Slide 1: Investor Presentation Q3 2026
Q3 2026 Investor Presentation
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may contain forward-looking statements as contemplated by the 1995 Private Securities Litigation Reform Act that are based on management’s current outlook, expectations, estimates and projections. Words such as “anticipates,” “believes,” “continues,” “cou
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation contains certain information about BorgWarner’s financial results that is not presented in accordance with U.S. GAAP. Such non- GAAP financial measures are reconciled to their closest U.S. GAAP financial measures in the Appendix. The provision of these c
Slide 4: Executing on Our Vision & Mission
Executing on Our Vision & Mission Pres Today’s Agenda ente r Vision Our ▪ A clean, energy-efficient world Na me Our – Title ▪ We deliver innovative and sustainable Mission mobility solutions Investor Day 2023 4
Slide 5: BorgWarner Today
BorgWarner Today Global Headquarters Auburn Hills, MI Americas Europe Asia ~10,800 ~14,800 ~11,900 Workers Workers Workers 22 26 33 Locations Locations Locations 3 10 7 Countries Countries Countries 5 Note: Headcount and locations as of January 2026. Locations include only manufacturing and technica
Slide 6: Focus for 2026 and Beyond
Focus for 2026 and Beyond ► Drive enhanced financial performance through long-term sales growth, margin expansion, cash generation and EPS accretion ► Build on our existing product portfolio through continued investment, while focusing on securing future profitable growth ► Utilize free cash flow to
Slide 7: Sales Resiliency – Strong Diversification Across Products, Customers and Regions
Sales Resiliency – Strong Diversification Across Products, Customers and Regions FY 2025 Segment Sales FY 2025 Regional Sales PowerDrive Systems RoW Americas D3 China Battery & Other Charging Systems Drivetrain & Morse Systems China Americas Locals Other Turbos & Thermal Europe Europe Technologies G
Slide 8: Product Portfolio Well-Positioned for Long-Term Growth
Product Portfolio Well-Positioned for Long-Term Growth Foundational Products eProducts Intake & Engine Transmission Other Power EV Electric Drive Battery Turbos AWD/4WD ECUs Inverters Thermal Mgt. eTMS EGRs Timing Products Electronics Gearboxes Motors Systems Combustion Hybrid Electric 8
Slide 9: Strategically Entered Data Center Market with Supply Agreement for Power Generation Solutions
Strategically Entered Data Center Market with Supply Agreement for Power Generation Solutions ▪ Product: Modular turbine generator system for AI driven data center market and other microgrid applications ▪ Background/Rationale: ▪ Signed agreement with TurboCell (subsidiary of Endeavour) to support g
Slide 10: Turbine Generator System Provides Significant Advantages to Existing Power Generation Solutions
Turbine Generator System Provides Significant Advantages to Existing Power Generation Solutions Adv. Software Controls Product Advantages Cooling Fan ▪ Power/Modular Flexibility: continuous (bridging power) or backup power Intercooler ▪ Fuel Flexibility: natural gas, propane, Combustor & diesel and
Slide 11: Turbine Generator System Offers Modularity and Flexibility Compared to Competing Technologies
Turbine Generator System Offers Modularity and Flexibility Compared to Competing Technologies BorgWarner Turbine Fuel Cells Turbines Diesel Gensets Generator System Ultra-low Emissions Affordable Long-Term Power Instant Load Acceptance Natural Gas, Natural Gas, Fuel Types Natural Gas Diesel Propane,
Slide 12: Continues to Improve Product Readiness for Data Center & Other Industrial Markets
BorgWarner Continues to Improve Product Readiness for Data Center & Other Industrial Markets Portfolio v Power Generation Energy Storage Power Conversion Turbine Generator System Battery Energy Storage System Bi-Directional Microgrid Inverter ▪ Met CARB-level emissions tests ▪ Supporting varying use
Slide 13: Estimated 2026 Light Vehicle Market Propulsion Mix
Estimated 2026 Light Vehicle Market Propulsion Mix Global Total North America Europe China 1% 19% 6% 19% 21% 41% 37% 35% 9% 7% 52% 72% 33% 9% 20% 19% 14.9M to 15.5M LV Units 16.7M to 17.2M LV Units 30.6M to 31.5M LV Units 90.0M to 92.2M LV Units Combustion Trad. Hybrid Adv. Hybrid BEV Portfolio desi
