Adient plc Files 10-Q for Period Ending December 31, 2023

TL;DR

<b>Adient plc filed its Q1 2024 10-Q report, detailing financial performance and operations for the quarter ending December 31, 2023.</b>

AI Summary

Adient plc (ADNT) filed a Quarterly Report (10-Q) with the SEC on February 7, 2024. Adient plc filed a 10-Q report for the period ending December 31, 2023. The filing covers the first quarter of fiscal year 2024. The company's fiscal year ends on September 30th. Adient Ltd. changed its name to Adient plc on March 28, 2016. The company is in the Motor Vehicle Parts & Accessories industry.

Why It Matters

For investors and stakeholders tracking Adient plc, this filing contains several important signals. This 10-Q filing provides investors with the latest quarterly financial data, enabling them to assess Adient's performance and make informed investment decisions. Understanding the company's financial health and operational segments is crucial for evaluating its stock value and future prospects in the automotive parts sector.

Risk Assessment

Risk Level: medium — Adient plc shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q), which typically contains routine financial information. However, specific financial performance details and forward-looking statements within the full report could indicate higher risk.

Analyst Insight

Review the detailed financial statements and management's discussion and analysis within the 10-Q to identify any significant trends or risks affecting Adient's performance.

Key Numbers

• 2023-12-31 — Report Period End Date (10-Q filing)
• 2024-02-07 — Filing Date (10-Q filing)
• 2023-09-30 — Fiscal Year End (Company data)
• 2016-03-28 — Date of Name Change (Company data)

Key Players & Entities

• Adient plc (company) — Filer of the 10-Q report
• Adient Ltd. (company) — Former name of Adient plc
• AdientLangfangSeatingCoLtdMember (company) — Subsidiary mentioned in relation to disposal group
• YFATMember (company) — Entity mentioned in relation to specific periods
• KEIPERSeatingMechanismsCoLtdMember (company) — Entity mentioned in relation to YFATMember
• AmericasSegmentMember (company) — Business segment
• EMEASegmentMember (company) — Business segment
• AsiaSegmentMember (company) — Business segment

Forward-Looking Statements

• Adient's revenue from its Asia segment will decrease in the next fiscal year due to the disposal of Adient Langfang Seating Co. Ltd. (Adient plc) — medium confidence, target: 2024-09-30

FAQ

Industry Context

Adient plc operates in the Motor Vehicle Parts & Accessories industry, supplying seating systems and components to global automotive manufacturers.

Regulatory Implications

The filing is a 10-Q, a standard quarterly report required by the SEC for publicly traded companies to disclose financial and operational information.

What Investors Should Do

1. Analyze Adient's revenue and profitability trends from the Q1 2024 10-Q.
2. Investigate any significant changes in Adient's balance sheet or cash flow statement.
3. Research Adient's business segments (Americas, EMEA, Asia) for performance insights.

Key Dates

• 2023-12-31: Period End Date — End of the reporting quarter for the 10-Q filing.
• 2024-02-07: Filing Date — Date Adient plc submitted its 10-Q report to the SEC.

Year-Over-Year Comparison

This is the first 10-Q filing for the fiscal year 2024, providing an update on Adient's financial performance since the last annual report (10-K).

Key Financial Figures

• $0.001 — registered Ordinary Shares, par value $0.001 ADNT New York Stock Exchange Indicate

Filing Documents

• adnt-20231231.htm (10-Q) — 1292KB
• a12312023exhibit311.htm (EX-31.1) — 16KB
• a12312023exhibit312.htm (EX-31.2) — 16KB
• a12312023exhibit321.htm (EX-32.1) — 10KB
• adnt-20231231_g1.jpg (GRAPHIC) — 11KB
• 0001670541-24-000030.txt (&nbsp;) — 8809KB
• adnt-20231231.xsd (EX-101.SCH) — 51KB
• adnt-20231231_cal.xml (EX-101.CAL) — 92KB
• adnt-20231231_def.xml (EX-101.DEF) — 254KB
• adnt-20231231_lab.xml (EX-101.LAB) — 755KB
• adnt-20231231_pre.xml (EX-101.PRE) — 500KB
• adnt-20231231_htm.xml (XML) — 1517KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION Item 1. Unaudited Financial Statements 3 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 28 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 39 Item 4.

