Borgwarner Inc
NYSE:BWA

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Borgwarner Inc
NYSE:BWA
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Price: 43.39 USD 0.42% Market Closed
Market Cap: 9.3B USD

Borgwarner Inc
Investor Relations

BorgWarner Inc., an enduring stalwart in the automotive industry, traces its roots back to the early 20th century. As vehicles evolved from luxury novelties to everyday necessities, BorgWarner became a key player by focusing on innovation and adaptation. The company carved out a niche in producing advanced propulsion systems, capitalizing on the growing demand for efficient, reliable automotive components. Its vast portfolio includes turbochargers, transmissions, and electrification products, catering to both traditional internal combustion engines and the burgeoning electric vehicle market. By investing heavily in research and development, BorgWarner ensures it remains at the forefront of technological advancements, crafting solutions that meet the stringent demands of modern automakers.

The company's financial engine is driven by its strategic balancing act across diverse product lines and markets. BorgWarner generates revenue by supplying parts to a broad spectrum of global automotive manufacturers. Their comprehensive approach spans light vehicles, commercial trucks, and off-highway applications, diversifying their income sources and stabilizing cash flow even amidst market fluctuations. A significant portion of the company’s revenue stems from long-term contracts with leading car manufacturers, which provide a stable foundation. At the same time, its commitment to electrification positions it to capture a growing market share as automotive trends shift towards sustainability. By staying ahead of industry shifts and expanding its scope to include electric and hybrid technologies, BorgWarner secures its place as a linchpin in the evolving landscape of automotive innovation.

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Last Earnings Call
Fiscal Period
Q3 2025
Call Date
Oct 30, 2025
AI Summary
Q3 2025

Sales Growth: BorgWarner reported Q3 2025 sales of just under $3.6 billion, up 2% year-over-year on an organic basis, despite some customer and segment headwinds.

Margin Strength: Adjusted operating margin rose to 10.7% in Q3, up 60 basis points year-over-year, marking the sixth straight quarter at or above 10%.

Guidance Raised: Full-year guidance for adjusted operating margin, adjusted EPS, and free cash flow was increased, with sales expected between $14.1 and $14.3 billion.

Free Cash Flow: Q3 free cash flow was $266 million, up 32% year-over-year, and full-year guidance was raised by $150 million to a range of $850–950 million.

Shareholder Returns: BorgWarner returned $136 million (over 50% of Q3 free cash flow) to shareholders through buybacks and dividends.

New Business Wins: The company secured 8 new business awards in Q3, reflecting strength in both traditional and electrified products and growing partnerships, especially in China.

Battery Business: Battery and charging sales remain a headwind, but cost actions have positioned the segment to be slightly EBITDA and free cash flow positive in 2025.

Market Challenges: Company faces headwinds from a cyber event at a European customer, supply issues in North America, and semiconductor (Nexperia) disruptions, all factored into guidance.

China & Electrification: Strong growth and business awards with Chinese OEMs expected to support future expansion and global ambitions.

Key Financials
Revenue
$3.6B
Adjusted Operating Margin
10.7%
Adjusted Operating Income
$385M
Adjusted EPS
up $0.15 compared to a year ago
Free Cash Flow
$266M
Shareholder Returns (Q3)
$136M
CapEx as % of Sales (YTD)
3% (YTD), expected ~4% for full year
Earnings Call Recording
Other Earnings Calls

Management

Mr. Frederic B. Lissalde
President, CEO & Director
No Bio Available
Mr. Joseph F. Fadool
Executive VP & COO
No Bio Available
Ms. Tonit M. Calaway J.D.
Executive VP, Chief Administrative Officer, General Counsel & Secretary
No Bio Available
Dr. Stefan Demmerle
VP and President & GM of PowerDrive Systems
No Bio Available
Mr. Craig D. Aaron
CFO, Executive VP & Controller
No Bio Available
Ms. Amy Kulikowski
VP & Chief Accounting Officer
No Bio Available
Harry Husted
Chief Technology Officer
No Bio Available
Mr. Patrick Nolan C.F.A.
Vice President of Investor Relations
No Bio Available
Ms. Tania Wingfield
Executive VP & Chief Human Resources Officer
No Bio Available
Dr. Volker Weng
VP, President and GM of Turbos and Thermal Technologies
No Bio Available

Contacts

Address
MICHIGAN
Auburn Hills
3850 Hamlin Rd
Contacts
+12487549200.0
www.borgwarner.com