Business
Garrett Motion Reports Strong Second Quarter 2023 Financial Results, Raises Full Year Outlook, and Planning Partial Debt Repayment
Second Quarter 2023 Highlights Net sales totaled $1,011 million, up 18% on a reported basis, up 19% at constant currency*Net income totaled $71 million; Net
About this update from Garrett Motion Inc.
[{"type":"text","content":"Second Quarter 2023 Highlights Net sales totaled $1,011 million, up 18% on a reported basis, up 19% at constant currency*Net income totaled $71 million; Net income margin 7.0%Adjusted EBITDA* totaled $170 million; Adjusted EBITDA margin* of 16.8%Net cash provided by operating activities totaled $164 millionAdjusted free cash flow* totaled $140 millionExpected Q3 early debt repayment for $200 millionRaising outlook for 2023 ROLLE, Switzerland, July 27, 2023 (GLOBE NEWSWIRE) -- Garrett Motion Inc. (Nasdaq: GTX), a leading differentiated automotive technology provider, today announced its financial results for the quarter and six months ended June 30, 2023. $ millions (unless otherwise noted) Q2 2023 Q2 2022 H1 2023 H1 2022Net sales 1,011 859 1,981 1,760Cost of goods sold 809 690 1,590 1,416Gross profit 202 169 391 344Gross profit % 20.0% 19.7% 19.7% 19.5%Selling, general and administrative expenses 63 54 119 107Income before taxes 101 105 209 230Net income 71 85 152 173Net income margin 7.0% 9.9% 7.7% 9.8%Adjusted EBITDA* 170 138 338 284Adjusted EBITDA margin* 16.8% 16.1% 17.1% 16.1%Net cash provided by operating activities 164 104 256 177Adjusted free cash flow* 140 23 228 61 * See reconciliations to the nearest GAAP measure in pages 5-12 “Garrett’s operational excellence has been the driving force behind our ability to successfully capitalize on the ramp-up of new products and strong customer demand across all major product lines. This has resulted in another quarter of great performance with strong results across all key financial metrics, and I am pleased to announce that we are raising our full year outlook for 2023,” said Olivier Rabiller, Garrett President and CEO. “Most importantly this quarter, we continued to make strong progress in the development of our zero emission vehicle technology. This quarter we won two new pre-development awards, one in E-Powertrain and one in E-Cooling, which highlights the interest our customers have for our differentiated electric solutions. In addition, we also completed a very important step with the conversion of our Series A Preferred Stock to a single class of Common Stock with a $2 billion market capitalization as of June 30, 2023.” Results of Operations Net sales for the second quarter of 2023 were $1,011 million, representing an increase of 18% (including an unfavorable impact of $7 ...