Nexteer Automotive Group (1316) Q3 2024 earnings summary

Executive summary

• Achieved significant next-generation business wins in Q3, including a major North American truck program and first EPS win with a jointly developed European/Chinese OEM program.

• Launched 18 new programs in Q3, with 12 focused on EVs and 12 in APAC, supporting new business growth.

• Strategic expansion continues with new tech center in Mexico and manufacturing plant in Changshu, China, both progressing on schedule.

Financial highlights

• Year-to-date bookings reached $4.2B, with 78% from new/conquest business and 35% EV exposure.

• Full-year business bookings target reaffirmed at $6B, reflecting strong Q3 performance.

Outlook and guidance

• Full-year guidance reaffirmed, with above-market revenue growth and margin expansion expected.

• Global OEM production volumes forecasted to be ~2% lower in 2024 compared to 2023.

• Continued strong growth anticipated in China, especially with COEMs, and new Changshu plant to support APAC revenue in 2025.