losses.  
 
The rise in other income is mainly due to an increase in 
a large number of miscellaneous income items. These 
chiefly include subsidies and grants (€19.1 million). Ef-
fects from the measurement of option rights,  insur-
ance reimbursements for damage which occurred in 
the year under review and fees are also recognized as 
miscellaneous income. In addition to these elements, 
miscellaneous other income includes a large number 
of individual items with low amounts such as reim-
bursements and rental income. 
(20) Other expenses 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Losses resulting from 
disposals of non-current 
assets 
10.4 
27.6 
Miscellaneous expenses 
67.3 
68.4 
 
77.7 
96.0 
 
The increase in other expenses was chiefly a result of 
the higher losses resulting from the disposal of intan-
gible assets and financial assets compared with the 
previous year. 
(21) Income from investments in joint ventures 
The income from investments in joint ventures 
amounted to €23.3 million (previous year: €26.0 mil-
lion). 
(22) Income from investments in associated 
companies 
The increase in income from investments in associ-
ated companies from €41.1 million to €43.2 million is 
a result of the higher pro rata profit of the associated 
company NOK Corporation, Tokyo, Japan. 
(23) Other investment result 
The rise in other investment result from €14.4 million 
to €27.3 million was chiefly a result of the increase in 
investment income from shares in partnerships. 
(24) Other interest and similar income 
Other interest and similar income amounted to €24.5 
million (previous year: €16.6 million). 
(25) Interest and similar expenses 
In 2022, interest expenses amounted to €61.7 million 
(previous year: €57.6 million). This item chiefly in-
cludes interest on shareholder’s loans in the amount 
of €13.8 million (previous year: €12.4 million) and in-
terest payable to the Partners of Freudenberg & Co. KG 
in the amount of €13.5 million (previous year: €10.5 
million).

171 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
(26) Income taxes 
This item shows German corporation tax (plus solidar-
ity surcharge) and municipal trade taxes as well as 
similar taxes on income payable in other countries.  
The figure also includes deferred taxes on temporary 
differences between the tax balance sheets and com-
mercial balance sheets of individual group companies, 
on adjustments to consistent measurement within 
the Freudenberg Group and on the consolidation pro-
cedure. 
Deferred taxes are calculated at the tax rates applica-
ble in the respective countries. 
Income taxes break down as follows (expense (-) / in-
come (+)): 
[€ million] 
2021 
2022 
Current taxes related to the 
reporting period 
-251.3 
-269.8 
Current taxes related to prior 
periods 
-6.5 
-2.3 
Deferred taxes 
66.7 
54.7 
 
-191.1 
-217.4 
The deferred tax income related to changes in tax 
rates was €0.4 million (previous year: deferred tax in-
come of €0.1 million). Deferred tax income includes 
income in the amount of €67.4 million (previous year: 
€68.0 million) resulting from the development or 
elimination of temporary differences. In the reporting 
year, impairment losses with respect to deferred tax 
assets on temporary differences were recognized in 
the amount of €21.6 million (previous year: €13.2 mil-
lion). 
In the reporting year, deferred taxes related to transac-
tions recognized directly in equity resulted in a de-
crease in equity of €-58.0 million (previous year: de-
crease in equity €-31.3 million). 
As of December 31, 2022, tax losses carried forward 
amounted to €943.3 million (previous year: €888.8 
million). Deferred tax assets were recognized in re-
spect of tax losses carried forward totaling €161.1 mil-
lion (previous year: €85.4 million). Deferred tax assets 
were not recognized in respect of tax losses carried 
forward with a total amount of €782.2 million (previ-
ous year: €803.4 million) as it is not expected that 
these losses will be usable. Of the tax losses carried 
forward, €11.4 million (previous year: €23.6 million) 
will be forfeited in the period up to 2032 if they are 
not used. 
In the reporting year, tax losses carried forward total-
ing €13.6 million (previous year: €24.3 million), for 
which no deferred tax assets had been recognized, 
were used.

172 
 
Deferred taxes concern temporary differences and tax 
losses carried forward in the following amounts: 
 
 
[€ million] 
Deferred tax 
assets 
Dec. 31,2021 
Deferred tax 
liabilities 
Dec. 31,2021 
Deferred tax 
assets 
Dec. 31,2022 
Deferred tax 
liabilities 
Dec. 31,2022 
Intangible assets 
30.1 
252.9 
36.8 
235.4 
Tangible assets 
18.5 
190.3 
23.0 
160.6 
Financial assets 
0.8 
1.4 
1.6 
1.3 
Inventories 
64.0 
1.5 
67.1 
1.8 
Receivables 
17.4 
16.5 
22.7 
26.7 
Other assets 
2.9 
2.3 
7.0 
2.8 
Provisions for pensions and similar obligations 
138.4 
1.9 
76.9 
7.3 
Other provisions 
92.6 
2.5 
85.0 
3.0 
Liabilities 
117.9 
24.1 
115.4 
24.0 
Other liabilities 
0.8 
4.9 
0.4 
7.0 
Tax losses carried forward 
16.5 
0.0 
29.9 
0.0 
 
499.9 
498.3 
465.8 
469.9 
 
 
 
 
 
Offsetting 
-167.6 
-167.6 
-174.8 
-174.8 
 
 
 
 
 
Recognized in statement of financial position 
332.3 
330.7 
291.0 
295.1 
 
No deferred tax items were set up on temporary dif-
ferences arising from shareholdings totaling  
€42.0 million (previous year: €43.5 million) as short-
term dividend payments are not expected. 
No deferred tax liabilities were recognized in respect 
of differences in the retained earnings of affiliated 
companies amounting to €2,875.0 million (previous 
year: €2,816.0 million) as it is intended to use these 
funds for maintaining the substance and expanding 
the business of the companies concerned.

173 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Reconciliation of expected income tax with actual 
income tax expense 
Freudenberg SE and its German subsidiaries are sub-
ject to corporation tax (plus solidarity surcharge) and 
the municipal trade tax. Income realized in other 
countries is taxed at the rates applicable in the re-
spective countries. The tax rate of 30.0 percent (previ-
ous year: 30.0 percent) used for calculating the ex-
pected tax expense is based on the structure of 
Freudenberg relevant for taxation. It is calculated as 
the weighted average of the tax rates for the regions 
in which Freudenberg realized its main income. Non-
taxable income includes, inter alia, the profit after tax 
of participations consolidated by the equity method, 
dividends received from non-consolidated companies 
and income from the re-measurement of financial as-
sets measured at fair value through profit or loss. In 
the year under review, the other tax effects chiefly in-
cluded a positive effect from the reassessment of the 
usability of tax losses carried forward.
 
 
[€ million] 
2021 
2022 
Profit before income taxes 
778.2 
857.0 
Expected income tax expense 
(-)/ income (+) 
-233.5 
-257.1 
Different tax rates: 
 
 
In Germany 
-0.1 
-0.2 
In other countries 
50.9 
57.2 
Tax portion of: 
 
 
Non-taxable income 
43.3 
49.8 
Non-deductible expenses 
-42.5 
-59.1 
Current taxes related to prior 
periods 
-9.5 
-6.5 
Tax portion of new tax losses 
carried forward for which no 
deferred tax assets were 
recognized 
-22.0 
-16.1 
Tax portion of tax losses carried 
forward and used for 
which no deferred tax assets 
were recognized 
3.4 
4.0 
Other taxation effects 
18.9 
10.6 
Actual income tax expense 
-191.1 
-217.4 
Effective tax rate (percent) 
24.6 
25.4 
 
(27) Profit or loss attributable to non-controlling 
interests 
[€ million] 
2021 
2022 
Profit 
59.0 
74.5 
Loss 
-30.0 
-61.4 
 
29.0 
13.1

174 
 
(28) Cash flow from operating activities 
The cash flow from operating activities takes into ac-
count dividends received from joint ventures totaling 
€8.7 million (previous year: €0.4 million) and dividends 
received from associated companies totaling €22.3 
million (previous year: €16.8 million). 
(29) Payments to shareholders/non-controlling 
interests 
Payments to shareholders and non-controlling inter-
ests include dividends paid to the shareholder, to the 
Partners of Freudenberg & Co. KG and to holders of 
non-controlling interests in Group companies. 
 
(30) Reconciliation of financial debt 
The table below shows the reconciliation of financial 
debt:
 
[€ million] 
2021 
With 
effect on 
payments 
Without effect on payments 
2022 
 
 
 
Addition 
Acquisitions / 
Disposals 
Exchange 
rate effects 
Others 
 
Liabilities to banks 
771.9 
-275.5 
0.0 
0.0 
-8.6 
0.0 
487.8 
Liabilities from cash pool 
125.6 
-10.2 
0.0 
0.0 
0.0 
-0.7 
114.7 
Leasing liabilities 
343.7 
-100.8 
116.3 
0.9 
3.6 
-0.4 
363.3 
Other financial debt 
166.7 
-5.2 
0.0 
0.0 
-7.2 
-1.1 
153.2 
Shareholder’s loans 
702.0 
10.0 
0.0 
0.0 
0.0 
0.0 
712.0 
Accounts of 
Freudenberg & Co. KG Partners 
560.8 
2.1 
0.0 
0.0 
0.0 
0.0 
562.9 
Financial debt 
2,670.7 
-379.6 
116.3 
0.9 
-12.2 
-2.2 
2,393.9 
Cash inflows from interest received and cash out-
flows from interest paid are included in cash flow 
from operating activities and are shown separately in 
the consolidated statement of cash flows. 
NOTES TO THE CONSOLIDATED 
 STATEMENT OF CASH FLOWS

175 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
(31) Changes in cash and cash equivalents with 
effect on payments 
Freudenberg recognizes checks, cash in hand, cash at 
bank and short-term securities with an original term 
of up to three months as cash and cash equivalents. 
Cash and cash equivalents include funds with an 
amount of €40.1 million (previous year: €1.0 million) 
subject to restrictions on use. 
The funds subject to restrictions on use by Freuden-
berg largely concern cash and cash equivalents held 
by affiliates which can only be used by Freudenberg 
with restrictions as a result of exchange controls.

176 
 
Material expenses 
[€ million] 
2021 
2022 
Raw materials, consumables 
and merchandise purchased 
4,201.3 
5,363.1 
Services purchased 
315.2 
285.3 
 
4,516.5 
5,648.4 
    
Workforce and personnel expenses 
In the year under review, an average of 50,598 (previ-
ous year: 48,787) persons were employed in the fol-
lowing functions: 
2022 
Germany 
Other 
countries 
Total 
Production 
6,688 
26,649 
33,337 
Sales 
2,123 
6,747 
8,870 
Research and 
development 
1,927 
1,900 
3,827 
Administration 
1,391 
3,173 
4,564 
 
12,129 
38,469 
50,598 
    
[€ million] 
2021 
2022 
Wages and salaries 
2,255.2 
2,452.3 
Social security contributions 
and costs of pensions and 
assistance 
545.8 
583.0 
Personnel expenses 
2,801.0 
3,035.3 
 
Research and development 
In the year under review, research and development  
activities amounting to €576.8 million (previous year: 
€500.2 million) were performed. The research and de-
velopment activities also include development ex-
penses for customer-specific development projects in-
cluded in the cost of sales in the consolidated state-
ment of profit or loss. Sales from research and develop-
ment and research and development licenses 
amounted to €116.1 million (previous year: €106.9 
million). In the reporting year, government grants for 
research and development projects totaling €15.9 mil-
lion (previous year: €8.6 million) were received. 
 
