Increased Revenue and Shareholder Returns
Net sales for the second quarter were $890 million, representing a 2.5% increase from the previous year. The company returned approximately $50 million to shareholders through share repurchases and dividends.
Strong Adjusted Operating Income
Both Aftermarket and Fuel Systems segments showed strong adjusted operating income performance, with Aftermarket exceeding 16% and Fuel Systems at 11.5%.
EBITDA Margin Expansion
Adjusted EBITDA was $126 million with a margin of 14.2%, indicating a 60 basis point year-over-year expansion.
New Business Wins and Market Expansion
PHINIA secured new business in the Chinese and Brazilian markets, with notable wins in fuel rail assembly and GDi pump businesses. Additionally, the company expanded into aerospace and defense sectors.
Strategic Acquisition
The company announced plans to acquire Swedish Electromagnet Invest (SEM) for approximately $47 million, enhancing their portfolio in alternative fuel technology.