HighGravityDataBorgWarner — Feb 6, 2025 release
Fiscal 2024 fourth-quarter results · 8-K Item 2.02 · Exhibit 99.1 · 0000908255-25-000003
Showing in the filing
Light vehicle production change - Total
“(2.5)% to (1.5)%”
Period
FY2025
Measure
Company-defined measure
Source
Guidance table
All guidance in this release · 26
Sales outgrowth for FY2025
“continued sales outgrowth”
Organic sales for FY2025
“down 2% to up 2%”
Year-over-year change in organic sales for FY2025
“down 2% to up 2%”
Net sales for FY2025
“$13.4 billion to $14.0 billion”
Weighted light and commercial vehicle markets for FY2025
“down 3.0% to down 1.0%”
Estimated outgrowth above market production for FY2025
“approximately 100 to 300 basis points”
Impact of foreign currencies on sales for FY2025
“a year-over-year decrease in sales of approximately $410 million”
Operating margin for FY2025
“9.1% to 9.2%”
Adjusted operating margin for FY2025
“10.0% to 10.2%”
Net earnings for FY2025
“$3.84 to $4.12 per diluted share”
Net earnings per diluted share for FY2025
“$3.84 to $4.12”
Adjusted net earnings per diluted share for FY2025
“$4.05 to $4.40”
Operating cash flow for FY2025
“$1,325 million to $1,375 million”
Free cash flow for FY2025
“$650 million to $750 million”
Net Sales for FY2025
“$13,400” – “$14,000”
Operating income for FY2025
“$1,219” – “$1,284”
Adjusted operating income for FY2025
“$1,345” – “$1,430”
Earnings per Diluted Share for FY2025
“$3.84” – “$4.12”
Adjusted Earnings per Diluted Share for FY2025
“$4.05” – “$4.40”
Net cash provided by operating activities for FY2025
“$1,325” – “$1,375”
Organic Net Sales Change % for FY2025
“(2.0)%” – “2.3%”
LV/CV Weighted Market for FY2025
“(1.0)%” – “(3.0)%”
Outgrowth for FY2025
“1.0%” – “3.3%”
Light vehicle production change - Total for FY2025
“(2.5)% to (1.5)%”
Commercial vehicle production change - Total for FY2025
“3% to 7.5%”
BorgWarner-Weighted production change - Total for FY2025
“(3)% to (1)%”
Exhibit 99.1 · the passage around this item
… earlier in the release
Adjusted Operating Income and Adjusted Operating Margin (Unaudited) Three Months Ended Year Ended December 31, December 31, (in millions) 2024 2023 2024 2023 Net sales $ 3,439 $ 3,522 $ 14,086 $ 14,198 Operating (loss) income (316) 281 546 1,160 Operating margin (9.2) % 8.0 % 3.9 % 8.2 % Non-comparable items: Impairment charges $ 646 $ 18 $ 646 $ 29 Restructuring expense 9 11 74 79 Intangible asset amortization 18 16 69 67 Accelerated depreciation 15 — 50 4 Adjustments associated with Spin-Off related balances 3 — 17 — Commercial contract settlement — — 15 — Loss (gain) on sale of business 3 — 6 (5) Merger and acquisition expense, net 2 5 2 23 Loss (gain) on sale of assets 2 — 2 (13) Corporate synergy from Spin-off — — — 10 Change in accounting method (29) — (29) — Other non-comparable items (1) 1 19 4 Net non-comparable items $ 668 $ 51 $ 871 $ 198 Adjusted operating income $ 352 $ 332 $ 1,417 $ 1,358 Adjusted operating margin 10.2 % 9.4 % 10.1 % 9.6 % 11 Free Cash Flow Reconciliation (Unaudited) Three Months Ended December 31, Year Ended December 31, (in millions) 2024 2023 2024 2023 Net cash provided by operating activities from continuing operations $ 682 $ 887 $ 1,382 $ 1,397 Capital expenditures, including tooling outlays (161) (208) (671) (832) Customer advances related to capital expenditures 18 — 18 — Free cash flow $ 539 $ 679 $ 729 $ 565 Fourth Quarter 2024 Organic Net Sales Change (Unaudited) (in millions) Q4 2023 Net Sales FX Acquisition Impact Organic Net Sales Change Q4 2024 Net Sales Organic Net Sales Change % Turbos & Thermal Technologies $ 1,442 $ (16) $ — $ (14) $ 1,412 (1.0)% Drivetrain & Morse Systems 1,403 (9) — (43) 1,351 (3.1)% PowerDrive Systems 542 (5) 6 (18) 525 (3.3)% Battery & Charging Systems 151 (2) — 13 162 8.6% Inter-segment eliminations (16) — — 5 (11) (31.3)% Net sales $ 3,522 $ (32) $ 6 $ (57) $ 3,439 (1.6)% Full Year 2024 Organic Net Sales Change (Unaudited) (in millions) 2023 Net Sales FX Acquisition Impact Organic Net Sales Change 2024 Net Sales Organic Net Sales Change % Turbos & Thermal Technologies $ 6,012 $ (37) $ — $ (88) $ 5,887 (1.5)% Drivetrain & Morse Systems 5,549 (61) — 89 5,577 1.6% PowerDrive Systems 2,166 (22) 27 (234) 1,937 (10.8)% Battery & Charging Systems 546 (2) 5 180 729 33.0% Inter-segment eliminations (75) — — 31 (44) (41.3)% Net sales $ 14,198 $ (122) $ 32 $ (22) $ 14,086 (0.2)% Adjusted Operating Income and Adjusted Operating Margin Guidance Reconciliation (Unaudited) Full-Year 2025 Guidance (in millions) Low High Net sales $ 13,400 $ 14,000 Operating income $ 1,219 $ 1,284 Operating margin 9.1 % 9.2 % Non-comparable items: Restructuring expense $ 60 $ 80 Intangible asset amortization 66 66 Adjusted operating income $ 1,345 $ 1,430 Adjusted operating margin 10.0 % 10.2 % 12 Adjusted Earnings Per Diluted Share Guidance Reconciliation (Unaudited) Full-Year 2025 Guidance Low High Earnings per Diluted Share $ 3.84 $ 4.12 Non-comparable items: Restructuring expense 0.21 0.28 Adjusted Earnings per Diluted Share $ 4.05 $ 4.40 Free Cash Flow Guidance Reconciliation From Continuing Operations (Unaudited) Full-Year 2025 Guidance (in millions) Low High Net cash provided by operating activities $ 1,325 $ 1,375 Capital expenditures, including tooling outlays (675) (625) Free cash flow $ 650 $ 750 Full Year 2025 Organic Net Sales Change Guidance Reconciliation (Unaudited) (in millions) FY 2024 Net Sales FX Organic Net Sales Change FY 2025 Net Sales Organic Net Sales Change % LV/CV Weighted Market Outgrowth Low $ 14,086 $ (410) $ (276) $ 13,400 (2.0)% (3.0)% 1.0% High $ 14,086 $ (410) $ 324 $ 14,000 2.3% (1.0)% 3.3% Full Year 2025 Estimated Year-Over-Year Change in Production (Unaudited) North America Europe China Total Light vehicle (4)% to (3)% (6)% to (4)% (1.5)% to 0% (2.5)% to (1.5)% Commercial vehicle 3% to 9% (0.5)% to 6% 0.5% to 4.5% 3% to 7.5% BorgWarner-Weighted (3.5)% to (1.5)% (5)% to (2)% (1)% to 1.5% (3)% to (1)% 13
the item shown at left
other guidance in this release
Text is the filed exhibit, verbatim.