PRODUCTS TECHNOLOGY CAREERS NEWSROOM INVESTORS COMPANY NEWS MEDIA LIBRARY COMPANY PEOPLE SHARE Visteon Announces Third-Quarter 2021 Results Sales of $631 million in a challenging semiconductor supply environment Growth over market of 8% versus top customers' vehicle production Net income of $5 million Adjusted EBITDA of $42 million or 6.7% of sales 13 new products launched in third quarter; 26 launched year-to-date Company aligning sustainability commitments with science-based emissions targets Updating 2021 full-year guidance to reflect supply chain environment VAN BUREN TOWNSHIP, Mich., October 28, 2021 — Visteon Corporation (NASDAQ: VC) today announced third-quarter net sales of $631 million, representing a year-over-year decrease of 17% excluding the impact of currency. Total industry production decreased 20% while vehicle production at Visteon’s top customers decreased 25% in the same period, reflecting supply chain constraints and the worldwide semiconductor shortage. Despite these constraints, the company's sales performance represents 8% growth-over-market compared to the production volumes of its customers. Gross margin in the third quarter was $47 million, and net income attributable to Visteon was $5 million or $0.18 per diluted share. Adjusted EBITDA, a non-GAAP measure as defined below, was $42 million for the third quarter or 6.7% of sales, a decrease of $45 million compared to the prior year. The decrease in adjusted EBITDA reflects the impact of lower vehicle volumes, supply chain and material costs increases, and the non-recurrence of temporary austerity measures implemented in 2020, partially offset by the year-over-year savings related to 2020 structural costs reductions. Visteon launched 26 new products through the third quarter with over 20 planned for the fourth quarter. Key third quarter launches include a 10-inch digital cluster in compact vans sold under the Citroen, Peugeot, and Opel brands, and an 8-inch infotainment display for the Ford Maverick compact pickup truck. Additional launches include a 12-inch digital cluster in Dongfeng’s new compact sedan, and a 10-inch infotainment system on a new compact SUV with Stellantis in South America. The company won $3.8 billion in new business through the first three quarters of the year, approximately 30-percent of which were for electric vehicle programs. Key third quarter wins include a SmartCore program and a 15-inch OLED display for infotainment. For the first nine months, cash used by operations was $12 million and capital expenditures were $54 million. Adjusted free cash flow, a non-GAAP financial measure as defined below, for the first nine months of 2021 was a use of cash of $37 million, compared to a source of cash of $37 million for the same period in 2020. The company ended the third quarter with cash of $401 million and debt of $354 million, representing a net cash position of $47 million. Visteon's full-year 2021 guidance is being updated to reflect the latest supply chain environment. The company now projects full-year sales in the range of $2.60 billion to $2.65 billion, adjusted EBITDA in the range of $165 million to $175 million, and adjusted free cash flow to be break-even. The company also announced its commitment to address climate change in line with the goals of the 2015 Paris Agreement. Visteon will work with the Science Based Targets initiative (SBTi) to set its greenhouse gas emissions targets to support limiting global warming to 1.5°C above pre-industrial levels. SBTi is a global organization that drives climate action in the private sector by enabling companies to set science-based emissions reduction targets. “ I am proud of Visteon’s resilient third quarter performance that delivered improved results versus the second quarter and better-than-market sales performance despite the semiconductor shortages. The structural costs actions we implemented last year have allowed us to navigate the ongoing challenges this year while also positioning us to expand margins as industry volumes eventually increase. Sachin Lawande, President & CEO, Visteon „ 1 Excludes Y/Y impact of currency fluctuations About Visteon Visteon is a technology leader in automotive electronics dedicated to creating a more enjoyable, connected and safe driving experience. Our platforms leverage proven, scalable hardware and software solutions that enable the digital, electric and autonomous evolution of our global automotive customers. Visteon products align with key industry trends and include digital instrument clusters, displays, Android-based infotainment systems, domain controllers, advanced driver assistance systems (ADAS) and battery management systems. Visteon reported net sales of approximately $2.5 billion and booked $4.6 billion of new business in 2020. Learn more at https://investors.visteon.com/. Conference Call and Presentation Today, Thursday, October 28, at 9 a.m. ET, the company will host a conference call for the investment community to discuss the quarter’s results and other related items. The conference call is available to the general public via a live audio webcast. The dial-in numbers to participate in the call are: U.S./Canada: 844-535-3468 Outside U.S./Canada: 720-405-0988 Conference ID: 9713169 (Call approximately 15 minutes before the start of the conference.) The conference call and live audio webcast, related presentation materials and other supplemental information will be accessible in the Investors section of Visteon’s website. A news release on Visteon’s third-quarter results will be available in the News section of the website. A replay of the conference call will be available through the company’s website or by dialing 855-859-2056 (toll-free from the U.S. and Canada) or 404-537-3406 (international). The conference ID for the phone replay is 9713169. The phone replay