Q2 2025 Visteon Corp Earnings Call

July 24, 2025

All lines have been placed on mute to prevent any background noise.

After the Speakers' remarks, there will be a question and answer session. If you'd like to ask a question. During this time simply press star followed by the number one on your telephone keypad.

And if you'd like to withdraw your question Press Star one again, thank you.

Chris Doyle: I would now like to turn the call over to Chris Doyle, Vice President of Investor Relations and S. D N a.

Chris.

Chris Doyle: Good morning, I'm, Chris Doyle, Vice President of Investor Relations and F. PMA welcome.

Chris Doyle: Welcome to our earnings call for the second quarter 2025, before we begin this morning's call I'd like to remind you that today's presentation contains forward looking statements within the meaning of the private Securities Litigation Reform Act of 1095.

Chris Doyle: These statements are not guarantees of future performance and are subject to various risks uncertainties and assumptions that could cause actual results to differ materially from those expressed.

Chris Doyle: Please refer to the page titled forward looking information in our earnings materials for more detail.

Thank you for standing by. My name is Greg and I will be your conference operator. Today at this time I would like to welcome everyone to vishten second quarter, 2025 results, call all lines have been placed on mute to prevent any background noise.

Chris Doyle: Presentation materials for today's call.

Chris Doyle: This morning on the investors section of <unk> website.

Chris Doyle: You can download them at investors Visteon Dot com, if you haven't already done so.

Like to ask a question during this time, simply press star followed by the number 1 on your telephone keypad. And if you'd like to withdraw your question, press star 1 again, thank you.

Speaker Change: Joining us today, our selection with Wanda President and Chief Executive Officer, and Jerome <unk>, Senior Vice President and Chief Financial Officer.

Chris Doyle: I would now like to turn the call over to Chris Doyle vice president of investor relations and fpna.

Chris.

Speaker Change: Reschedule the call for one hour and we'll open the lines for questions. After sanctions syndromes prepared remarks.

Chris Doyle: Good morning. I'm Chris Doyle vice president of investor relations and fpna.

Speaker Change: Please limit your participation to one question and one follow up.

Sachin: Thank you again for joining US now I'll turn the call over to Sachin.

Sachin: Thank you, Chris and good morning, everyone. Thank you for joining our second quarter would be 25 earnings call.

Chris Doyle: Welcome to our earnings call. For the second quarter of 2025. Before we begin, this morning's call I'd like to remind you that today's presentation contains forward-looking statements within the meeting of the private Securities, litigation Reform, Act of 1995,

Sachin: <unk> delivered another quarter of strong operating and financial performance demonstrating the strength of our business, while continuing to execute on our long term strategy.

Chris Doyle: These statements are not guarantees, a future performance, and our subject to various risks uncertainties and assumptions that could cause actual results to differ materially from those expressed.

Sachin: Net sales of $969 million came in higher than we had anticipated at the beginning of the quarter.

Chris Doyle: Please refer to the page titled forward-looking information in our earnings material for more details.

Sachin: Driven by strong demand for our digital cockpit products, particularly in North America and Europe.

Chris Doyle: Presentation, materials, for today's call, we're posted this morning on the investor section of Von's website.

Despite the robo students performance Lula BMS suits in the U S and the ongoing market dynamics in China, which resulted in sales slightly underperforming customer vehicle production.

Chris Doyle: You can download them at investors.gov if you haven't already done. So,

Slashing Lande: Joining us today. Are slashing lande, president and chief executive officer in Jerome, Rukh, senior vice president and Chief Financial Officer.

Sachin: This trend is expected to reverse in Q3 and for the second half driven by new product launches and improving comps.

Speaker Change: We schedule the call for 1 hour and we'll open the lines for questions after Sachin and Jerome's prepared remarks.

Sachin: Adjusted EBITDA was $134 million representing.

Speaker Change: Please limit your participation to 1 question and 1 follow-up.

Sachin: Representing a margin of 13, 8% and adjusted free cash flow was $6 million to $7 million for the quarter.

Sachin: Thank you again for joining us now. Turn the call over to Sachin.

Sachin: As a result of our strong first half and outlook for the remainder of the year.

Sachin: Thank you, Chris and good morning everyone. Thank you for joining our second quarter 2025 earnings call.

Sachin: We are reinstating and increasing guidance for the full year.

Sachin: Operationally the company performed very well launching 21, new products expanding profit margins to various productivity measures and winning $2 billion in new business in the quarter.

Speaker Change: Christian delivered, another quarter of strong operating and financial performance demonstrating the strength of our business, while continuing to execute on our long-term strategy.

Speaker Change: Net sales of 969, million came in higher than we had anticipated at the beginning of the quarter.

Sachin: We continue to invest in the business, both organically and Inorganically, while returning capital to shareholders.

Speaker Change: Driven by strong demand for a digital cockpit products, particularly in North America and Europe.

Speaker Change: Sales performance.

Sachin: We closed another bolt on engineering services acquisition of <unk>.

Sachin: In the past 12 months.

Sachin: In addition, we are initiating a quarterly dividend starting in Q3, highlighting our confidence in generating free cash flow and our commitment to returning capital to shareholders.

Speaker Change: Ongoing market dynamics in China. Resulted in sales slightly underperforming customer vehicle production.

Speaker Change: This trend is expected to reverse in Q3 and for the second half driven by new product, launches and improving comps.

Sachin: Turning to page three.

Sachin: Our Q2 sales came in better than we had anticipated at the time of our first quarter earnings call earlier. This year. Despite the tariffs that went into effect in April and May of this year.

Speaker Change: Adjusted to be de was 134 million. Representing a margin of 13.8% and adjusted free. Cash flow was 67 million for the quarter.

Speaker Change: As a result of a strong first, half, an outlook for the remainder of the year.

Sachin: To recap definitive situation in early April by 25% tariff went into effect for all vehicles being imported into the U S.

Speaker Change: We are reinstating an increasing guidance for the full year.

Speaker Change: Operationally, the company performed very well launching 21. New products.

Sachin: In addition, starting in early May the 25% better for all non U S. MCA compliant autoparts went into effect.

Speaker Change: Expanding profit. Margins, through various productivity measures and winning 2 billion dollars in new business, in the quarter.

Sachin: While U S. MCA compliant parts remained exempt.

Speaker Change: We continue to invest in the business, both organically and inorganically, while returning Capital to shareholders.

Sachin: For Visteon virtually all goods that we ship from Mexico to the U S. Our U S MCA compliant.

