Business
Visteon Announces Third-Quarter 2021 Results
Sales of $631 million in a challenging semiconductor supply environmentGrowth over market of 8% versus top customers' vehicle productionNet income of $5
About this update from Visteon Corporation
[{"type":"text","content":"Sales of $631 million in a challenging semiconductor supply environmentGrowth over market of 8% versus top customers' vehicle productionNet income of $5 millionAdjusted EBITDA of $42 million or 6.7% of sales13 new products launched in third quarter; 26 launched year-to-dateCompany aligning sustainability commitments with science-based emissions targetsUpdating 2021 full-year guidance to reflect supply chain environment VAN BUREN TOWNSHIP, Mich., Oct. 28, 2021 (GLOBE NEWSWIRE) -- Visteon Corporation (NASDAQ: VC) today announced third-quarter net sales of $631 million, representing a year-over-year decrease of 17% excluding the impact of currency. Total industry production decreased 20% while vehicle production at Visteon’s top customers decreased 25% in the same period, reflecting supply chain constraints and the worldwide semiconductor shortage. Despite these constraints, the company's sales performance represents 8%1 growth-over-market compared to the production volumes of its customers. Gross margin in the third quarter was $47 million, and net income attributable to Visteon was $5 million or $0.18 per diluted share. Adjusted EBITDA, a non-GAAP measure as defined below, was $42 million for the third quarter or 6.7% of sales, a decrease of $45 million compared to the prior year. The decrease in adjusted EBITDA reflects the impact of lower vehicle volumes, supply chain and material costs increases, and the non-recurrence of temporary austerity measures implemented in 2020, partially offset by the year-over-year savings related to 2020 structural costs reductions. Visteon launched 26 new products through the third quarter with over 20 planned for the fourth quarter. Key third quarter launches include a 10-inch digital cluster in compact vans sold under the Citroen, Peugeot, and Opel brands, and an 8-inch infotainment display for the Ford Maverick compact pickup truck. Additional launches include a 12-inch digital cluster in Dongfeng’s new compact sedan, and a 10-inch infotainment system on a new compact SUV with Stellantis in South America. The company won $3.8 billion in new business through the first three quarters of the year, approximately 30-percent of which were for electric vehicle programs. Key third quarter wins include a SmartCore program and a 15-inch OLED display for infotainment. For the first nine months, cash used ...