Adient: Timing of Preliminary First-Quarter Revenue and Profit Suggests More News Coming

Adient announced fiscal 2024 revenue and adjusted EBITDA on Jan. 22 in advance of its normal full earnings release that is still scheduled for the morning of Feb. 7. Revenue will be about $3.7 billion, roughly flat year over year, while adjusted EBITDA will be about $215 million, versus $212 million in the prior year’s quarter. New CEO and president Jerome Dorlack (was CFO) said in the Jan. 22 press release that the year is off to a solid start and he still expects improved earnings and profit margin for the full year versus fiscal 2023. The Jan. 22 numbers were in line with Refinitiv consensus for revenue and about $10 million below consensus for EBITDA. The stock rose by over 5% on the morning of Jan. 22, which we think is either due to continued optimism for full-year results or perhaps a debt restructuring announcement that may come on or before Feb. 7. We see no reason to change our fair value estimate on this news and will wait until full results come out on Feb. 7 to consider any fair value estimate change from fiscal first-quarter earnings.