FURTHER NOTES

177 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Financial instruments 
The term “financial instrument” is used to refer to 
any contract that gives rise to both a financial asset of 
one enterprise and a financial liability or equity in-
strument of another enterprise. A distinction is made 
between primary and derivative financial instru-
ments. Primary financial instruments in the case of 
the purchase or sale of assets are recognized at the 
settlement date, i.e. the delivery of the asset con-
cerned. Derivative financial instruments are recog-
nized as of the trade date. In the event of loss of con-
trol over the contractually agreed rights to a financial 
asset, the asset concerned is derecognized. Financial 
liabilities are derecognized on the statement of finan-
cial position when the commitment is discharged or 
cancelled, or expires. 
According to IFRS 9, financial assets are divided into 
the following categories: 
• Measured at amortized cost 
This category includes debt instruments with cash 
flows consisting solely of principal and interest pay-
ments. They are held by Freudenberg in a business 
model whose objective is achieved by collecting the 
contractual cash flows. 
• Measured at fair value through other comprehen-
sive income 
This category includes both debt and equity instru-
ments. Debt instruments are to be included in this 
category if the cash flows associated with these in-
struments consist solely of principal and interest pay-
ments and the business model has the objective of 
both collecting contractual cash flows and selling fi-
nancial assets. 
Amounts recognized in other comprehensive income 
for those debt instruments are reclassified to the 
statement of profit or loss upon the later disposal of 
such instruments. Equity instruments not held for 
trading may be assigned to this category. The 
amounts recognized in other comprehensive income 
for those equity instruments are not reclassified to 
the statement of profit or loss in the event of the later 
disposal of such instruments. 
• Measured at fair value through profit or loss 
This category includes both debt and equity instru-
ments. Debt instruments are to be assigned to this 
category in the event that the cash flows associated 
with such instruments do not consist solely of princi-
pal and interest payments or if the business model is 
based mainly on short-term trading intentions. Equity 
instruments must also be assigned to this category if 
there are trading intentions. If there are no trading in-
tentions, there is an option to classify equity instru-
ments as measured at fair value through profit or 
loss. In addition, both debt and equity instruments 
are classified in this category if such classification pre-
vents an accounting mismatch between assets and li-
abilities. The same applies to partnership shares. 
Those shares are not considered to be equity instru-
ments and also do not meet the condition that the 
cash flows associated with them consist solely of 
principal and interest payments. Derivative financial 
instruments that do not meet the requirements for 
hedge accounting are also measured at fair value 
through profit or loss. 
In accordance with IFRS 9, financial liabilities are, as a 
general principle, measured at amortized cost. In such 
cases, the liabilities concerned are initially recognized 
at fair value less transaction costs. In accordance with 
IFRS 9, subsequent measurements are effected at 
amortized cost using the effective interest method. 
Only liabilities held for trading purposes are meas-
ured at fair value through profit or loss. 
Financial instruments are assigned to categories on 
the basis of the relevant items in the statement of fi-
nancial position. The allocation to the categories un-
ambiguously defines the accounting and measure-
ment of the financial assets and liabilities.

178 
 
[€ million] 
At amortized 
cost 
At fair value 
through other 
comprehensive 
income 
At fair value 
through profit 
or loss 
Book value 
Dec. 31, 2021 
ASSETS 
 
 
 
 
Other financial assets 
8.5 
42.2 
86.6 
137.3 
Trade receivables 
1,527.3 
 
 
1,527.3 
Other assets 
111.0 
 
35.6 
146.6 
Securities and cash at bank and in 
hand 
2,186.8 
 
 
2,186.8 
 
3,833.6 
42.2 
122.2 
3,998.0 
 
 
 
 
 
LIABILITIES 
 
 
 
 
Financial debts1 
2,670.7 
 
 
2,670.7 
Trade payables 
1,025.7 
 
 
1,025.7 
Other liabilities 
305.0 
 
1.2 
306.2 
 
4,001.4 
 
1.2 
4,002.6 
    
[€ million] 
At amortized 
cost 
At fair value 
through other 
comprehensive 
income 
At fair value 
through profit 
or loss 
Book value 
Dec. 31, 2022 
ASSETS 
 
 
 
 
Other financial assets 
3.7 
40.6 
81.0 
125.3 
Trade receivables 
1,810.7 
 
 
1,810.7 
Other assets 
123.1 
 
30.0 
153.1 
Securities and cash at bank and in 
hand 
1,827.9 
 
 
1,827.9 
 
3,765.4 
40.6 
111.0 
3,917.0 
 
 
 
 
 
LIABILITIES 
 
 
 
 
Financial debts1 
2,393.9 
 
 
2,393.9 
Trade payables 
1,203.4 
 
 
1,203.4 
Other liabilities 
301.9 
 
1.7 
303.6 
 
3,899.2 
 
1.7 
3,900.9 
1 The financial debts include lease liabilities in the amount of €363.3 million (previous year: €343.7 million) although these are not included in the scope of IFRS9. 
 
Certain other assets and other liabilities are shown on 
the statement of financial position but are not in-
cluded in the table concerning financial instruments 
because they cannot be categorized as financial in-
struments in accordance with IFRS 9 or are subject to 
the special recognition and measurement principles 
applicable to hedge accounting (see information on 
hedging transactions). The other current and non-cur-
rent assets shown in the statement of financial 
position, amounting to €169.2 million (previous year: 
€167.6 million), mainly concern reimbursement 
claims with respect to other taxes, advance payments 
made and plan assets in excess of the corresponding 
pension obligations. Further details are given in note 
(7). The other current and non-current liabilities 
shown in the statement of financial position in the 
amount of €211.5 million (previous year: €216.0 mil-
lion) chiefly concern liabilities with respect to other

179 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
taxes, contract liabilities and liabilities in connection 
with social security. Further details are given in note 
(13). Loans, receivables and debts are measured at 
amortized cost. The cash flows arising from these fi-
nancial assets consist solely of principal and interest 
payments. These loans, receivables and debts are held 
by Freudenberg within a business model whose objec-
tive is achieved by collecting the contractual cash 
flows. The fair values of financial assets and financial 
liabilities measured at amortized cost are approxi-
mately equal to the carrying amounts of such assets 
and liabilities. 
The other financial assets measured at fair value 
through other comprehensive income as at the state-
ment of financial position date consist solely of equity 
instruments not held for trading purposes. The greater 
part of these financial instruments, in the amount of 
€35.0 million (previous year: €38.7 million) were 
measured on the basis of active markets for identical 
assets (level 1 inputs). For the remaining equity instru-
ments, in the amount of €5.6 million (previous year: 
€3.5 million), the amortized cost represents the best 
estimate of the fair value. The amounts recognized in 
other comprehensive income for equity instruments 
are not reclassified to the statement of profit or loss 
upon the later disposal of such instruments. In the re-
porting year, the total amount of other financial as-
sets recognized in other comprehensive income was 
€-3.2 million (previous €0.1 million). This amount rec-
ognized in other comprehensive income in the year 
under review does not include any effects resulting 
from disposals of financial instruments in this cate-
gory.  
The other financial instruments measured at fair 
value through profit or loss are debt instruments with 
an amount of €2.7 million (previous year: €3.2 million) 
with cash flows not consisting solely of principal and 
interest payments. In addition, these financial instru-
ments include investments that do not meet the re-
quirements for measurement at fair value through 
other comprehensive income and with cash flows not 
consisting solely of principal and interest payments in 
the amount of €11.5 million (previous year: €11.5 mil-
lion). The other financial assets also include shares in 
partnerships with an amount of €66.8 million (previ-
ous year: €71.9 million). These shares are measured on 
the basis of observed input factors for similar assets or 
liabilities in active markets or for identical assets or lia-
bilities in markets that are not active (level 2 inputs). 
The other financial instruments measured at fair 
value through profit or loss are measured on the basis 
of values observed on active markets for identical as-
sets (level 1 inputs). In the reporting year, the total ef-
fect of the re-measurement of such financial instru-
ments on the statement of profit or loss was insignifi-
cant. The other assets in this category solely include 
derivative financial instruments. These chiefly concern 
option rights for the acquisition of shares in compa-
nies with a value of €27.5 million (previous year: €34.7 
million). The change in the value of these option 
rights, amounting to €-7.2 million, is recognized in the 
statement of profit or loss with an effect on net in-
come. The fair value of these assets is measured on 
the basis of developed, unobservable inputs (level 3 
inputs). The fair value determined would rise or fall 
depending on the development of future corporate 
planning data of the companies concerned. The other 
assets and other liabilities include derivative financial 
instruments used for hedging currency risks that do 
not meet the requirements for hedge accounting. 
Such derivatives are measured at fair value through 
profit or loss (see information on hedging transac-
tions). The other liabilities also include put options 
granted to holders of non-controlling interests for the 
sale of their shares in the amount of €160.2 million 
(previous year: €166.8 million), which are recognized 
as forward purchases.  
Freudenberg does not hold any financial assets or lia-
bilities for short-term trading purposes.  
Offsetting of financial assets and financial liabilities is 
not effected to any material extent in the statement 
of financial position and there is no potential for off-
setting.

180 
 
Risks in connection with financial instruments 
Freudenberg is exposed to risks resulting from 
changes in exchange rates and interest rates and, as a 
general principle, uses conventional derivative instru-
ments such as interest rate swaps, caps and currency 
futures to hedge risks in connection with business op-
erations and financing to a limited extent (see infor-
mation on hedging transactions). 
The risks arising in connection with financial instru-
ments are chiefly as follows: 
Interest rate risk: 
In the case of fixed-interest loans or investments, 
there is a risk that changes in the market interest rate 
will affect the market value of the item concerned 
(market value risk contingent on interest rates). In con-
trast, variable interest loans and investments are not 
subject to this risk as the interest rate is adjusted to 
reflect changes in the market situation with a very 
short delay. However, there is a risk with respect to fu-
ture interest payments as a result of short-term fluc-
tuations in market interest rates (cash flow risk con-
tingent on interest rates). Risks associated with inter-
est rate changes mainly affect long-term items. If 
market interest rates had been 1.0 percentage points 
higher or lower, on average, as of December 31, 2022, 
this would have had only an insignificant impact on 
net income. 
Currency risk: 
The primary financial instruments are chiefly held in 
the functional currency. Exchange rate differences 
caused by the conversion of financial statements into 
the Group currency are not taken into consideration. If 
the value of the euro against major currencies held at 
the date of the statement of financial position (USD, 
GBP and JPY) had been 10 percent higher as at De-
cember 31, 2022, the profit before income taxes 
would have been €8.9 million (previous year: €14.3 
million) lower. If the value of the euro against major 
currencies held (USD, GBP and JPY) had been 10 per-
cent lower as at December 31, 2022, the profit before 
income taxes would have been €10.9 million (previous 
year: €17.5 million) higher. 
Liquidity risk: 
Risks connected with cash flow fluctuations are iden-
tified by the cash flow planning system already exist-
ing. As a result of the good rating (“A3”) of Freuden-
berg SE and the credit lines granted by banks on a 
binding basis, Freudenberg can access ample sources 
of funds at all times. Further information is given in 
the Report on Opportunities and Risks (section: Finan-
cial risks) in the Combined Management Report. 
Credit risk: 
A credit risk is the risk that Freudenberg will incur a fi-
nancial loss as a result of the other party to a financial 
instrument failing to discharge its obligation. Credit 
risks may be of a variety of types. For example they 
may be a result of the investment of liquid funds or 
the granting of payment deadlines in connection with 
the supply of goods and services. As a general princi-
ple, credit risks arise in connection with all agree-
ments which need to be fullfilled by the counterparty 
in the future. 
In accordance with IFRS 9, expected credit losses are 
the key factor in calculating loss allowances using the 
expected loss model. Impairment losses are recog-
nized in accordance with IFRS 9 for all financial assets 
measured at amortized cost, for debt instruments 
measured at fair value without effect on net income, 
and for contract assets. IFRS 9 provides for a three-
stage procedure. Loss allowances are measured either 
on the basis of the 12-month expected credit loss 
(stage 1) or on the basis of the lifetime expected credit 
loss if there has been a significant increase in credit 
risk since initial recognition (stage 2) or a credit im-
pairment has been identified (stage 3). 
Securities and cash at bank and in hand are debt in-
struments that are measured at amortized cost. Such 
assets held by Freudenberg mainly have a low credit 
risk and are due in the short-term. Such assets must 
therefore be assigned to stage 1 of the impairment 
model. The loss allowance for these assets as at the 
date of the statement of financial position was €1.6 
million (previous year: €1.6 million).  
For trade receivables, the simplified approach in ac-
cordance with IFRS 9 is adopted. In this approach, the 
loss allowance is always calculated on the basis of the

