Aptiv Earnings: Reports Solid Results Despite UAW Strike, but Growth Outlook Disappoints

Narrow-moat-rated Aptiv reported fourth-quarter earnings per share before special items of $1.40, $0.07 above the $1.33 FactSet consensus and $0.13 better than the $1.27 year-ago result. Fourth-quarter revenue increased 6% to $4.9 billion from $4.6 billion last year due to new business launches, partially offset by the UAW labor stoppage, customer mix, and moderate supply chain disruptions. Excluding currency, acquisitions, and divestitures, organic revenue increased 2%, 5 percentage points below the increase in global light vehicle production weighted to Aptiv’s customer base due to the strike and customer mix.