Aptiv PLC Q1 FY2026 earnings call

• Successful completion of EDS separation into Versagen. - NuActive is a leading provider of advanced software and optimized hardware solutions. - Secured $7 billion of new business awards. - Continued product innovation across diverse end markets. - Strong customer awards in first quarter, totaling $4.6 billion. - Progress in penetrating non-automotive markets and various regions' OEMs.

Total Aptiv revenue was over $5 billion, up 1% vs prior year. Adjusted EBITDA over $750 million. Intelligent systems revenue $1.4 billion, down 1% y/y; adjusted EBITDA margin declined 90 basis points. Engineered components revenue $1.7 billion, flat; adjusted EBITDA margin declined 90 basis points. EDS revenue $2.2 billion, up 3% y/y; adjusted EBITDA margin declined 70 basis points.

• Maintaining full-year 2026 financial guidance, expecting adjusted revenue growth midpoint 4%, adjusted EBITDA $2.4 billion, EBITDA margin 18.6% midpoint, adjusted EPS $5.70 - $6.10. - Second quarter expected adjusted revenue growth midpoint 2%, adjusted EBITDA $580 million, EBITDA margin 17.6% midpoint, EPS $1.40 midpoint. - Anticipating higher input costs from Middle East conflict, but expecting to offset through performance initiatives and customer pass-throughs.

• Macro environment remains dynamic with ongoing Middle East conflict causing increased input costs. - Uncertainty in macroeconomic situation could amplify pressures and present challenges to the value chain across markets served.

Q: Annie Culler talked about puts and takes, sales and margin guidance.

A: Kevin and Varon discussed commodity price spikes, underlying vehicle production assumptions, margin drivers.

Q: James Piccirillo spoke about active safety growth and margin cadence.

A: Kevin and Varon discussed ADAS and user experience growth, margin split.

Q: Chris McNally asked about non-auto opportunities.

A: Kevin discussed organic efforts and bolt-on acquisitions.

Q: Joe Spack asked about margin drivers and commodity impact.

A: Varon discussed revenue drivers and commodity headwinds.

Q: Mark Delaney asked about growth assumptions and conservatism.

A: Kevin discussed conservatism in outlook and supply chain capabilities.

Q: Etai McKelly asked about new business bookings.

A: Kevin discussed new business bookings and supply chain opportunities.

Q: Emmanuel Rosner asked about revenue growth context.

A: Kevin discussed revenue acceleration drivers and China growth outlook