Adient Plc · NYSE:ADNT
Adient — J.P. Morgan Auto Conference 2020
11 slides from Adient's conference presentation, August 2020
Slide 1: J.P. Morgan Auto Conference 2020
J.P. Morgan Auto Conference 2020 August 2020 Improving the experience of a world in motion 1 Adient – Improving the experience of a world in motion
Slide 2: Important information
Important information Adient has made statements in this document that are forward-looking and, therefore, are subject to risks and uncertainties. All statements in this document other than statements of historical fact are statements that are, or could be, deemed “forward-looking statements” within
Slide 3: Staying focused on our plan…
Staying focused on our plan… > Protecting our employees (and customers) as we restart and ramp up operations > Driving operational improvements – reductions in ops waste, premium freight, etc. > Exercising commercial discipline – winning profitable new business (return on capital > outgoing business
Slide 4: Operations and restart status
Operations and restart status Plants have reopened with a primary focus on team member safety, utilizing our Adient COVID-19 Return To Work Guide APAC EMEA Americas The APAC market and operations continue EMEA market is recovering, but at a slower Americas operations continue to ramp up to trend in
Slide 5: Executing plans to create a stronger, more profitable business…
Executing plans to create a stronger, more profitable business… ➢ Adient continues to execute its turnaround plan and rightsize the business Goal: while navigating through these unprecedented times. To reduce Adient’s ➢ Rightsizing actions necessary given: breakeven point to be FCF breakeven or - Ex
Slide 6: Examples of announced rightsizing actions…
Examples of announced rightsizing actions… Above plant > Identified and executing > In July, Adient’s EMEA region > Streamlined, delayered and continued decentralization of central began negotiations with the cost reductions of $75M - reporting functions (e.g. business development and legal reportin
Slide 7: Key financial messages from Q3
Key financial messages from Q3 > Quarterly Trend – Dramatic improvement in financial performance through quarter ‒ Adj. EBITDA June 2020 was equal to June 2019 with 25% less sales > Transactions – Both fabrics and YF deals expected to close during Q4FY20 > Liquidity – ~$1.2B of liquidity at end of J
Slide 8: Looking forward…
Looking forward… Memo: ➢ Building on the positive trend Q4FY20 Q4FY19 established by the end of Q3, Adient expects vehicle Revenue ~ $3.3B – $3.5B $3.9B production across the Americas and Europe to Trend of improve sequentially in the Adj. EBITDA ~ $180M – $200M $201M * significant y-o-y coming mont
Slide 9: APPENDIX – FINANCIAL RECONCILIATIONS
APPENDIX – FINANCIAL RECONCILIATIONS 9 Adient Adient– Improving – Improving thethe experience of of experience a world in in a world motion motion
Slide 10: Non-GAAP financial measurements
Non-GAAP financial measurements > Adjusted EBIT, Adjusted EBIT margin, Adjusted EBITDA, Adjusted EBITDA margin, Adjusted net income attributable to Adient, Adjusted effective tax rate, Adjusted earnings per share, Adjusted equity income, Adjusted free cash flow, Net debt and Net leverage as well as
Slide 11: Non-GAAP reconciliations - EBIT, Adjusted EBIT, Adjusted EBITDA, Free cash flow
Non-GAAP reconciliations - EBIT, Adjusted EBIT, Adjusted EBITDA, Free cash flow Q4 FY19 Adjusted free cash flow (in $ millions) GAAP Adj. Adjusted (in $ millions) Q4 FY19 Net sales $ 3,921 $ - $ 3,921 (2) Adjusted-EBITDA $ 215 Cost of sales 3,708 (4) 3,704 Gross profit 213 4 217 (+/-) Net Equity in