181 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
lifetime expected credit losses. In order to determine 
the expected credit losses, trade receivables are as-
signed to groups with similar credit risks. In the case 
of appropriate individual circumstances and risk indi-
cations, individual impairment losses are recognized. 
Information related to the past and to the future is 
taken into consideration in the measurement of im-
pairment losses.  
In order to determine the expected credit losses for a 
group of receivables, Freudenberg applies two factors. 
The first factor takes the country risk into account and 
the second factor accounts for the customer-specific 
default risk.  
The centrally defined country risk factor covers factors 
such as transfer or convertibility risks, moratoriums, 
and capital or currency regulations which would pre-
vent a company from converting its local currency into 
a foreign currency and/or transferring foreign currency 
to creditors in other countries. This specifically in-
cludes circumstances such as war, confiscation, revo-
lution, insurrections, flooding and earthquakes. In ad-
dition the model considers forward looking infor-
mation regarding the financial and economic situa-
tion. The financial information includes medium-term 
financial solvency indicators such as overall foreign 
debt and total payments in connection with external 
debts. These figures are typically connected with indi-
cators such as the gross domestic product and/or for-
eign exchange revenues. Economic information in-
cludes long-term structural indicators that measure 
the growth potential such as income levels, savings 
rates or economic growth rates achieved as well as ex-
port diversification, dependence on subsidies or the 
size of economies. 
The customer-specific risk is based on shared credit 
risk characteristics of receivable groups. It takes into 
consideration specific business models, customer ex-
perience, differences in local payment cultures and 
market knowledge. If there is a major difference be-
tween different due date ranges, impairment loss 
rates are calculated separately for the different due 
date ranges. 
To a large extent, trade receivables are covered by 
credit insurance. Credit insurance is taken into ac-
count in the calculation of the impairment losses. 
Otherwise, the carrying amount represents the maxi-
mum credit risk. 
Trade receivables are de-recognized if, on the basis of 
an appropriate estimate, it is not to be expected that 
the receivable may be realized in full or in part. In this 
context, the information concerned must indicate 
that a debtor has financial problems and that there is 
no realistic prospect of the receipt of payments, for ex-
ample if a debtor has been placed under liquidation or 
is subject to insolvency proceedings. As at the state-
ment of financial position date, derecognized receiva-
bles in the amount of €1.2 million (previous year: €2.4 
million) were still subject to enforcement activity. 
In the year under review and the comparison period, 
loss allowances for financial assets other than those 
mentioned above were not material. This is also a re-
sult of the risk management system implemented by 
Freudenberg, which aims, inter alia, to minimize the 
credit risk. Freudenberg only concludes derivative fi-
nancial instruments with national and international 
banks of investment grade rating. Credit risks are 
largely limited by distributing between several banks 
and a policy of applying caps to individual banks.

182 
 
The risk profile of trade receivables is summarized in 
the table below: 
 
[€ million] 
Gross carrying amount 
Dec. 31, 2021 
Weighted average loss rate1 
Loss allowance 
Current (not past due) 
1,327.9 
0% 
5.0 
1 – 60 days past due 
172.1 
3% 
4.4 
61 – 180 days past due 
32.5 
21% 
6.7 
181 – 360 days past due 
10.4 
24% 
2.5 
More than 360 days past due 
12.9 
77% 
9.9 
1 The weighted average loss rate was rounded to full percentage values. 
 
[€ million] 
Gross carrying amount 
Dec. 31, 2022 
Weighted average loss rate1 
Loss allowance 
Current (not past due) 
1,542.5 
0% 
4.2 
1 – 60 days past due 
229.9 
2% 
5.6 
61 – 180 days past due 
44.5 
22% 
9.9 
181 – 360 days past due 
13.0 
36% 
4.7 
More than 360 days past due 
15.4 
66% 
10.2 
1 The weighted average loss rate was rounded to full percentage values. 
 
The loss allowance for trade receivables developed as 
follows: 
[€ million] 
2021 
2022 
Loss allowance Jan. 1 
30.4 
28.5 
Changes in consolidated 
group 
0.1 
0.2 
Exchange rate differences 
0.5 
0.3 
Additions (expenses for loss 
allowance) 
10.0 
15.9 
Amounts used 
-3.0 
-2.9 
Reversals (write-ups) 
-9.5 
-7.4 
Loss allowance Dec. 31 
28.5 
34.6 
 
As at the statement of financial position date, the loss 
allowance for other assets amounted to €0.5 million 
(previous year: €0.9 million). No significant impair-
ment losses to contract assets were recognized in the 
year under review.

183 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Hedging transactions 
Freudenberg SE is responsible for all financing activi-
ties and also operates the cash management system 
for the entire group of companies. Group companies 
obtain the financing they require via cash pools or in-
ternal loans or, in some countries, in the form of bank 
loans guaranteed by Freudenberg SE. 
The limits of action, responsibilities and control proce-
dures in connection with derivative financial instru-
ments are laid down in a binding form in internal di-
rectives for Group companies. Compliance with these 
directives and the proper handling and measurement 
of transactions are regularly verified, observing the 
principle of separation of functions. Furthermore, risk 
management for financial instruments is integrated 
in the Freudenberg Group risk management system. 
Freudenberg does not expose itself to additional fi-
nancial risks through speculation with derivative fi-
nancial instruments but uses such instruments only 
for hedging purposes and therefore reducing risks in 
connection with transactions (see information on 
risks in connection with financial instruments). Future 
transactions are only hedged if there is a high proba-
bility of occurrence. As a general principle Freuden-
berg uses derivative financial instruments for hedging 
interest rates and foreign exchange risks. Open risk 
items are primarily hedged via transactions within the 
Group. External hedging transactions are only con-
cluded after consultation with the responsible corpo-
rate function.  
The interest rate risk represents the risk that the fair 
value or future cash flows of financial instruments 
may fluctuate as a result of changes in market interest 
rates. As in the previous year, there were no derivatives 
entered into for the purpose of interest rate hedging 
as at December 31, 2022. 
Freudenberg is active internationally and is subject to 
exchange rate risks resulting from transactions in for-
eign currencies. Currency risks arise from future busi-
ness transactions and recognized assets and liabilities 
concluded in a currency which is not the functional 
currency of the relevant Group company. The objective 
of hedging transactions is to reduce the volatility re-
sulting from foreign currencies. For this purpose, cur-
rency futures and currency swaps are concluded. 
Derivative financial instruments for hedging recog-
nized assets or liabilities (fair value hedges) are shown 
in the statement of financial position at fair value. 
Changes in the fair value are recorded in the state-
ment of profit or loss. 
Financial instruments for hedging future cash flows 
(cash flow hedges) are also included in the statement 
of financial position at fair value, but changes in the 
fair value of such instruments are recognized without 
effect on net income under retained earnings, taking 
into consideration the applicable income taxes and 
recognized in the statement of profit or loss when fu-
ture cash flows are realized. Ineffective portions of 
hedge transactions are always recognized in the state-
ment of profit or loss. The effectiveness of hedging 
transactions is determined regularly by prospective 
assessment upon the inception of the transaction. For 
hedging currency risks, the main hedging transactions 
concluded are based on contract terms that are con-
gruent with the underlying transaction. Ineffective-
ness may arise if parameters such as the timing of a 
planned transaction change compared with the origi-
nal estimate.  
Derivatives not covered by hedge accounting, are  
measured at fair value through profit or loss.

184 
 
As at December 31, 2022, the Group held the follow-
ing currency futures: 
 
[€ million] 
Dec. 31, 2021 
Dec. 31, 2022 
DERIVATIVE FINANCIAL INSTRUMENTS - CASH FLOW HEDGES 
 
Other assets - book value (assets) 
0.2 
0.0 
Other liabilities - book value (liabilities) 
0.0 
0.2 
Notional amount 
4.9 
6.6 
Maturity date 
1/2022-11/2022 
1/2023-9/2023 
Hedge ratio 
1:1 
1:1 
Change in exchange rate of outstanding hedging instruments 
0.2 
-0.2 
 
 
 
DERIVATIVE FINANCIAL INSTRUMENTS WITHOUT HEDGE ACCOUNTING 
 
Other assets - book value (assets) 
0.9 
2.5 
Other liabilities - book value (liabilities) 
1.3 
1.7 
Notional amount 
162.3 
211.6 
Maturity date 
1/2022-12/2022 
1/2023-4/2024 
 
 As at the date of the statement of financial position, 
Freudenberg, as in the previous year, did not hold any 
fair value hedges. 
In the reporting year, value changes in the case of cur-
rency futures (cash flow hedges) are recognized in  
equity in the amount of €-0.1 million (previous year:  
€-0.2 million). 
The fair values of currency futures were determined 
on the basis of the quoted currency future prices for 
similar financial instruments (level 2 inputs). As a re-
sult of the very high effectiveness of the hedges, the 
fluctuations in the values of cash flows from the 
hedged underlying transactions correspond to the 
fluctuations in the value of the hedges. 
Derivatives to hedge currency risks in connection with 
the US dollar represent a large part of the notional 
amount. 
[€ million] 
Dec. 31,2021 
Dec. 31,2022 
Notional amount 
currency pair USD/EUR 
78.4 
110.2 
Weighted average 
hedged rate for the 
year USD/EUR 
1.13 
1.06

185 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Related party disclosure 
Relations with related parties concern the parent com-
pany Freudenberg & Co. KG, joint ventures, associated 
companies and other related parties. 
Other related parties include other participations of 
the parent company and companies that are not in-
cluded in the consolidated financial statements for 
reasons of materiality. Transactions with these parties 
in the course of the company’s ordinary business are 
effected at normal market conditions and were as fol-
lows: 
 
 
 
 
 
 
 
 
 
 
 
 
 
Receivables 
Payables1 
[€ million] 
Sales 2021 
Residual 
term up to 
1 year 
Residual 
term more 
than 1 year 
Dec. 31,2021 
Residual 
term up to 
1 year 
Residual 
term more 
than 1 year 
Dec. 31,2021 
Parent company 
3.0 
10.2 
0.0 
10.2 
499.9 
300.0 
799.9 
Joint ventures 
55.1 
25.2 
0.0 
25.2 
5.9 
5.8 
11.7 
Associated 
companies 
17.8 
4.3 
0.0 
4.3 
8.6 
0.0 
8.6 
Other related 
parties 
3.5 
1.1 
0.0 
1.1 
48.6 
0.0 
48.6 
 
79.4 
40.8 
0.0 
40.8 
563.0 
305.8 
868.8 
    
 
 
Receivables 
Payables1 
[€ million] 
Sales 2022 
Residual 
term up to 
1 year 
Residual 
term more 
than 1 year 
Dec. 31,2022 
Residual 
term up to 
1 year 
Residual 
term more 
than 1 year 
Dec. 31,2022 
Parent company 
3.3 
2.4 
0.0 
2.4 
497.9 
300.0 
797.9 
Joint ventures 
50.0 
20.8 
0.0 
20.8 
6.0 
4.0 
10.0 
Associated 
companies 
17.2 
5.9 
0.0 
5.9 
7.9 
0.0 
7.9 
Other related 
parties 
3.6 
1.8 
0.0 
1.8 
50.6 
0.0 
50.6 
 
74.1 
30.9 
0.0 
30.9 
562.4 
304.0 
866.4 
1 Details of liabilities to the parent company are presented in the information on liabilities in note (13).