will be available for one week following the conference call. __ Use of Non-GAAP Financial Information Because not all companies use identical calculations, adjusted EBITDA, adjusted net income, adjusted EPS, free cash flow and adjusted free cash flow used throughout this press release may not be comparable to other similarly titled measures of other companies. In order to provide the forward-looking non-GAAP financial measures for full-year 2021, the company provides reconciliations to the most directly comparable GAAP financial measures on the subsequent slides. The provision of these comparable GAAP financial measures is not intended to indicate that the company is explicitly or implicitly providing projections on those GAAP financial measures, and actual results for such measures are likely to vary from those presented. The reconciliations include all information reasonably available to the company at the date of this press release and the adjustments that management can reasonably predict. Forward-looking Information This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. The words "will," "may," "designed to," "outlook," "believes," "should," "anticipates," "plans," "expects," "intends," "estimates," "forecasts" and similar expressions identify certain of these forward-looking statements. Forward-looking statements are not guarantees of future results and conditions but rather are subject to various factors, risks and uncertainties that could cause our actual results to differ materially from those expressed in these forward-looking statements, including, but not limited to: continued and future impacts of the coronavirus (COVID-19) pandemic on our financial condition and business operations including global supply chain disruptions, market downturns, reduced consumer demand and new government actions or restrictions; significant or prolonged shortage of critical components from our suppliers, including but not limited to semiconductors, and particularly those who are our sole or primary sources; conditions within the automotive industry, including (i) the automotive vehicle production volumes and schedules of our customers, (ii) the financial condition of our customers and the effects of any restructuring or reorganization plans that may be undertaken by our customers, including work stoppages at our customers, and (iii) possible disruptions in the supply of commodities to us or our customers due to financial distress, work stoppages, natural disasters or civil unrest; our ability to execute on our transformational plans and cost-reduction initiatives in the amounts and on the timing contemplated; our ability to satisfy future capital and liquidity requirements, including our ability to access the credit and capital markets at the times and in the amounts needed and on terms acceptable to us, our ability to comply with financial and other covenants in our credit agreements, and the continuation of acceptable supplier payment terms; our ability to access funds generated by foreign subsidiaries and joint ventures on a timely and cost-effective basis; general economic conditions, including changes in interest rates and fuel prices, the timing and expenses related to internal restructurings, employee reductions, acquisitions or dispositions and the effect of pension and other post-employment benefit obligations; increases in raw material and energy costs and our ability to offset or recover these costs, increases in our warranty, product liability and recall costs or the outcome of legal or regulatory proceedings to which we are or may become a party; changes in laws, regulations, policies or other activities of governments, agencies and similar organizations, domestic and foreign, that may tax or otherwise increase the cost of, or otherwise affect, the manufacture, licensing, distribution, sale, ownership or use of our products or assets; and those factors identified in our filings with the SEC (including our Annual Report on Form 10-K for the fiscal year ended December 31, 2020, as updated by our subsequent filings with the Securities and Exchange Commission). Caution should be taken not to place undue reliance on our forward-looking statements, which represent our view only as of the date of this release, and which we assume no obligation to update. The financial results presented herein are preliminary and unaudited; final financial results will be included in the company's Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2021. New business wins and re-wins do not represent firm orders or firm commitments from customers, but are based on various assumptions, including the timing and duration of product launches, vehicle production levels, customer price reductions and currency exchange rates. Q3 2021 SUMMARY INFOGRAPHIC OPENS IN NEW WINDOW NEWSROOM FINANCIAL TABLES OPENS IN NEW WINDOW Contacts Dave Barthmuss Media dave.barthmuss@visteon.com +1 805-660-1914 Kris Doyle Investor Relations kdoyle@visteon.com +1 201-247-3050 Share this release Visteon Announces Third-Quarter 2021 Results Share on: Twitter Share on: Facebook Share on: LinkedIn Latest news - Visteon to Announce Third Quarter 2021 Results On Thursday, October 28 PRODUCTS Instrument Clusters Infotainment Displays Electrification Telematics Domain Controller Autonomous TECHNOLOGY Artificial Intelligence Connected Car Cybersecurity User Experience Interior Sensing CAREERS Job Opportunities Company Culture Diversity NEWSROOM News Media Library Company People Blog INVESTORS Fundamentals Press Releases Events & Presentations Corporate Governance SEC Filings Analyst Coverage FAQ Contact COMPANY About Us Sustainability Policies & Compliance Suppliers Contact Us Terms of use and privacy statement | Employee Resources Copyright © Visteon Corporation. 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