Sachin: And our direct exposure to <unk> under the current structure is very low.

Speaker Change: We closed another Bolton Engineering Services, acquisition our second in the past, 12 months.

Sachin: In Q2 vehicle production schedules in North America remained stable and was not materially impacted by the tariffs.

Speaker Change: In addition, we are initiating a quarterly dividend starting in Q3 highlighting our confidence, in generating, free cash flow and our commitment to returning Capital to shareholders.

Sachin: For Visteon sales of cockpit electronics products and Americas was strong in Q2.

Speaker Change: Turning to page 3.

Sachin: We benefited from the ramp up of several recently launched products, including clusters and displays on Ford vehicles, such as the Bronco Maverick explorer infotainment.

Speaker Change: our Q2 sales came in better than we had anticipated at the time of our first quarter earnings call earlier this year, despite the tariffs that went into effect in April and May of this year,

Sachin: <unk> systems on VW Jetta and polo.

Sachin: In the large display on the Miranda SUV with Nissan.

Sachin: Battery management system sales came in lower than anticipated, but grew sequentially from the first quarter.

Speaker Change: To recap, the Tariff situation in early April. A 25% tariff went into effect for all vehicles being imported into the US.

Sachin: GM is our largest customer for BMS and despite the general slowdown of EV sales in the U S.

Speaker Change: In addition starting in early May at 25% tariff for all non usmca compliant, Auto Parts went into effect.

Speaker Change: While usmca compliant Parts, remained exempt.

Sachin: Had a strong quarter however.

Sachin: However, on a year over year basis, our BMS sales are lower in Q2 as GM in Atlantis are to customers for BMS in the U S. We're ramping up better manufacturing in 2024.

Speaker Change: For wion virtually all Goods that we ship from Mexico to the US or usmca compliant.

Speaker Change: And our direct exposure to terrorists under the current ter of structure is very low.

Sachin: Q2 of last year was the highest quarter in terms of BMS sales to GM, which makes the year over year comparison difficult for this quarter.

Speaker Change: In Q2 vehicle production schedules in North, America remain stable and were not materially impacted by the tariffs.

Speaker Change: For wion sales of cockpit Electronics, products in Americas was strong in Q2.

Sachin: Overall in Americas, the growth in cockpit electronics sales, partially offset the decline in Vms sales on a year over year basis, resulting in a four percentage point underperformance relative to customer vehicle production.

Speaker Change: We benefited from the ramp up of several recently launched products including clusters and displays on Ford vehicles such as the Bronco Maverick and Explorer.

Speaker Change: Infotainment systems on VW Jetta and Polo.

Sachin: In Europe, Visteon sales was up year over year, driven by new product launches despite a reduction in vehicle production.

Speaker Change: And the last display on the Morano SUV with Nissan.

Sachin: Electric vehicles performed well in Europe in Q2 with introduction of affordable hybrid and EV models by Carmakers and.

Sachin: And Visteon has cockpit electronics content on some that are doing well in the market.

Speaker Change: GM is our largest customer for BMS and despite the general slowdown of EV sales in the US, they had a strong quarter.

Sachin: Key programs for Visteon in Q2 include displays and digital clusters on the all four of our five evs from Reno.

Sachin: Digital clusters on the duster and mixture vehicles with dossier that come in ice and hybrid versions.

Speaker Change: However, on a year-over-year basis, our BMS sales are lower in Q2. As GM instantes are 2 customers for BMS in the US were ramping up battery Manufacturing in 2024

Sachin: And digital cluster and audio system on the popular for transit offers is hybrid and all electric powertrains.

Speaker Change: Q2 of last year, was the highest quarter in terms of BMS sales to GM, which makes the year-over-year comparison difficult for this quarter.

Sachin: Our sales in Europe also benefited from RMB services offered to carmakers to our recent acquisitions.

Sachin: While these services revenues currently are relatively small.

Sachin: Planned to expand our services engagement with additional automakers in Europe in the future overall, our sales outperformed vehicle production by eight percentage points in Europe in the second quarter.

Speaker Change: Overall, in America's the growth in cockpit Electronics sales, partially offset the decline in BMS sales on a year-over-year basis, resulting in a 4 percentage Point underperformance relative to customer vehicle production.

Speaker Change: In Europe, Wiston sales were up year-over-year driven by new product launches, despite a reduction in vehicle production.

Sachin: In rest of Asia, excluding China, we made good progress in Q2 on our strategic initiatives of growing sales with targeted car makers such as Toyota Hyundai.

Speaker Change: Electric vehicles performed. Well in Europe in Q2 with introduction of affordable, hybrid and EV models by car makers.

Speaker Change: And vion has cockpit Electronics, content on some that are doing well in the market.

Sachin: And Mitsubishi and.

Sachin: <unk> tubular manufacturers, such as Honda and Rolling period.

Sachin: Overall of sales continued the momentum from the first quarter with the growth over market of eight percentage points.

Speaker Change: Key Programs for vion and Q2 include displays and digital clusters on the R4 and R5 EVS from Reno,

Speaker Change: Digital clusters on the duster and bigstr vehicles, with dustia that come in ice and hybrid versions.

Sachin: In China, our Q2 sales were down year over year, primarily due to the ongoing market share shift towards domestic Oems that we have previously discussed.

Speaker Change: And digital cluster and audio system on the popular. Ford Transit that offers ice hybrid and all electric power trains

Sachin: However, I am pleased to note that sequentially, our Q2 sales were higher than Q1.

Speaker Change: Our sales in Europe also benefited from R&D services offered to car makers through our recent acquisitions.

Sachin: With higher sales on vehicles, such as the new Buick GLA with GM and the period of Corona.

Sachin: We are in the middle of a product transition with Julie our largest customer in China.

Sachin: Leasing an earlier generation cockpit domain controller with a new and more powerful system. That's also priced higher.

Speaker Change: While these Services revenues currently are relatively small, we plan to expand our services engagement with additional automakers in Europe. In the future. Overall, our sales outperformed vehicle production by 8 percentage points in Europe in the second quarter.

Sachin: Sales in Q2.

Sachin: Overall channel represented a significant drag on our global glaucoma market lowering it by five percentage points in Q2.

Speaker Change: In rest of Asia excluding China, we made good progress in Q2 on our strategic initiatives of growing sales with targeted car makers, such as Toyota, Hyundai Mahindra and Mitsubishi.

Sachin: We anticipate second half sales in China to modestly increase compared to the first half.