Slide 14: Content Opportunity Per Vehicle (COPV)
Content Opportunity Per Vehicle (COPV) Estimated 2029 $1,891 BorgWarner Content Opportunity Per Light $1,956 Vehicle Summary $567 $428 Combustion Combustion + Advanced BEV Hybrid Combustion eProduct 14
Slide 15: Leadership Position Across Foundational Portfolio and Regions
Leadership Position Across Foundational Portfolio and Regions 2025 Market 2025 LV Product Global Position* Penetration % Turbochargers #1 57% EGRs #1 44% Timing Systems #1 80% T-Case/Couplings #1 57% 2025 Market 2025 LV Product 2025 Market 2025 LV Product 2025 Market 2025 LV Product North America Eu
Slide 16: Recent Foundational Awards
Recent Foundational Awards eTurbo Torque-on-Demand Variable Cam Timing Turbochargers and Engine, Machine, Turbochargers Transfer Cases with Exhaust Gas Power Module & BMS New program award Mechanical Lock Conquest award with a Recirculation (EGR) Controllers Three program with a major European major
Slide 17: Recent eProduct Awards
Recent eProduct Awards Integrated Drive Integrated Drive Inverters eMotors Modules (iDM) and Integrated Drive Electric Cross Modules (iDM) Generator Modules Modules (iDM) Differentials (eXD) Two high-volume Three awards with Asian with Dual Inverters Award with a global extension awards with a OEMs
Slide 18: Electric Vehicle System Portfolio
Electric Vehicle System Portfolio ENERGY STORAGE & MANAGEMENT ELECTRIC PROPULSION THERMAL MANAGEMENT Inverter Electric Reduction High-voltage Battery management motor gear coolant heater system (BMS) eFan (HVCH) CV Battery pack Battery cooling POWER ELECTRONIC AUXILIARIES plates High-voltage box Int
Slide 19: eProduct Sales Growth Despite Volatile End Markets
eProduct Sales Growth Despite Volatile End Markets $2.6B $2.3B eCV Europe eCV Battery Systems $2.0B eCV Americas eLV RoW $1.5B eLV China LV eProducts ~52% BEV ~48% Adv. Hybrid eLV Europe eLV N.A. 2022 2023 2024 2025 19
Slide 20: Leveraging Existing Footprint to Support eProduct Growth & Manage Market Volatility
Leveraging Existing Footprint to Support eProduct Growth & Manage Market Volatility North America Europe China/ROW Plant Plant Location eProduct Est. SOP Plant eProduct Est. SOP eProduct Est. SOP Location Location Viana, HV Heaters 2021 eMotor & iDM Portugal Jiangshan, SLP, Mexico 2021 HV Heaters 20
Slide 21: Inorganic Investment Screening Process
Inorganic Investment Screening Process ▪ Industrial logic – leverage BorgWarner’s core competencies (not limited to BorgWarner’s current portfolio) ▪ Near-term accretion – potential M&A intended to increase BorgWarner’s earnings power ▪ Thoughtful / diligent valuation consideration – incorporating c
Slide 22: Historical Financial Performance
Historical Financial Performance $ in millions, except EPS Adj. Operating Margin Adj. EPS (11% CAGR) Free Cash Flow (21% CAGR) 10.7% 10.8% $1,208 10.1% $4.91 $5.18 9.6% $4.32 $1,000 $3.75 $729 $565 2023 2024 2025 2026E at 2023 2024 2025 2026E at 2023 2024 2025 2026E at Midpoint Midpoint Midpoint 22
Slide 23: Share Repurchase History
Share Repurchase History Current Authorization Outstanding Dilutive Shares 245 240.2 2022: $240M 240 2023: $177M 235 230 234.6 $1B millions of shares 2021: No 230.2 225 $650M $1.35B Repurchases 2024: $400M 220 $1B 215 219.1 Q2 2026: $250M 210 $350M 205 2025: $508M 208.7 205.5 2025 Repurchases 2025 2
Slide 24: Appendix
APPENDIX BORGWUARNER
Slide 25: 2026 Outlook and Other Items
2026 Outlook and Other Items $ in millions, except EPS Full-year Net Sales Outlook Market & Earnings Outlook Prior 2026 Revised 2026 Guidance Outlook 10.7% 2025 net sales Adj. Operating Margin* $14,316 Organic net sales change* (3.5%) to (1.5%) (3.5%) to (1.5%) FX $175 Adj. operating margin* 10.7% t
Slide 26: 2026 Light Vehicle Market Expectations
2026 Light Vehicle Market Expectations LV Units in millions BorgWarner Global Market North America Europe China FY’25 FY’26 Actual Est. 90.0 to 92.2 93.1 YOY (3.5%) to (1%) FY’25 FY’26 FY’25 FY’26 FY’25 FY’26 Actual Est. Actual Est. Actual Est. 30.6 to 31.5 32.9 YOY (7%) to (4%) 16.7 to 17.2 14.9 to