HighGravityDataBorgWarner — May 6, 2026 release
Fiscal 2026 first-quarter results · 8-K Item 2.02 · Exhibit 99.1 · 0000908255-26-000023
Showing in the filing
Estimated year-over-year change in light vehicle production - China
“(4)% to (1.5)%”
Period
FY2026
Measure
Company-defined measure
Source
Guidance table
All guidance in this release · 16
Weighted light vehicle markets for FY2026
“down 3% to approximately flat”
Net sales for FY2026
“$14.0 billion to $14.3 billion”
Organic net sales change (implied by) for FY2026
“down 3.5% to down 1.5%”
Battery Energy Systems segment year-over-yea… for FY2026
“approximately $210 million”
Battery Energy Systems headwind to organic g… for FY2026
“approximately a 1.5% headwind”
Foreign currencies impact on sales for FY2026
“a year-over-year increase in sales of approximately $200 million”
Operating margin for FY2026
“9.7% to 9.9%”
U.S. GAAP operating margin for FY2026
“9.7% to 9.9%”
Adjusted operating margin for FY2026
“10.7% to 10.9%”
U.S. GAAP net earnings per diluted share for FY2026
“$4.70 to $4.87”
Adjusted net earnings per diluted share for FY2026
“$5.00 to $5.20”
Operating cash flow for FY2026
“$1,600 million to $1,700 million”
Free cash flow for FY2026
“$900 million to $1,100 million”
Estimated year-over-year change in light veh… for FY2026
“(3)% to 0%”
Estimated year-over-year change in light veh… for FY2026
“(4)% to (1.5)%”
Estimated year-over-year change in light veh… for FY2026
“(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 March 31, (in millions) 2026 2025 Net sales $ 3,533 $ 3,515 Operating income $ 336 $ 237 Operating margin 9.5 % 6.7 % Non-comparable items: Restructuring expense $ 18 $ 31 Intangible asset amortization expense 16 17 Accelerated depreciation 2 — Adjustments associated with Spin-Off related balances 2 (3) Impairment charges — 39 Costs to exit charging business — 26 Merger and acquisition expense, net (2) 2 Loss on sale of businesses — 1 Other non-comparable items — 2 Adjusted operating income $ 372 $ 352 Adjusted operating margin 10.5 % 10.0 % Free Cash Flow Reconciliation (Unaudited) Three Months Ended March 31, (in millions) 2026 2025 Net cash provided by operating activities $ 152 $ 82 Capital expenditures, including tooling outlays (143) (119) Customer advances related to capital expenditures 4 2 Free cash flow $ 13 $ (35) First Quarter 2026 Organic Net Sales Change (Unaudited) (in millions) Q1 2025 Net Sales FX Organic Net Sales Change Q1 2026 Net Sales Organic Net Sales Change % Turbos & Thermal Technologies $ 1,454 $ 81 $ (102) $ 1,433 (7.0)% Drivetrain & Morse Systems 1,361 49 12 1,422 0.9% PowerDrive Systems 561 31 (5) 587 (0.9)% Battery Energy Systems 150 6 (54) 102 (36.0)% Inter-segment eliminations (11) — — (11) —% Net sales $ 3,515 $ 167 $ (149) $ 3,533 (4.2)% 11 Adjusted Operating Income and Adjusted Operating Margin Guidance Reconciliation (Unaudited) Full-Year 2026 Guidance (in millions) Low High Net sales $ 14,000 $ 14,300 Operating income $ 1,361 $ 1,416 Operating margin 9.7 % 9.9 % Non-comparable items: Restructuring expense $ 80 $ 90 Intangible asset amortization 57 57 Accelerated depreciation 2 2 Adjustment associated with Spin-Off related balances 2 2 Merger and acquisition expense, net (2) (2) Adjusted operating income $ 1,500 $ 1,565 Adjusted operating margin 10.7 % 10.9 % Adjusted Earnings Per Diluted Share Guidance Reconciliation (Unaudited) Full-Year 2026 Guidance Low High Earnings per Diluted Share $ 4.70 $ 4.87 Non-comparable items: Restructuring expense $ 0.28 $ 0.31 Adjustment associated with Spin-Off related balances 0.01 0.01 Unrealized loss on equity securities 0.01 0.01 Merger and acquisition expense, net (0.01) (0.01) Tax adjustments 0.01 0.01 Adjusted Earnings per Diluted Share $ 5.00 $ 5.20 Free Cash Flow Guidance Reconciliation (Unaudited) Full-Year 2026 Guidance (in millions) Low High Net cash provided by operating activities $ 1,600 $ 1,700 Capital expenditures, including tooling outlays (700) (600) Free cash flow $ 900 $ 1,100 Full Year 2026 Organic Net Sales Change Guidance Reconciliation (Unaudited) (in millions) FY 2025 Net Sales FX Battery Energy Systems (“BES”) Sales Change Organic Net Sales Change FY 2026 Net Sales Organic Net Sales Change Excluding BES % Organic Net Sales Change Including BES % BorgWarner LV Weighted Market % Low $ 14,316 $ 200 $ (210) $ (306) $ 14,000 (2.1)% (3.6)% (3.0)% High $ 14,316 $ 200 $ (210) $ (6) $ 14,300 —% (1.5)% —% 12 Full Year 2026 Estimated Year-Over-Year Change in Production (Unaudited) North America Europe China Total BorgWarner Weighted Total Light vehicle (3)% to 1% (3)% to 0% (4)% to (1.5)% (3)% to (1)% (3)% to 0% 13
the item shown at left
other guidance in this release
Text is the filed exhibit, verbatim.