Speaker Change: And with select 2 wheeler manufacturers such as Honda and Royal Enfield.

Sachin: <unk> by new product launches.

Speaker Change: Overall, our sales continued, the momentum from the first quarter with the growth of our Market of 8 percentage points.

Sachin: And bind with easier comps, we expect growth over market to improve and be less of a headwind in the second half in.

Sachin: In summary, two was a strong quarter for sales with a cockpit electronics products, performing though and partially offsetting the anticipated decline in BMS revenues.

Speaker Change: In China, our Q2 sales were down year-over-year. Primarily due to the ongoing market, share shift towards domestic oems that we have previously discussed.

Sachin: Turning to page four.

Sachin: We had a very strong quarter of new business bookings with $2 billion of new business won in the quarter.

Speaker Change: However, I'm pleased to note that sequentially. Our Q2 sales were higher than q1 with higher sales on vehicles, such as the new Buick gl8 with GM. And the Toyota Corolla,

Sachin: Bringing the year to date total to just under $4 billion through the first half of the year.

Sachin: This performance plus our pipeline for the second half of the year gives us confidence that we will exceed our $6 billion target for new business wins for the full year.

Speaker Change: We are in the middle of a product transition with Gili, our largest customer in China replacing an earlier, generation cockpit, domain controller with a new and more powerful system. That's also priced higher that helped our sales in Q2

Sachin: Carmakers are extending existing vehicle platforms with hybrid and electric powertrain vehicles, and delaying development of all new electric vehicle platforms.

Speaker Change: Overall China represented, a significant drag on our Global growth over Market. Lowering it by 5 percentage points in Q2.

Speaker Change: We anticipate second half sales in China to modestly increase compared to the first half.

Sachin: <unk> larger and a greater number of displays in the cockpit is an attractive option to upgrade and refresh this vehicles, which is driving more opportunities for visteon for displays and digital clusters.

Speaker Change: Driven by new product launches.

Speaker Change: Combined with easier comps. We expect growth of Market to improve and be less of a headwind in the second half.

Sachin: The right hand side of the page highlights some of the key events in the quarter.

Sachin: The $1 48 inch pillar to pillar OLED display with a leading German luxury automaker for the new hybrid and battery electric vehicles with first launch in 2028.

Speaker Change: In summary Q2 was a strong quarter for sales with a cockpit. Electronics products, performing well and partially offsetting the anticipated decline in BMS revenues.

Speaker Change: Turning to page 4.

Sachin: This display will feature an all of the top selling sedans and Suvs from this car maker.

Speaker Change: We had a very strong quarter of new business bookings, with 2 billion dollars of new business 1 in the quarter.

Sachin: The next one is for a 16 inch displays and digital cluster with Hyundai for the vehicles in India.

Speaker Change: Bringing the year to date total, we just under 4 billion dollars through the first half of the year.

Sachin: Our localization efforts and investments in India was a key reason we were able to secure this business.

Speaker Change: This performance plus our pipeline for the second half of the Year gives us confidence that we will exceed. Our 6 billion dollars Target for new business wins for the full year.

Sachin: One five.

Sachin: Honda.

Speaker Change: Car makers are extending existing vehicle platforms with hybrid, and electric powertrain vehicles.

Sachin: With the market.

Sachin: Representing about $400 million in lifetime revenue establishing.

Speaker Change: And delaying development of all new electric vehicle platforms.

Sachin: Establishing <unk> as a leading supplier to Honda in this segment of the market.

Sachin: The last win highlighted is for the cockpit domain controller for treating a.

Speaker Change: Offering larger. And a greater number of displays. In the cockpit is an attractive option to upgrade and refresh this Vehicles, which is driving more opportunities for Vistana for displays and digital clusters.

Sachin: A leading commercial vehicle manufacturer.

Sachin: An existing supplier to <unk> for a smartphone product.

Speaker Change: The right hand side of the page highlights, some of the key wins in the quarter.

Sachin: This win represents the next generation of the product.

Sachin: Across the customer's new vehicle architecture.

Sachin: The significant then represents about $350 million in lifetime revenue and will help build the foundation of our growing commercial vehicle business.

Speaker Change: we won a 48, in pillar to pillar, OLED display with a leading German luxury automaker for the new hybrid and Battery electric vehicles with first launched in 2028,

Speaker Change: This display will feature in all of the top selling sedans in SUVs from this car maker.

Sachin: Turning to page five.

Speaker Change: In India.

Sachin: The second quarter was also strong in terms of new product launches.

Sachin: We launched 21, new products in the quarter with multiple automakers, including for products with commercial vehicle and tubular manufacturers.

Speaker Change: Our localization efforts and investments in India was a key reason, we were able to secure this business.

Speaker Change: We won a 5- in digital cluster product, with Honda for the 2-way market.

Sachin: This page highlights some of the key launches illustrating the diversity of launch activity across powertrains products and vehicle markets.

Speaker Change: This large program representing about 400 million in lifetime Revenue, establishes Wiston, as a leading supplier, to Honda in this segment of the market.

Sachin: We launched a digital cluster with connector services withdrawal in food.

Speaker Change: The last fin highlighted is for a cockpit domain controller for triton.

Sachin: Leading motorcycle manufacturer in India.

Speaker Change: A leading Commercial Vehicle Manufacturer.

Sachin: And the smart core and digital cluster program that volatile in their construction vehicles and heavy duty trucks.

Sachin: We also launched new smartphone products with volatile and polestar two brands that are part of <unk>.

Speaker Change: We had an existing supplier to Triton for our Smart Core product and this win represents the next generation of the product which will go across the customer's new vehicle architecture.

Sachin: And finally, we launched a 25 inch in remic display with Audi on the new Q3 vehicle.

Speaker Change: The significant win represents about 350 million dollars in lifetime revenue and will help build the foundation of a growing commercial vehicle business.

Sachin: Our first business with this car maker.

Speaker Change: Turning to page 5.

Sachin: Aldi is completely redesigned the vehicles with the focus on the cockpit anchored by Visteon advanced display product.

Speaker Change: The second quarter was also strong in terms of new product launches.

Sachin: The panoramic display creates an immersive experience for the driver.

Sachin: And was featured prominently in the market introduction of the vehicle.

Speaker Change: We launched 21 new products in the quarter with multiple automakers, including 4 products with commercial vehicle and 2 wheeler manufacturers.

Speaker Change: Turning to page six.

