Visteon beats earnings estimates despite revenue decline in third quarter

VAN BUREN TOWNSHIP, Mich. - On Thursday, Visteon Corporation (NASDAQ:VC) reported third quarter earnings that exceeded analyst expectations despite a revenue decline, as the automotive technology supplier continues to demonstrate strong operational execution.

The company posted adjusted earnings per share of $2.15, beating the analyst consensus of $2.12. However, revenue fell 6% YoY to $917 million, missing analyst estimates of $955.49 million.

The revenue decline was primarily attributed to expected sales reduction of Battery Management Systems in the U.S., sales decline in China, and unplanned downtime at JLR during September. These headwinds were partially offset by strong performance in the company’s cockpit electronics business in Europe and the Americas.

Despite lower sales, Visteon maintained strong profitability with adjusted EBITDA of $119 million, reflecting the company’s operational efficiency and cost management. The company generated $292 million in operating cash flow and $215 million in adjusted free cash flow for the first nine months of the year.

"Our third quarter performance reflects continued progress against our long-term growth strategy," said President and CEO Sachin Lawande. "We delivered another quarter of margin expansion and strong cash generation, launched 28 new products, secured $1.8 billion in new business wins, and paid our first quarterly dividend."

Visteon maintained its full-year 2025 guidance range of $3.70-$3.85 billion in revenue, compared to analyst consensus of $3.81 billion. The company noted that adjusted EBITDA and adjusted free cash flow are tracking toward the high end of their respective guidance ranges of $475-$505 million and $195-$225 million, while sales are tracking below the midpoint.

The quarter also saw continued momentum in new business wins, with $1.8 billion secured during the period, bringing the year-to-date total to $5.7 billion. These wins were led by advanced display and SmartCore cockpit domain controller programs, including a second high-performance computing win with integrated AI capabilities for a Chinese OEM.

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