Sensata(US:ST)2026-02-19 21:11Revenue Performance - Revenue for Q4 2025 was $917.9 million, an increase of $10.2 million, or 1.1%, compared to $907.7 million in Q4 2024[7] - Organic revenue growth for Q4 2025 was 3.5%, reflecting previously disclosed divestitures and product lifecycle management actions[7] - Full year 2025 revenue was $3,704.5 million, a decrease of $228.3 million, or 5.8%, compared to $3,932.8 million in 2024[12] - Net revenue for Q4 2025 was $917.9 million, a slight increase from $907.7 million in Q4 2024, while full-year revenue decreased to $3,704.5 million from $3,932.8 million[37] - Automotive segment revenue for Q4 2025 was $527.0 million, down from $534.5 million in Q4 2024, with full-year revenue at $2,111.7 million compared to $2,195.5 million[43] - The industrials segment reported revenue of $191.5 million in Q4 2025, up from $181.1 million in Q4 2024, with full-year revenue increasing to $787.8 million from $749.2 million[43] Operating Income and Earnings - Operating income for Q4 2025 was $100.1 million, or 10.9% of revenue, an increase of $26.4 million compared to $73.8 million, or 8.1% of revenue, in Q4 2024[7] - Full year 2025 operating income was $237.5 million, or 6.4% of revenue, an increase of $88.2 million, or 59.1%, compared to $149.3 million, or 3.8% of revenue, in 2024[12] - Adjusted earnings per share for Q4 2025 was $0.88, an increase of $0.14, or 18.9%, compared to $0.74 in Q4 2024[12] - The net income for Q4 2025 was $63.2 million, significantly up from $5.8 million in Q4 2024, while full-year net income decreased to $31.3 million from $128.5 million[37] - Adjusted (non-GAAP) operating income for the same period was $179.7 million, reflecting a 19.6% operating margin[46] Cash Flow and Shareholder Returns - Free cash flow for Q4 2025 was $151.8 million, representing a conversion rate of 117%[12] - Sensata returned approximately $191.0 million to shareholders in 2025, including $70.4 million through dividends and $120.6 million in share repurchases[16] - Free cash flow for the three months ended December 31, 2025, increased by 9.3% to $151.8 million compared to $138.9 million in the same period of 2024[52] Balance Sheet and Assets - Cash and cash equivalents at the end of 2025 were $573.0 million, down from $593.7 million at the end of 2024[41] - Total assets decreased to $6,751.7 million in 2025 from $7,143.3 million in 2024, while total liabilities also decreased to $3,966.3 million from $4,252.8 million[39] - The company reported a goodwill impairment charge of $225.7 million for the full year 2025, compared to $150.1 million in 2024[37] Future Outlook - For Q1 2026, Sensata expects revenue of $917 to $937 million and adjusted EPS of $0.81 to $0.85[14] - The company anticipates continued growth in operating income and free cash flow for the upcoming quarter ending March 31, 2026[56] - GAAP operating income ranged from $145.0 million to $149.5 million, with net income between $88.0 million and $91.8 million[57] - Non-GAAP operating income is projected to be between $168.0 million and $174.0 million, with net income expected to be between $118.0 million and $124.0 million[57] - Earnings per share (EPS) is estimated to be between $0.81 and $0.85 on a non-GAAP basis[57] Research and Development - The company plans to continue focusing on research and development, with R&D expenses of $31.4 million in Q4 2025, down from $36.0 million in Q4 2024[37]