Company: APTV
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0001521332-25-000040
Chunk: 196

Company: Aptiv PLC
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 8
Chunk 196
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$— Net gain on equity method transactions6 — 6 — Income before income taxes— — — — Income tax expense6 — 6 — Net income— — — — Net income attributable to noncontrolling interest$6 $— $6 $— Net income attributable to AptivGains (losses) on derivatives:Commodity derivatives$6 $9 $10 $5 Cost of salesForeign currency derivatives(12)44 (20)92 Cost of sales(6)53 (10)97 Income before income taxes2 (2)5 (2)Income tax expense(4)51 (5)95 Net income— — — — Net income attributable to noncontrolling interest$(4)$51 $(5)$95 Net income attributable to AptivPension and postretirement plans:Actuarial losses$(1)$(1)$(1)$(1)Other income, net (2)(1)(1)(1)(1)Income before income taxes— — — — Income tax expense(1)(1)(1)(1)Net income— — — — Net income attributable to noncontrolling interest$(1)$(1)$(1)$(1)Net income attributable to AptivTotal reclassifications for the period$1 $50 $— $94 (1)Represents accumulated currency translation adjustment gains reclassified to net income as a result of the sale of the Company’s investment in TTTech Auto during the three months ended June 30, 2025.(2)These accumulated other comprehensive loss components are included in the computation of net periodic pension cost (see Note 9. Pension Benefits for additional details).

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14. DERIVATIVES AND HEDGING ACTIVITIES

Cash Flow HedgesAptiv is exposed to market risk, such as fluctuations in foreign currency exchange rates, commodity prices and changes in interest rates, which may result in cash flow risks. To manage the volatility relating to these exposures, Aptiv aggregates the exposures on a consolidated basis to take advantage of natural offsets. For exposures that are not offset within its operations, Aptiv enters into various derivative transactions pursuant to its risk management policies, which prohibit holding or issuing derivative financial instruments for speculative purposes, and designation of derivative instruments is performed on a transaction basis to support hedge accounting