Aptiv(US:APTV)2026-02-02 11:49Revenue Performance - Full year 2025 revenue reached $20.4 billion, an increase of 3% compared to the previous year[6] - Fourth quarter 2025 revenue was $5.2 billion, reflecting a 5% increase year-over-year, with adjusted growth of 3% after accounting for currency and commodity impacts[7] - Net sales for Q4 2025 reached $5,153 million, a 5% increase from $4,907 million in Q4 2024, while total net sales for the year were $20,398 million, up from $19,713 million in 2024[40] Income and Earnings - Full year 2025 adjusted net income was $1,726 million, or $7.82 per diluted share, representing a 7.4% increase in net income and a 24.9% increase in earnings per share compared to the prior year[12] - The company reported a U.S. GAAP net income margin of 0.8% for the full year 2025, significantly lower than the prior year's margin of 9.1%[12] - Net income attributable to Aptiv for Q4 2025 was $138 million, a decrease from $268 million in Q4 2024, while total net income for the year was $165 million, down from $1,787 million in 2024[40] Operating Income - The company reported a fourth quarter adjusted operating income of $607 million, with an adjusted operating income margin of 11.8%, down from 12.7% in the prior year[9] - Operating income for Q4 2025 was $425 million, down from $479 million in Q4 2024, with total operating income for the year at $1,184 million compared to $1,842 million in 2024[40] - Total Adjusted Operating Income for the year ended December 31, 2025, was $2,461 million, with a margin of 12.1%, compared to $2,366 million and 12.0% in 2024[47] Cash Flow and Liquidity - The company generated cash from operations totaling $2,185 million for the full year 2025, compared to $2,446 million in the prior year[17] - Cash and cash equivalents increased to $1,851 million as of December 31, 2025, up from $1,573 million in 2024[36] - Cash flow before financing for Q4 2025 was $665 million, compared to $1,637 million in Q4 2024, indicating a significant decline[58] Future Projections - For Q1 2026, the company expects net sales between $4,950 million and $5,150 million, with U.S. GAAP net income guidance of $130 million to $170 million[21] - Full year 2026 net sales are projected to be between $21,120 million and $21,820 million, with adjusted EBITDA expected to range from $3,385 million to $3,585 million[21] - Estimated adjusted EBITDA for Q1 2026 is projected to be $740 million, with a margin of 14.7%[59] Shareholder Actions - The company repurchased $300 million of senior notes and retired 22.8 million shares valued at $1.5 billion during 2025[19] - The weighted average number of diluted shares outstanding for Q4 2025 was 216.14 million, down from 235.46 million in Q4 2024[54] Impairments and Costs - The company experienced a goodwill impairment of $648 million in 2025, compared to no impairment in 2024[38] - The company incurred separation costs of $78 million in Q4 2025, compared to none in Q4 2024[49] Tax and Valuation - The company recognized a $294 million increase in valuation allowances for deferred tax assets due to changes in tax incentives[54]