The company reported a net loss in the first quarter of US$54 million, while adjusted EBITDA for the period was US$146 million, down US$232 million year-on-year.
The company reported that supply chain disruptions, elevated commodity prices, increased freight costs and labour availability issues, as well as inflation, continue to affect results in the near future for the company as well as the wider industry.
Adient has reported early signs of stabilisation but, despite this positivity, the company’s first quarter results were impacted by around US$185 million in temporary operating inefficiencies and net increases in commodity prices.
Regionally, the company reported adjusted EBITDA in the Americas of US$9 million, down from US$132 million in the same period in 2021. In EMEA, adjusted EBITDA was US$43 million, dropping from US$114 million a year previous. Meanwhile, Asia reported US$114 million in adjusted EBITDA, down from US$151 million for the first quarter of 2021.
Looking forward, the company is continuing to forecast c.US$14.8 billion in consolidated sales for the full 2022 financial year. Adjusted EBITDA is expected to be modestly lower than the 2021 financial year’s pro forma results of US$810 million, though no forecasted figure is given.
Adient said: “Despite early signs that certain macro factors impacting the industry are beginning to stabilise, the current operating environment remains challenging (i.e. ongoing supply chain disruptions, limited visibility of customer production schedules and labour concerns).
“As such, providing specific full-year fiscal 2022 guidance for adjusted EBITDA and free cash flow with reasonable confidence is not possible at this time. Adient will provide updates as appropriate as the FY22 progresses.”