186 
 
Related parties also include the members of the 
Board of Management and the Supervisory Board. 
The members of these bodies are listed under “Com-
pany Boards”.  
The total remuneration of members of the Board of 
Management, including expenditure for short-term 
payments for members of the Board of Management 
amounted to €9.9 million (previous year: €9.2 mil-
lion). 
Expenses of €2.1 million (previous year: €2.0 million) 
were incurred for defined-benefit and defined-contri-
bution pension commitments with respect to com-
pany pensions for Board of Management members.  
An amount of €20.4 million (previous year: €31.5 mil-
lion) was assigned to provisions for pension obliga-
tions to former members of the Board of Manage-
ment. 
Under a service agreement, Freudenberg SE paid an 
amount of €1.2 million (previous year: €1.2 million) to 
its parent company for the performance of key man-
agement functions. 
Fees of the Auditor 
The auditor, PriceWaterhouseCoopers GmbH 
Wirtschaftsprüfungsgesellschaft, Frankfurt am Main, 
Germany, performed the following services in the 
2022 financial year: 
[€ million] 
2022 
Auditing services 
2.3 
Tax services 
0.3 
Other assurance services 
0.1 
Other services 
0.2 
 
2.9 
    
Major events after the date of the statement of 
financial position 
The remaining ownership interest in XALT Energy, LLC, 
Wilmington, Delaware, USA, was acquired by contract 
of January 3, 2023. Freudenberg had already held a 
50.1 percent stake in XALT and had included XALT in 
the consolidated financial statements as a fully con-
solidated company since 2019. 
Apart from this matter, there were no events of major 
significance for the net assets, financial position and 
results of operation of the group of companies up to 
March 14, 2023, the date when these consolidated fi-
nancial statements were approved for publication by 
the Supervisory Board. 
Weinheim, March 14, 2023 
 
 
Freudenberg SE 
The Board of Management

187 
 
Consolidated Financial Statements – Notes to Consolidated Financial Statements
Shareholdings
Company 
Location 
Country/Region 
Share of 
capital [%] 
Freudenberg SE 
Weinheim 
Germany 
- 
 
 
 
 
I. AFFILIATED COMPANIES 
 
 
 
Germany 
 
 
 
Blaesus Grundstücksverwaltungsgesellschaft mbH & Co. Vermietungs KG 
Mainz 
Germany 
88.12 
Burgmann International GmbH¹ 
Wolfratshausen 
Germany 
100.00 
Capol GmbH¹ 
Elmshorn 
Germany 
100.00 
Carl Freudenberg KG 
Weinheim 
Germany 
100.00 
Chem-Trend (Deutschland) GmbH¹ 
Maisach 
Germany 
100.00 
Corteco GmbH¹ 
Weinheim 
Germany 
100.00 
CT Beteiligungs-GmbH¹ 
Munich 
Germany 
100.00 
EagleBurgmann Atlantic GmbH 
Wolfratshausen 
Germany 
75.00 
EagleBurgmann Espey GmbH¹ 
Moers 
Germany 
75.00 
EagleBurgmann Germany GmbH & Co. KG¹ 
Wolfratshausen 
Germany 
75.00 
EagleBurgmann Germany Verwaltungs-GmbH 
Wolfratshausen 
Germany 
75.00 
EagleBurgmann Middle-East GmbH 
Wolfratshausen 
Germany 
60.00 
Externa Handels- und Beteiligungsgesellschaft mit beschränkter Haftung¹ 
Weinheim 
Germany 
100.00 
FHP Export GmbH¹ 
Weinheim 
Germany 
100.00 
Freudenberg Chemical Specialities GmbH¹ 
Weinheim 
Germany 
100.00 
Freudenberg Filtration Technologies GmbH & Co. KG¹ 
Weinheim 
Germany 
100.00 
Freudenberg FST GmbH¹ 
Weinheim 
Germany 
100.00 
Freudenberg FT GmbH¹ 
Weinheim 
Germany 
100.00 
Freudenberg Fuel Cell e-Power Systems GmbH¹ 
Munich 
Germany 
100.00 
Freudenberg Haushaltsprodukte Augsburg GmbH¹ 
Augsburg 
Germany 
100.00 
Freudenberg Home and Cleaning Solutions GmbH¹ 
Weinheim 
Germany 
100.00 
Freudenberg Industrial Services GmbH¹ 
Hamburg 
Germany 
100.00 
Freudenberg Medical Europe GmbH¹ 
Kaiserslautern 
Germany 
100.00 
Freudenberg Oil & Gas GmbH¹ 
Weinheim 
Germany 
100.00 
Freudenberg Performance Materials Apparel SE & Co. KG¹ 
Weinheim 
Germany 
100.00 
Freudenberg Performance Materials Holding SE & Co. KG¹ 
Weinheim 
Germany 
100.00 
Freudenberg Performance Materials SE & Co. KG¹ 
Weinheim 
Germany 
100.00 
Freudenberg Performance Materials Service GmbH¹ 
Weinheim 
Germany 
100.00 
Freudenberg Process Seals GmbH & Co. KG¹ 
Weinheim 
Germany 
100.00 
Freudenberg Real Estate GmbH¹ 
Weinheim 
Germany 
100.00 
Freudenberg Sealing Technologies GmbH¹ 
Hamburg 
Germany 
100.00 
Freudenberg Technology Innovation SE & Co. KG¹ 
Weinheim 
Germany 
100.00 
Freudenberg Verwaltungs- und Beteiligungs-GmbH¹ 
Weinheim 
Germany 
100.00 
Freudenberg Wohnbauhilfe GmbH 
Weinheim 
Germany 
100.00 
Hanns Glass GmbH & Co. KG¹ 
Meuselwitz 
Germany 
75.00 
Hanns Glass Immobilienverwaltung GmbH & Co. KG¹ 
Paderborn 
Germany 
75.00 
Hemoteq AG¹ 
Würselen 
Germany 
93.74 
SHAREHOLDINGS 
 
 
AS AT DECEMBER 31, 2022

188 
 
Company 
Location 
Country/Region 
Share of 
capital [%] 
Integral Accumulator GmbH¹ 
Weinheim 
Germany 
100.00 
Japan Vilene Europe GmbH 
Meuselwitz 
Germany 
75.00 
JUBA Jutta Baumgartner GmbH 
Meuselwitz 
Germany 
75.00 
Kaul GmbH 
Elmshorn 
Germany 
100.00 
Klüber Lubrication Deutschland GmbH & Co. KG¹ 
Munich 
Germany 
100.00 
Klüber Lubrication GmbH¹ 
Weinheim 
Germany 
100.00 
Klüber Lubrication München GmbH & Co. KG¹ 
Munich 
Germany 
100.00 
Lederer GmbH¹ 
Öhringen 
Germany 
100.00 
Low & Bonar Production GmbH¹ 
Erlenbach am Main 
Germany 
100.00 
Mehler Texnologies GmbH¹ 
Fulda 
Germany 
100.00 
Mehler Texnologies Logistics GmbH¹ 
Fulda 
Germany 
100.00 
OKS Spezialschmierstoffe GmbH¹ 
Maisach 
Germany 
100.00 
omniTECHNIK Mikroverkapselungs GmbH¹ 
Munich 
Germany 
100.00 
PTFE Compounds Germany GmbH¹ 
Bördeland 
Germany 
100.00 
SurTec Deutschland GmbH¹ 
Zwingenberg 
Germany 
100.00 
SurTec International GmbH¹ 
Bensheim 
Germany 
100.00 
Vibracoustic Aftermarket GmbH¹ 
Darmstadt 
Germany 
100.00 
Vibracoustic Asia Holding GmbH 
Weinheim 
Germany 
100.00 
Vibracoustic CV Air Springs GmbH 
Hamburg 
Germany 
65.07 
Vibracoustic Europe GmbH¹ 
Darmstadt 
Germany 
100.00 
Vibracoustic SE & Co. KG¹ 
Darmstadt 
Germany 
100.00 
Vibracoustic SE¹ 
Weinheim 
Germany 
100.00 
Vileda Gesellschaft mit beschränkter Haftung¹ 
Weinheim 
Germany 
100.00 
 
 
 
 
Other countries 
 
 
 
Freudenberg S.A. Telas sin Tejer 
Buenos Aires 
Argentina 
100.00 
Klüber Lubrication Argentina S.A. 
Buenos Aires 
Argentina 
100.00 
Chem-Trend Australia Pty Ltd 
Thomastown 
Australia 
100.00 
EagleBurgmann Australasia Pty. Ltd. 
Ingleburn 
Australia 
25.00 
Freudenberg Filtration Technologies (Aust) Pty. Ltd. 
Braeside 
Australia 
100.00 
Freudenberg Home and Cleaning Solutions Pty. Ltd. 
Broadmeadows 
Australia 
100.00 
Freudenberg Sealing Technologies Pty. Ltd. 
Brendale 
Australia 
100.00 
Klüber Lubrication Australia Pty. Ltd. 
Thomastown 
Australia 
100.00 
EagleBurgmann Belgium BV 
Sint-Job-in-'t-Goor 
Belgium 
75.03 
FHP Vileda SComm. 
Barchon 
Belgium 
100.00 
Klüber Lubrication Belgium Netherlands S.A. 
Dottignies 
Belgium 
100.00 
Klüber Lubrication Benelux S.A./N.V. 
Dottignies 
Belgium 
100.00 
Chem-Trend Industria e Comercio de Produtos Quimicos Ltda. 
Valinhos 
Brazil 
100.00 
EagleBurgmann do Brasil Vedacoes Ltda. 
Macuco Valinhos 
Brazil 
75.00 
Freudenberg Nao-Tecidos Ltda. 
São José dos 
Campos 
Brazil 
100.00 
Freudenberg-NOK-Componentes Brasil Ltda. 
São Paulo 
Brazil 
75.00 
Klüber Lubrication Lubrificantes Especiais Ltda. 
Barueri 
Brazil 
100.00 
SurTec do Brasil Ltda. 
Valinhos 
Brazil 
100.00 
Vibracoustic South America Ltda. 
Taubaté 
Brazil 
100.00 
Freudenberg Productos del Hogar Ltda. 
Santiago de Chile 
Chile 
100.00 
Klüber Lubrication Chile Ltda. 
Santiago de Chile 
Chile 
100.00 
Bonar High Performance Materials (Changzhou) Co. Ltd. 
Changzhou 
China 
100.00 
Changchun Integral Accumulator Co., Ltd. 
Changchun 
China 
100.00

