Financial Data and Key Metrics Changes - The company reported $800 million in bookings for Q1 and forecasts $5 billion in bookings for the full calendar year [11] - North America operations generated $2.2 billion in revenue during 2024, with $1.3 billion from U.S. operations and $900 million from Mexico operations [18] Business Line Data and Key Metrics Changes - The company achieved 23 new program launches in Q1, including 14 for battery electric vehicle platforms and 19 for new or conquest business [7] - Electric powered steering accounted for 36% of new business bookings, while columns accounted for 45% [11] Market Data and Key Metrics Changes - Nearly 40% of total bookings are from China OEMs, indicating alignment with growth megatrends in China [12] - The company is experiencing strong customer schedules in North America, with no significant changes related to recent tariff impacts [30] Company Strategy and Development Direction - The company is focusing on motion by wire technology, which is central to long-term growth and aligns with the shift from hydraulic to electric systems [22] - The strategy includes expanding into steer by wire and brake by wire technologies, with expectations for increased bookings in the China market [23] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about navigating the dynamic tariff environment and expects above-market revenue growth of 200 to 300 basis points year over year [20] - The company is closely monitoring tariff developments and their implications on North American production volume [21] Other Important Information - The company has successfully resecured an important column business with a North American customer, which had been lost to a competitor [10] - The company is actively working to mitigate tariff costs through changing sourcing locations and negotiating recoveries with customers [20] Q&A Session Summary Question: Updates on the latest trend in the North America market - Management noted that North America volumes are performing according to expectations, with strong customer schedules in the near term [26][28] Question: Changes in customer order trends due to new tariffs - Management indicated that customer production schedules remain strong and have not changed significantly due to the new tariffs [30] Question: Clarification on USMCA tariff compliance - Management confirmed that to be USMCA compliant, 75% of content must come from North America, and compliant goods can be imported with zero tariffs [32][33]
NEXTEER(01316) - 2025 Q1 - Earnings Call Transcript