Controls and Procedures

Controls and Procedures 39

- OTHER INFORMATION

PART II - OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 40 Item 1A.

Risk Factors

Risk Factors 40 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 40 Item 3. Defaults Upon Senior Securities 41 Item 4. Mine Safety Disclosures 41 Item 5. Other Information 41 Item 6. Exhibits 42

Signatures

Signatures 43 Adient plc | Form 10-Q | 2

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Unaudited Financial Statements

Item 1. Unaudited Financial Statements Adient plc Consolidated Statements of Income (unaudited) Three Months Ended December 31, (in millions, except per share data) 2023 2022 Net sales $ 3,660 $ 3,699 Cost of sales 3,414 3,468 Gross profit 246 231 Selling, general and administrative expenses 147 138 Restructuring and impairment costs 11 7 Equity income 23 28 Earnings before interest and income taxes 111 114 Net financing charges 44 41 Other pension expense (income) 2 9 Income before income taxes 65 64 Income tax provision (benefit) 20 31 Net income 45 33 Income attributable to noncontrolling interests 25 21 Net income attributable to Adient $ 20 $ 12 Earnings per share: Basic $ 0.22 $ 0.13 Diluted $ 0.21 $ 0.13 Shares used in computing earnings per share: Basic 92.9 95.1 Diluted 93.6 95.9 The accompanying notes are an integral part of the consolidated financial statements. Adient plc | Form 10-Q | 3 Adient plc Consolidated Statements of Comprehensive Income (unaudited) Three Months Ended December 31, (in millions) 2023 2022 Net income $ 45 $ 33 Other comprehensive income, net of tax: Foreign currency translation adjustments 142 106 Realized and unrealized gains on derivatives 9 25 Other comprehensive income 151 131 Total comprehensive income 196 164 Comprehensive income attributable to noncontrolling interests 38 37 Comprehensive income attributable to Adient $ 158 $ 127 The accompanying notes are an integral part of the consolidated financial statements. Adient plc | Form 10-Q | 4 Adient plc Consolidated Statements of Financial Position (unaudited) (in millions, except share and per share data) December 31, 2023 September 30, 2023 Assets Cash and cash equivalents $ 990 $ 1,110 Accounts receivable - net 1,661 1,874 Inventories 833 841 Other current assets 590 491 Current assets 4,074 4,316 Property, plant and equipment - net 1,401 1,382 Goodwill 2,138 2,094 Other intangible assets - net 401 408

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements (unaudited) 1. Organization and Summary of Significant Accounting Policies Adient is a global leader in the automotive seating supplier industry. Adient has a leading market position in the Americas, Europe and China, and has longstanding relationships with the largest global automotive original equipment manufacturers, or OEMs. Adient's proprietary technologies extend into virtually every area of automotive seating solutions, including complete seating systems, frames, mechanisms, foam, head restraints, armrests and trim covers. Adient is an independent seat supplier with global scale and the capability to design, develop, engineer, manufacture, and deliver complete seat systems and components in every major automotive producing region in the world. Basis of Presentation The unaudited consolidated financial statements of Adient have been prepared in accordance with the rules and regulations of the US Securities and Exchange Commission and in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). These interim consolidated financial statements include all adjustments (consisting of normal recurring adjustments) that management believes are necessary for a fair statement of the results of operations, financial position and cash flows of Adient for the interim periods presented. Interim results are not necessarily indicative of full-year results as Adient, along with the automotive industry, continues to be impacted by supply chain disruptions, inflationary pressures and volatile commodity pricing on certain input costs, along with the impacts of higher interest rates and volatility in consumer demand. Principles of Consolidation Adient consolidates its wholly-owned subsidiaries and those entities in which it has a controlling interest. Investments in partially-owned affiliates are accounted for by the equity method when Adient's interest exceeds 20% and does not hav

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View this 10-Q filing on SEC EDGAR