Consolidated Financial Statements – Shareholdings 
 
189 
 
Company 
Location 
Country/Region 
Share of 
capital [%] 
Chem-Trend (Shanghai) Trading Co. Ltd. 
Shanghai 
China 
100.00 
Chem-Trend Chemicals (Shanghai) Co., Ltd. 
Shanghai 
China 
100.00 
Dichtomatik (China) Co., Ltd. 
Shanghai 
China 
100.00 
EagleBurgmann Dalian Co. Ltd. 
Dalian 
China 
40.00 
EagleBurgmann Shanghai Co., Ltd. 
Shanghai 
China 
40.00 
EagleBurgmann Technology (Shanghai) Co., Ltd. 
Shanghai 
China 
50.00 
Freudenberg & Vilene Interlinings (Nantong) Co. Ltd. 
Nantong 
China 
87.50 
Freudenberg & Vilene International Trading (Shanghai) Co., Ltd. 
Shanghai 
China 
87.50 
Freudenberg & Vilene Nonwovens (Suzhou) Co. Ltd. 
Suzhou 
China 
87.50 
Freudenberg Apollo Filtration Technologies Co., Ltd. 
Foshan 
China 
75.00 
Freudenberg Home and Cleaning Solutions (Ningbo) Co., Ltd. 
Ningbo 
China 
100.00 
Freudenberg Home and Cleaning Solutions (Shanghai) Co., Ltd. 
Shanghai 
China 
100.00 
Freudenberg Management (Shanghai) Co. Ltd. 
Shanghai 
China 
100.00 
Freudenberg Medical Plastic & Metal Manufacturing (Shenzhen) Co., Ltd. 
Shenzhen 
China 
100.00 
Freudenberg Politex Ltd. 
Shanghai 
China 
100.00 
Freudenberg Real Estate (Yantai) Co. Ltd. 
Yantai 
China 
100.00 
Freudenberg Spunweb (Shanghai) Trading Co., Ltd. 
Shanghai 
China 
67.69 
Freudenberg Vilene Filter (Chengdu) Co. Ltd. 
Chengdu 
China 
87.50 
Klüber Lubrication (Shanghai) Co., Ltd. 
Shanghai 
China 
100.00 
Klüber Lubrication Industries (Shanghai) Co., Ltd. 
Shanghai 
China 
100.00 
Low & Bonar (Shanghai) Trading Co. Ltd. 
Shanghai 
China 
100.00 
SurTec Metal Surface Treatment Technology Co. Ltd. 
Hangzhou 
China 
100.00 
Tianjin VIAM Co., Ltd. 
Tianjin 
China 
75.00 
Traxit (Huzhou) Lubrication Co. Ltd. 
Huzhou 
China 
100.00 
Traxit (Tianjin) Chemical Co. Ltd. 
Tianjin 
China 
100.00 
Trelleborg Automotive Design (Shanghai) Co. Ltd. 
Shanghai 
China 
100.00 
Vibracoustic (Chongqing) Co. Ltd. 
Chongqing 
China 
100.00 
Vibracoustic (Shanghai) Sales & Trading Co., Ltd. 
Shanghai 
China 
100.00 
Vibracoustic (Wuxi) Vibration Isolators Co., Ltd. 
Wuxi 
China 
100.00 
Vibracoustic (Yantai) Co., Ltd. 
Yantai 
China 
100.00 
Vibracoustic CV Air Springs (Yantai) Co., Ltd. 
Yantai 
China 
65.07 
Freudenberg Medical srl. 
San José 
Costa Rica 
100.00 
Chem-Trend A/S 
Søborg 
Denmark 
100.00 
EagleBurgmann KE A/S 
Ringkøbing 
Denmark 
75.00 
Klüber Lubrication Nordic A/S 
Skovlunde 
Denmark 
100.00 
SurTec Scandinavia ApS 
Copenhagen 
Denmark 
100.00 
Freudenberg Sealing Technologies OÜ 
Mullutu 
Estonia 
100.00 
Freudenberg Filtration Technologies Finland Oy 
Tampere 
Finland 
100.00 
Freudenberg Home and Cleaning Solutions Oy 
Espoo 
Finland 
100.00 
Chem-Trend France S.A.S.U. 
Entzheim 
France 
100.00 
Corteco SAS 
Nantiat 
France 
100.00 
EagleBurgmann France S.A.S. 
Neuville sur Oise 
France 
75.00 
FHP Vileda S.A.S. 
Asnières Sur Seine 
France 
100.00 
Freudenberg Filtration Technologies SAS 
Villebon-sur-Yvette 
France 
100.00 
Freudenberg Immobilier SAS 
Chamborêt 
France 
100.00 
Freudenberg Joints Plats SAS 
Chamborêt 
France 
100.00 
Freudenberg Performance Materials S.A.S. 
Colmar 
France 
100.00 
Freudenberg Sealing Technologies SAS 
Langres 
France 
100.00

190 
 
Company 
Location 
Country/Region 
Share of 
capital [%] 
Klüber Lubrication France S.A.S. 
Valence 
France 
100.00 
Low & Bonar Paris SARL 
Paris 
France 
100.00 
Mehler Texnologies France SARL 
Francheville 
France 
100.00 
SurTec France S.A.S. 
Toulouse 
France 
100.00 
Vibracoustic France SAS 
Carquefou 
France 
100.00 
Vibracoustic Nantes SAS 
Carquefou 
France 
100.00 
FHP Hellas S.A. 
Kifissia, Athens 
Greece 
100.00 
Aquabio Ltd. 
Worcester 
United Kingdom 
100.00 
Bonar International Holdings Limited 
Edinburgh 
United Kingdom 
100.00 
Bonar Rotaform Limited 
Leicester 
United Kingdom 
100.00 
Bonar Silver Limited 
Leicester 
United Kingdom 
100.00 
Capol (U.K.) Limited 
Huddersfield 
United Kingdom 
100.00 
Chem-Trend (UK) Ltd. 
Huddersfield 
United Kingdom 
100.00 
EagleBurgmann Industries UK LP 
Warwick 
United Kingdom 
75.00 
EagleBurgmann Industries UK Ltd. 
Warwick 
United Kingdom 
75.00 
Filtamark Ltd. 
Crewe 
United Kingdom 
100.00 
Freudenberg Filtration Technologies UK Limited 
Crewe 
United Kingdom 
100.00 
Freudenberg Household Products LP 
Rochdale 
United Kingdom 
100.00 
Freudenberg Limited 
Littleborough 
United Kingdom 
100.00 
Freudenberg Oil & Gas Technologies Ltd. 
Port Talbot 
United Kingdom 
100.00 
Freudenberg Performance Materials LP 
Littleborough 
United Kingdom 
100.00 
Freudenberg Sealing Technologies Limited 
Leicester 
United Kingdom 
100.00 
Freudenberg Technical Products Pension Trust Company Limited 
North Shields 
United Kingdom 
100.00 
Freudenberg Vileda Ltd. 
Rochdale 
United Kingdom 
100.00 
KE-Burgmann UK Ltd. 
Congleton 
United Kingdom 
75.00 
Klüber Lubrication Great Britain Ltd. 
Huddersfield 
United Kingdom 
100.00 
Low & Bonar Euro Holdings Limited 
Leicester 
United Kingdom 
100.00 
Low & Bonar Limited 
Edinburgh 
United Kingdom 
100.00 
Low & Bonar Pension Trustees Limited 
Edinburgh 
United Kingdom 
100.00 
Mehler Texnologies Ltd. 
Leicester 
United Kingdom 
100.00 
Techlok Limited 
Port Talbot 
United Kingdom 
100.00 
Freudenberg Textile Technologies, S.A. 
Guatemala City 
Guatemala 
100.00 
APEC (Asia) Limited 
Hong Kong 
Hong Kong 
100.00 
Freudenberg & Vilene Int. Ltd. 
Hong Kong 
Hong Kong 
87.50 
Freudenberg Household Products Ltd. 
Hong Kong 
Hong Kong 
100.00 
Freudenberg Trading (Hongkong) Ltd. 
Hong Kong 
Hong Kong 
100.00 
Japan Vilene (Hong Kong) Ltd. 
Hong Kong 
Hong Kong 
75.00 
Klüber Lubrication China Ltd. 
Hong Kong 
Hong Kong 
100.00 
Vibracoustic Hong Kong Holdings Ltd. 
Hong Kong 
Hong Kong 
100.00 
Chem-Trend Chemicals Co. Pvt. Ltd. 
Bangalore 
India 
100.00 
Dichtomatik India Seals Private Limited 
Kancheepuram 
India 
100.00 
EagleBurgmann India Pvt. Ltd. 
Pune 
India 
50.00 
EagleBurgmann KE Pvt. Ltd. 
Chennai 
India 
75.00 
Freudenberg Filtration Technologies India Private Limited 
Pune 
India 
100.00 
Freudenberg Gala Household Product Pvt. Ltd. 
Mumbai 
India 
60.00 
Freudenberg Performance Materials India Pvt. Ltd. 
Chennai 
India 
100.00 
Freudenberg Regional Corporate Center India Pvt. Ltd. 
Bangalore 
India 
100.00 
Gimi India Pvt. Ltd. 
Bangalore 
India 
100.00

Consolidated Financial Statements – Shareholdings 
 
191 
 
Company 
Location 
Country/Region 
Share of 
capital [%] 
Klüber Lubrication India Pvt. Ltd. 
Bangalore 
India 
89.99 
Low & Bonar India Private Limited 
New Delhi 
India 
100.00 
SurTec Chemicals India Pvt. Ltd. 
Bangalore 
India 
100.00 
Traxit Engineers Private Limited 
Mumbai 
India 
70.00 
Vibracoustic India Pvt. Ltd. 
Mohali 
India 
100.00 
PT EagleBurgmann Indonesia 
Cikarang Selatan 
Indonesia 
24.98 
PT Klüber Lubrication Indonesia 
Jakarta 
Indonesia 
100.00 
Cambus Teoranta 
Spiddal 
Ireland 
94.91 
VistaMed Ltd. 
Carrick-on Shannon 
Ireland 
90.00 
Chem-Trend Italy S.a.s. di Externa Holding S.r.l. 
Milan 
Italy 
100.00 
Corteco S.r.l. (a socio unico) 
Pinerolo 
Italy 
100.00 
EagleBurgmann Italia S.r.l. 
Vimercate 
Italy 
75.00 
Externa Holding S.r.l. 
Milan 
Italy 
100.00 
Externa Italia S.r.l. 
Pinerolo 
Italy 
100.00 
FHP di R. Freudenberg S.A.S. 
Milan 
Italy 
100.00 
Freudenberg Italia S.a.s. di Freudenberg S.r.l. 
Milan 
Italy 
100.00 
Freudenberg Performance Materials Apparel S.a.s. di Externa Holding S.r.l. 
Milan 
Italy 
100.00 
Freudenberg S.r.l. 
Milan 
Italy 
100.00 
Freudenberg Sealing Technologies S.a.s. di Externa Italia S.r.l.u. 
Pinerolo 
Italy 
100.00 
Freudenberg Tecnologie di Filtrazione S.a.s. di Externa Holding S.r.l. 
Milan 
Italy 
100.00 
Hänsel Textil Italia S.a.s. di Externa Holding S.r.l. 
Rho 
Italy 
100.00 
Klüber Lubrication Italia S.a.s. di Externa Holding S.r.l. 
Milan 
Italy 
100.00 
Mehler Texnologies S.r.l. 
Settimo Milanese 
Italy 
100.00 
Politex S.a.s. di Freudenberg Politex s.r.l. 
Milan 
Italy 
100.00 
SurTec Italia SAS di Externa Holding Srl 
Milan 
Italy 
100.00 
Chem-Trend Japan K.K. 
Kobe 
Japan 
100.00 
EagleBurgmann Japan Co., Ltd. 
Tokyo 
Japan 
25.00 
Freudenberg Spunweb Japan Company, Ltd. 
Osaka 
Japan 
67.69 
Japan VIAM Co., Ltd. 
Moriyama 
Japan 
75.00 
Japan Vilene Company Ltd. 
Tokyo 
Japan 
75.00 
Oshitari Laboratory, Inc. 
Sayama 
Japan 
75.00 
Oyama Chemical Co., Ltd. 
Oyama 
Japan 
75.00 
Pacific Giken Co., Ltd. 
Yasu 
Japan 
75.00 
SurTec MMC Japan KK 
Tokyo 
Japan 
56.00 
Vibracoustic Japan KK 
Yokohama 
Japan 
100.00 
Vilene Create Co., Ltd. 
Tokyo 
Japan 
75.00 
VIS Co., Ltd. 
Koga 
Japan 
75.00 
Freudenberg Vileda Jordan Ltd. 
Amman 
Jordan 
51.00 
Capol Inc. 
Saint-Hubert 
Canada 
100.00 
EagleBurgmann Canada Inc. 
Milton 
Canada 
75.00 
Freudenberg Filtration Technologies Inc. 
London 
Canada 
100.00 
Freudenberg Household Products Inc. 
Laval 
Canada 
100.00 
Freudenberg Oil & Gas Canada Inc. 
Nisku 
Canada 
100.00 
Freudenberg-NOK Inc. 
Tillsonburg 
Canada 
75.00 
EagleBurgmann Colombia, S.A.S. 
Bogotá 
Colombia 
75.00 
Low & Bonar Latvia s.i.a. 
Riga 
Latvia 
100.00 
Bonar International Sarl 
Luxembourg 
Luxembourg 
100.00 
EagleBurgmann (Malaysia) SDN. BHD. 
Shah Alam 
Malaysia 
25.00

