Adient, a global leader in automotive seating, announced on October 19, 2018 preliminary financial results for full year fiscal 2018. On a preliminary basis, based on the information currently available, the company expects:
- Full year 2018 revenue of approximately USD 17.4 billion, in-line with prior guidance of approximately USD 17.5billion.
- Full year 2018 Adjusted-EBITDA of approximately USD 1.2 billion vs. prior guidance of approximately USD 1.25 billion.
- Full year 2018 free cash flow (defined as operating cash flow less capital expenditures and excluding the impact of the accounts receivable financing facility initiated in Q3) of approximately USSD 0, in-line with prior guidance of between USD 0 and USD (100) million
“While sales and free cash flow were delivered in-line with our commitments, challenges within our Seat Structures and Mechanisms (SS&M) segment, and to a lesser extent, within our Interiors segment (YFAI), were the primary factors behind our earnings shortfall,” said Fritz Henderson, chairman of the company’s Board of Directors. “The management team, led by Doug DelGrosso, the company’s newly appointed president and CEO, is working with urgency to execute our transformation plan focused on better operational execution to drive meaningful improvements in profitability and free cash flow”.
In addition, the company expects its Q4 fiscal 2018 GAAP results to be impacted by certain material one-time, non-cash charges associated with asset impairments (within the SS&M and Interiors segments) and the recording of valuation allowances against certain deferred tax assets. Further details of Adient’s Q4 and full year fiscal 2018 results will be provided during the company’s fourth quarter 2018 earnings call on November 9, 2018.
Adient is a global leader in automotive seating. With 85,000 employees operating in 238 manufacturing/assembly plants in 34 countries worldwide, we produce and deliver automotive seating for all vehicle classes and all major OEMs. From complete seating systems to individual components, our expertise spans every step of the automotive seat-making process. Our integrated, in-house skills allow us to take our products from research and design all the way to engineering and manufacturing – and into more than 25 million vehicles every year.