UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington D.C. 20549 ________________ FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____________ to ____________ Commission file number 001-15827 VISTEON CORPORATION Large accelerated filer ü Accelerated filer ☐ Non-accele ...

Financial Data and Key Metrics Changes - The company reported Q2 sales of $848 million, a 42% year-over-year increase when excluding currency impact, marking the highest quarterly sales since 2015 [5][34] - Adjusted EBITDA was $79 million, representing 9.3% of sales, an increase of $49 million compared to the prior year due to higher production volumes and strong operational discipline [5][40] - Adjusted free cash flow for Q2 was a use of $62 million, driven by disruptions in semiconductor supply that increased working capital [6][44] Business Line Data and Key Metrics Changes - The company launched 11 new products in Q2, totaling 27 for the first half of the year, which positions it well for continued sales outperformance [6][17] - Strong demand for digital products such as clusters, infotainment, and cockpit domain controllers contributed to overall sales growth [13][16] Market Data and Key Metrics Changes - Sales growth was strongest in the Americas, with high teens growth in Europe, while Asia saw a 2% increase despite an 11% decline in vehicle production [15][16] - The company outperformed vehicle production by a significant margin, achieving a total growth-over-market of 36% in Q2 [38] Company Strategy and Development Direction - The company is focused on leading the transformation to integrated cockpit domain controllers, with over $2 billion in new business won in Q2, bringing the year-to-date total to approximately $3.1 billion [7][22] - The shift to electric vehicles is accelerating the development of new vehicle platforms, and the company is well-positioned to meet these demands with its SmartCore technology [26][29] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about achieving full-year targets for sales, adjusted EBITDA, and adjusted free cash flow despite ongoing semiconductor shortages [31][49] - The reopening of Shanghai is expected to alleviate supply chain bottlenecks, and the company anticipates semiconductor supply to modestly improve in the second half of the year [30][31] Other Important Information - The company ended Q2 with total cash of $325 million and a net debt position of $24 million, maintaining a low net leverage ratio of 0.1 times [37][42] - The company has extended its debt maturity profile to 2027, enhancing its financial flexibility [43] Q&A Session Summary Question: Expectations for second half costs and recoveries - Management confirmed strong recoveries are expected in the second half, with lower open market purchases anticipated due to improved supply [54][56] Question: Revenue outlook in the second half - Management expects modest growth in sales versus H1, driven by improved production but tempered by lower recoveries from open market purchases and negative FX impacts [60][62] Question: Impact of chip inventory improvements - Management noted improvements in supply for certain chips but emphasized the ongoing need for redesigns to mitigate shortages [67][69] Question: Margin expectations for the second half - Management indicated that the first half's EBITDA margin of 9% is a good proxy for future performance, with expectations for slight improvements in the second half [88][92]

Visteon Q2 2022 Earnings July 28, 2022 Visteon Q2 2022 In Review ($62) Million Visteon® Net Sales Adjusted EBITDA Adjusted FCF $848 Million 42% Y/Y Growth(1) $79 Million 9.3% Margin $325 Million Total Cash STRONG PRODUCT PORTFOLIO CONTINUES TO DRIVE GROWTH | --- | --- | --- | --- | --- | |-------------------------------------|--------------------------|----------------------------------------|---------------------------------------------|-----------------------------------------| | | | | | | | 13 consecutiv ...

