Company: ST
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0001477294-25-000119
Chunk: 118

Company: Sensata Technologies Holding plc
Filing Date: 2025-07-29
Form: 10-Q
Item: Item 8
Chunk 118
---
)(0.3)2.8 0.4 4.1Acquisition-related depreciation— 0.3 — 0.5 Income tax effect (iii)0.1 (1.0)0.1 (1.2)Total financing and other transaction costs (iv)$3.6 $1.7 $9.1 $6.1 

__________________________

i.Primarily includes losses or gains related to the divestiture of a business, costs incurred, including for legal, accounting, and other professional services, that are directly related to an acquisition, divestiture, or other transaction. In the six months ended June 30, 2025, this line includes costs and losses associated with the disposition of the Magnetic Speed and Positioning ("MSP") Business. Refer to Note 16: Disposals for further information on this transaction.

ii.Primarily relates to earnout compensation arrangements entered into concurrent with the closing of an acquisition and compensation in connection with the closing of a transaction. 

iii.We treat deferred taxes as a non-GAAP adjustment. Accordingly, the income tax effect of financing and transaction related and other non-GAAP adjustment refers only to the current income tax effect. 

iv.Total presented is the non-GAAP adjustment to net income. Certain portions of these adjustments are non-operating and are excluded from the non-GAAP adjustments to operating income.

29

(c)    In the three months ended December 31, 2024, we discontinued the use of adjustments to exclude step-up depreciation in our non-GAAP measures and we adjusted operating income and net income to exclude the amortization of all our intangible assets. The three and six months ended June 30, 2024 have not been recast. If we had recast this non-GAAP measure for the three and six months ended June 30, 2024, adjusted operating income and adjusted net income would have increased by an additional $1.8 million and $3.2 million, respectively.

The following table provides a reconciliation of net cash provided by operating activities in accordance with U.S. GAAP to free cash flow. 

For the six months ended June 30, (In millions)20252024Net cash provided by operating activities (GAAP)$260.1 $249.9 Additions to property, plant and equipment and capitalized software(58.0)(87.2)Free cash flow (non-GAAP)$202.