From Nasdaq: 2025-05-07 09:09:00

BorgWarner’s adjusted earnings for Q1 2025 were $1.11 per share, beating estimates and up from $1.03 in Q1 2024. Net sales were $3.52 billion, surpassing estimates but down 2% year over year. Segment performance varied, with Turbos & Thermal Technologies outperforming, while Drivetrain & Morse Systems, PowerDrive Systems, and Battery & Charging Systems faced challenges.

In Q1 2025, BorgWarner’s Turbos & Thermal Technologies segment had net sales of $1.45 billion, missing estimates. Drivetrain & Morse Systems reported net sales of $1.36 billion, also underperforming. PowerDrive Systems saw sales rise to $561 million, while Battery & Charging Systems had sales of $150 million. The company’s financial position showed a decrease in cash and an increase in long-term debt compared to Q4 2024.

BorgWarner revised its 2025 guidance, expecting net sales of $13.6-$14.2 billion, an adjusted operating margin of 9.6-10.2%, and adjusted earnings per share of $4-$4.45. The company forecasts operating cash flow of $1,323-$1,375 million and free cash flow of $650-$750 million. BWA carries a Zacks Rank #4 (Sell), while HSAI and SMP are better-ranked in the auto space.

For full-year 2025, BorgWarner anticipates net sales in the range of $13.6-$14.2 billion, with an adjusted operating margin of 9.6-10.2% and adjusted earnings per share of $4-$4.45. Operating cash flow is projected at $1,323-$1,375 million, and free cash flow is expected to be $650-$750 million. BorgWarner carries a Zacks Rank #4 (Sell).



Read more at Nasdaq: BorgWarner Q1 Earnings Surpass Expectations, Guidance Revised