[Part I - Financial Information](index=3&type=section&id=Part%20I%20-%20Financial%20Information) [Condensed Consolidated Financial Statements](index=3&type=section&id=Item%201%20-%20Condensed%20Consolidated%20Financial%20Statements) The company achieved significant net sales growth and profitability in Q2 and H1 2022, with negative operating cash flow from working capital [Condensed Consolidated Statements of Comprehensive Income (Loss)](index=3&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)%20(Unaudited)) Visteon reported a significant increase in net sales and a return to profitability for Q2 and H1 2022, driven by strong sales growth Condensed Consolidated Statements of Comprehensive Income (Loss) (in millions) | | Three Months Ended June 30, | Six Months Ended June 30, | | :--- | :--- | :--- | | | **2022** | **2021** | **2022** | **2021** | | **Net sales** | $848 | $610 | $1,666 | $1,356 | | **Gross margin** | $74 | $35 | $150 | $108 | | **Net income (loss) attributable to Visteon** | $24 | $(11) | $46 | $5 | | **Diluted earnings (loss) per share** | $0.85 | $(0.39) | $1.61 | $0.18 | [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets%20(Unaudited)) Total assets slightly decreased to **$2,146 million** as of June 30, 2022, while total equity modestly increased to **$626 million** Balance Sheet Highlights (in millions) | | June 30, 2022 | December 31, 2021 | | :--- | :--- | :--- | | **Total current assets** | $1,399 | $1,424 | | **Total assets** | $2,146 | $2,234 | | **Total current liabilities** | $801 | $852 | | **Total liabilities** | $1,520 | $1,618 | | **Total equity** | $626 | $616 | [Condensed Consolidated Statements of Cash Flows](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows%20(Unaudited)) Operating activities resulted in a **$72 million** net cash outflow for H1 2022, primarily due to increased working capital needs Six Months Ended June 30, Cash Flow Summary (in millions) | | 2022 | 2021 | | :--- | :--- | :--- | | **Net cash (used by) provided from operating activities** | $(72) | $1 | | **Net cash used by investing activities** | $(31) | $(31) | | **Net cash (used by) provided from financing activities** | $(4) | $6 | | **Net decrease in cash, equivalents, and restricted cash** | $(130) | $(30) | [Notes to Condensed Consolidated Financial Statements](index=7&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements%20(Unaudited)) Notes detail accounting policies, investments, restructuring, and financial instruments, including Russia operations suspension and segment reporting for Electronics - The company suspended operations in Russia, resulting in a **$2 million** non-cash impairment charge on property and equipment and a **$2 million** charge to reduce inventory to its net realizable value[35](index=35&type=chunk)[36](index=36&type=chunk) - The company's single reportable segment is **Electronics**, which includes products like instrument clusters, information displays, and infotainment systems[94](index=94&type=chunk) Product Line Net Sales (in millions) | Product Lines | Six Months Ended June 30, 2022 | Six Months Ended June 30, 2021 | | :--- | :--- | :--- | | Instrument clusters | $805 | $649 | | Information displays | $254 | $215 | | Infotainment | $216 | $195 | | Cockpit domain controller | $183 | $89 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=26&type=section&id=Item%202%20-%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes strong Q2 and H1 2022 performance to higher sales and customer recoveries, maintaining liquidity despite supply chain challenges - Strategic priorities include technology innovation in cockpit electronics, securing long-term growth through new business wins, and enhancing shareholder returns while maintaining a strong balance sheet[103](index=103&type=chunk) - Q2 2022 net sales increased by **$238 million** YoY, driven by a **$137 million** increase from volume and new business, and **$122 million** from favorable customer pricing related to supply chain cost recoveries[108](index=108&type=chunk) - Adjusted EBITDA for Q2 2022 was **$79 million**, a **$49 million** increase from Q2 2021, primarily due to higher sales volumes and customer recoveries[117](index=117&type=chunk) [Results of Operations - Three Months Ended June 30, 2022 and 2021](index=28&type=section&id=Results%20of%20Operations%20-%20Three%20Months%20Ended%20June%2030%2C%202022%20and%202021) Q2 2022 net sales increased to **$848 million**, driving gross margin improvement and a return to **$24 million** net income from a prior-year loss Q2 2022 vs. Q2 2021 Results (in millions) | | 2022 | 2021 | Change | | :--- | :--- | :--- | :--- | | **Net sales** | $848 | $610 | $238 | | **Gross margin** | $74 | $35 | $39 | | **Net income (loss) attributable to Visteon** | $24 | $(11) | $35 | | **Adjusted EBITDA** | $79 | $30 | $49 | [Results of Operations - Six Months Ended June 30, 2022 and 2021](index=30&type=section&id=Results%20of%20Operations%20-%20Six%20Months%20Ended%20June%2030%2C%202022%20and%202021) H1 2022 net sales increased by **$310 million** to **$1,666 million**, leading to significant growth in gross margin and net income H1 2022 vs. H1 2021 Results (in millions) | | 2022 | 2021 | Change | | :--- | :--- | :--- | :--- | | **Net sales** | $1,666 | $1,356 | $310 | | **Gross margin** | $150 | $108 | $42 | | **Net income (loss) attributable to Visteon** | $46 | $5 | $41 | | **Adjusted EBITDA** | $150 | $94 | $56 | [Liquidity and Capital Resources](index=32&type=section&id=Liquidity) The company maintains sufficient liquidity through **$325 million** cash and **$400 million** credit facility, despite H1 2022 operating cash outflows - As of June 30, 2022, the company had cash and equivalents of **$325 million** and availability of **$400 million** under its revolving credit facility and **$187 million** under affiliate working capital lines[140](index=140&type=chunk)[141](index=141&type=chunk) - A significant portion of cash (**$273 million**) is located outside the U.S., with **$45 million** considered permanently reinvested[141](index=141&type=chunk) - The company used **$72 million** of cash from operating activities in H1 2022, primarily due to an **$88 million** increase in working capital outflows compared to the prior year[146](index=146&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=35&type=section&id=Item%203%20-%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) Visteon manages market risks from currency, interest rates, and commodities using derivative instruments, with a **$5 million** potential loss from a 10% adverse currency change - The company's primary market risks are foreign currency exchange rates, interest rates, and commodity prices[156](index=156&type=chunk) - Derivative instruments are used for hedging, not speculation; primary hedged currency exposures include EUR, CNY, BRL, INR, and BGN[156](index=156&type=chunk)[157](index=157&type=chunk) - A hypothetical **10%** adverse change in quoted currency exchange rates would result in a pre-tax loss of **$5 million** in the fair value of currency derivative financial instruments as of June 30, 2022[159](index=159&type=chunk) [Controls and Procedures](index=36&type=section&id=Item%204%20-%20Controls%20and%20Procedures) Management concluded disclosure controls and procedures were effective as of June 30, 2022, with no material changes to internal control over financial reporting - Management, including the CEO and CFO, concluded that the Company's disclosure controls and procedures were effective as of June 30, 2022[163](index=163&type=chunk) - No changes occurred in the Company's internal control over financial reporting during Q2 2022 that have materially affected, or are reasonably likely to materially affect, these controls[164](index=164&type=chunk) [Part II - Other Information](index=37&type=section&id=Part%20II%20-%20Other%20Information) [Legal Proceedings](index=37&type=section&id=Item%201%20-%20Legal%20Proceedings) Ongoing legal matters include a **$28 million** lawsuit, a pending OFAC review regarding Iran sales, and **$9 million** accrued for Brazilian claims - The company is involved in litigation with the Charter Township of Van Buren, Michigan, claiming damages of **$28 million** related to alleged shortfalls on bonds for the company's headquarters[82](index=82&type=chunk)[83](index=83&type=chunk) - The U.S. Treasury's Office of Foreign Assets Control (OFAC) is reviewing a voluntary self-disclosure regarding **$12 million** in sales by a former Chinese joint venture into Iran, with potential loss not estimable[84](index=84&type=chunk) - The company has accrued **$9 million** for various legal claims in Brazil, which total an aggregate of **$56 million**[85](index=85&type=chunk) [Risk Factors](index=37&type=section&id=Item%201A%20-%20Risk%20Factors) Significant macroeconomic uncertainty, exacerbated by geopolitical events and COVID, is increasing costs and supply chain challenges, potentially impacting operations - The company is operating in a period of significant macro-economic uncertainty, including supply-chain disruptions, COVID-related lockdowns, and increasing inflationary pressures[169](index=169&type=chunk) - The conflict in Ukraine and COVID lockdowns in China are exacerbating component cost increases, supply chain challenges, and volatility with customer production schedules[169](index=169&type=chunk) - Negative impacts may lead to increased costs for raw materials, transportation, and energy, and commercial negotiations with customers may not fully offset these higher costs[171](index=171&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=37&type=section&id=Item%202%20-%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No purchases of the company's common stock were made by or on behalf of the company or any affiliated purchaser during Q1 2022 - There were no purchases of the Company's common stock made by or on behalf of the Company during the first quarter of 2022[173](index=173&type=chunk) [Exhibits](index=37&type=section&id=Item%206%20-%20Exhibits) Exhibits, including CEO/CFO certifications and XBRL data files, are filed with the report or incorporated by reference as listed in the Exhibit Index - The exhibits listed in the Exhibit Index are filed with the report, including CEO/CFO certifications and XBRL Interactive Data Files[174](index=174&type=chunk)[177](index=177&type=chunk)

