Aptiv Q3 Earnings and Revenues Beat Estimates, Rise Y/Y

Core Insights - Aptiv PLC reported strong third-quarter 2025 results with adjusted earnings of $2.17 per share, exceeding the Zacks Consensus Estimate by 20% and increasing 18.6% year over year. Revenues reached $5.21 billion, surpassing estimates by 3% and rising 7.4% year over year [1][8]. Financial Performance - Adjusted revenues improved by 6% year over year, with regional performance showing a 14% increase in North America, a 3% rise in South America, and a 4% increase in Asia, while Europe saw a decline of 3%. Revenues in China remained flat [1]. - The Electrical Distribution Systems and Engineered Components Group reported revenues of $2.29 billion and $1.71 billion, reflecting year-over-year increases of 12% and 8%, respectively. The Advanced Safety and User Experience segment's revenues grew by 1% to $1.44 billion [2]. - Adjusted operating income was $654 million, marking a 10.3% increase from the previous year, with an adjusted operating income margin of 12.55%, up 33 basis points year over year [2]. Cash Flow and Debt - At the end of the quarter, Aptiv had cash and cash equivalents of $1.6 billion, slightly up from $1.57 billion at the end of December 2024. Long-term debt decreased to $7.61 billion from $7.84 billion [3]. - The company generated $584 million in cash from operating activities during the quarter, totaling $1.37 billion for the nine months ended September 30, 2025, compared to $1.39 billion in the prior-year period [3]. Future Outlook - For Q4 2025, Aptiv anticipates revenues between $4.91 billion and $5.21 billion, with adjusted EPS expected between $1.6 and $1.9. The adjusted operating income margin is projected to be between 7.1% and 8.6% [4]. - For the full year 2025, revenues are expected to range from $20.15 billion to $20.45 billion, with adjusted EPS between $7.55 and $7.85. The adjusted operating income margin is forecasted to be between 11.9% and 12.2% [5].