Aptiv Q1 2025 Financial Summary

Aptiv reported mixed results for the first quarter of 2025, with record adjusted earnings per share and strong operating cash flow, but a GAAP net loss due to a significant tax valuation allowance.

Key results:

- Revenue was $4.83 billion, down 2 percent year-over-year.
- Net loss attributable to Aptiv was $11 million, or a loss of $0.05 per diluted share (compared to $218 million net income or $0.79 EPS last year).
- Adjusted net income was $390 million, or $1.69 per diluted share, up from $318 million or $1.16 in Q1 2024.
- GAAP operating income was $448 million; adjusted operating income rose to $572 million (margin of 11.9 percent, up from 11.1 percent).
- Adjusted EBITDA was $758 million, up from $720 million.
- Net operating cash flow was $273 million, up from $244 million.
- Capital expenditures were $197 million.

Segment performance:

- Electrical Distribution Systems revenue: $2.02 billion, down 3 percent; adjusted operating income up 5 percent to $143 million.
- Engineered Components Group revenue: $1.58 billion, down 1 percent; adjusted operating income up 8 percent to $274 million.
- Advanced Safety and User Experience revenue: flat at $1.42 billion; adjusted operating income flat at $155 million.

Special items:

- Tax expense was $356 million, driven by a $294 million increase in valuation allowances after OECD guidance affected Swiss tax benefits.
- Equity losses of $10 million related to Motional joint venture.
- Separation costs of $19 million for the planned spin-off of the Electrical Distribution Systems business.

Share repurchases:

- No repurchases in Q1, but 48.5 million shares were settled and retired under the ASR program at an average of $61.84 per share.
- $2.52 billion remains authorized for future buybacks.

Outlook:

- Q2 2025 revenue expected between $4.92 to $5.12 billion; adjusted EPS between $1.70 and $1.90.
- Full-year 2025 revenue expected between $19.6 to $20.4 billion; adjusted EPS between $7.00 and $7.60.
- Operating cash flow forecast for the year: $2.1 billion.
- Capital expenditures forecast: $880 million.