192 
 
Company 
Location 
Country/Region 
Share of 
capital [%] 
Freudenberg Oil & Gas Technologies Sdn. Bhd. 
Kuala Lumpur 
Malaysia 
100.00 
Freudenberg-NOK St Malaysia Sdn. Bhd. 
Petaling Jaya 
Malaysia 
75.00 
Klüber Lubrication (Malaysia) Sdn. Bhd. 
Shah Alam 
Malaysia 
100.00 
United Lubricants Industries (S.E.A) Sdn. Bhd. 
Cheras 
Malaysia 
100.00 
Chem-Trend Comercial, S.A. de C.V. 
Querétaro 
Mexico 
100.00 
Dichtomatik de Mexico S.A. de C.V. 
Querétaro 
Mexico 
75.00 
EagleBurgmann Mexico S.A. de C.V. 
Querétaro 
Mexico 
75.00 
Freudenberg Filtration Technologies, S.A. de C.V. 
Silao 
Mexico 
100.00 
Freudenberg Productos del Hogar, S.A. de C.V. 
Tultitlan 
Mexico 
100.00 
Freudenberg-NOK Sealing Technologies de Mexico, S.A. de C.V. 
Cuautla 
Mexico 
75.00 
Klüber Lubricacion Mexicana S.A. de C.V. 
Querétaro 
Mexico 
100.00 
VIAM Manufacturing Mexico S.A. de C.V. 
Aguascalientes 
Mexico 
75.00 
Vibracoustic de México, S.A. de C.V. 
Lerma 
Mexico 
100.00 
Vibracoustic Toluca, S.A. de C.V. 
Toluca 
Mexico 
100.00 
Vitechmex Nonwovens S.A. de C.V. 
Aguascalientes 
Mexico 
75.00 
EagleBurgmann Netherlands B.V. 
Veenendaal 
Netherlands 
75.00 
Freudenberg Household Products B.V. 
Arnhem 
Netherlands 
100.00 
Freudenberg Industrial Services B.V. 
Zwolle 
Netherlands 
100.00 
Freudenberg Performance Materials B.V. 
Arnhem 
Netherlands 
100.00 
Low & Bonar Technical Textiles Holdings B.V. 
Arnhem 
Netherlands 
100.00 
SurTec Benelux B.V. 
Reuver 
Netherlands 
100.00 
EagleBurgmann Norway AS 
Gardermoen 
Norway 
75.00 
Freudenberg Home and Cleaning Solutions AS 
Gardermoen 
Norway 
100.00 
Freudenberg Oil & Gas Technologies AS 
Sandnes 
Norway 
100.00 
Deurowood GmbH 
Hard 
Austria 
100.00 
EagleBurgmann Austria GmbH 
Judenburg 
Austria 
75.00 
Freudenberg Austria GmbH 
Kufstein 
Austria 
100.00 
Freudenberg Sealing Technologies Austria GmbH & Co. KG 
Kufstein 
Austria 
100.00 
Klüber Lubrication Austria Ges.m.b.H. 
Salzburg 
Austria 
100.00 
SurTec Produkte und Systeme für die Oberflächenbehandlung GesmbH 
Salzburg 
Austria 
100.00 
EagleBurgmann Philippines, Inc. 
Dasmarinas, Cavite 
Philippines 
25.00 
Chem-Trend Polska Sp. z o.o. 
Kobylnica 
Poland 
100.00 
Chem-Trend Polska sp. z o.o. spólka komandytowa 
Kobylnica 
Poland 
100.00 
EagleBurgmann Poland sp. z o.o. 
Warsaw 
Poland 
75.00 
FHP Vileda Sp. z o.o. 
Warsaw 
Poland 
100.00 
FIM Polska Sp. z o.o. 
Środa Śląska 
Poland 
100.00 
Freudenberg Sealing Technologies Sp. z o.o. 
Śnieciska 
Poland 
100.00 
Freudenberg Vilene Sp. z o.o. 
Lodz 
Poland 
100.00 
Klüber Lubrication Polska Sp. z o.o. 
Kobylnica 
Poland 
100.00 
Mehler Texnologies Sp. z.o.o. 
Sosnowiec 
Poland 
100.00 
SurTec Polska Sp. z o.o. 
Kobylnica 
Poland 
100.00 
Vibracoustic Polska Sp. z o.o. 
Środa Śląska 
Poland 
100.00 
ST Ibérica Sociedade Unipessoal, LDA 
Albergaria-a-Velha 
Portugal 
100.00 
Chem-Trend Romania s.r.l. 
Sibiu 
Romania 
100.00 
Freudenberg Performance Materials Apparel srl 
Bukarest 
Romania 
100.00 
Freudenberg Performance Materials SRL 
Braşov 
Romania 
100.00 
Klueber Lubrication Romania s.r.l. 
Sibiu 
Romania 
100.00 
Mehler Texnologies Romania S.R.L. 
Stefanestii de Jos 
Romania 
100.00

Consolidated Financial Statements – Shareholdings 
 
193 
 
Company 
Location 
Country/Region 
Share of 
capital [%] 
SurTec Romania s.r.l. 
Sibiu 
Romania 
100.00 
Vibracoustic Romania SRL 
Dej 
Romania 
100.00 
EagleBurgmann OOO 
Moscow 
Russian Federation 
75.00 
Freudenberg Household Products Eastern Europe OOO 
St. Petersburg 
Russian Federation 
70.00 
Freudenberg Politex OOO 
Zavolzhye 
Russian Federation 
100.00 
AlMozn National Co. For Home Appliances Limited 
Jeddah 
Saudi Arabia 
75.00 
EagleBurgmann Saudi Arabia Ltd. 
Al-Khobar 
Saudi Arabia 
51.00 
EagleBurgmann Sweden AB 
Norrköping 
Sweden 
75.00 
Freudenberg Home and Cleaning Solutions AB 
Norrköping 
Sweden 
100.00 
Freudenberg Sealing Technologies AB 
Landskrona 
Sweden 
100.00 
Vibracoustic China Holding AB 
Forsheda 
Sweden 
100.00 
Vibracoustic Forsheda AB 
Forsheda 
Sweden 
100.00 
Vibracoustic Sweden Holding AB 
Forsheda 
Sweden 
100.00 
Vibracoustic Wuxi Holding AB 
Forsheda 
Sweden 
100.00 
EagleBurgmann (Switzerland) AG 
Höri 
Switzerland 
75.00 
Freudenberg Sealing Technologies AG 
Zurich 
Switzerland 
100.00 
Klüber Lubrication AG (Schweiz) 
Zurich 
Switzerland 
100.00 
SurTec Cacak d.o.o. 
Čačak 
Serbia 
100.00 
Chem-Trend Singapore Pte. Ltd. 
Singapore 
Singapore 
100.00 
EagleBurgmann KE Pte. Ltd. 
Singapore 
Singapore 
75.00 
EagleBurgmann Singapore Pte. Ltd. 
Singapore 
Singapore 
25.00 
EBI Asia Pacific Pte. Ltd. 
Singapore 
Singapore 
25.00 
EBI Asia Pte. Ltd. 
Singapore 
Singapore 
50.00 
Freudenberg Oil & Gas Pte. Ltd. 
Singapore 
Singapore 
100.00 
Klüber Lubrication South East Asia Pte. Ltd. 
Singapore 
Singapore 
100.00 
Freudenberg Filtration Technologies Slovensko, s.r.o. 
Potvorice 
Slovakia 
100.00 
Freudenberg Immobilienmanagement Slovakia, s.r.o 
Potvorice 
Slovakia 
100.00 
Klüber Lubrication Slovensko s.r.o. 
Vráble 
Slovakia 
100.00 
Low & Bonar Slovakia a.s. 
Ivanka pri Nitre 
Slovakia 
100.00 
SurTec SK s.r.o. 
Vráble 
Slovakia 
100.00 
FILC tovarna filca d.o.o. 
Škofja Loka 
Slovenia 
100.00 
Freudenberg Gospodinjski Proizvodi d.o.o. 
Limbuš 
Slovenia 
100.00 
SurTec Adria d.o.o. 
Ljubljana 
Slovenia 
100.00 
EagleBurgmann Ibérica S.A. 
Villaviciosa de Odón 
Spain 
75.00 
Freudenberg Espana S.A. 
Parets del Vallès 
Spain 
100.00 
Freudenberg Espana S.A., Telas sin Tejer, S.en C. 
Parets del Vallès 
Spain 
100.00 
Freudenberg Home and Cleaning Solutions Iberica, S.L.U. 
Parets del Vallès 
Spain 
100.00 
Freudenberg Sealing Technologies, S.L.U. 
Parets del Vallès 
Spain 
100.00 
Klüber Lubrication GmbH Ibérica S.en C. 
Parets del Vallès 
Spain 
100.00 
Vibracoustic Cascante S.A.U. 
Cascante 
Spain 
100.00 
Vibracoustic Spain Holding S.L.U. 
Martorell 
Spain 
100.00 
Vibracoustic Spain S.A.U. 
Martorell 
Spain 
100.00 
Freudenberg Apparel Lanka (Pvt) Ltd. 
Colombo 
Sri Lanka 
87.50 
EagleBurgmann Seals South Africa (Pty) Ltd. 
Modderfontein/ 
Johannesburg 
South Africa 
55.50 
Freudenberg Filtration Technologies (Pty) Ltd. 
Cape Town 
South Africa 
100.00 
Freudenberg Nonwovens (Pty.) Ltd. 
Cape Town 
South Africa 
100.00 
Klüber Lubrication (Pty.) Ltd. 
Alrode Alberton 
South Africa 
100.00 
SurTec South Africa Pty. Ltd. 
Alrode Alberton 
South Africa 
100.00

