Aptiv PLC APTV reported mixed fourth-quarter 2024 results, with earnings beating the Zacks Consensus Estimate but revenues missing the same.
Adjusted earnings of $1.75 per share beat the Zacks Consensus Estimate by 5.4% and increased 25% year over year. Revenues of $4.9 billion missed the Zacks Consensus Estimate by a slight margin and decreased slightly year over year.
The company’s adjusted revenues declined 1% year over year. Adjusted revenues declined 8% in Europe and stayed flat in South America. They grew 3% in North America and 3% in Asia, including a 4% growth in China.
Aptiv PLC price-consensus-eps-surprise-chart | Aptiv PLC Quote
Signal and Power Solutions’ revenues of $3.5 billion declined 1% year over year. The Advanced Safety and User Experience segment’s revenues increased 2% year over year to $1.4 billion.
Adjusted operating income was $623 million, up 3.8% from the figure reported in the year-ago quarter. Adjusted operating income margin was 12.2%, up 50 basis points year over year.
Aptiv exited the quarter with a cash and cash equivalent balance of $1.6 billion compared with the prior quarter’s $1.1 billion. Long-term debt was $7.8 billion compared with $8.3 billion in the previous quarter.
Total available liquidity at the end of the quarter was $3.6 billion compared with $3.9 billion recorded at the end of the prior quarter. The company generated $1.1 billion in cash from operating activities in the quarter.
For the first quarter of 2025, Aptiv expects revenues to be between $4.635 billion and $4.835 billion, lower than the current Zacks Consensus Estimate of $4.88 billion. Adjusted EPS is expected to be between $1.4 and $1.6, lower than the current Zacks Consensus Estimate of $1.66. Adjusted operating income margin is anticipated between 10.7% and 11.3%. Adjusted EBITDA margin is expected between 14.8% and 15.2%.
For 2025, Aptiv expects revenues to be between $19.6 billion and $20.4 billion, the midpoint ($20 million) of which is higher than the current Zacks Consensus Estimate of $19.69 billion. Adjusted EPS is expected to be between $7 and $7.6. The midpoint ($7.3) is higher than the current Zacks Consensus Estimate of $6.18. Adjusted operating income margin is anticipated between 11.9% and 12.3%. Capital expenditure is expected to be $880 million. Adjusted EBITDA margin is expected between 15.8% and 16.1%. The adjusted effective tax rate is expected to be around 17.5%.
Currently, Aptiv carries a Zacks Rank #3 (Hold).