Speaker Change: We remain focused on executing our strategy, which is centered around offering products that are well aligned with key industry trends supported by one of the best cost structures in the industry.

Speaker Change: This page highlights, some of the key launches illustrating the diversity of launch activity across powertrains products and vehicle markets.

Speaker Change: This approach has enabled us to successfully navigate the evolving industry trends and positioned the company for growth.

Speaker Change: We launched a digital cluster with connected services with Royal Enfield, a leading motorcycle manufacturer in India.

Speaker Change: And a Smart Core and digital cluster program with Volvo in their construction vehicles and heavy duty trucks.

Speaker Change: In parallel we seek to balance the allocation of capital to initiatives to strengthen our execution capabilities and returning capital to shareholders.

Speaker Change: We also launched new Smart Core products with Volvo and Polestar 2 brands that are part of G.

Speaker Change: In Q2, we made significant progress on our long term strategic priorities.

Speaker Change: With the car, becoming increasingly software defined displaced a key part of the user experience.

Speaker Change: And finally, we launched a 25 in panoramic display with Audi, on the new Q3 vehicle, our first business with this car maker.

Speaker Change: We have been investing to develop deep expertise in automotive display design and manufacturing for the past several years.

Speaker Change: Audi has completely redesigned the vehicle with the focus on the cockpit. Anchored, by visions, Advanced display product.

Speaker Change: The panoramic display creates an immersive experience for the driver.

And these investments are continuing to pay off.

Speaker Change: And was featured prominently in the market introduction of the vehicle.

Speaker Change: In Q2, our display sales was up about 20% over prior year as we launched several new display products, including the panoramic display for the new Audi Q3 that I discussed previously.

Speaker Change: Turning to page 6.

Speaker Change: The win of a large pillar to pillar display business with a leading luxury OEM the biggest of which kind for OLED displays into industry reinforces our strong position in the industry.

Speaker Change: Commercial vehicles, including heavy duty trucks buses and even construction equipment as.

Speaker Change: As well as two leaders are converging on the same trends the passenger cars have been going through for some time.

Speaker Change: These adjacent transportation markets on an attractive growth opportunity for Visteon and in Q2, we won about $750 million in new business for smart core and digital cluster products.

Speaker Change: We anticipate that these two markets could represent as much as 10% of our sales, but at the end of this decade up from about 4% per day.

Speaker Change: As noted previously.

Speaker Change: Asia automakers, such as Toyota Hyundai Honda and <unk> represent an exciting growth opportunity for Visteon.

Speaker Change: In Q2, we secured key new business with Hyundai and Honda.

Speaker Change: That builds up on the good progress we've made with Toyota and Maruti Suzuki that was reported previously.

Speaker Change: The five inch digital cluster win with Honda for two wheelers is particularly interesting as it is a large sites display for their pocket as the global leader in two wheelers Honda has the technology trend setter in the industry and this product will likely spur other tubular manufacturers to follow creating additional opportunity.

Speaker Change: As for Visteon.

Speaker Change: We also made progress on several vertical integration initiatives.

Speaker Change: If we continue to bring key display related capabilities in house.

Speaker Change: Large displays required large metal frames to provide structural support that add significant weight and cost to the overall product.

Speaker Change: The use of lightweight metal alloy that is injection molded using a special high temperature process called pixel molding to create the screen.

Speaker Change: In Q2, we made progress and in sourcing pixel Morgan capability at plants in Mexico and two this year.

Speaker Change: A five inch digital cluster of <unk> for two wheelers is particularly interesting as it is a large sized display for their pocket as the global leader in two wheelers Honda has the technology trend setter in the industry and this product will likely spur other tubular manufacturers to follow creating additional opportunities.

Speaker Change: To our knowledge the only supplier that has this capability in house, which not only saves cost, but also derisk the supply chain from China dependency.

Speaker Change: If you also made good progress on the in sourcing of display backlight unit.

Speaker Change: For Visteon.

Speaker Change: A key electronics component of the streets.

Speaker Change: We also made progress on several vertical integration initiatives.

Speaker Change: Together with optical bonding and took some molding there are successively bringing more of the display manufacturing process in house.

Speaker Change: We continue to bring key display related capabilities in house.

Speaker Change: Lastly, we completed the acquisition of an engineering services company with about 250 people in Germany that specializes in automotive user interface design as a service to car manufacturers.

Speaker Change: Displays required large metal frames to provide structural support that add significant weight and cost to the overall product.

Speaker Change: We use a lightweight metal alloy that is injection molded using a special high temperature process called pixel molding to create the screen.

Speaker Change: With the trend of large displays and the anticipated introduction of Gen. <unk> in the cockpit user interface design and cost with likely required a complete reboot.

Speaker Change: In Q2, we made progress in insourcing pixel molding capability at plants in Mexico into next year.

Speaker Change: This acquisition positions visteon to engage with carmakers only during the concept phase of new corporate <unk> designs.

Speaker Change: To our knowledge the only supplier that has this capability in house, which not only saves cost, but also derisk the supply chain from China dependency.

Speaker Change: This is our second acquisition of Engineering services company in the past 12 months.

Speaker Change: The first acquisition is also a similar sized company.

Speaker Change: If you also made good progress on the in sourcing of display back led to unit, which is a key electronics component of displays together.

Speaker Change: Focused on vehicle connectivity and E mobility technologies.

Speaker Change: Our objective with these acquisitions is to move up the value chain and engaged early with our customers for next generation technologies.

Speaker Change: Together with optical bonding and took some molding we are successfully bringing more of the display manufacturing process in house.

Speaker Change: It also offers the potential to drive meaningful sales and profit contribution as we expand the services offering across our customer portfolio.

Speaker Change: Lastly, we completed the acquisition of an engineering services company with about 250 people in Germany, especially as this in automotive user interface design as a service to car manufacturers.

Speaker Change: Turning to page seven.

Speaker Change: I would like to provide an update on our outlook for the year.

Speaker Change: With the trend of large displays and the anticipated introduction of Gen. AI in the cockpit user interface design and cost will likely require a complete reboot.

Speaker Change: On our Q1 earnings call, we elected not to reaffirm guidance due to the potential risk of disruption to vehicle production due to repetitive.

Speaker Change: A quarter later the risk to our original full year outlook has reduced given the feedstock mitigated altogether.

Speaker Change: This acquisition positions visteon to engage with carmakers early during the concept phase of new corporate <unk> designs.

