Aptiv Plc · NYSE:APTV
Aptiv — Delphi Automotive — Q1 2012 Earnings Presentation
29 slides from Aptiv's earnings presentation, Apr 24, 2012
Slide 1: First Quarter 2012 Earnings Call
Slide: 1 Title: First Quarter 2012 Earnings Call Body: April 24th, 2012
Slide 2: Forward-looking statements
Slide: 2 Other Placeholder: Other Placeholder: 2 This presentation, as well as other statements made by Delphi Automotive (“Delphi” or the “Company”), contain forward-looking statements that reflect, when made, the Company’s current views with respect to current events and financial performance. Suc
Slide 3: Agenda
Slide: 3 Other Placeholder: Other Placeholder: 3 AGENDA 3 Business Overview Q1 2012 in ReviewThe Road AheadFinancial Results Q1 2012 ResultsUpdated 2012 GuidanceQ&A SessionConclusion Rodney O’Neal Chief Executive Officer Kevin Clark Chief Financial Officer Rodney O’Neal Chief Executive Officer
Slide 4: Business Overview
Slide: 4 Title: Rodney O’Neal Body: Business Overview
Slide 5: Financial Highlights
Financial Highlights Q1 2012 Qtr-over-Qtr Revenue $4,092 2.4% / 4.7%1 EBITDA $578 9.3% EBITDA Margin 14.1% 90 bps Operating Income $464 12.6% Operating Margin 11.3% 100 bps Net Income $342 17.5% 5 ($ millions) 1 Q1 2012 Revenue increased 4.7% on a foreign exchange and commodity adjusted basis
Slide 6: Q1 New Model Debuts Featuring Delphi Product Content
Slide: 6 Q1 New Model Debuts Featuring Delphi Product Content 6 DetroitN.A. Int’l Auto Show GenevaMotor Show New DelhiAuto Expo India Audi A6 AllroadAudi A3BMW 6 Series Gran CoupeDacia LodgyFiat 500LFerrari F12 BerlinettaFord B-MaxFord KugaJaguar XF Sport BrakeKia Cee’dMercedes Benz A-ClassOpel Mokk
Slide 7: Growing our Emerging Market Footprint
Slide: 7 Growing our Emerging Market Footprint 7 New Delphi Electrical / Electronic Architecture Wuhan, China Facility (Gp:) Shanghai (Gp:) Suzhou (Gp:) Wuhan (Gp:) Beijing (Gp:) Shenyang (Gp:) Changchun (Gp:) Baicheng (Gp:) Guangzhou (Gp:) Yantai (Gp:) Wuhu
Slide 8: Customer Recognition of Delphi's Performance
Slide: 8 16 Customer Awards in Q1Yu’An - Excellent Supplier Fiat – Cost Reduction Initiatives SGM – Fast Response Award Chuanqi Auto - Best Quality Supplier PSA – Quality Award SGM – Outstanding LogisticsFAW-JiLin – Best Cost Improvement SGM – Lean PC&L Award Volvo – Quality through Excellence (3)Ch
Slide 9: PACE Industry Recognition
Slide: 9 PACE Industry Recognition 9 Premium Low Noise High Pressure GDi Pump – ProductL-Shape Crimp – Electrical/Electronic Architecture – ProductMulti Port Folded Tube Condenser – Manufacturing ProcessWiring Harness Bend Fatigue Simulation Software – Design Process Four Finalist Nominations
Slide 10: $8 Billion of New Business Bookings
Slide: 10 YTD 2012$7.7B 10 New Business Bookings by Region CY 2010 $19.9B $8 Billion of New Business Bookings 10 Note: Bookings = lifetime gross program revenues awarded, based upon expected volumes and pricing CY 2011 $23.5B
Slide 11: The Road Ahead
Slide: 11 Title: The Road Ahead Other Placeholder: Continue to Provide Customer SolutionsSafety, Fuel Efficiency, In-Vehicle ConnectivityLeverage the Economic RecoveryCapitalize on Mature and Emerging Market GrowthRelentless Focus on Cost StructureMaintaining Industry Leading PositionExecute, Execut
Slide 12: Financial Results
Slide: 12 Title: Kevin Clark Body: Financial Results
Slide 13: Revenue Growth Leveraged into Margin Expansion
Slide: 13 Other Placeholder: 13 Q1 2012 Q1 2011 B/(W)Revenue $4,092 $3,997 $95 Growth % - - 2.4% / 4.7%1EBITDA $578 $529 $49 EBITDA % 14.1% 13.2% 90 bpsNet Income $342 $291 $51 Net Income Growth% - - 17.5%Earnings per share $1.04 $0.42 $0.62 Wtd. avg. diluted share count (mils) 328.5 687.0 358.5Cash
Slide 14: Revenue Growth Significantly Above Market
Slide: 14 Other Placeholder: 14 Revenue Growth Q1 ‘12 vs. Q1 ‘11($ millions) 14 (1.8%) Revenue Growth Significantly Above Market