194 
 
Company 
Location 
Country/Region 
Share of 
capital [%] 
Vibracoustic-Ikhwezi (Pty) Ltd. 
East London 
South Africa 
70.00 
Chem-Trend Korea Ltd. 
Anseong-si 
South Korea 
100.00 
EagleBurgmann Korea Co., Ltd. 
Osan 
South Korea 
25.00 
Freudenberg Vilene Filtration Technologies Korea Co., Ltd. 
Pyeongtaek-si 
South Korea 
87.50 
Korea Vilene Co., Ltd. 
Pyeongtaek-si 
South Korea 
87.50 
EagleBurgmann Taiwan Co., Ltd. 
Kaohsiung 
Taiwan 
25.00 
Freudenberg & Vilene Nonwovens (Taiwan) Co. Ltd. 
Taoyuan 
Taiwan 
87.50 
Freudenberg Far Eastern Spunweb Comp. Ltd. 
Taoyuan 
Taiwan 
67.69 
Chem-Trend Trading (Thailand) Co. Ltd. 
Bangkok 
Thailand 
100.00 
EagleBurgmann (Thailand) Co., Ltd. 
Rayong 
Thailand 
25.00 
Freudenberg & Vilene Filter (Thailand) Co. Ltd. 
Chonburi 
Thailand 
87.50 
Jump Distributors (Thailand) Co Ltd 
Nonthaburi 
Thailand 
100.00 
Klüber Lubrication (Thailand) Co., Ltd. 
Bangkok 
Thailand 
100.00 
VIAM Manufacturing (Thailand) Co., Ltd. 
Prachin Buri 
Thailand 
75.00 
Vibracoustic (Thailand) Ltd. 
Sriracha 
Thailand 
100.00 
Accu-Tech s.r.o. 
Chrastava 
Czech Republic 
100.00 
Chem-Trend CZ s.r.o. 
Prague 
Czech Republic 
100.00 
EagleBurgmann Czech s.r.o. 
Prague 
Czech Republic 
75.00 
Freudenberg Home and Cleaning Solutions s.r.o. 
Prague 
Czech Republic 
100.00 
Freudenberg Sealing Technologies s.r.o. 
Opatovice nad 
Labem 
Czech Republic 
100.00 
Klüber Lubrication CZ, s.r.o. 
Prague 
Czech Republic 
100.00 
Mehler Texnologies s.r.o. 
Lomnice nad 
Popelkou 
Czech Republic 
100.00 
SurTec CR s.r.o. 
Prague 
Czech Republic 
100.00 
TPE správni s.r.o. 
Melnik 
Czech Republic 
100.00 
Vibracoustic CZ s.r.o. 
Melnik 
Czech Republic 
100.00 
Beltan Vibracoustic Titresim Elemanlari Sanayi ve Ticaret A.S. 
Bursa 
Türkiye 
100.00 
Eagle Burgmann Endüstriyel Sizdirmazlik Sanayi ve Ticaret Limited Şirketi 
Istanbul 
Türkiye 
75.00 
Freudenberg Household Products Evici Kullanim Araclari Sanayi ve Ticaret 
A.S. 
Istanbul 
Türkiye 
100.00 
Freudenberg Sealing Technologies Sanayi ve Ticaret A.S. 
Bursa 
Türkiye 
100.00 
Freudenberg Vilene Tela Sanayi ve Ticaret A.S. 
Istanbul 
Türkiye 
100.00 
Klüber Lubrication Yaglama Ürünleri Sanayi ve Ticaret A.S. 
Istanbul 
Türkiye 
100.00 
Mehler Texnologies Teknik Tekstil Ticaret Limited Sirketi 
Istanbul 
Türkiye 
100.00 
Vibracoustic Çerkezköy Oto Parçaları Dış Ticaret A.S. 
Çerkezköy 
Türkiye 
100.00 
Vibracoustic Çerkezköy Otomotiv Sanayi ve Ticaret A.S. 
Çerkezköy 
Türkiye 
100.00 
Vibracoustic CV Air Springs Otomotiv Sanayi ve Ticaret A.S. 
Gemlik 
Türkiye 
65.07 
Vibracoustic CVAS Turkey Trading Otomotiv A.S. 
Bursa 
Türkiye 
65.07 
EagleBurgmann Hungaria Kft. 
Budapest 
Hungary 
75.00 
Freudenberg Háztartási Cikkek Kereskedelmi BT 
Budapest 
Hungary 
100.00 
Freudenberg Sealing Technologies Kft. 
Kecskemét 
Hungary 
100.00 
Klüber Lubrication Hungaria Kft. 
Budapest 
Hungary 
100.00 
Vibracoustic CV Air Springs Magyarország Kft. 
Nyíregyháza 
Hungary 
65.07 
Capol LLC 
Wilmington 
USA 
100.00 
Chem-Trend Limited Partnership 
East Lansing 
USA 
100.00 
CTM Enterprises, Inc. 
Carson City 
USA 
100.00 
EagleBurgmann Industries Inc. 
Wilmington 
USA 
75.00 
EagleBurgmann Industries LP 
Wilmington 
USA 
75.00

Consolidated Financial Statements – Shareholdings 
 
195 
 
Company 
Location 
Country/Region 
Share of 
capital [%] 
Filters Now, LLC 
Wilmington 
USA 
100.00 
Freudenberg Battery Power Systems, LLC 
Wilmington 
USA 
50.10 
Freudenberg Filtration Technologies LP 
Wilmington 
USA 
100.00 
Freudenberg Fuel Cell e-Power Systems Inc. 
Wilmington 
USA 
100.00 
Freudenberg Household Products Inc. 
Wilmington 
USA 
100.00 
Freudenberg Household Products LP 
Wilmington 
USA 
100.00 
Freudenberg Medical, LLC 
Wilmington 
USA 
100.00 
Freudenberg North America Limited Partnership 
Wilmington 
USA 
100.00 
Freudenberg Oil & Gas, LLC 
Wilmington 
USA 
100.00 
Freudenberg Performance Materials LP 
Wilmington 
USA 
100.00 
Freudenberg Real Estate LP 
Wilmington 
USA 
100.00 
Freudenberg Texbond L.P. 
Peachtree Corners 
USA 
100.00 
Freudenberg-NOK General Partnership 
Wilmington 
USA 
75.00 
Freudenberg-NOK Holdings, Inc. 
Wilmington 
USA 
75.00 
Intpacor Inc. 
Wilmington 
USA 
100.00 
Klüber Lubrication NA LP 
Wilmington 
USA 
100.00 
Low & Bonar Inc. 
Wilmington 
USA 
100.00 
Mehler Texnologies Inc. 
Richmond 
USA 
100.00 
Pellon Corporation 
Carson City 
USA 
100.00 
PPA Holdings, Inc. 
Indianapolis 
USA 
100.00 
PPA Industries, Inc. 
Indianapolis 
USA 
100.00 
Precote USA LLC 
East Lansing 
USA 
100.00 
Protect Plus Holdings Corp. 
Indianapolis 
USA 
100.00 
SurTec, Inc. 
Upper Arlington 
USA 
100.00 
Tobul Accumulator Incorporated 
West Columbia 
USA 
100.00 
Traxit North America, LLC 
Wilmington 
USA 
100.00 
Upper Bristol Ramp, LLC 
Wilmington 
USA 
75.00 
VIAM Holding, Inc. 
Sacramento 
USA 
75.00 
VIAM Manufacturing, Inc. 
Nashville 
USA 
75.00 
Vibracoustic CV Air Springs USA, Inc. 
Wilmington 
USA 
65.07 
Vibracoustic North America Holdings, Inc. 
Wilmington 
USA 
100.00 
Vibracoustic North America LP 
Wilmington 
USA 
100.00 
Vibracoustic USA, Inc. 
East Lansing 
USA 
100.00 
VICAM Inc. 
Nashville 
USA 
75.00 
VITECH Manufacturing L.P. 
Wilmington 
USA 
75.00 
VITECH Manufacturing, Inc. 
Wilmington 
USA 
75.00 
Walflor Industries Inc. 
Tumwater 
USA 
100.00 
XALT Energy MI, LLC 
Wilmington 
USA 
50.10 
XALT Energy, LLC 
Wilmington 
USA 
50.10 
EagleBurgmann Gulf Mechanical LLC 
Abu Dhabi 
UAE 
29.40 
EagleBurgmann Middle East FZE 
Dubai 
UAE 
60.00 
Freudenberg Oil and Gas FZE 
Dubai 
UAE 
100.00 
Mehler Texnologies Middle East Trading L.L.C. 
Dubai 
UAE 
100.00 
Chem-Trend Vietnam Company Limited 
Ho Chi Minh City 
Vietnam 
100.00 
EagleBurgmann Vietnam Company Limited 
Ho Chi Minh City 
Vietnam 
25.00 
Freudenberg & Vilene International Vietnam Co. Ltd. 
Ho Chi Minh City 
Vietnam 
87.50 
SurTec Viet Nam Co., Ltd. 
Ho Chi Minh City 
Vietnam 
100.00

196 
 
Company 
Location 
Country/Region 
Share of 
capital [%] 
II. INVESTMENTS IN JOINT VENTURES (CONSOLIDATED BY EQUITY METHOD) 
Germany 
 
 
 
CPW GmbH 
Wuppertal 
Germany 
50.00 
 
 
 
 
Other countries 
 
 
 
Corfina s.r.l. 
Pinerolo 
Italy 
50.00 
NOK-Freudenberg Singapore Pte. Ltd.² 
Singapore 
Singapore 
50.00 
TTKKE Holdings, LLC 
Dover 
USA 
30.00 
 
 
 
 
III. INVESTMENTS IN ASSOCIATED COMPANIES (CONSOLIDATED BY EQUITY METHOD) 
Other countries 
 
 
 
Yihua Bonar Yarns & Fabric Co. Ltd. 
Yangzhou 
China 
60.00 
Hikotomi Industrial Co., Ltd. 
Hikone 
Japan 
24.98 
NOK Corporation 
Tokyo 
Japan 
25.10 
NOK Klüber Co., Ltd. 
Tokyo 
Japan 
49.00 
Shinwa Products Co., Ltd. 
Tsuzuranuki 
Japan 
34.09 
Klüber Lubrication Korea Ltd. 
Seoul 
South Korea 
48.00 
Dawson Manufacturing Company 
Plymouth 
USA 
45.00 
SurTec Middle East (L.L.C.) 
Sharjah 
UAE 
35.00 
EagleBurgmann Venezuela, C.A. 
Caracas 
Venezuela 
41.25 
 
 
 
 
 
 
 
 
¹ Application of Sec. 264 (3), HGB (Handelsgesetzbuch, “German Commercial Code”) and Sec. 264b, HGB 
² Consolidated financial statements including 
 
 
 
Changchun NOK-Freudenberg Oilseal Co., Ltd., Changchun, China 
 
 
 
Corteco China Co. Ltd., Shanghai, China 
 
 
 
Freudenberg-NOK Pvt. Ltd., Chennai, India 
 
 
 
NOK-Freudenberg Group Sales (China) Co., Ltd., Shanghai, China 
 
 
 
NOK-Freudenberg Group Trading (China) Co., Ltd., Shanghai, China 
 
 
 
NOK-Freudenberg Hong Kong Ltd., Hong Kong, Hong Kong 
 
 
 
PT NOK Freudenberg Sealing Technologies, Kota Batam, Indonesia 
 
 
 
Taicang NOK-Freudenberg Sealing Products Co., Ltd., Taicang, China 
 
 
 
Wuxi NOK-Freudenberg Oilseal Co., Ltd., Wuxi, China

197 
 
Consolidated Financial Statements – Shareholdings 
Independent Auditor’s Report
To Freudenberg SE, Weinheim 
Audit Opinions 
We have audited the consolidated financial state-
ments of Freudenberg SE, Weinheim, and its subsidi-
aries (the Group), which comprise the consolidated 
statement of financial position as at 31 December 
2022, and the consolidated statement of profit or 
loss, consolidated statement of comprehensive in-
come, consolidated statement of cash flows and con-
solidated statement of changes in equity for the fi-
nancial year from 1 January to 31 December 2022, 
and notes to the consolidated financial statements, 
including a summary of significant accounting poli-
cies. In addition, we have audited the group manage-
ment report of Freudenberg SE, which is combined 
with the Company’s management report, for the fi-
nancial year from 1 January to 31 December 2022. 
In our opinion, on the basis of the knowledge ob-
tained in the audit, 
• the accompanying consolidated financial state-
ments comply, in all material respects, with the 
IFRSs as adopted by the EU and the additional re-
quirements of German commercial law pursuant to 
§ [Article] 315e Abs. [paragraph] 1 HGB [Han-
delsgesetzbuch: German Commercial Code] and, in 
compliance with these requirements, give a true 
and fair view of the assets, liabilities, and financial 
position of the Group as at 31 December 2022, and 
of its financial performance for the financial year 
from 1 January to 31 December 2022, and 
• the accompanying group management report as a 
whole provides an appropriate view of the Group’s 
position. In all material respects, this group man-
agement report is consistent with the consolidated 
financial statements, complies with German legal 
requirements and appropriately presents the oppor-
tunities and risks of future development. 
Pursuant to § 322 Abs. 3 Satz [sentence] 1 HGB, we 
declare that our audit has not led to any reservations 
relating to the legal compliance of the consolidated fi-
nancial statements and of the group management re-
port. 
 