Speaker Change: Our strong Q2, and first half performance, coupled with customer demand and visibility, especially for Q3 puts us in a position to reinstate guidance and increased the midpoint for all three financial metrics of sales adjusted EBITDA and adjusted free cash flow for the full year.

Speaker Change: This is our second acquisition of Engineering services company in the past 12 months. The FTSE acquisition is also a similar sized company.

Speaker Change: Focused on vehicle connectivity and E mobility technologies.

Speaker Change: Our objective with this acquisitions is to move up the value chain and engaged early with our customers for next generation technologies.

Speaker Change: Our outlook for customer vehicle production for the second half is based largely on S&P globals latest forecast with some modifications based on customer input.

Speaker Change: It also offers the potential to drive meaningful sales and profit contribution as we expand the services offering across our customer portfolio.

Speaker Change: S&P global is forecasting vehicle production to be down 5% for the second half both sequentially and year over year.

Speaker Change: Turning to page seven.

Speaker Change: I would like to provide an update on our outlook for the year on our Q1 earnings call, we elected not to reaffirm guidance due to the potential risk of disruption to vehicle production due to tariffs.

Compared to our original guidance.

Speaker Change: First half customer production has worsened slightly.

Speaker Change: It should be noted that in our guidance that assuming that the pair of status remains unchanged.

Speaker Change: A quarter later the risk to our original full year outlook has reduced given the feedstock mitigated altogether.

Speaker Change: <unk> that all U S. MCA compliant box remained completely exempt from tariffs.

Speaker Change: Our strong Q2, and first half performance, coupled with customer demand visibility, especially for Q3 puts us in a position to reinstate guidance and increased the midpoint for all three financial metrics of sales adjusted EBITDA and adjusted free cash flow for the full year.

Speaker Change: Compared to our original guidance our outlook is benefiting from favorable currency and the contribution from our recent engineering services acquisitions.

Speaker Change: Partially offset by BMS.

Speaker Change: We've assumed lower BMS revenues through the potential global consumer demand from the phase out of the <unk> tax credit by the end of September.

Speaker Change: Our outlook for customer vehicle production for the second half is based largely on S&P globals latest forecast with some modifications based on customer input.

Speaker Change: Our sales growth over market in the second half is anticipated to improve from Q2 levels.

Speaker Change: Mainly driven by upcoming new product launches for displays in cockpit domain controllers.

Speaker Change: S&P global is forecasting vehicle production to be down 5% for the second half both sequentially and year over year.

Speaker Change: We now anticipate growth over market of mid single digit for the full year, a modest decline from original expectations due to lower BMS sales in China.

Speaker Change: Compared to our original guidance.

Speaker Change: Second half customer production has worsened slightly.

It should be noted that in our guidance, we're assuming that repetitive status remains unchanged, including that all U S. MCA compliant box remained completely exempt from tariffs.

Speaker Change: In total we remain cautiously optimistic despite the uncertain industry environment based on the strength of our product portfolio.

Speaker Change: Traction, we're gaining in our strategic initiatives as evident in our strong first half performance and the visibility we have in near term customer production schedules.

Speaker Change: Compared to our original guidance our outlook is benefiting from favorable currency and the contribution from our recent engineering services acquisitions.

Jerome: Now I will turn the presentation over to Jerome.

Speaker Change: Actually offset by BMS.

Speaker Change: We've assumed lower BMS revenues to the potential lower consumer demand from the phase out of the <unk> tax credit by the end of September.

Jerome: Thank you Sachin and good morning, everyone similar to quarter, one our second quarter was another strong quarter, both operationally and financially, allowing us to post excellent key metrics.

Speaker Change: Our sales growth over market in the second half is anticipated to improve from Q2 levels.

Jerome: Sales were $969 million, reflecting a 4% sequential improvement from Q1, it was better than anticipated and driven by robust demand for our digital cockpit products.

Speaker Change: Mainly driven by upcoming new product launches for displacement cockpit domain controllers.

Speaker Change: We now anticipate growth over market of mid single digit for the full year, a modest decline from original expectations due to lower <unk> sales in China.

Jerome: Adjusted EBITDA for the quarter was $134 million, reflecting continued operational execution and cost discipline.

Speaker Change: In total we remain cautiously optimistic despite the uncertain industry environment based on the strength of our product portfolio.

Jerome: Adjusted EBITDA margin for the quarter was a solid 13, 8% matching the record margin percentage that we set last quarter.

Speaker Change: Traction we are gaining in our strategic initiatives as evident in our strong first half performance and the visibility we have in near term customer production schedules.

Jerome: We did benefit from some nonrecurring items and when normalizing for these items our margins were in the mid 12% range in line with our expectations.

Jerome: Now I will turn the presentation over to Jerome.

Jerome: Adjusted free cash flow was $67 million driven by a robust EBITDA performance as well as an inflow from working capital.

Jerome: In the quarter, we completed another bolt on acquisition with a purchase price of $50 million net of cash acquired.

Jerome: Sales were 969 million, reflecting a 4% sequential improvement from Q1, it was better than anticipated and driven by robust demand for our digital cockpit products.

Jerome: We ended the quarter with $361 million of net cash on the balance sheet and we are well positioned to continue executing on our balanced capital allocation strategy.

Jerome: Adjusted EBITDA for the quarter was $134 million, reflecting continued operational execution and cost discipline.

Jerome: Overall, we delivered another strong quarter, driven by our ongoing focus on commercial and operational discipline as well as capital efficiency.

Jerome: Adjusted EBITDA margin for the quarter with a solid 13, 8% matching the record margin percentage that we set last quarter.

Jerome: Turning to page 10.

Jerome: Sales were $969 million for the quarter, a decrease of $45 million compared to prior year.

Jerome: We did benefit from some nonrecurring items and when normalizing for these items our margins were in the mid 12% range in line with our expectations.

Jerome: Customer production volumes were slightly negative year over year declining in the low single digits in both the Americas and Europe, while production increased in Asia.

Jerome: Adjusted free cash flow was $67 million driven by a robust EBITDA performance as well as an inflow from working capital.

Jerome: Growth versus market was negative 1% in the quarter recently launched programs with Ford and VW Renault and Nissan were positive contributors wireless sales declines in BMS in China offset this growth.

Jerome: In the quarter, we completed another bolt on acquisition with a purchase price of $50 million net of cash acquired.

Jerome: We ended the quarter with $361 million of net cash on the balance sheet and we are well positioned to continue executing on our balanced capital allocation strategy.

Jerome: As a reminder, Dms sales peaked in Q2 last year.

