Borgwarner Inc ( (BWA) ) has released its Q4 earnings. Here is a breakdown of the information Borgwarner Inc presented to its investors.
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BorgWarner Inc. is a global product leader in the automotive industry, specializing in innovative mobility solutions with a focus on accelerating the transition to eMobility for a cleaner future.
The company recently reported its financial results for the full year 2024 and the fourth quarter, along with its guidance for 2025. Despite a challenging market environment, BorgWarner has demonstrated resilience and strategic growth through new business awards and a commitment to maintaining strong financial performance.
Key highlights from BorgWarner’s financial report include an adjusted operating margin of 10.2% for the fourth quarter, despite significant impairment charges. The company achieved net cash provided by operating activities of $682 million, resulting in a free cash flow of $539 million. For the full year, BorgWarner reported net sales of $14,086 million, a slight decrease from the previous year, and adjusted net earnings per diluted share of $4.32. BorgWarner secured several new business awards, expected to bolster long-term growth, including agreements for Variable Cam Timing systems, turbocharger programs, transfer cases, and eMotors for hybrid and electric vehicles.
Looking ahead, BorgWarner anticipates continued sales growth, maintaining an adjusted operating margin above 10% and robust free cash flow in 2025. Despite expectations of a slight decline in its primary vehicle markets, the company remains optimistic about achieving a year-over-year change in organic sales between -2% and +2%, supported by its strategic initiatives and market outperformance.
Overall, BorgWarner’s strategic actions and financial discipline position it well for future success in the evolving automotive landscape, focusing on sustainable mobility solutions and operational excellence.
