Financial Performance - Net sales for Q4 2024 totaled $844 million, down 11% year-over-year, with a net income of $100 million and a net income margin of 11.8%[5]. - Full year 2024 net sales reached $3,475 million, a decrease of 11% from 2023, with adjusted EBITDA of $598 million and an adjusted EBITDA margin of 17.2%[5]. - Net income for the year ended December 31, 2024, increased to $282 million, compared to $261 million in 2023, resulting in earnings per share of $1.27[30][33]. - Net income for Q4 2024 was $100 million, up from $52 million in Q4 2023, resulting in a net income margin of 11.8% compared to 5.5% in the previous year[34]. - Adjusted EBITDA for Q4 2024 was $153 million, an increase from $145 million in Q4 2023, with an adjusted EBITDA margin of 18.1%, up from 15.3%[34]. - Full year 2025 outlook projects net income between $209 million and $254 million, with adjusted EBITDA expected to range from $545 million to $605 million[40]. Cash Flow and Liquidity - Adjusted free cash flow for 2024 was $358 million, enabling the company to repurchase $296 million of common shares, representing a 13% reduction in share count[4]. - Cash and cash equivalents at the end of Q4 2024 were $126 million, down from $260 million at the end of Q4 2023[33]. - The company reported a net cash provided by operating activities of $408 million for the year ended December 31, 2024, compared to $465 million in 2023[33]. - Adjusted free cash flow for 2025 is projected to be between $300 million and $390 million, with net cash provided by operating activities estimated at $357 million to $447 million[41]. Debt and Liabilities - As of December 31, 2024, total principal amount of debt outstanding was $1,493 million, down from $1,696 million in 2023, due to early debt repayments[18]. - Total liabilities decreased to $2,949 million as of December 31, 2024, from $3,262 million in 2023[32]. - Available liquidity as of December 31, 2024, was $725 million, including $125 million in cash and cash equivalents[17]. Future Projections - For 2025, the company projects net sales between $3.3 billion and $3.5 billion, with adjusted EBITDA expected to range from $545 million to $605 million[23]. - The 2025 outlook includes a forecast of flat to down 3% light vehicle industry production compared to 2024, and a commercial vehicle industry growth of 0% to 2%[26]. - The company anticipates a reported net sales change of -6% to 0% for 2025, with constant currency sales growth projected between -3% and 2%[39]. - Capital expenditures for 2025 are expected to be $94 million, impacting the net cash provided by operating activities[41]. - Stock compensation expense for 2025 is projected at $25 million, contributing to the adjusted EBITDA calculation[40]. - The company reported a foreign currency translation impact of -3% to -2% on net sales for 2025[39]. Investments and Strategic Initiatives - Research, development, and engineering investment is projected at 4.6% of sales in 2025, with over 50% allocated to zero-emission technologies[26]. - The company secured contracts for marine and back-up power with its largest turbocharger, set to start production in 2026, and entered a letter of intent with SinoTruk for e-powertrain systems by 2027[4]. - Garrett Motion is focusing on developing technology solutions for Zero Emission Vehicles, including fuel cell compressors and electric propulsion systems[28]. - The company plans to initiate a $50 million annual dividend and a new $250 million share repurchase program for 2025[4]. - The company repurchased $296 million of common stock during the year, reflecting a strategic move to enhance shareholder value[33]. Operational Metrics - Gross profit for the year ended December 31, 2024, was $705 million, down from $756 million in 2023, reflecting a gross margin of 20.2%[30]. - Total assets decreased to $2,276 million as of December 31, 2024, from $2,527 million in 2023[32]. - The company has five R&D centers and 13 manufacturing facilities, employing over 9,000 people globally[28]. - Constant currency sales for Q4 2024 showed a decline of 10%, while gasoline sales decreased by 8% and diesel sales decreased by 22%[37].

Financial Performance - Garrett Motion Inc. reported strong financial performance in 2024, with an adjusted EBITDA margin expansion of 90 basis points year-over-year to 17.2% and generated $358 million in adjusted free cash flow [4][6] - Net sales for Q4 2024 were $844 million, down 11% from Q4 2023, primarily due to lower diesel production volumes in Europe and soft gasoline demand in China and North America [6][7] - The company achieved a net income of $100 million in Q4 2024, compared to $52 million in Q4 2023, driven by lower interest and tax expenses [14][6] Cost and Profitability - Cost of goods sold for Q4 2024 was $662 million, down from $756 million in Q4 2023, attributed to lower sales volumes and higher productivity [8][9] - Gross profit for Q4 2024 was $182 million, with a gross profit percentage of 21.6%, an increase from 20.0% in Q4 2023 [9][6] - Selling, general and administrative expenses decreased to $62 million in Q4 2024 from $69 million in Q4 2023, due to lower professional services and legal fees [10] Shareholder Returns and Capital Allocation - In 2024, Garrett repurchased $296 million of common shares, equivalent to a 13% reduction in share count, and initiated a $50 million annual dividend [5][20] - A new $250 million share repurchase program was authorized for 2025, reflecting the company's commitment to returning value to shareholders [21] Liquidity and Debt Management - As of December 31, 2024, Garrett had $725 million in available liquidity, including $125 million in cash and cash equivalents [18] - Total principal amount of debt outstanding decreased to $1,493 million from $1,696 million as of December 31, 2023, due to early debt repayments [19] 2025 Outlook - For 2025, Garrett expects net sales between $3.3 billion and $3.5 billion, with a constant currency sales growth forecast of -3% to +2% [24][25] - The company anticipates adjusted EBITDA for 2025 to be in the range of $545 million to $605 million [49][50]