Visteon Corp. (NASDAQ:VC) Q1 2022 Earnings Conference Call April 28, 2022 9:00 AM ET Company Participants Kristopher Doyle - Director, IR and FP&A Sachin Lawande - President, CEO & Director Jerome Rouquet - SVP & CFO Conference Call Participants Mark Delaney - Goldman Sachs Group James Picariello - BNP Paribas Exane Michael Filatov - Berenberg Emmanuel Rosner - Deutsche Bank Joseph Spak - RBC Capital Markets David Kelley - Jefferies Colin Langan - Wells Fargo Securities Kristopher Doyle Good morning. I'm Kr ...

Visteon Q1 2022 Earnings April 28, 2022 Visteon Q1 2022 In Review ($37) Million Net Sales $818 Million 11% Y/Y Growth(1) Adjusted EBITDA $71 Million 8.7% Margin Adjusted FCF $405 Million Total Cash STRONG PRODUCT PORTFOLIO CONTINUED TO DRIVE GROWTH | --- | --- | --- | --- | --- | |-----------------------------------------|----------------------------|------------------------------------------|--------------------------------------------|--------------------------------------------------| | | | | | | | ~22% ...

Financial Performance - Net sales for Q1 2022 were $818 million, an increase of 9.6% compared to $746 million in Q1 2021[10] - Gross margin improved to $76 million in Q1 2022, up from $73 million in Q1 2021, reflecting a gross margin percentage increase[10] - Net income attributable to Visteon Corporation was $22 million in Q1 2022, compared to $16 million in Q1 2021, representing a 37.5% increase[10] - Basic earnings per share attributable to Visteon Corporation rose to $0.79 in Q1 2022 from $0.57 in Q1 2021, marking a 38.6% increase[10] - Adjusted EBITDA for the three months ended March 31, 2022, was $71 million, an increase from $64 million in the same period of 2021[95] - The Company recorded a net income of $22 million for the three months ended March 31, 2022, compared to $16 million in the same period of 2021, resulting in a basic earnings per share of $0.79, up from $0.57[63] Assets and Liabilities - Total assets as of March 31, 2022, were $2,243 million, slightly up from $2,234 million as of December 31, 2021[12] - Cash and equivalents decreased to $402 million as of March 31, 2022, down from $452 million at the end of 2021[12] - Total liabilities remained stable at $1,601 million as of March 31, 2022, compared to $1,618 million as of December 31, 2021[12] - The Company has $349 million in term debt facility and no short-term borrowings as of March 31, 2022[43][44] - The Company has $176 million in other current assets as of March 31, 2022, an increase from $158 million as of December 31, 2021[38] Cash Flow and Investments - The Company reported a net cash used by operating activities of $21 million in Q1 2022, compared to a net cash provided of $11 million in Q1 2021[14] - The Company expects to receive cash reimbursement payments of $27 million during the remainder of 2022 related to contractually reimbursable engineering costs[40] - The Company has contributed approximately $10 million toward a total commitment of $15 million in equity investments in automotive sector funds as of March 31, 2022[29] - Cash contributions to the Company's non-U.S. defined benefit plans were $1 million in Q1 2022, with an estimated total of $4 million for the entire year[52] Inventory and Restructuring - As of March 31, 2022, the Company's total inventories increased to $331 million from $262 million as of December 31, 2021[36] - As of March 31, 2022, the Company's restructuring reserves decreased to $16 million from $18 million as of December 31, 2021[33] - The Company recorded $1 million of restructuring expense primarily related to employee severance due to the suspension of operations in Russia[36] Market and Economic Conditions - The Company is currently facing significant macro-economic uncertainty, including supply chain disruptions and inflationary pressures, which may negatively impact business operations[153] - The conflict in Ukraine has exacerbated the volatility in prices of commodities and components, affecting the company's cost structure[154] - The company is negotiating with customers regarding cost increases due to rising raw material and transportation costs, but success is uncertain[155] - The automotive mobility market is expected to grow faster than underlying vehicle production volumes as vehicles transition to digital and electric technologies[99] Risk Management - The company is exposed to market risks from changes in currency exchange rates, interest rates, and commodity prices, managed through fixed price contracts and derivative instruments[140] - The company utilizes a strategy of partial coverage for foreign currency exposures, primarily in euros, Chinese renminbi, and Brazilian real[141] - The hypothetical pre-tax gain or loss from a 10% change in currency exchange rates would be $30 million for currency derivative financial instruments as of March 31, 2022[143] Compliance and Controls - The company maintains effective disclosure controls and procedures as of March 31, 2022[147] - There were no changes in the company's internal control over financial reporting that materially affected its effectiveness during the three months ended March 31, 2022[148]

Visteon Corporation (NASDAQ:VC) Q4 2021 Earnings Conference Call February 17, 2022 9:00 AM ET Company Participants Kristopher Doyle - Vice President, Investor Relations and Treasurer Sachin Lawande - President and Chief Executive Officer Jerome Rouquet - Senior Vice President and Chief Financial Officer Conference Call Participants Joseph Spak - RBC Capital Markets Jason Stuhldreher - Barclays Capital David Kelley - Jefferies Aileen Smith - Bank of America Colin Langan - Wells Fargo Kristopher Doyle Good mo ...

Visteon Q4 and Full-Year 2021 Earnings February 17, 2022 Visteon Full-Year 2021 Summary | --- | --- | --- | |-------------------|----------------|-------------------------| | | | | | | | | | $2,773 Million | $228 Million | $22 Million | | 7% Y/Y Growth (1) | 8.2% Margin | $455 Million Total Cash | MARKET OUTPERFORMANCE DESPITE A CHALLENGING ENVIRONMENT BEST-IN-CLASS PRODUCT PORTFOLIO $5.1 billion in new business wins 9% GoM(2) vs. customer production CONTINUED MARKET OUTPERFORMANCE MAINTAINING STRONG LIQUID ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 Securities registered pursuant to Section 12(g) of the Act: Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ☑ No ☐ Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 o ...