Company: APTV
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0001521332-25-000040
Chunk: 250

Company: Aptiv PLC
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 8
Chunk 250
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 included within Other in the table above:

•$53 million of unfavorable foreign currency impacts, primarily related to the Mexican Peso; and

•Approximately $10 million of increased depreciation, primarily as a result of a higher fixed asset base.

 Six Months Ended June 30,Variance Due To: 20252024Favorable/(unfavorable)Volume, net of contractual price reductionsOperational performanceOtherTotal (in millions)(in millions)Electrical Distribution Systems$306 $274 $32 $7 $56 $(31)$32 Engineered Components Group$561 $551 $10 $30 $31 $(51)$10 Advanced Safety and User Experience$333 $325 $8 $(20)$82 $(54)$8 

As noted in the table above, Adjusted Operating Income for the six months ended June 30, 2025 as compared to the six months ended June 30, 2024 was impacted by operational performance, volume, including product mix, as well as the impacts of contractual price reductions, net of price recoveries, of $30 million. Adjusted Operating Income was also impacted by the following items included within Other in the table above:

•$69 million of unfavorable foreign currency impacts, primarily related to the Mexican Peso and Chinese Yuan Renminbi; 

•Approximately $25 million of increased depreciation, primarily as a result of a higher fixed asset base;

•$15 million of increased SG&A expense, not including the impact of separation costs and other acquisition and portfolio project costs; and

•$15 million of increased warranty costs.

67

Liquidity and Capital Resources

Overview of Capital Structure

Our liquidity requirements are primarily to fund our business operations, including capital expenditures and working capital requirements, as well as to fund debt service requirements, operational restructuring activities and separation activities. Our primary sources of liquidity are cash flows from operations, our existing cash balance, and as necessary and available, borrowings under credit facilities and issuance of long-term debt and equity. To the extent we generate discretionary cash flow we may consider using this additional cash flow for optional prepayments of existing indebtedness, strategic acquisitions or investments, additional share repurchases and/or general corporate purposes. We also continually explore ways to enhance our capital structure.

As of June 30, 2025, we had cash and cash equivalents of $1.4 billion and net debt (defined as outstanding debt less cash and cash equivalents)