Garrett Motion beats Q3 sales estimates, raises full-year earnings outlook

Garrett Motion. (Delaware)

23/10/2025 12:06

Overview

Garrett Motion Q3 net sales rise 9% to $902 mln, beating analysts' expectations

Adjusted EBITDA for Q3 beats estimates

Company raises 2025 outlook, citing favorable industry conditions and YTD performance

Outlook

Garrett raises 2025 net sales outlook to $3.5 bln-$3.6 bln

Company expects 2025 adjusted EBITDA of $610 mln-$650 mln

Garrett anticipates 2025 net income of $265 mln-$295 mln

Result Drivers

HIGHER SALES VOLUMES - Increased demand for gasoline and diesel products drove higher sales volumes, contributing to revenue growth

NEW CONTRACTS - Secured multiple commercial vehicle and industrial awards, including over $40 mln in lifetime revenue for gensets

PRODUCTIVITY GAINS - Productivity improvements net of labor inflation contributed to increased gross profit

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Beat
$902 mln
$868 mln (1 Analyst)
Q3 Net Income
$77 mln
Q3 Adjusted EBITDA
Beat
$164 mln
$151 mln (1 Analyst)
Q3 Adjusted EBITDA Margin
18.20%
Q3 Gross Profit
$186 mln
Q3 Pretax Profit
$102 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "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 Garrett Motion Inc is $17.00, about 26.4% above its October 21 closing price of $12.52

The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nGNX8NHHHz

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(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.)