Constellium completes FlexCAR project for modular vehicle design

PARIS - Aluminum solutions provider Constellium SE (NYSE:CSTM), currently valued at $2 billion and showing strong momentum with a 29% gain over the past six months, announced Tuesday the completion of the FlexCAR project, a five-year innovation initiative focused on modular vehicle architecture developed in collaboration with ARENA2036, Germany’s research campus for future mobility technologies. According to InvestingPro analysis, the company appears undervalued based on its Fair Value assessment.

The project, which involved partners including Mercedes-Benz, Siemens, Bosch, and the German Aerospace Center, aimed to create vehicle systems where major components such as drivetrain, energy storage, and interior can be easily configured or updated. With annual revenues of $7.4 billion and positive earnings expectations for this year, Constellium continues to strengthen its position in the automotive sector. InvestingPro subscribers can access 8 additional key insights about the company’s financial health and growth prospects.

Constellium’s contribution centered on developing a modular sill concept using aluminum extrusions made from its HSA6 high-strength aluminum alloys with recycled content. The structure was designed to support various powertrains, including battery electric and hydrogen fuel cell vehicles.

"FlexCAR shows how modular thinking—combined with the performance and sustainability benefits of aluminum—can revolutionize vehicle design, enabling longer lifespans, greater adaptability, and lower environmental impact," said Patrick Böhler, Director of Sales & Product Development for Constellium Automotive Structures, according to the press release.

The company also previously collaborated with ARENA2036 on the Digital Fingerprint project, completed in 2024, which developed a digital twin of an aluminum component that tracks performance across its lifecycle. This project included engineering a smart aluminum housing for a power control unit with embedded sensors for data collection in a Mercedes-Benz test vehicle.

ARENA2036 (Active Research Environment for the Next Generation of Automobiles) is a research campus in Stuttgart-Vaihingen, Germany, focused on mobility and production research. Constellium has been a contributing member since 2018. With analysts maintaining a strong buy consensus and projecting significant upside potential, the company’s innovative initiatives appear well-positioned to drive future growth. Discover detailed analysis and comprehensive insights in the Pro Research Report, available exclusively on InvestingPro.

In other recent news, Constellium SE reported impressive first-quarter results, exceeding market expectations. The company achieved an adjusted earnings per share of €0.26, significantly surpassing analyst estimates of €0.12. Revenue for the quarter reached €1.98 billion, beating the projected €1.79 billion, marking a 5% year-over-year increase to $2.0 billion. This growth was largely attributed to higher metal prices, although shipments declined by 2% to 372,000 metric tons. Net income rose to $38 million from $22 million in the previous year, and adjusted EBITDA increased to $186 million from $146 million, despite a $10 million negative impact from flooding at the Valais facility.

Additionally, Constellium held its Annual General Meeting, where shareholders approved key proposals, including the re-appointment of board members and the approval of financial statements. Bradley Soultz joined as a new director, while Emmanuel Blot, Martha Brooks, and Lori Walker were re-appointed. Shareholders also authorized the board to repurchase shares and potentially increase the company’s share capital. The re-appointment of PricewaterhouseCoopers Audit and the appointment of RSM France as Statutory Auditors were also confirmed. These developments underscore Constellium’s focus on governance and strategic growth.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.