Garrett Motion Inc. · NASDAQ:GTX
Garrett Motion — Q2 2026 Earnings Presentation
26 slides from Garrett Motion's earnings presentation, Jul 29, 2026
Slide 1: Q2 2026 Financial Results
JULY 29, 2026 Q2 2026 FINANCIAL RESULTS © 2026 2025 Garrett Motion Inc.
Slide 2: Forward Looking Statements and Non-GAAP Financial Measures
Forward Looking Statements This communication and related comments by management may include “forward-looking statements” within the meaning of the U.S. federal securities laws. Forward-looking statements are any statements other than statements of historical fact and can be identified by words such
Slide 3: Key business highlights
Key business highlights Q2 2026 Financial Performance Industry and Business Trends Net Sales of $976M Monitoring global macroeconomic dynamics • +7% reported, +5% at constant currency1 vs. Q2 2025 • Prepared to adapt to evolving operational needs • Outperformed light vehicle industry and grew across
Slide 4: Continued success across differentiated technologies
Continued success across differentiated technologies 1 Turbo and Hybrid Technologies Zero Emission Technologies Light Vehicle Turbo Commercial Vehicle Turbo Industrial Turbo E-Powertrain E-Cooling Compressor Fuel Cell Compressor • Secured multiple turbo wins in light vehicle gasoline, • Kicked off p
Slide 5: Quarterly financial trends: Q2 2025 – Q2 2026
Quarterly financial trends: Q2 2025 – Q2 2026 Reported Net Sales ($M) Adjusted EBIT1 ($M) 985 976 913 902 891 51% 52% 50% 48% 48% 151 152 20% 19% 19% 18% 18% 124 133 122 27% 29% 31% 28% 27% Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Europe North Asia Others Adj.
Slide 6: Net Sales bridge: Q2 2026
Net Sales bridge: Q2 2026 ($M) 976 15 6 1 18 913 12 11 Q2 2025 Gasoline Diesel Commercial Aftermarket Others FX Q2 2026 Vehicle/Industrial % change at constant currency1 3% 6% 10% 7% 6% 5% % of Reported Q2’26 Net Sales 43% 24% 19% 12% 2% • Q2 2026 Net Sales of $976M, up $63M or 7% on a reported basi
Slide 7: Adjusted EBIT bridge: Q2 2026
Adjusted EBIT1 bridge: Q2 2026 ($M) ($M) 4 (5) 152 3 8 (8) 10 124 16 +$14M operating performance year-over-year 15.6% 13.6% Q2 2025 Volume Product Mix Pricing net Commodity, Productivity, RD&E FX Q2 2026 Adjusted EBIT1 of Inflation Transportation SG&A - net Adjusted EBIT1 Passthrough and Energy Infl
Slide 8: Q2 2026 Adjusted EBIT to Adjusted Free Cash Flow Bridge
Q2 2026 Adjusted EBIT1 to Adjusted Free Cash Flow 1 Bridge ($M) (20) • Strong cash generation in the quarter (21) with cash taxes, capital expenditures, (17) 24 44 depreciation and cash interest in line (40) with expectations 152 • “Other” includes non-cash items, 122 primarily cross-currency swaps
Slide 9: Ample liquidity with no near-term debt maturities
Ample liquidity with no near-term debt maturities ($M) Liquidity and Net Debt1 Q1 2026 Q2 2026 Unrestricted Cash2 142 158 Undrawn Revolver Credit Facility 630 630 • $50M Term Loan voluntary early repayment Total Liquidity 772 788 • Net Consolidated leverage ratio1 of 1.8x 2032 7Y Term Loan 635 583 2
Slide 10: Targeting to return 75% of Adj. FCF to shareholders over time
Targeting to return 75%1 of Adj. FCF2 to shareholders over time Shareholder Returns ($M) 570 • Repurchased $28M of common stock in Q2 296 208 2026, $115M repurchased through Q2 YTD 213 115 • Remaining share repurchase authorization of 52 31 $135M for 2026 2023 2024 2025 Q2 2026 YTD Preferred A share
Slide 11: Increasing 2026 outlook mid-point and low-end
Increasing 2026 outlook mid-point and low-end Outlook Prior Outlook Net Sales $3.7B to $3.9B $3.6B to $3.9B Net Sales Growth +1% to +7% -2% to +6% at Constant Currency 1 Net Income $330M to $360M $300M to $360M Adjusted EBIT1 $560M to $600M $520M to $600M Net Cash Provided $435M to $525M $407M to $5
Slide 12: Adjusted EBIT bridge from prior outlook
Adjusted EBIT1 bridge from prior outlook ($M) (10) 10 (10) $580 $560 20 10 $20M operating performance improvement 14.9% 15.3% Adj EBIT mid- Product Mix Price net of inflation Commodity, Productivity, FX Adj EBIT mid-point point prior outlook Passthrough transportation and SG&A - net current outlook
Slide 13: Our roadmap for long-term value creation
