PHINIA
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PHINIA (PHIN) investor relations material

PHINIA Q4 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q4 2025 earnings summary12 Feb, 2026

Executive summary

  • Delivered strong Q4 and full-year 2025 results, meeting expectations despite macroeconomic and industry volatility, with $40M returned to shareholders and $24M in debt reduction in Q4.

  • Achieved significant milestones: first acquisition in August 2025, aerospace quality certification, and robust shareholder returns totaling 140% over 2024–2025.

  • Business resilience attributed to diversification across regions, customers, end markets, and products.

  • Secured key wins in aerospace, commercial vehicles, and alternative fuel systems, and expanded aftermarket SKUs.

  • Q4 net earnings rose to $45M, with net margin improving by 450 bps to 5.1% year-over-year.

Financial highlights

  • Q4 net sales: $889M, up 6.7% year-over-year; adjusted EBITDA: $116M (13% margin), up $6M; adjusted EPS: $1.18.

  • Full-year 2025 revenue: $3.48B, up 2.4% from 2024; adjusted EBITDA: $478M (13.7% margin), flat year-over-year.

  • Cash and equivalents: $359M; total liquidity: $859M; net leverage at 1.3x.

  • Returned $242M to shareholders in 2025 via $200M in share repurchases and $42M in dividends.

  • Net cash from operating activities for 2025 was $312M; adjusted free cash flow: $212M.

Outlook and guidance

  • 2026 net sales outlook: $3.52B–$3.72B, mid-single digit growth including FX.

  • Adjusted EBITDA guidance: $485M–$525M (13.7%–14.3% margin); adjusted free cash flow: $200M–$240M.

  • Adjusted effective tax rate: 30%–34%; 2026 net earnings projected at $165M–$195M.

  • Industry volumes expected flat to slightly down globally; growth driven by share gains and new products.

  • Organic revenue CAGR targeted at 2–4% through the decade.

Tariff impact on 2025 EBITDA margin and 2026
Progress on lower carbon mobility initiatives
What drove regional volume shifts and product mix?
Off-highway/industrial growth drivers
2026 EBITDA margin expansion drivers
Sustaining GDI market share gains
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Frequently asked questions

PHINIA Inc. is a company focused on the development, design, and manufacturing of integrated components and systems aimed at optimizing performance, increasing efficiency, and reducing emissions across a variety of applications including combustion and hybrid propulsion for commercial and light vehicles, as well as industrial uses. With operations segmented into Fuel Systems and Aftermarket, PHINIA provides advanced fuel injection systems, fuel delivery modules, canisters, sensors, electronic control modules, and associated software, including comprehensive systems with software and calibration services. The company's Aftermarket segment deals in the sale of starters, alternators, and other new and remanufactured products, along with maintenance, test equipment, and vehicle diagnostics solutions. Serving a broad spectrum of the automotive and industrial market, including original equipment manufacturers of passenger cars, trucks, vans, sport-utility vehicles, medium-duty and heavy-duty trucks, buses, and a variety of off-highway construction, marine, agricultural, and industrial applications, PHINIA is committed to advancing sustainability and exploring alternative fuels towards a carbon-free future. The company is headquartered in Auburn Hills, Michigan, with its shares listed on the New York Stock Exchange.

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