Slide 1: Third Quarter 2022 Earnings Call
November 3, 2022 APTIV Third Quarter 2022 Earnings Call
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation, as well as other statements made by Aptiv PLC (the “Company”), contain forward-looking statements that reflect, when made, the Company’s current views with respect to current events, certain investments and acquisitions and financial performance, includi
Slide 3: Third Quarter Highlights
Third Quarter Highlights SOLID EXECUTION IN A CHALLENGING ENVIRONMENT $25.4B YTD BOOKINGS ACROSS PORTFOLIO REVENUE $4.6B $12.8B OF ADVANCED TECHNOLOGIES 3Q up 33% YTD up 15% +9% GoM DESPITE SUPPLY CHAIN CONSTRAINTS EBITDA $673M $1,516M AND MACRO HEADWINDS 3Q Margins of 14.6% YTD Margins of 11.8% REC
Slide 4: Continue to Enhance Advanced Technology Portfolio
Continue to Enhance Advanced Technology Portfolio STRENGTHENING POSITION AS A FULL-SYSTEM SOLUTIONS PROVIDER FOR HIGH VOLTAGE ELECTRIFICATION FULL SYSTEM-LEVEL CAPABILITIES GLOBAL TECHNOLOGY LEADER Advanced technologies across the Brain and Nervous System Industry leader in HV busbar and high-precis
Slide 5: Segment Highlights
Segment Highlights BRAIN AND NERVOUS SYSTEM PROVIDING FULL SYSTEM-LEVEL SOLUTIONS AND CAPABILITIES ADVANCED SAFETY SIGNAL & POWER & USER EXPERIENCE SOLUTIONS ENCOMPASSES OUR DEEP EXPERTISE IN CENTRALIZED SMART VEHICLE LEVERAGES OUR LEADING POSITION AS AN ARCHITECTURE COMPUTING PLATFORMS, ADVANCED SA
Slide 6: Innovation In Motion
Innovation In Motion CONTINUING TO DELIVER VALUE TO OUR CUSTOMERS CENTRAL VEHICLE CONTROLLER IZB 2022 APTIV’S 25TH AUTOMOTIVE NEWS PACE AWARD INTERNATIONAL SUPPLIER CONFERENCE 6 3Q 2022 Earnings | November 3, 2022 | Aptiv
Slide 7: Winning Across the Portfolio
Winning Across the Portfolio NEW BUSINESS AWARDS DRIVEN BY PORTFOLIO OF ADVANCED TECHNOLOGIES BOOKINGS CAPITALIZING ON SAFE, GREEN AND CONNECTED Lifetime gross program revenues, $ Billions 2022 YTD MEGATRENDS AND WIDENING OUR COMPETITIVE MOAT $25.4B ACTIVE SAFETY FY 2021 $14.2 • $5B+ in 2022 YTD new
Slide 8: Executing on Our Strategy
Executing on Our Strategy STRONG AND CONSISTENT EXECUTION IN A CHALLENGING ENVIRONMENT INCREASING THE ROBUSTNESS …TO DELIVER SUSTAINABLE OF OUR OPERATING MODEL… VALUE CREATION LEADING PORTFOLIO OF ADVANCED TECHNOLOGIES INCREMENTAL OPPORTUNITIES ON THE PATH • Sustained growth-over-market attributed t
Slide 9: 3Q 2022 vs. 3Q 2021
3Q 2022 vs. 3Q 2021 ($ Millions, except per share amounts) 3Q 2022 Fav / (Unfav) COMMENTS REPORTED REVENUE $960 • Total Aptiv GoM of 9% $4,614 Adjusted Growth %1 | Growth Over Market 33% | 9% • FX / Comm impact of ($226M) EBITDA2 $673 $261 • Flow-through on higher revenues EBITDA Margin 14.6% 330 bp
Slide 10: 3Q 2022 Revenue
3Q 2022 Revenue STRONG TOP LINE OUTPERFORMANCE ACROSS REGIONS REVENUE REGIONAL GROWTH $ Millions Adjusted Growth1 | Growth Over Market (GoM) 33% Adj 1 9% GoM N. AMERICA EUROPE CHINA2 $199 ($64) ($226) $1,051 31% Adj 29% Adj 42% Adj 7% GoM 9% GoM 11% GoM $4,614 $3,654 3Q 2021 Volume Material Cost Pri
Slide 11: 3Q 2022 Segment Recap
3Q 2022 Segment Recap IMPROVED MARGIN PERFORMANCE ADVANCED SAFETY & USER EXPERIENCE SIGNAL & POWER SOLUTIONS $ Millions $ Millions REVENUE EBITDA2 OP INCOME2 REVENUE EBITDA2 OP INCOME2 26%1 35%1 58% 90% 91% 268% $1,199 $3,424 $551 $444 $122 $2,705 $959 $81 $348 $64 $234 $22 3Q 21 3Q 22 3Q 21 3Q 22 3
Slide 12: 2022 Full Year Outlook
2022 Full Year Outlook ($ Millions, except per share amounts) FY 2022 FY 2021 FY 2022 COMMENTS REPORTED REVENUE $17,000 – 17,300 $15,618 • Maintaining full year outlook Adj. Growth %1 | Growth Over Market ~13% | ~10% 15% | 15% • Direct material cost recoveries on track EBITDA2 $2,160 – 2,310 $2,001
