Achieved 61% Year Over Year Net Income Growth; Record Annual Adjusted EBITDA of
Secured Annual Automotive New Business Awards of
Establishes 2025 Guidance
Fourth Quarter Highlights
- Product revenues of
$352.9 million decreased 3.8% from$366.9 million in the fourth quarter of 2023. Excluding the impact of foreign currency translation, product revenues decreased 3.3% year over year - Automotive revenues decreased 4.3% year over year; excluding the impact of foreign currency translation, automotive revenues decreased 3.7% year over year
- GAAP diluted earnings per share was
$0.49 as compared with$0.56 for the prior-year period - Adjusted diluted earnings per share was
$0.29 . Adjusted diluted earnings per share in the prior-year period was$0.90 - Secured automotive new business awards totaling
$640 million in the quarter
Full Year 2024 Highlights
- Product revenues of
$1,456.1 million decreased 0.9% from$1,469.1 million in 2023. Excluding the impact of foreign currency translation, product revenues decreased 0.4% year over year - Automotive revenues decreased 1.2% year over year; excluding the impact of foreign currency translation, automotive revenues decreased 0.7% year over year
- GAAP diluted earnings per share was
$2.06 as compared with$1.22 for the prior year - Adjusted diluted earnings per share was
$2.33 . Adjusted diluted earnings per share in the prior year was$2.59 - Secured automotive new business awards totaling
$2.4 billion - Maintained net leverage ~0.5x while investing in operations, and share repurchases
- Repurchased
$50.2 million of the Company’s common stock
2024 Fourth Quarter Financial Review
Product revenues for the fourth quarter of 2024 decreased by
Automotive revenues decreased 4.3% year over year. Adjusting for foreign currency translation, phasing out the non-automotive and contract manufacturing electronics business as well as one-time benefits from recoveries in the prior year, Automotive revenues decreased 1.8% year over year. Revenues from Automotive Climate and Comfort Solutions increased 1.7% in the fourth quarter compared to the prior-year period.
According to S&P Global Mobility’s mid-February report, actual light vehicle production increased by 0.4% in the fourth quarter when compared with the same quarter of 2023 in the Company’s key markets of
Gentherm Medical revenue increased 8.4% year over year. Adjusting for the impact of foreign currency translation, Medical revenues increased 8.9%.
Gross margin rate decreased to 24.4% in the current-year period, as compared with 26.2% in the prior-year period. The decrease from the prior-year period was driven by product mix, higher freight costs, the impact of foreign exchange, and the costs related to our new plants opening in
Net research and development expenses of
Selling, general and administrative expenses of
Restructuring expenses, net of
The Company recorded Adjusted EBITDA of
Income tax expense in the quarter was
GAAP diluted earnings per share for the quarter was
2024 Full Year Financial Review
For full year 2024, the Company reported product revenues of
In the Automotive segment, 2024 full-year revenue was
According to S&P Global Mobility’s
Medical segment revenue was
Gross margin rate was 25.2% in 2024, a 130 basis point increase from 2023, primarily as a result of strong material performance, productivity, and the impact of our previously announced exit of the non-automotive electronics business, partially offset by annual price reductions, wage inflation, and the costs related to our new plants opening in
Net research and development expenses of
Selling, general and administrative expenses of
The Company incurred
The Company recorded Adjusted EBITDA of
Income tax expense in 2024 was
The Company provides various non-GAAP financial measures in this release. See “Use of Non-GAAP Measures” below for additional information, including definitions, usefulness for investors and limitations, as well as reconciliations below to the most directly comparable GAAP financial measures.
Guidance
The Company is providing the following guidance for full year 2025:
- Product revenues between
$1.4 billion and$1.5 billion - Adjusted EBITDA between 12% and 13% of product revenues
- Full year effective tax rate between 26% and 29%
- Capital expenditures between
$70 million and$80 million
Guidance assumptions:
- Based on the current forecast of customer orders, our expectations of near-term conditions, and light vehicle production in our key markets decreasing at low single digit rate for full year 2025 versus 2024, and a EUR to USD exchange rate of
$1.03 /Euro. These assumptions do not include any impact of potential changes to tariffs.
Conference Call
As previously announced,
A live webcast and one-year archived replay of the call can be accessed on the Events page of the Investor section of
A telephonic replay will be available approximately two hours after the call until
Investor Contact
investors@gentherm.com
248.308.1702
Media Contact
Melissa Fischer
media@gentherm.com
248.289.9702
About Gentherm
Gentherm (NASDAQ: THRM) is a global market leader of innovative thermal management and pneumatic comfort technologies. Automotive products include variable temperature Climate Control Seats®, heated automotive interior systems (including heated seats, steering wheels, armrests and other components), battery performance solutions, cable systems, lumbar and massage comfort solutions, valve system technologies, and other electronic devices. Medical products include patient temperature management systems. The Company is also developing a number of new technologies and products that will help enable improvements to existing products and to create new product applications for existing and new markets. Gentherm has more than 14,000 employees in facilities in the United States, Germany, China, Czech Republic,
Forward-Looking Statements
Except for historical information contained herein, statements in this release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent
- macroeconomic, geopolitical and similar global factors in the cyclical Automotive industry;
- increasing
U.S. and global competition, including with non-traditional entrants; - our ability to effectively manage new product launches and research and development, and the market acceptance of such products and technologies;
- the evolution and recent challenges of the automotive industry towards electric vehicles, autonomous vehicles and mobility on demand services, and related consumer behaviors and preferences;
- our ability to convert automotive new business awards into product revenues;
- the recent supply-constrained environment, and inflationary and other cost pressures;
- the production levels of our major customers and OEMs in our key markets and sudden fluctuations in such production levels;
- our business in
China , which is subject to unique operational, competitive, regulatory and economic risks; - the impact of our global operations, including our global supply chain, operations within
Ukraine , and foreign currency and exchange risk; - the impact of global economic and trade policies, including increases in duties, tariffs and taxation on the import or export of our products related to
U.S. trade disputes; - our ability to attract and retain highly skilled employees and wage inflation;
- a tightening labor market, labor shortages or work stoppages impacting us, our customers or our suppliers, such as recent labor strikes among certain OEMs and suppliers;
- our achievement of product cost reductions to offset customer-imposed price reductions or other pricing pressures;
- our product quality and safety and impact of product safety recalls and alleged defects in products;
- our ability to execute efforts to optimize our global supply chain and manufacturing footprint, including opening new facilities and transferring production;
- our ability to integrate our recent acquisitions and realize synergies, as well as to consummate additional strategic acquisitions, investments and exits, and achieve planned benefits;
- any security breaches and other disruptions to our information technology networks and systems, as well as privacy, data security and data protection risks, including risks associated with use of artificial intelligence capabilities in our business operations;
- any loss or insolvency of our key customers and OEMs, or key suppliers;
- our ability to project future sales volume based on third-party information, based on which we manage our business;
- the protection of our intellectual property in certain jurisdictions;
- our compliance with global anti-corruption laws and regulations;
- legal and regulatory proceedings and claims involving us or one of our major customers;
- the extensive regulation of our patient temperature management business;
- risks associated with our manufacturing processes;
- the effects of climate change and catastrophic events, as well as regulatory and stakeholder-imposed requirements to address climate change and other sustainability issues;
- our product quality and safety;
- our borrowing availability under our revolving credit facility, as well ability to access the capital markets, to support our planned growth; and
- our indebtedness and compliance with our debt covenants.
The foregoing risks should be read in conjunction with the Company's reports filed with or furnished to the
Except as required by law, the Company expressly disclaims any obligation or undertaking to update any forward-looking statements to reflect any change in its expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.