Our roadmap for long-term value creation Propelling growth Expanding further into Industrial compression >5% CAGR expected over next 10 years Energy infrastructure, HVAC & air compression Powering a differentiated technology portfolio Leading a resilient turbo industry1 ~$1B sales beyond turbo expec
Slide 14: Delivering strong results and transforming Garrett
Delivering strong results and transforming Garrett Strong Q2 2026 with Sales outgrowing industry in all verticals. Adjusted EBIT 1 of $152M, 15.6% Adjusted EBIT Margin 1 and $122M of Adjusted Free Cash Flow 1 Multiple turbo wins for light vehicles and commercial vehicles across key regions Multiple
Slide 15: Appendices
APPENDICES
Slide 16: Income Statement
Income Statement ($ in millions) Q2 2026 Q2 2025 YTD Q2 2026 YTD Q2 2025 Net sales $976 $913 $1,961 $1,791 Cost of goods sold 764 732 1553 1431 Gross profit 212 181 408 360 Selling, general and administrative expenses 63 59 121 118 Other expense, net 1 1 2 8 Interest expense 24 25 51 54 Non-operatin
Slide 17: Balance Sheet Summary
Balance Sheet Summary ($ in millions) Assets June 30, 2026 December 31, 2025 Cash and cash equivalents $158 $177 Restricted cash 2 2 Other 1,310 1,140 Total current assets $1,470 $1,319 Property, plant and equipment-net 426 462 Deferred income taxes 207 210 Other 370 376 Total assets $2,473 $2,367 L
Slide 18: Summary of Cash Flows
Summary of Cash Flows ($ in millions) Q2 2026 Q2 2025 YTD Q2 2026 YTD Q2 2025 Net income $101 $87 $196 $149 Net cash provided by operating activities $145 158 243 214 Net cash used for investing activities ($12) ($4) (38) ($26) Net cash used for financing activities ($117) (58) (222) ($89) Effect of
Slide 19: Reconciliation of Constant Currency Sales % Change
Reconciliation of Constant Currency Sales % Change Garrett Q2 2026 Q2 2025 YTD Q2 2026 YTD Q2 2025 Reported sales % change 7% 3% 9% (1%) Less: Foreign currency translation 2% 3% 4% 0% Constant Currency sales % change 5% 0% 5% (1%) Gasoline Reported sales % change 5% 6% 7% 5% Less: Foreign currency t
Slide 20: Reconciliation of Cash Flow from Operations to Adjusted Free Cash Flow
Reconciliation of Cash Flow from Operations to Adjusted Free Cash Flow and Adjusted Free Cash Flow Conversion ($ in millions) Q2 2026 Q1 2026 Q4 2025 Q3 2025 Q2 2025 Q1 2025 Net cash provided by operating activities $145 $98 $99 $100 $158 $56 Expenditures for property, plant and equipment (17) (29)
Slide 21: Reconciliation of Net Income to Adjusted EBIT, Adjusted EBITDA and Consolidated EBITDA
Reconciliation of Net Income to Adjusted EBIT, Adjusted EBITDA and Consolidated EBITDA1 ($ in millions) Q2 2026 Q1 2026 Q4 2025 Q3 2025 Q2 2025 Q1 2025 LTM Q1 2026 LTM Q2 2026 Net income - GAAP $101 $95 $84 $77 $87 $62 $343 $357 Interest expense, net of interest income 25 26 24 28 23 29 101 103 Tax
Slide 22: Reconciliation of Long-Term Debt to Net Debt and Related Ratios
Reconciliation of Long-Term Debt to Net Debt and Related Ratios ($ in millions) Q2 2026 Q1 2026 Q2 2025 Long-term term debt $1,360 $1,410 $1,460 Short-term term debt $7 $7 $7 Deferred finance costs $19 $20 $24 Gross Debt $1,386 $1,437 $1,491 Cash and cash equivalents $158 $142 $232 Net Debt $1,228 $
Slide 23: Full Year 2026 Outlook Reconciliation of Net Sales Growth
Full Year 2026 Outlook Reconciliation of Net Sales Growth to Net Sales Growth at Constant Currency 2026 Full Year Low End 2026 Full Year High End Net sales (% change) 3% 9% Foreign currency translation 2% 2% Full Year 2026 outlook Net Sales Growth at Constant Currency 1% 7% © 2026 Garrett Motion Inc
Slide 24: Full Year 2026 Outlook Reconciliation of Net Income to Adjusted EBITDA
Full Year 2026 Outlook Reconciliation of Net Income to Adjusted EBIT to Adjusted EBITDA ($ in millions) 2026 Full Year Low End 2026 Full Year High End Net income - GAAP $330 $360 Interest expense, net of interest income $99 $99 Tax expense $111 $121 Repositioning costs $25 $25 Factoring and notes re
Slide 25: Full Year 2026 Outlook Reconciliation of Cash Flow to Adjusted Free Cash Flow
Full Year 2026 Outlook Reconciliation of Cash Flow from Operations to Adjusted Free Cash Flow ($ in millions) 2026 Full Year Low End 2026 Full Year High End Net cash provided by operating activities (GAAP) $435 $525 Expenditures for property, plant and equipment ($90) ($90) Net cash provided by oper
Slide 26: Investors
Investors Cyril Grandjean +1 (734) 392-5504 investorrelations@garrettmotion.com © 2026 Garrett Motion Inc.