Garrett Motion reports Q3 EPS 24c, consensus 29c

Reports Q3 revenue $826M, consensus $851M. “Garrett delivered solid financial performance in Q3 amid industry softness, increased competitive pressure on global OEMs, compounded by some impact from short-term customer vehicle platform mix.” said CEO Olivier Rabiller. “Our outstanding operating performance allowed us to expand our adjusted EBITDA margin by 160 basis points year-over-year to 17.4% and generated $71M in adjusted free cash flow while we continue to execute on our capital allocation priorities, including $226M of share repurchases through the first three quarters of 2024. In the quarter, we continued to win across all turbo vehicle verticals. More specifically, our new range of large turbos enabled us to secure critical wins on gen-sets to serve the growing need for backup power generation equipment for data centers. Additionally, we continue to see increased momentum with our customers for our differentiated, zero-emission high-speed electric solutions. We have achieved significant progress this quarter with our high-speed electric powertrain solution, including closing important partnership agreements in the commercial vehicle space that will lead to mass production as early as 2027.”