Jerome: Our U S customers ramped up production of batteries in anticipation of new product launches.

Jerome: Overall, we delivered another strong quarter, driven by our ongoing focus on commercial and operational discipline as well as capital efficiency.

Jerome: Excluding China growth over market was 4% in the quarter, even with the additional headwind from the EMS sales.

Jerome: Turning to page 10.

Jerome: Contributions from M&A represented slightly less than 1% of sales.

Jerome: Sales were $969 million for the quarter, a decrease of $45 million compared to prior year.

Jerome: Customer recoveries, primarily related to semiconductor cost increases reduced sales compared to prior year by approximately 2% no.

Jerome: Customer production volumes were slightly negative year over year declining in the low single digits in both the Americas and Europe, while production increased in Asia.

Jerome: Normal annual price reductions to our customers or slightly below 2% and in line with our historical average.

Jerome: Growth versus market with negative 1% in the quarter.

Jerome: FX was a very modest benefit in the quarter.

Jerome: Our recently launched programs with Ford and VW Renault and Nissan were positive contributors, while sales declines in BMS in China offset this growth.

Jerome: Adjusted EBITDA for the quarter was $134 million.

Jerome: Compared to prior year adjusted EBITDA was essentially flat, mostly as a result of lower sales offset by nonrecurring items, which was a net positive on a year over year basis.

Jerome: As a reminder, Dms sales peaked in Q2 last year as our U S customers that ramped up production of batteries in anticipation of new product launches.

Jerome: The majority of these nonrecurring items, our commercial in nature and highlight the commercial discipline that we have integrated in our operating model by negotiating recoveries from our customers for incremental cost incurred from prior periods.

Jerome: Excluding China growth over market was 4% in the quarter, even with the additional headwind from Vms sales.

Jerome: Contributions from M&A represented slightly less than 1% of sales.

Jerome: Customer recoveries, primarily related to semiconductor cost increases reduced sales compared to prior year by approximately 2%.

Jerome: The timing of these recoveries depends on a verity of factors and we're not expecting a significant level of nonrecurring items in the second half of the year.

Jerome: Normal annual price reductions to our customers were slightly below 2% and in line with our historical average.

Jerome: Net engineering as a percentage of sales was five 4% for the quarter and includes the recent engineering services acquisitions. We've made in the last 12 months on.

Jerome: FX was a very modest benefit in the quarter.

Jerome: On a year over year basis, net engineering costs increased slightly due to the recent engineering services acquisitions, partially offset by lower personnel costs and timing of engineering recoveries we.

Jerome: Adjusted EBITDA for the quarter was $134 million.

Jerome: Compared to prior year adjusted EBITDA was essentially flat, mostly as a result of lower sales offset by nonrecurring items, which was a net positive on a year over year basis.

Jerome: We continue to leverage our platform approach, our best cost footprint and have embarked as well on many initiatives that improve engineering productivity, while continuing to invest in strategic engineering capabilities.

Jerome: Adjusted SG&A was four 2%, which reflects a healthy balance between ongoing cost controls and investment in key teams and technologies for the future.

Jerome: The timing of these recoveries depends on a verity of factors and we are not expecting a significant level of nonrecurring items in the second half of the year.

Jerome: Our normalized margin for the quarter or in the mid 12% range when adjusted for several favorable non recurring items as well as net engineering and SG&A that are slightly below our full year expectations on a run rate basis.

Jerome: Net engineering as a percentage of sales was five 4% for the quarter and includes the recent engineering services acquisitions. We've made in the last 12 months on.

Jerome: Normalized margins have improved year over year and reflect the benefits of the various ongoing cost initiatives, we have undertaken including product costing engineering productivity.

Jerome: Form based product development AI driven process improvements just to name a few.

Jerome: Turning to page 11.

Jerome: Visteon generated $105 million of adjusted free cash flow in the first half of the year, we continue to benefit from a robust level of adjusted EBITDA and we were able to convert EBITDA into cash flow at a rate of 40% in line with our original full year guidance trade.

Jerome: Adjusted SG&A was four 2%, which reflects a healthy balance between ongoing cost controls and investment in key teams and technologies for the future.

Jerome: Working capital was an inflow and included a modest inventory reduction cash.

Jerome: Cash taxes were higher compared to last year, reflecting our continued improvement in profitability in most countries as well as timing of cash payments.

Jerome: Net interest continues to be a modest positive as the interest income earned on our cash slightly exceeds the interest expense paid on our debt.

Jerome: Normalized margins have improved year over year and reflect the benefits of the various ongoing cost initiatives, we have undertaken including product costing engineering productivity.

Jerome: We also had an outflow in the first half of the year related to our 2024 annual incentive program, which was paid out at higher levels than prior year due to strong financial and operational performance in 2024 in.

Jerome: Form based product development AI driven process improvements just to name a few.

Jerome: Turning to page 11.

Jerome: In addition to the stay out in the first quarter, while the changes in the first half also included U S pension contributions and the timing of various other cash flows.

Jerome: Capital expenditures were $66 million, representing three 5% of sales and were slightly below our original full year expected run rates.

Jerome: Working capital was an inflow and included a modest inventory reduction cash.

Jerome: Cash taxes were higher compared to last year, reflecting our continued improvement in profitability in most countries as well as timing of cash payments.

Jerome: In the first half of the year. In addition to ongoing investments supporting customer programs, we continue to invest in several in sourcing initiatives.

Jerome: Net interest continues to be a modest positive as the interest income earned on our cash slightly exceeds the interest expense paid on our debt.

Jerome: Initiatives include investments in various capabilities that are core to our product lines like magnesium injection molding displayed bonding and assembly or camera assembly capabilities.

Jerome: In the quarter, we deployed a net $50 million of capital towards acquisitions, we ended the quarter with $671 million of cash and a net cash balance of $361 million turning to page 12.

Jerome: In addition to this payout in the first quarter other changes in the first half also included U S pension contributions and the timing of various other cash flows.

Jerome: We have elected to reinstate guidance this quarter, while raising the midpoint of our outlook for sales adjusted EBITDA and adjusted free cash flow.

Jerome: Capital expenditures were $66 million, representing three 5% of sales and were slightly below our original full year expected run rates.

Jerome: Our guidance range for sales is three seven to $3 85 billion, an increase of $25 million versus our February guidance at the midpoint.

Jerome: In the first half of the year. In addition to ongoing investments supporting customer programs, we continue to invest in several in sourcing initiatives.