Company Overview - Garrett Motion Inc. is a leading provider of differentiated automotive technology with a 70-year history of innovation in the automotive sector and beyond [4] - The company specializes in turbocharging technology, which has led to significant reductions in engine size, fuel consumption, and CO2 emissions [4] - Garrett is actively developing technology solutions for Zero Emission Vehicles, including fuel cell compressors for hydrogen fuel cell vehicles and systems for battery electric vehicles [4] - The company operates five R&D centers, 13 manufacturing facilities, and employs over 9,000 people across more than 20 countries [4] Financial Results Announcement - Garrett Motion plans to release its fourth quarter financial results on February 20, 2025, prior to the market opening in the United States [1] - A conference call will be held on the same day at 8:30 am EDT / 2:30 pm CET to discuss the financial results [2] - The conference call will be available via webcast, and a slide presentation will accompany the call [3]

Core Viewpoint - Garrett Motion Inc. has successfully refinanced its existing debt, reducing interest expenses and extending the maturity profile of its loans, which reflects strong market demand and confidence in the company's financial health [1][2]. Financial Summary - The company refinanced a $692 million term loan and upsized its revolving credit facility from $600 million to $630 million [1]. - The new borrowings will bear interest at SOFR plus 225 basis points, a reduction of 50 basis points from previous rates [1]. - The new term loan will mature in 2032, extending the maturity by approximately four years, while the revolving credit facility will mature in 2030, extending by about two years [1]. Company Overview - Garrett Motion Inc. is a leader in differentiated automotive technology with a 70-year history in innovation across various sectors, including automotive and off-highway equipment [3]. - The company specializes in turbocharging technology, contributing to reduced engine size, fuel consumption, and CO2 emissions [3]. - Garrett is actively developing technology solutions for Zero Emission Vehicles, including fuel cell compressors and electric propulsion systems [3]. - The company operates five R&D centers and 13 manufacturing facilities, employing over 9,000 people in more than 20 countries [3].

Garrett Motion (GTX) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system ...

Investors in Garrett Motion Inc. (GTX) need to pay close attention to the stock based on moves in the options market lately. That is because the Jan 17, 2025 $3 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also m ...

ROLLE, Switzerland and PLYMOUTH, Mich., Dec. 05, 2024 (GLOBE NEWSWIRE) -- Garrett Motion Inc. (Nasdaq: GTX) ("Garrett" or the "Company"), a leading differentiated automotive technology provider, today announced the adoption of a long-term capital allocation framework, under which the Company will target returning 75% or more of its Adjusted Free Cash Flow to shareholders over time through a combination of share repurchases and a regular quarterly cash dividend. As part of this framework, the Company’s Board ...

Garrett Motion (GTX) came out with quarterly earnings of $0.24 per share, missing the Zacks Consensus Estimate of $0.30 per share. This compares to earnings of $0.23 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -20%. A quarter ago, it was expected that this maker of vehicle turbocharging and electric-boosting gear would post earnings of $0.24 per share when it actually produced earnings of $0.28, delivering a surprise of 16 ...

Third Quarter 2024 Financial Highlights Net sales totaled $826 million, down 14% on a reported and constant currency* basisNet income totaled $52 million; Net income margin of 6.3%Adjusted EBITDA* totaled $144 million; Adjusted EBITDA margin* of 17.4%Net cash provided by operating activities totaled $67 millionAdjusted free cash flow* totaled $71 million Third Quarter 2024 Business Highlights Won new marine and auxiliary power awards for our largest turbocharger with start of production in 2026Entered into ...

ROLLE, Switzerland and PLYMOUTH, Mich., Oct. 17, 2024 (GLOBE NEWSWIRE) -- Garrett Motion Inc. (NYSE: GTX) and China National Heavy Duty Truck Group Co., Ltd. (SinoTruk) signed a Letter of Intent (LoI) to enhance cooperation in advanced technologies for electric commercial vehicles, aiming to jointly develop leading next-generation E-powertrain for application in SinoTruk's product portfolio, with the aim of joining forces to start mass production of trucks equipped with this next gen E-powertrain by 2027. N ...