Slide 1: Q3 2025 Earnings
Q3 2025 EARNINGS October 28, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements within the meaning of U.S. federal securities laws. Forward-looking statements are statements other than historical fact that provide current expectations or forecasts of future events based on certain assumptions and a
Slide 3: Our Vision and Strategic Pillars
VisionOUR For Long-term STRATEGICValue Creation PILLARS Product Stable Growth Financially Total Shareholder Leadership Strategy Disciplined Returns Technology expert and Pursue attractive Sustainable, high-quality Disciplined investment partner of choice for growth opportunities margin and cash flow
Slide 4: Acquisition of Swedish Electromagnet Invest AB (SEM)
Acquisition of Swedish Electromagnet Invest AB (SEM) On June 10, PHINIA announced its agreement to acquire SEM. As of August 1, PHINIA proudly completed the strategic acquisition—marking the company’s first-ever acquisition. By combining PHINIA’s expertise in engine management systems with SEM’s kno
Slide 5: Third Quarter 2025 Highlights
Third Quarter 2025 Highlights $ 908M $ 133M 14.6% 14.0% Net Sales Adjusted EBITDA(1) Adjusted EBITDA Total segment adjusted margin(1) operating margin (1) Strong Balance Sheet • $349M Cash & cash equivalents $ 1.59 $ 11M $ 30M • Net leverage(2) of 1.4x; Target ~1.5x Adjusted diluted Returned to shar
Slide 6: Business Wins
Business Wins PHINIA is winning new business and retaining existing business across LV and CV / Industrial markets and all regions. Notable wins in Q3 include: New Business New New Business Business New Business To Supply To Supply To Supply To Supply A new, next generation canister A brushless alte
Slide 7: Aftermarket Segment Wins
Aftermarket Segment Wins Business New Business New Business Expansion Win Win Expanded market-leading product Signed an agreement with a New starter and alternator business coverage and grew share of wallet new, large customer in the United with additional distributors in North with a major customer
Slide 8: Diversified Global Business
Diversified Global Business Diversified Business with Expansion Opportunity Lean Organization with Well-Invested Footprint Diverse and resilient end-market with unique cycles / dynamics Existing global infrastructure across 20 countries supports execution plans Strong demand for fuel systems perform
Slide 9: Disciplined Capital Allocation
Disciplined Capital Allocation Expect >$200M Adjusted Free Cash Flow(1) per Year Average Through End of Decade Strong Foundation - Competitive Capital Investment for Balance Sheet Return(2) Growth • Strong balance sheet • Expect to maintain competitive dividend • Disciplined, ROIC-focused reinvestme
Slide 10: Expected Consistent Performance Through The Decade
Expected Consistent Performance Through The Decade Appropriate Strong Margins Leverage Target (1) 2-4% 14-15% >90% ~1.5x Average Organic Adj. EBITDA Adj. Cash Flow Net Leverage(4) Revenue CAGR Margin(2) Conversion(3) Global Scale Highly Cash with Growth Generative (1) Does not include Contract Manuf
Slide 11: Third Quarter Financial Performance
Third Quarter Financial Performance Adjusted Sales (1) ($mm) Commentary $908 $838 YoY Adjusted Sales $359 Aftermarket increase primarily driven by customer recovery of tariff cost and $355 favorable foreign exchange, partially offset by lower volumes in North America and Asia $483 $549 Fuel Systems
Slide 12: Q3 2025 Adjusted Sales
Q3 2025 Adjusted Sales (1) $17 $900 $8 $908 $22 $23 $838 Primarily Higher OE sales Mainly driven by customer Acquisition of in Asia and strengthening of recovery of tariff SEM Americas EUR and GBP cost $M Q3 2024 Volume / Mix Inflationary & Supply Cost, Net FX Q3 2025 Before M&A M&A Q3 2025 of Recov
Slide 13: Q3 2025 Adjusted EBITDA
(1) Q3 2025 Adjusted EBITDA $8 $132 $1 $133 $9 $120 $(5) Unfavorable Driven mainly by product mix customer pricing 14.3% Driven primarily Acquisition of 14.6% across Asia and and overhead by R&D savings SEM Americas mainly cost control on ECU and GDI measures $M Adj. EBITDA Margin (1) Q3 2024 Volume
Slide 14: Updated 2025 Outlook
Updated 2025 Outlook Metric FY 2025 Prior FY 2025 Outlook(4) Net Sales $3,330 – $3,430M $3,390 – $3,450M Adj. EBITDA(1) $455 – $485M $465 – $480M Adj. EBITDA Margin(1) 13.7% – 14.1% 13.6% – 14.0% Adj. Free Cash Flow(1)(2) $160 – $200M $175 – $205M Adj. Tax Rate(3) 36% – 40% 33% – 37% (1) Non-GAAP me
Slide 15: Appendix
—>PHINIA APPENDIX
Slide 16: Segment Adj. Operating Income and Margin - Fuel Systems
(1) Adj. Sales Q3 2025 Adjusted Sales & Segment Adjusted Operating Income - Fuel Systems (1) $483M $37M $9M $12M $8M $549M (1) Segment Adj. Operating Income and Margin $10 $72 $1 $73 $6 $1 $55 Unfavorable Customer Primarily product mix pricing and favorable 13.3% Acquisition of 11.4% across Asia and
Slide 17: Segment Adj. Operating Income and Margin - Aftermarket
(1) (1) Adj. Sales Q3 2025 Adjusted Sales & Segment Adjusted Operating Income - Aftermarket $355M ($14M) $13M $5M $359M (1) Segment Adj. Operating Income and Margin $56 $(6) $1 $54 $3 Lower S&A OEM Near net zero 15.8% sales in North tariff and Primarily driven 15.0% America, inflation by favorable p
Slide 18: Historical Quarterly Financial Metrics
Historical Quarterly Financial Metrics (1) 2025 2024 Q1 Q2 Q3 Q1 Q2 Q3 Q4 FY Fuel Systems $ 473 $ 537 $ 549 $ 510 $ 513 $ 483 $ 491 $ 1,997 Aftermarket 323 353 359 336 350 355 342 1,383 Adjusted Sales $ 796 $ 890 $ 908 $ 846 $ 863 $ 838 $ 833 $ 3 ,3 8 0 Fuel Systems 45 62 73 55 52 55 56 218 Margin %
Slide 19: Adjusted EBITDA and Margin Reconciliation to US GAAP
Adjusted EBITDA and Margin Reconciliation to US GAAP The Company defines adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) as net earnings less interest, taxes, depreciation and amortization, adjusted to exclude the impact of restructuring expense, separation-related c
Slide 20: Adjusted Operating Income and Margin Reconciliation to US GAAP
Adjusted Operating Income and Margin Reconciliation to US GAAP The Company defines adjusted operating income as operating income adjusted to exclude the impact of restructuring expense, separation-related costs, merger and acquisition expense, impairment charges, other net expenses, and other gains
Slide 21: Adjusted Sales Reconciliation to US GAAP
Adjusted Sales Reconciliation to US GAAP The Company defines adjusted sales as net sales adjusted to exclude certain agreements with our former parent that were entered into in connection with the spin-off. Management believes that adjusted sales is useful to investors, as it provides improved compa
Slide 22: Adjusted Net Earnings Reconciliation to US GAAP
Adjusted Net Earnings Reconciliation to US GAAP The Company defines adjusted net earnings and adjusted net earnings per diluted share as net earnings and net earnings per share adjusted to exclude: (i) the tax-effected impact of restructuring expense, separation-related costs, merger and acquisition