Use of Non-GAAP Financial Measures
In addition to the results reported in accordance with GAAP throughout this release, the Company has provided here or elsewhere information regarding: adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”); Adjusted EBITDA margin; adjusted earnings per share (“Adjusted earnings per share” or “Adjusted EPS”); free cash flow; Net Debt, net leverage ratio (“net leverage”), revenue, segment revenue and product revenue excluding foreign currency translation and other specified gains and losses; Automotive Climate and Comfort Solutions revenues; and adjusted operating expenses, each a non-GAAP financial measure. The Company defines Adjusted EBITDA as earnings before interest, taxes, depreciation and amortization, deferred financing cost amortization, non-cash stock based compensation expenses, restructuring expenses, net, unrealized currency gain or loss and other gains and losses not reflective of the Company’s ongoing operations and related tax effects. The Company defines Adjusted EBITDA margin as Adjusted EBITDA divided by product revenues. The Company defines Adjusted EPS as earnings adjusted by restructuring expenses, net, unrealized currency gain or loss and other gains and losses not reflective of the Company’s ongoing operations and related tax effects. The Company defines Free Cash Flow as Net cash provided by operating activities less Purchases of property and equipment. The Company defines Net Debt as the principal amount of all Consolidated Funded Indebtedness (as defined in the Credit Agreement) less cash and cash equivalents. The Company defines net leverage as Net Debt divided by Adjusted EBITDA for the trailing four fiscal quarters. The Company defines revenue, segment revenue or product revenue excluding foreign currency translation and other specified gains and losses as such revenue, excluding the estimated effects of foreign currency exchange on revenue by translating actual revenue using the prior period foreign currency exchange rates and excluding the other items specified in the reconciliation tables herein. The Company defines Automotive Climate and Comfort Solutions revenues as Automotive revenue excluding specified product revenues and the impact of non-automotive electronics and contract manufacturing electronics revenues. The Company defines adjusted operating expenses as operating expenses excluding related non-cash stock based compensation, restructuring expenses, net, and other losses not reflective of the Company’s ongoing operations.
The Company’s reconciliations are included in this release or can be found in the supplemental materials furnished as Exhibit 99.2 to the Company’s Form 8-K dated
In evaluating its business, the Company considers and uses Free Cash Flow and Net Debt as supplemental measures of its liquidity and the other non-GAAP financial measures as supplemental measures of its operating performance. Management provides such non-GAAP financial measures so that investors will have the same financial information that management uses with the belief that it will assist investors in properly assessing the Company's performance on a period-over-period basis by excluding matters not indicative of the Company’s ongoing operating or liquidity results and therefore enhance the comparability of the Company's results and provide additional information for analyzing trends in the business. In evaluating our non-GAAP financial measures, you should be aware that in the future we may incur revenues, expenses, and cash and non-cash obligations that are the same as or similar to some of the adjustments in our presentation of non-GAAP financial measures. Our presentation of non-GAAP financial measures should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items. There also can be no assurance that we will not modify the presentation of our non-GAAP financial measures in the future, and any such modification may be material. Other companies in our industry may define and calculate these non-GAAP financial measures differently than we do and those calculations may not be comparable to our metrics. These non-GAAP measures have limitations as analytical tools, and when assessing the Company's operating performance or liquidity, investors should not consider these non-GAAP measures in isolation, or as a substitute for net income (loss), revenue or other consolidated income statement or cash flow statement data prepared in accordance with GAAP.
Non-GAAP measures referenced in this release and other public communications may include estimates of future Adjusted EBITDA, Adjusted EBITDA margin and Adjusted EPS. The Company has not reconciled the non-GAAP forward-looking guidance included in this release to the most directly comparable GAAP measures because this cannot be done without unreasonable effort due to the variability and low visibility with respect to taxes and non-recurring items, which are potential adjustments to future earnings. We expect the variability of these items to have a potentially unpredictable, and a potentially significant, impact on our future GAAP financial results.
CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Dollars in thousands, except per share data) (Unaudited) | ||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Product revenues | $ | 352,914 | $ | 366,933 | $ | 1,456,124 | $ | 1,469,076 | ||||||||
| Cost of sales | 266,810 | 270,637 | 1,089,693 | 1,117,452 | ||||||||||||
| Gross margin | 86,104 | 96,296 | 366,431 | 351,624 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Net research and development expenses | 21,078 | 21,367 | 88,697 | 94,358 | ||||||||||||
| Selling, general and administrative expenses | 38,646 | 41,899 | 155,108 | 155,579 | ||||||||||||
| Restructuring expenses, net | 768 | 1,327 | 13,110 | 4,739 | ||||||||||||
| Impairment of intangible assets and property and equipment | 1,971 | — | 2,501 | — | ||||||||||||
| Impairment of goodwill | — | — | — | 19,509 | ||||||||||||
| Total operating expenses | 62,463 | 64,593 | 259,416 | 274,185 | ||||||||||||
| Operating income | 23,641 | 31,703 | 107,015 | 77,439 | ||||||||||||
| Interest expense, net | (3,344 | ) | (5,197 | ) | (15,300 | ) | (14,641 | ) | ||||||||
| Foreign currency gain (loss) | 15,812 | (6,302 | ) | 9,599 | (5,918 | ) | ||||||||||
| Other (loss) income | (1 | ) | (2,984 | ) | 951 | (1,926 | ) | |||||||||
| Earnings before income tax | 36,108 | 17,220 | 102,265 | 54,954 | ||||||||||||
| Income tax expense (gain) | 20,787 | (867 | ) | 37,318 | 14,611 | |||||||||||
| Net income | $ | 15,321 | $ | 18,087 | $ | 64,947 | $ | 40,343 | ||||||||
| Basic earnings per share | $ | 0.50 | $ | 0.57 | $ | 2.08 | $ | 1.23 | ||||||||
| Diluted earnings per share | $ | 0.49 | $ | 0.56 | $ | 2.06 | $ | 1.22 | ||||||||
| Weighted average number of shares – basic | 30,912 | 31,974 | 31,293 | 32,778 | ||||||||||||
| Weighted average number of shares – diluted | 31,054 | 32,200 | 31,476 | 33,067 | ||||||||||||
REVENUE BY PRODUCT CATEGORY AND RECONCILIATION OF FOREIGN CURRENCY TRANSLATION IMPACT (Dollars in thousands) (Unaudited) | ||||||||||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||||||||||
| 2024 | 2023 | % Change | 2024 | 2023 | % Change | |||||||||||||||||||
| Climate Control Seat | $ | 116,031 | $ | 121,797 | (4.7 | )% | $ | 468,820 | $ | 482,665 | (2.9 | )% | ||||||||||||
| Seat Heaters | 70,752 | 77,456 | (8.7 | )% | 297,866 | 308,588 | (3.5 | )% | ||||||||||||||||
| Lumbar and Massage Comfort Solutions | 45,494 | 35,321 | 28.8 | % | 178,584 | 144,923 | 23.2 | % | ||||||||||||||||
| Steering Wheel Heaters | 42,824 | 38,777 | 10.4 | % | 169,763 | 153,943 | 10.3 | % | ||||||||||||||||
| Valve Systems | 23,082 | 23,746 | (2.8 | )% | 105,056 | 106,262 | (1.1 | )% | ||||||||||||||||
| Automotive Cables | 15,906 | 19,862 | (19.9 | )% | 73,091 | 79,993 | (8.6 | )% | ||||||||||||||||
| Battery Performance Solutions | 11,643 | 18,346 | (36.5 | )% | 58,183 | 75,484 | (22.9 | )% | ||||||||||||||||
| Electronics | 6,847 | 9,931 | (31.1 | )% | 33,065 | 40,387 | (18.1 | )% | ||||||||||||||||
| Other Automotive | 6,255 | 8,709 | (28.2 | )% | 21,850 | 30,707 | (28.8 | )% | ||||||||||||||||
| 338,834 | 353,945 | (4.3 | )% | 1,406,278 | 1,422,952 | (1.2 | )% | |||||||||||||||||
| Medical segment | 14,080 | 12,988 | 8.4 | % | 49,846 | 46,124 | 8.1 | % | ||||||||||||||||
| $ | 352,914 | $ | 366,933 | (3.8 | )% | $ | 1,456,124 | $ | 1,469,076 | (0.9 | )% | |||||||||||||
| Foreign currency translation impact(a) | (1,995 | ) | — | (7,129 | ) | — | ||||||||||||||||||
| $ | 354,909 | $ | 366,933 | (3.3 | )% | $ | 1,463,253 | $ | 1,469,076 | (0.4 | )% | |||||||||||||
| (a) Foreign currency translation impacts for the Automotive segment and Medical segment were | ||||||||||||||||||||||||
RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA AND ADJUSTED EBITDA MARGIN (Dollars in thousands) (Unaudited) | ||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Net income | $ | 15,321 | $ | 18,087 | $ | 64,947 | $ | 40,343 | ||||||||
| Add back: | ||||||||||||||||
| Depreciation and amortization | 12,587 | 12,062 | 51,329 | 50,416 | ||||||||||||
| Income tax expense (benefit) (a) | 20,787 | (867 | ) | 37,318 | 14,611 | |||||||||||
| Interest expense, net (b) | 3,344 | 5,197 | 15,300 | 14,641 | ||||||||||||
| Adjustments: | ||||||||||||||||
| Non-cash stock based compensation | 98 | 3,164 | 10,432 | 11,756 | ||||||||||||
| Restructuring expenses, net | 768 | 1,327 | 13,110 | 4,739 | ||||||||||||
| Unrealized currency (gain) loss | (16,970 | ) | 4,898 | (10,719 | ) | 9,125 | ||||||||||
| Leadership transition expenses | 3,802 | — | 3,802 | — | ||||||||||||
| Impairment of intangible assets and property and equipment | 1,971 | — | 2,501 | — | ||||||||||||
| Acquisition and integration expenses | — | 578 | — | 5,308 | ||||||||||||
| Impairment of goodwill | — | — | — | 19,509 | ||||||||||||
| Non-automotive electronics inventory (benefit) charge | (103 | ) | 575 | (4,554 | ) | 6,064 | ||||||||||
| Other (c) | (231 | ) | 4,001 | (574 | ) | 4,072 | ||||||||||
| Adjusted EBITDA | $ | 41,374 | $ | 49,022 | $ | 182,892 | $ | 180,584 | ||||||||
| Product revenues | $ | 352,914 | $ | 366,933 | $ | 1,456,124 | $ | 1,469,076 | ||||||||
| Net income margin | 4.3 | % | 4.9 | % | 4.5 | % | 2.7 | % | ||||||||
| Adjusted EBITDA margin | 11.7 | % | 13.4 | % | 12.6 | % | 12.3 | % | ||||||||
| (a) Includes | ||||||||||||||||
| (b) Includes | ||||||||||||||||
| (c) Includes $2,900 of non-cash impairment charges related to our | ||||||||||||||||
RECONCILIATION OF NET INCOME TO ADJUSTED NET INCOME AND ADJUSTED EARNINGS PER SHARE (Dollars in thousands, except per share data) (Unaudited) | ||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Net income | $ | 15,321 | $ | 18,087 | $ | 64,947 | $ | 40,343 | ||||||||
| Non-cash purchase accounting impact | 1,572 | 1,604 | 6,369 | 7,397 | ||||||||||||
| Restructuring expenses, net | 768 | 1,327 | 13,110 | 4,739 | ||||||||||||
| Unrealized currency (gain) loss | (16,970 | ) | 4,898 | (10,719 | ) | 9,125 | ||||||||||
| Leadership transition expenses | 3,802 | — | 3,802 | — | ||||||||||||
| Impairment of intangible assets and property and equipment | 1,971 | — | 2,501 | — | ||||||||||||
| Acquisition and integration expenses | — | 578 | — | 5,308 | ||||||||||||
| Impairment of goodwill | — | — | — | 19,509 | ||||||||||||
| Non-automotive electronics inventory (benefit) charge | (103 | ) | 575 | (4,554 | ) | 6,064 | ||||||||||
| Other (a) | (231 | ) | 4,001 | (574 | ) | 4,072 | ||||||||||
| Tax effect of above | 2,964 | (2,179 | ) | (1,582 | ) | (10,814 | ) | |||||||||
| Adjusted net income | $ | 9,094 | $ | 28,891 | $ | 73,300 | $ | 85,743 | ||||||||
| Weighted average shares outstanding (in thousands): | ||||||||||||||||
| Basic | 30,912 | 31,974 | 31,293 | 32,778 | ||||||||||||
| Diluted | 31,054 | 32,200 | 31,476 | 33,067 | ||||||||||||
| Earnings per share, as reported: | ||||||||||||||||
| Basic | $ | 0.50 | $ | 0.57 | $ | 2.08 | $ | 1.23 | ||||||||
| Diluted | $ | 0.49 | $ | 0.56 | $ | 2.06 | $ | 1.22 | ||||||||
| Adjusted earnings per share: | ||||||||||||||||
| Basic | $ | 0.29 | $ | 0.90 | $ | 2.34 | $ | 2.62 | ||||||||
| Diluted | $ | 0.29 | $ | 0.90 | $ | 2.33 | $ | 2.59 | ||||||||
| (a) Includes | ||||||||||||||||
CONSOLIDATED CONDENSED BALANCE SHEETS (Dollars in thousands, except share data) (Unaudited) | ||||||||
| 2024 | 2023 | |||||||
| ASSETS | ||||||||
| Current Assets: | ||||||||
| Cash and cash equivalents | $ | 134,134 | $ | 149,673 | ||||
| Accounts receivable, net | 258,112 | 253,579 | ||||||
| Inventory, net | 227,356 | 205,892 | ||||||
| Other current assets | 64,413 | 78,420 | ||||||
| Total current assets | 684,015 | 687,564 | ||||||
| Property and equipment, net | 252,970 | 245,234 | ||||||
| 99,603 | 104,073 | |||||||
| Other intangible assets, net | 57,251 | 66,482 | ||||||
| Operating lease right-of-use assets | 43,954 | 27,358 | ||||||
| Deferred income tax assets | 75,041 | 81,930 | ||||||
| Other non-current assets | 34,722 | 21,730 | ||||||
| Total assets | $ | 1,247,556 | $ | 1,234,371 | ||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| Current Liabilities: | ||||||||
| Accounts payable | $ | 226,815 | $ | 215,827 | ||||
| Current lease liabilities | 7,517 | 7,700 | ||||||
| Current maturities of long-term debt | 137 | 621 | ||||||
| Other current liabilities | 105,824 | 100,805 | ||||||
| Total current liabilities | 340,293 | 324,953 | ||||||
| Long-term debt, less current maturities | 220,064 | 222,217 | ||||||
| Non-current lease liabilities | 37,052 | 16,175 | ||||||
| Pension benefit obligation | 4,017 | 3,209 | ||||||
| Other non-current liabilities | 29,183 | 23,095 | ||||||
| Total liabilities | $ | 630,609 | $ | 589,649 | ||||
| Shareholders’ equity: | ||||||||
| Common Stock: | ||||||||
| No par value; 55,000,000 shares authorized 30,788,639 and 31,542,001 issued and outstanding at | 2,049 | 50,503 | ||||||
| Paid-in capital | 4,290 | — | ||||||
| Accumulated other comprehensive loss | (85,193 | ) | (30,160 | ) | ||||
| Accumulated earnings | 695,801 | 624,379 | ||||||
| Total shareholders’ equity | 616,947 | 644,722 | ||||||
| Total liabilities and shareholders’ equity | $ | 1,247,556 | $ | 1,234,371 | ||||
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (Dollars in thousands) (Unaudited) | ||||||||
| Year Ended | ||||||||
| 2024 | 2023 | |||||||
| Operating Activities: | ||||||||
| Net income | $ | 64,947 | $ | 40,343 | ||||
| Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
| Depreciation and amortization | 52,975 | 50,948 | ||||||
| Deferred income taxes | 10,580 | (13,072 | ) | |||||
| Stock based compensation | 10,432 | 11,627 | ||||||
| Provisions for inventory | 6,437 | 6,867 | ||||||
| Impairment of intangible assets and property and equipment | 2,501 | — | ||||||
| Loss on disposition of property and equipment | (1,603 | ) | 721 | |||||
| Impairment of goodwill | — | 19,509 | ||||||
| Other | (1,156 | ) | 2,920 | |||||
| Changes in assets and liabilities: | ||||||||
| Accounts receivable, net | (12,077 | ) | (4,195 | ) | ||||
| Inventory | (34,195 | ) | 6,907 | |||||
| Other assets | (44,696 | ) | (26,179 | ) | ||||
| Accounts payable | 16,222 | 31,029 | ||||||
| Other liabilities | 39,279 | (8,160 | ) | |||||
| Net cash provided by operating activities | 109,646 | 119,265 | ||||||
| Investing Activities: | ||||||||
| Purchases of property and equipment | (73,314 | ) | (37,602 | ) | ||||
| Proceeds from the sale of property and equipment | 7,862 | 391 | ||||||
| Proceeds from deferred purchase price of factored receivables | 12,876 | 13,903 | ||||||
| Cost of technology investments | (955 | ) | (815 | ) | ||||
| Net cash used in investing activities | (53,531 | ) | (24,123 | ) | ||||
| Financing Activities: | ||||||||
| Borrowings on debt | 68,000 | 60,000 | ||||||
| Repayments of debt | (70,615 | ) | (72,280 | ) | ||||
| Proceeds from the exercise of Common Stock options | 5,791 | 263 | ||||||
| Taxes withheld and paid on employee's share-based payment awards | (3,296 | ) | (2,940 | ) | ||||
| Cash paid for the repurchase of Common Stock | (51,585 | ) | (91,094 | ) | ||||
| Net cash used in financing activities | (51,705 | ) | (106,051 | ) | ||||
| Foreign currency effect | (19,949 | ) | 6,691 | |||||
| Net decrease in cash and cash equivalents | (15,539 | ) | (4,218 | ) | ||||
| Cash and cash equivalents at beginning of period | 149,673 | 153,891 | ||||||
| Cash and cash equivalents at end of period | $ | 134,134 | $ | 149,673 | ||||
| Supplemental disclosure of cash flow information: | ||||||||
| Cash paid for taxes | $ | 20,837 | $ | 23,273 | ||||
| Cash paid for interest | 13,007 | 13,242 | ||||||
OTHER NON-GAAP RECONCILIATIONS (Dollars in thousands) (Unaudited) | ||||||||||||||||
| Three Months Ended | Twelve Months Ended | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Automotive revenues | $ | 338,834 | $ | 353,945 | $ | 1,406,278 | $ | 1,422,952 | ||||||||
| Less: Non-automotive electronics revenues and contract manufacturing electronics | 2,755 | 5,729 | 15,719 | 27,866 | ||||||||||||
| Less: One-time benefits from recoveries and retrofits | — | 3,877 | — | 7,974 | ||||||||||||
| 336,079 | 344,339 | 1,390,559 | 1,387,112 | |||||||||||||
| Foreign currency translation impact | (1,934 | ) | — | (6,982 | ) | — | ||||||||||
| $ | 338,013 | $ | 344,339 | $ | 1,397,541 | $ | 1,387,112 | |||||||||
| Year over Year % change | (1.8 | )% | 0.8 | % | ||||||||||||
| Three Months Ended | Twelve Months Ended | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Automotive revenues | $ | 338,834 | $ | 353,945 | $ | 1,406,278 | $ | 1,422,952 | ||||||||
| Less: Valve Systems | 23,082 | 23,746 | 105,056 | 106,262 | ||||||||||||
| Less: Automotive Cables | 15,906 | 19,862 | 73,091 | 79,993 | ||||||||||||
| Less: Battery Performance Solutions | 11,643 | 18,346 | 58,183 | 75,484 | ||||||||||||
| Less: Non-automotive and contract manufacturing electronics | 2,755 | 5,729 | 15,719 | 27,866 | ||||||||||||
| Automotive Climate and Comfort Solutions revenues | 285,448 | 286,262 | 1,154,229 | 1,133,347 | ||||||||||||
| Less: One-time benefits from recoveries and retrofits | — | 3,877 | — | 7,974 | ||||||||||||
| Adjusted Automotive Climate and Comfort Solutions revenues | 285,448 | 282,385 | 1,154,229 | 1,125,373 | ||||||||||||
| Foreign currency translation impact | (1,630 | ) | — | (6,337 | ) | — | ||||||||||
| Adjusted Automotive Climate and Comfort Solutions revenues, excluding foreign currency translation impact | $ | 287,078 | $ | 282,385 | $ | 1,160,566 | $ | 1,125,373 | ||||||||
| Year over Year % change | 1.7 | % | 3.1 | % | ||||||||||||
| Three Months Ended | Twelve Months Ended | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Total operating expenses | $ | 62,463 | $ | 64,593 | $ | 259,416 | $ | 274,185 | ||||||||
| Restructuring expense, net | (768 | ) | (1,327 | ) | (13,110 | ) | (4,739 | ) | ||||||||
| Non-cash stock based compensation | (192 | ) | (3,164 | ) | (9,909 | ) | (11,382 | ) | ||||||||
| Leadership transition expenses | (3,802 | ) | — | (3,802 | ) | — | ||||||||||
| Impairment of intangible assets and property and equipment | (1,971 | ) | — | (2,501 | ) | — | ||||||||||
| Impairment of goodwill | — | — | — | (19,509 | ) | |||||||||||
| Acquisition and Integration expenses | — | (578 | ) | — | (5,308 | ) | ||||||||||
| Other | 231 | (1,139 | ) | (990 | ) | (1,729 | ) | |||||||||
| Adjusted operating expenses | $ | 55,961 | $ | 58,385 | $ | 229,104 | $ | 231,518 | ||||||||
2025 GlobeNewswire, Inc., source
