Overview
U.S. automotive seating maker's Q2 revenue grew 7% yr/yr, beating analyst expectations
Adjusted EPS for Q2 beat analyst expectations
Company modestly raised FY26 guidance despite $35 mln of higher input costs expected
Outlook
Adient raises FY2026 consolidated sales outlook to $14.8 bln from $14.6 bln
Company lifts FY2026 adj EBITDA forecast to $885 mln from $880 mln
Adient expects FY2026 free cash flow of $130 mln, up from previous $125 mln
Result Drivers
STRONG EXECUTION - Co said disciplined execution and operational consistency helped offset headwinds and support revenue growth
FX TAILWINDS AND VOLUME GAINS - Co said Q2 revenue growth was driven by FX tailwinds and increased volumes in the Americas and Asia
HIGHER INPUT COSTS - Co said increased input costs and higher launch expenses partially offset gains
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$3.87 bln
$3.63 bln (9 Analysts)
Q2 Adjusted EPS
Beat
$0.52
$0.44 (11 Analysts)
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the auto, truck & motorcycle parts peer group is "buy"
Wall Street's median 12-month price target for Adient PLC is $28.00, about 35.5% above its May 5 closing price of $20.67
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 9 three months ago
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)