Slide 13: Summary
Summary MANAGING THROUGH MACRO CHALLENGES WHILE STRENGTHENING OUR COMPETITIVE POSITION CONTINUED COMMERCIAL MOMENTUM Record bookings tracking to ~$30B for the full year; consistent 8-10 pts of GoM MARGIN IMPROVEMENT ACROSS BOTH SEGMENTS Improving profitability through material cost recoveries and ov
Slide 14: Appendix
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Slide 15: YoY Revenue Growth Metrics
YoY Revenue Growth Metrics 3Q 2022 YTD 2022 Reported net sales % change 26% 12% Less: foreign currency exchange and commodities (7%) (3%) Adjusted revenue growth 33% 15% Reflective of management estimates due to integration of businesses 3Q 2022 YTD 2022 Reported Revenue Growth 26% 12% Signal And Po
Slide 16: YoY Revenue And Adj. OI By Segment Walks
YoY Revenue And Adj. OI By Segment Walks 3Q 2022 YTD 2022 ($ millions) Revenue OI Adj Revenue OI Adj 3Q 2021: Signal And Power Solutions 2,705 234 8,573 953 Volume, net of contractual price reductions 933 344 1,295 429 FX and commodities (214) (43) (299) (125) Operational performance - (52) - (216)
Slide 17: Non-US GAAP Financial Metrics: Adjusted OI
Non-US GAAP Financial Metrics: Adjusted OI ($ millions) 3Q 2022 3Q 2021 YTD 2022 YTD 2021 Net income attributable to Aptiv 301 101 345 559 Interest expense 58 36 157 114 Other (income) expense, net (20) (1) 44 (2) Income tax expense 59 25 96 101 Equity loss, net of tax 67 51 202 146 Net income (loss
Slide 18: Non-US GAAP Financial Metrics: Adjusted EBITDA
Non-US GAAP Financial Metrics: Adjusted EBITDA ($ millions) 3Q 2022 3Q 2021 YTD 2022 YTD 2021 Net income attributable to Aptiv 301 101 345 559 Interest expense 58 36 157 114 Income tax expense 59 25 96 101 Net income (loss) attributable to noncontrolling interest 5 3 (21) 11 Depreciation and amortiz
Slide 19: Non-US GAAP Financial Metrics: Adj. NI Per Share
Non-US GAAP Financial Metrics: Adj. NI Per Share ($ millions, except per share amounts) 3Q 2022 3Q 2021 YTD 2022 YTD 2021 Net income attributable to ordinary shareholders 286 86 298 512 Mandatory convertible preferred share dividends 15 15 47 47 Net income attributable to Aptiv 301 101 345 559 Adjus
Slide 20: Shares Outstanding
Shares Outstanding (millions) 3Q 2022 3Q 2021 YTD 2022 YTD 2021 Weighted average ordinary shares outstanding, basic 270.93 270.51 270.88 270.44 Dilutive shares related to RSUs 0.17 0.69 0.22 0.70 Weighted average ordinary shares outstanding, including dilutive shares 271.10 271.20 271.10 271.14 Weig
Slide 21: Non-US GAAP Financial Guidance Metrics: Adjusted Operating Income
Non-US GAAP Financial Guidance Metrics: Adjusted Operating Income ($ millions) 20221 Net income attributable to Aptiv 630 Interest expense 212 Other expense, net 52 Income tax expense 135 Equity loss, net of tax 269 Net loss attributable to noncontrolling interest (18) Operating income 1,280 Amortiz
Slide 22: Non-US GAAP Financial Guidance Metrics: Adjusted EBITDA
Non-US GAAP Financial Guidance Metrics: Adjusted EBITDA ($ millions) 20221 Net income attributable to Aptiv 630 Interest expense 212 Income tax expense 135 Net loss attributable to noncontrolling interest (18) Depreciation and amortization 786 EBITDA 1,745 Other expense, net 52 Equity loss, net of t
Slide 23: Non-US GAAP Financial Guidance Metrics: Adjusted NI Per Share
Non-US GAAP Financial Guidance Metrics: Adjusted NI Per Share ($ millions, except per share amounts) 20221 Net income attributable to ordinary shareholders 567 Mandatory convertible preferred share dividends 63 Net income attributable to Aptiv 630 Adjusting items: Amortization 148 Restructuring 102
Slide 24: Aptiv
“APTIV: