Aptiv's Q3 Revenue Falls Short Of Estimates, Shares Slide

Aptiv PLC APTV announced its third-quarter earnings results before the market opened on Thursday. Here’s what you need to know.

The Details: Aptiv reported adjusted earnings per share of $1.83, which beat the analyst consensus of $1.68 by 8.93%. Total revenue for the quarter came in at $4.854 billion, falling short of the expected $5.205 billion, according to estimates from Benzinga Pro.

Adjusted operating income was $593 million, up from $560 million in the same period last year and adjusted EBITDA was $778 million, with an adjusted EBITDA margin of 16%.

Outlook: Aptiv expects full-year 2024 revenue to be between $19.6 billion and $19.9 billion. Adjusted net income per share is projected to be between $6 and $6.30. The company anticipates adjusted EBITDA of $3.025 billion to $3.125 billion, with an adjusted EBITDA margin of 15.4% to 15.7%. Full-year cash flow from operations is estimated at $2.15 billion, with capital expenditures expected to be around $875 million.

“Our revised financial outlook reflects the impact of incremental customer schedule reductions and broader weakness in automotive production volumes,” said Kevin Clark, Chairman and CEO. 

What Else: Aptiv generated $499 million in operating cash flow this quarter, down from $746 million in the same quarter 2023. The company returned $2.32 billion to shareholders through share repurchases, including $2.25 billion as part of a $3 billion accelerated share repurchase program, bringing its year-to-date share repurchases to $3.35 billion. As of Sept. 30 2024, Aptiv had $1.1 billion in cash and total available liquidity of $3.9 billion.

APTV Price Action: Aptiv shares were down 16.6% at $57.57 at the time of writing, according to Benzinga Pro.

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