Fourth quarter drives 2023 expectations for Adient

Worldwide
Published:  07 November, 2022
Credit: Adient

Global automotive seating company Adient has reported its financial results for the fourth quarter of the 2022 financial year.

Following poor results in the previous two quarters, the company says it is entering the 2023 financial year from a “position of strength”.

Reported revenue for the fourth quarter of 2022 was US$3.65 billion, an increase of 32% over the same period in 2021.

The reported EBIT result for the quarter was US$138 million, while reported net income attributable to Adient totalled US$45 million.

For the full 2022 financial year, Adient achieved US$14.12 billion in reported revenue, up 3% year-on-year, with an EBIT of US$259 million and a net income loss of US$120 million.

In the Americas region alone, Adient reported an adjusted EBITDA for the full 2022 fiscal year of US$242 million, and revenue for Q4 of US$117 million.

Meanwhile, the result for the full year in the EMEA region was US$138 million, and US$34 million for the fourth quarter alone. Asia saw US$383 million in adjusted EBITDA for the 2022 financial year, and US$100 million in Q4.

Looking to the 2023 financial year, Adient is expecting consolidated sales in the region of US$14.7 billion and an adjusted EBITDA around US$850 million.

In its financial statement, the company said: “An expected year-on-year improvement in the operating environment, combined with additional “self-help” initiatives, are expected to underpin earnings, margin and growth in FY23 vs FY22.

“That said, FY23 will likely contain a unique set of challenges and obstacles that will need to be navigated. The biggest unknown and risk today relates to external factors that have the potential to impact Adient’s operations in Europe (energy cost and availability, labour inflation, consumer demand, vehicle production and the company’s ability to recover increased input costs from our customers).”