Slide 15: Continued Strong Growth in Europe and Asia
Slide: 15 Other Placeholder: 15 Q3 ‘11 vs. Q3 ‘10Regional Revenue($millions) Regional Revenue Growth Q1 ‘12 vs. Q1 ‘11($ millions) 15 Continued Strong Growth in Europe and Asia (Gp:) 5.8% (Gp:) 13.7% (Gp:) (17.0%) (Gp:) (0.6%)
Slide 16: Record EBITDA Margins in the Quarter
Slide: 16 16 Q3 ‘11 vs. Q3 ‘10Segment EBITDA ($ Millions) EBITDA Growth EBITDA = Operating Income + Depreciation/Amortization 16 (Gp:) 14.1% (Gp:) 13.2% (Gp:) EBITDAMargin (Gp:) (1.8%) Q1 ‘12 vs. Q1 ‘11($ millions) Record EBITDA Margins in the Quarter
Slide 17: Solid Revenue and EBITDA Growth
Slide: 17 (Gp:) 2.9% Other Placeholder: 17 Segment Financials 17 (Gp:) 7.3% (Gp:) 2.2% (Gp:) 51.5% (Gp:) (6.7%) Revenue EBITDA (Gp:) (2.8%) (Gp:) (6.7%) (Gp:) (36.5%) EBITDA Margin 2011 2012 2012 Adj.1E/EA 14.9% 14.3% 15.0%Powertrain 10.7% 15.8% 16.6%E&S 13.8% 13.2% 13.7%Thermal 11.6% 7.9% 8.6% Q1 ‘
Slide 18: Significant Earnings Per Share Growth
Slide: 18 Other Placeholder: 18 Earnings Per Share Walk 18 Significant Earnings Per Share Growth Q1 ‘12 vs. Q1 ’11
Slide 19: Q1 2012 Cash Flow and RONA
Slide: 19 EBITDA 578 Working Capital (277) Capital Expenditures (260) Cash Interest / Income (12)Cash Taxes (27) Restructuring, net of expense (14) Dividend / Other 65Cash Flow before Financing 53 Q1 2012 Cash Flow and RONA 19 ($ millions) Uses of cash4 Return on Net Assets1 1 Return on Net Assets i
Slide 20: Solid Balance Sheet
Slide: 20 Other Placeholder: 20 Global Liquidity ($ Millions) Solid Balance Sheet 20 03/31/12 Cash1 $1,425Debt $2,085Net Debt $660Debt to EBITDA 1.0xNet Debt to EBITDA 0.3xPension Benefit Obligation $694 1 Includes restricted cash of $13M Uses of cash4Q1 2012 Rating Agency ActionsS&P Upgrade from BB
Slide 21: Solid Balance Sheet
Solid Balance Sheet 20 03/31/12 Cash1 $1,425 Debt $2,085 Net Debt $660 Debt to EBITDA 1.0x Net Debt to EBITDA 0.3x Pension Benefit Obligation $694 1 Includes restricted cash of $13M Uses of cash4 Q1 2012 Rating Agency Actions — S&P Upgrade from BB to BB+ — Moody’s Upgrade from Ba2 to Ba1 Exchange Of
Slide 22: 2012 Guidance
Slide: 22 Other Placeholder: 22 Q2 2012 Prior 2012 2012 Outlook Outlook Outlook Revenue 4,025 - 4,100 16,200-16,500 16,200 – 16,500 Growth rate adjusted for FX/commodities 3% - 5% 3%-5% 4% - 6%EBITDA 540 - 580 2,150-2,250 2,175 – 2,250 EBITDA % 13.4% - 14.1% 13.3%-13.6% 13.4% - 13.6%Earnings per sha
Slide 23: Other Items
Slide: 23 Full $300M Authorization Still Available for Share Repurchase ProgramIntend to file the 2012 Q1 10Q by April 27thOther Placeholder: 23 Other Items 23
Slide 24: Conclusion
Slide: 24 Title: Rodney O’Neal Body: Conclusion
Slide 25: Appendix
CONNECTED —— DELPHI Innovation for the Real World Appendix
Slide 26: Non-US GAAP Financial Metrics
Slide: 26 Other Placeholder: 26 Non-US GAAP Financial Metrics 26 ($ Millions) 3/31/12Cash flow from operating activities: Net income 363 Depreciation/Amortization 114 Working Capital (277) Other operating activities 93Net cash provided by operating activities 293Cash flow from investing activities:
Slide 27: Non-US GAAP Financial Metrics
Q1 2012 Q1 2011 Net Income attributable to Delphi $342 $291 Income Tax $77 $116 Interest Expense $35 $6 Other Expense/(Income), net $(7) ($3) Non-controlling Interest $21 $19 Equity (Income)/Loss, net of tax $(4) ($17) Depreciation & Amortization $114 $117 EBITDA $578 $529 ($ Millions) 27 Non‐US GAA
Slide 28: Shares Outstanding
Slide: 28 Quarter-ended Quarter-ended 3/31/12 3/31/11Weighted average ordinary shares outstanding as result of the initial public offering: 328.24 328.24Redemption of Class A & C membership interests - 349.21Repurchase of Class B membership interests - 9.54Incremental shares on assumed vesting of 20
Slide 29: Delphi Innovation for the Real World
Slide: 29 Delphi Innovation for the Real World Other Placeholder: 29