Company: APTV
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0001521332-25-000040
Chunk: 239

Company: Aptiv PLC
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 8
Chunk 239
---
 and petroleum-based resin products, which have experienced significant volatility in price. We have also been impacted globally by increased overall inflation as a result of a variety of global trends. For example, the rapidly evolving trade policies and tariff actions could result in increased pricing pressures on our global supply chain, which could adversely affect our business and financial results. In addition, we expect semiconductor supply cost and commodity cost volatility to have a continual impact on future earnings and/or operating cash flows. Management continues to seek to mitigate both inflationary pressures and our material-related cost exposures using a number of approaches, including combining purchase requirements with customers and/or other suppliers, using alternate suppliers or product designs, negotiating cost reductions and/or commodity cost contract escalation clauses into our vehicle manufacturer supply contracts and hedging. We have also negotiated, and will continue to negotiate, price increases with our customers in response to the aforementioned increased overall inflation and global supply chain disruptions.

58

Three and Six Months Ended June 30, 2025 versus Three and Six Months Ended June 30, 2024

The results of operations for the three and six months ended June 30, 2025 and 2024 were as follows: Three Months Ended June 30,Six Months Ended June 30, 2025 2024 Favorable/(unfavorable)2025 2024 Favorable/(unfavorable) (dollars in millions)Net sales$5,208 $5,051 $157 $10,033 $9,952 $81 Cost of sales4,211 4,083 (128)8,116 8,106 (10)Gross margin997 19.1%968 19.2%29 1,917 19.1%1,846 18.5%71 Selling, general and administrative406 405 (1)790 771 (19)Amortization53 52 (1)104 106 2 Restructuring52 70 18 89 109 20 Operating income486 441 45 934 860 74 Interest expense(91)(64)(27)(184)(129)(55)Other income, net12 10 2 12 25 (13)Net gain on equity method transactions46 641 (595)46 641 (595)Income before income taxes and equity loss453 1,028 (575)808 1