Aptiv (APTV) Q4 2025 earnings summary

Executive summary

• Achieved record Q4 2025 revenue of $5.2 billion, up 3% year-over-year, with strong performance across all segments and robust new business bookings, reflecting operational resilience despite macroeconomic and FX headwinds.

• Continued to diversify into non-automotive markets, with 8% growth in non-auto revenue and new partnerships in robotics and AI-powered systems.

• Announced and finalized plans for the spin-off of the Electrical Distribution Systems (EDS) business as VersaGen/Versigent, effective April 1, 2026.

• Maintained a resilient operating model, enhancing supply chain visibility and consolidating manufacturing facilities to drive efficiency.

Financial highlights

• Q4 adjusted operating income was $607 million, with adjusted EPS of $1.86, up 6% year-over-year, and Q4 operating cash flow of $818 million.

• Full-year adjusted net income was $1,726 million, with adjusted EPS up 24.9% to $7.82; full-year new business awards totaled $27 billion.

• EBITDA for Q4 was $798 million (15.5% margin), and full-year adjusted EBITDA reached $3.2 billion.

• Share count reduced by 20% since Q3 2024 through $3.5 billion in repurchases.

• Year-end cash balance of $1.9 billion; full-year operating cash flow over $2 billion.

Outlook and guidance

• 2026 guidance: total revenue of $21.1–$21.8 billion, adjusted EPS of $8.15–$8.75, and free cash flow of $650–$850 million.

• New Aptiv 2026: revenue of $12.8–$13.2 billion, EBITDA margin of 18.6%, adjusted EPS of $5.70–$6.10.

• VersaGen/Versigent 2026: revenue of $9.1–$9.4 billion, EBITDA margin of 10.7%, and free cash flow of $250 million.

• Bookings for FY 2026 expected to exceed $30 billion, supported by a strong pipeline.

• Confident in achieving 200 basis points of margin expansion by 2028 as stranded costs are eliminated.