 
Basis for the Audit Opinions 
We conducted our audit of the consolidated financial 
statements and of the group management report in 
accordance with § 317 HGB in compliance with Ger-
man Generally Accepted Standards for Financial 
Statement Audits promulgated by the Institut der 
Wirtschaftsprüfer [Institute of Public Auditors in Ger-
many] (IDW). Our responsibilities under those re-
quirements and principles are further described in the 
“Auditor’s Responsibilities for the Audit of the Consoli-
dated Financial Statements and of the Group Man-
agement Report“ section of our auditor’s report. We 
are independent of the group entities in accordance 
with the requirements of German commercial and 
professional law, and we have fulfilled our other Ger-
man professional responsibilities in accordance with 
these requirements. We believe that the audit evi-
dence we have obtained is sufficient and appropriate 
to provide a basis for our audit opinions on the con-
solidated financial statements and on the group 
management report. 
Other Information 
The executive directors are responsible for the other 
information. 
The other information comprises the annual report – 
excluding cross-references to external information – 
with the exception of the audited consolidated finan-
cial statements, the audited group management re-
port and our auditor’s report. 
Our audit opinions on the consolidated financial 
statements and on the group management report do 
not cover the other information, and consequently we 
do not express an audit opinion or any other form of 
assurance conclusion thereon. 
In connection with our audit, our responsibility is to 
read the other information mentioned above and, in 
so doing, to consider whether the other information 
• is materially inconsistent with the consolidated fi-
nancial statements, with the group management 
report disclosures audited in terms of content or 
with our knowledge obtained in the audit, or 
• otherwise appears to be materially misstated. 
INDEPENDENT AUDITOR’S REPORT

198 
 
Responsibilities of the Executive Directors and the 
Supervisory Board for the Consolidated Financial 
Statements and the Group Management Report 
The executive directors are responsible for the prepa-
ration of the consolidated financial statements that 
comply, in all material respects, with IFRSs as adopted 
by the EU and the additional requirements of German 
commercial law pursuant to § 315e Abs. 1 HGB and 
that the consolidated financial statements, in compli-
ance with these requirements, give a true and fair 
view of the assets, liabilities, financial position, and fi-
nancial performance of the Group. In addition, the ex-
ecutive directors are responsible for such internal con-
trol as they have determined necessary to enable the 
preparation of consolidated financial statements that 
are free from material misstatement, whether due to 
fraud (i.e., fraudulent financial reporting and misap-
propriation of assets) or error. 
In preparing the consolidated financial statements, 
the executive directors are responsible for assessing 
the Group’s ability to continue as a going concern. 
They also have the responsibility for disclosing, as ap-
plicable, matters related to going concern. In addition, 
they are responsible for financial reporting based on 
the going concern basis of accounting unless there is 
an intention to liquidate the Group or to cease opera-
tions, or there is no realistic alternative but to do so. 
Furthermore, the executive directors are responsible 
for the preparation of the group management report 
that, as a whole, provides an appropriate view of the 
Group’s position and is, in all material respects, con-
sistent with the consolidated financial statements, 
complies with German legal requirements, and ap-
propriately presents the opportunities and risks of fu-
ture development. In addition, the executive directors 
are responsible for such arrangements and measures 
(systems) as they have considered necessary to ena-
ble the preparation of a group management report 
that is in accordance with the applicable German le-
gal requirements, and to be able to provide sufficient 
appropriate evidence for the assertions in the group 
management report. 
The supervisory board is responsible for overseeing 
the Group’s financial reporting process for the prepa-
ration of the consolidated financial statements and of 
the group management report. 
Auditor’s Responsibilities for the Audit of the Con-
solidated Financial Statements and of the Group 
Management Report 
Our objectives are to obtain reasonable assurance 
about whether the consolidated financial statements 
as a whole are free from material misstatement, 
whether due to fraud or error, and whether the group 
management report as a whole provides an appropri-
ate view of the Group’s position and, in all material re-
spects, is consistent with the consolidated financial 
statements and the knowledge obtained in the audit, 
complies with the German legal requirements and 
appropriately presents the opportunities and risks of 
future development, as well as to issue an auditor’s 
report that includes our audit opinions on the consoli-
dated financial statements and on the group man-
agement report. 
Reasonable assurance is a high level of assurance, but 
is not a guarantee that an audit conducted in accord-
ance with § 317 HGB and in compliance with German 
Generally Accepted Standards for Financial Statement 
Audits promulgated by the Institut der 
Wirtschaftsprüfer (IDW) will always detect a material 
misstatement. Misstatements can arise from fraud or 
error and are considered material if, individually or in 
the aggregate, they could reasonably be expected to 
influence the economic decisions of users taken on 
the basis of these consolidated financial statements 
and this group management report. 
We exercise professional judgment and maintain pro-
fessional skepticism throughout the audit. We also: 
• Identify and assess the risks of material misstate-
ment of the consolidated financial statements and 
of the group management report, whether due to 
fraud or error, design and perform audit procedures 
responsive to those risks, and obtain audit evidence 
that is sufficient and appropriate to provide a basis 
for our audit opinions. The risk of not detecting a 
material misstatement resulting from fraud is 
higher than for one resulting from error, as fraud 
may involve collusion, forgery, intentional omis-
sions, misrepresentations, or the override of inter-
nal controls. 
• Obtain an understanding of internal control rele-
vant to the audit of the consolidated financial state-
ments and of arrangements and measures

199 
 
Independent Auditor’s Report
(systems) relevant to the audit of the group man-
agement report in order to design audit procedures 
that are appropriate in the circumstances, but not 
for the purpose of expressing an audit opinion on 
the effectiveness of these systems. 
• Evaluate the appropriateness of accounting policies 
used by the executive directors and the reasonable-
ness of estimates made by the executive directors 
and related disclosures. 
• Conclude on the appropriateness of the executive 
directors’ use of the going concern basis of account-
ing and, based on the audit evidence obtained, 
whether a material uncertainty exists related to 
events or conditions that may cast significant doubt 
on the Group’s ability to continue as a going con-
cern. If we conclude that a material uncertainty ex-
ists, we are required to draw attention in the audi-
tor’s report to the related disclosures in the consoli-
dated financial statements and in the group man-
agement report or, if such disclosures are inade-
quate, to modify our respective audit opinions. Our 
conclusions are based on the audit evidence ob-
tained up to the date of our auditor’s report. How-
ever, future events or conditions may cause the 
Group to cease to be able to continue as a going 
concern. 
• Evaluate the overall presentation, structure and 
content of the consolidated financial statements, 
including the disclosures, and whether the consoli-
dated financial statements present the underlying 
transactions and events in a manner that the con-
solidated financial statements give a true and fair 
view of the assets, liabilities, financial position and 
financial performance of the Group in compliance 
with IFRSs as adopted by the EU and the additional 
requirements of German commercial law pursuant 
to § 315e Abs. 1 HGB. 
• Obtain sufficient appropriate audit evidence re-
garding the financial information of the entities or 
business activities within the Group to express au-
dit opinions on the consolidated financial state-
ments and on the group management report. We 
are responsible for the direction, supervision and 
performance of the group audit. We remain solely 
responsible for our audit opinions. 
• Evaluate the consistency of the group management 
report with the consolidated financial statements, 
its conformity with German law, and the view of 
the Group’s position it provides. 
• Perform audit procedures on the prospective infor-
mation presented by the executive directors in the 
group management report. On the basis of suffi-
cient appropriate audit evidence we evaluate, in 
particular, the significant assumptions used by the 
executive directors as a basis for the prospective in-
formation, and evaluate the proper derivation of 
the prospective information from these assump-
tions. We do not express a separate audit opinion 
on the prospective information and on the assump-
tions used as a basis. There is a substantial unavoid-
able risk that future events will differ materially 
from the prospective information. 
We communicate with those charged with govern-
ance regarding, among other matters, the planned 
scope and timing of the audit and significant audit 
findings, including any significant deficiencies in in-
ternal control that we identify during our audit. 
Frankfurt am Main, 14 March 2023 
PricewaterhouseCoopers GmbH 
Wirtschaftsprüfungsgesellschaft 
 
 
 
 
Dr. Peter Bartels  
        Michael Conrad 
 
Wirtschaftsprüfer 
        Wirtschaftsprüfer 
 
[German Public Auditor]         [German Public Auditor]

200

EDITORIAL INFORMATION:
Freudenberg Group
Hoehnerweg 2 – 4
69469 Weinheim, Germany
 
PUBLISHED BY:
Freudenberg & Co. Kommanditgesellschaft
Corporate Communications
Phone: +49 6201 80 0
corporate.communications@freudenberg.com
www.freudenberg.com
 
March 2023
Item No. FRE1060EN
PROJECT TEAM:
Corporate Communications:
Michael Scheuer (Lead)
Andreas Baldauf
Angela Gerhardt
Katrin Jacobi
 
Corporate Controlling  
and Accounting:
Dr. Jan Haaß (Lead)
Simon Beßler
Claudia Böttner
Katrin Fanenbruck
Tobias Feldrappe
Edith Hans
Philip Hasselmann
Anja Killian
Dr. Frank Multerer
Frank Raetzer
Johannes Teschke
Define Yalcinkaya
PHOTOS:
Agnormark – stock.adobe.com (p. 87)
anjali04 – stock.adobe.com (p. 92)
BalanceFormCreative/shutterstock (p. 113)
baona/istock (p. 77)
Blue Planet Studio – stock.adobe.com (p. 88)
r.classen/shutterstock (title) 
everything possible/shutterstock (p. 86, 87)
Rise Feng (p. 98)
fizkes – stock.adobe.com (p. 123)
Freudenberg-Gruppe (p. 82)
Jeanette Virginia Goh/shutterstock (p. 118)
Gorodenkoff – stock.adobe.com (p. 78)
Tomomi Hirose (p. 50)
Martin Joppen (p. 2, 3, 6, 8)
kmiragaya – stock.adobe.com (p. 115)
Fritz Kopetzky (p. 32)
Luciano – stock.adobe.com (p. 102)
Marco Moog Photography (p. 2: 1st row, 3rd from left)
María Márquez Maldonado (p. 41)
Marissa Martinez in HR EBUS (p. 119)
DESIGN:
GreenwoodFinch 
Corporate Communications, Elmstein, Germany
 
PRODUCTION:
ABT Print und Medien GmbH, Weinheim, Germany
maru54 – stock.adobe.com (p. 126)
Milano Medien (p. 99)
Yoko Morita (p. 96)
NDABCREATIVITY– stock.adobe.com (p. 104)
Ngampol – stock.adobe.com (p. 125)
Kyle Pearce (p. 44)
Andreas Pohlmann (p. 55)
PRASANNAPIX – stock.adobe.com (p. 83)
Privat: (p. 2: 1st row, 4th from left)
RWE (p. 97)
scharfsinn86 – stock.adobe.com (p. 91)
Gerald Schilling (p. 38, 58, 79, 85)
Marco Schilling (p. 21)
Alexander Sejoro (p. 36)
Song_about_summer – stock.adobe.com (p. 122)
Supamotionstock/shutterstock (p. 84)
Thirawatana – stock.adobe.com (p. 112)
Dave Trott with Blue Sky Photography, Inc (p. 35)
Ukranian Friends Foundation (p. 120)
Johannes Vogt (p. 47, 52, 100, 101)
To improve the readability of this Annual
Report, the language forms male, female,
diverse (m/f/d) are not used simultaneously.
All references to persons apply equally to all
genders.
Registered trademarks are omitted in the Annual
Report, also to improve readability.