Jerome: Compared to our original guidance, we are benefiting from favorable currency movements, primarily with the euro as well as a modest increase in sales related to our recent Q2 acquisition, partially offset by lower BNS sales were largely aligned with S&P latest outlook, which is forecasting that our customer production is down.

Jerome: These include investments in various capabilities that are core to our product lines like magnesium injection molding displayed bonding and assembly or camera assembly capabilities.

Jerome: In the quarter, we deployed a net $50 million of capital towards acquisitions, we ended the quarter with $671 million of cash and a net cash balance of 361 million turning to page 12.

Jerome: <unk> in the low single digits for the full year slightly better than our forecast back in January.

Jerome: Compared to the first half of the year, our guidance assumes a sequential decline in the second half of the year, reflecting lower customer production volumes of approximately 5% <unk>.

Jerome: We have elected to reinstate guidance this quarter, while raising the midpoint of our outlook for sales adjusted EBITDA and adjusted free cash flow.

Jerome: This includes a sequential decline in Q3 up 7% for our customer production volumes compared to Q2, partially driven by normal seasonality in the U S and Europe to account for summer plant closures offsetting this decline on new product launches contributions from M&A and favorable currency.

Jerome: Guidance range for sales is three seven to $3 85 billion, an increase of $25 million versus our February guidance at the midpoint.

Jerome: As a result, we anticipate Q3 will be close to Q1 2025 sales levels.

Jerome: Growth of our market is anticipated to increase from Q2 levels steadily throughout the year to a full year growth of a market in the mid single digits slightly below our original guidance. This.

Jerome: <unk> in the low single digits for the full year slightly better than our forecast back in January.

Jerome: This is mostly due to lower BMS sales and higher customer production volumes in China on vehicles, we do not have content on.

Jerome: Compared to the first half of the year, our guidance assumes a sequential decline in the second half of the year, reflecting lower customer production volumes of approximately 5%.

Jerome: Compared to Q2 growth over market will improve as a result of new product launches for displays and smart core while the headwinds from BMS in China will reduce primarily in the fourth quarter.

Jerome: As a result, we expect growth over market will be higher in Q4 than in Q3.

Jerome: Adjusted EBITDA is expected to be between $475 million to $505 million, reflecting a 13% margin at the mid point and an improvement of $25 million versus our previous guidance.

Jerome: As a result, we anticipate Q3 will be close to Q1 2025 sales levels.

Jerome: We are integrating in our improved full year guidance, the net benefit from higher sales the favorable nonrecurring items from the first half as well as ongoing strong operational performance.

Jerome: Growth of our market is anticipated to increase from Q2 levels steadily throughout the year to a full year growth over market in the mid single digits slightly below our original guidance. This.

Jerome: This is mostly due to lower BMS sales and higher customer production volumes in China on vehicles, we do not have content on.

Jerome: This equates to a second half margin in the low 12% range in line with our normalized margins in the first half of the year. Once you adjust for the expected lower sales volumes.

Jerome: We anticipate net engineering to be approximately 6% of sales for the full year, reflecting the incremental engineering cost associated with our recent acquisitions.

Jerome: As a result, we expect growth over market will be higher in Q4 than in Q3.

Jerome: Adjusted free cash flow is expected to be between $195 million to $225 million, reflecting a 43% EBITDA conversion at the midpoint of guidance and an improvement of $20 million versus our original guidance primarily from higher profitability.

Jerome: Adjusted EBITDA is expected to be between 475 to 505 million, reflecting a 13% margin at the midpoint and an improvement of $25 million versus our previous guidance.

Jerome: Capex is still expected to be approximately $115 million for the full year or 4% of revenue.

Jerome: Integrating in our improved full year guidance, the net benefit from higher sales the favorable nonrecurring items from the first half as well as ongoing strong operational performance.

Jerome: Before moving on let me provide some additional commentary on how we are modeling tariffs in our guidance.

Jerome: <unk> equates to a second half margin in the low 12% range in line with our normalized margins in the first half of the year. Once you adjust for the expected lower sales volumes.

Jerome: The midpoint of our guidance assumes no change in tariff policy or impact, including the assumption that U S. MCA compliant goods crossing the Mexico U S border remained completely exempt from tariffs.

Jerome: We anticipate net engineering to be approximately 6% of sales for the full year, reflecting the incremental engineering cost associated with our recent acquisitions.

Jerome: As a reminder, we have approximately $10 million of goods that cross the Mexico U S border today on a weekly basis out of which 97% our U S. MCA compliant and therefore currently do not incur any tariffs. If this situation were to change we would seek to pass that cost on to our customer.

Jerome: Although that would be likely a timing mismatch as we would work to get agreements in place you can find additional information on our potential exposure to tariffs on our Q1 earnings call turning to page 13.

Jerome: Capex is still expected to be approximately 115 billion for the full year or 4% of revenue.

Jerome: Before moving on let me provide some additional commentary on how we are modeling tariffs in our guidance.

Jerome: At our Investor day in early 2023, we laid out our balanced capital allocation strategy that has four pillars, maintaining a strong balance sheet investing in the business, both organically and inorganically through M&A and returning capital to shareholders.

Jerome: Since our Investor day, we have deployed approximately $650 million of capital towards these initiatives, we have been able to execute on this strategy as we continue to generate strong free cash flow converting on average 40% of our EBITDA into free cash flow annually.

Jerome: This situation were to change we would seek to pass the costs onto our customers, although that would be likely a timing mismatch as we would work to get agreements in place you can find additional information on our potential exposure to tariffs on our Q1 earnings call turning to page 13.

Jerome: Of the capital we have deployed approximately 50% of its capital went towards internal investments as we continue to generate robust returns with a return on invested capital in the high teens one of the best return profiles in the industry. We also have made progress executing on our M&A strategy in the last 12 months we have.

Jerome: At our Investor day in early 2023, we laid out our balanced capital allocation strategy that has four pillars and maintaining a strong balance sheet investing in the business, both organically and inorganically through M&A and returning capital to shareholders since.

Jerome: Close on three acquisitions for a total investment of approximately $105 million each.

Jerome: Each acquisition at technology domain expertise to the company to further expand our product and service offerings to our customers.

Jerome: These acquisitions are bolt on representing just over 1% of sales on a full year run rate basis and are margin accretive to visteon.

Jerome: Our Investor day, we have deployed approximately $650 million of capital towards these initiatives, we have been able to execute on this strategy as we continue to generate strong free cash flow converting on average 40% of our EBITDA into free cash flow annually.

Jerome: We continue to have a robust M&A pipeline and we will look to close out additional acquisitions in the future.

Jerome: We also returned $176 million of capital through share repurchases, we temporarily paused repurchases in Q2 due to the uncertainty related to tariffs.

Jerome: The capital we have deployed approximately 50% of its capital went towards internal investments as we continue to generate robust returns with a return on invested capital in the high teens one of the best return profiles in the industry.

Jerome: Although uncertainty remains we intend to resume share repurchases in an opportunistic manner. In addition, we're announcing today the initiation of a quarterly dividend of <unk> $275 per share representing about a 1% dividend yield on an annualized basis at today's stock price.

Jerome: We also have made progress executing on our M&A strategy in the last 12 months, we have closed on three acquisitions for a total investment of approximately $1 5 million.

Jerome: Each acquisition at technology domain expertise to the company to further expand our product and service offerings to our customers.

Jerome: The implementation of the dividend illustrates our confidence in our ongoing ability to generate cash and our commitment to returning capital to shareholders. This.

Jerome: Acquisitions are bolt ons, representing just over 1% of sales on a full year run rate basis and are margin accretive to visteon.

Jerome: This is in addition to our ongoing share repurchase program and not replacement.

Jerome: We continue to have a robust M&A pipeline and we'll look to close out additional acquisitions in the future.

Jerome: In summary, we have deployed a significant amount of capital since our Investor day at the same time, we have maintained one of the strongest balance sheets in the industry.

Jerome: We also returned $176 million of capital through share repurchases, we temporarily paused repurchases in Q2 due to the uncertainty related to tariffs.

Jerome: Our current cash position plus the expectation of additional free cash flow generation in the second half of the year enables us to continue to execute on our balanced capital allocation strategy. We will continue to invest in the business, both organically and inorganically, while returning capital to shareholders turning to page 14.

Jerome: Although uncertainty remains we intend to resume share repurchases in an opportunistic manner.

Jerome: In addition, we're announcing today the initiation of a quarterly dividend of 0.2 dollars $75 per share representing about a 1% dividend yield on an annualized basis at today's stock price.

Jerome: Visteon remains a compelling long term investment opportunity, we expect to benefit from higher demand for more digital content in the cockpit regardless of powertrain.

Jerome: The implementation of the dividend illustrates our confidence in our ongoing ability to generate cash and our commitment to returning capital to shareholders.

Jerome: Visteon is well positioned for long term top line growth margin expansion and free cash flow generation, while our strong balance sheet provides us with significant flexibility to pursue our capital allocation priorities.

Jerome: This is in addition to our ongoing share repurchase program and not replacement.

Jerome: In summary, we have deployed a significant amount of capital since our Investor day at the same time, we have maintained one of the strongest balance sheets in the industry.

Jerome: Thank you for your time today I would like now to open the call for your questions.

Jerome: Thank you and at this time I would like to.

Jerome: Our current cash position. So is the expectation of additional free cash flow generation in the second half of the year enables us to continue to execute on our balanced capital allocation strategy. We will continue to invest in the business, both organically and inorganically, while returning capital to shareholders turning to page 14.

Jerome: Remind you if you would like to ask a question. It is star and the number one on your telephone keypad. Once again star one in the interest of time, we ask that you. Please limit your questions to one primary question and one follow up.

Jerome: Thank you in advance.

Jerome: We will pause just a moment to compile the Q&A roster.

Jerome: Visteon remains a compelling long term investment opportunity, we expect to benefit from higher demand for more digital content in the cockpit regardless of powertrain.

Speaker Change: Alright, it looks like our first question today comes from the line of <unk> <unk> Kelly with TD Callen Todd. Please go ahead.

Kelly: Great. Thanks, good morning, everybody and congrats on the quarter.

Speaker Change: So just first maybe first option another quarter of very strong bookings it looks like you're gaining market share was hoping you could talk about the drivers behind visteon as recent market share gains and B what.

Jerome: Thank you for your time today, and we'd like now to open the call for your questions.

Speaker Change: These strong bookings due to kind of your longer term growth expectations beyond the 5% previously guided four from 25% through 2027.

Jerome: Thank you and at this time I would like to.

Speaker Change: Good morning, and thanks, Yes in fact.

Speaker Change: After you bought all the new business bookings.

Speaker Change: And if you look at our Q2 performance similar to Q1.

Speaker Change: Given mostly by displays and also clusters aimed.

Jerome: Thank you in advance and we will pause just a moment to compile the Q&A roster.

Speaker Change: <unk>.

Speaker Change: Important business, we can flex the transformation.

Alright, it looks like our first question today comes from the line of <unk> Kelly with TD Calin <unk>. Please go ahead.

Speaker Change: The industry.

Speaker Change: Whilst <unk>, China in China, as you know you're just thinking.

Speaker Change: Great. Thanks, good morning, everybody and congrats on the quarter.

Speaker Change: And more importantly for us.

Speaker Change: Just first maybe for starch and another quarter of very strong bookings. It looks like you are gaining market I was hoping you could talk about the drivers behind Visteon as recent market share gains that can be what.

Speaker Change: Interesting.

Speaker Change: Driven.

Speaker Change: Infotainment and autonomous driving is growing.

Speaker Change: And our focus in that region.

Speaker Change: Also what.

Speaker Change: This transmission displaying a warmer in regions outside of China, it's causing Oems to shift their focus.

Speaker Change: These strong bookings due to kind of your longer term growth expectations beyond the 5% previously guided four from 25% through 2027.

Speaker Change: Extend existing platforms and refreshed in Memphis.

Speaker Change: Hi, good morning, and thanks, Yes in fact.

Speaker Change: Great all gating.

Speaker Change: And part of the new business bookings.

Speaker Change: And enable them to offer.

Speaker Change: Performed and if you look at our Q2 performance similar to Q1.

Speaker Change: More value added and.

Speaker Change: Experiences inside the vehicles.

Speaker Change: And as we have also mentioned earlier the investments we've been making industries really.

Speaker Change: Even mostly by displays and ultra clusters and.

Speaker Change: Dozens reflects the transformation.

Speaker Change: Setting us apart from our competitors in terms of the depth and scale of our capabilities.

Speaker Change: Going into the industry.

Speaker Change: Revised of Evs outside of China in China as you know we must continue to grow.

Speaker Change: I won't be here.

Speaker Change: I would like to also.

Speaker Change: And more importantly for us.

Speaker Change: Interest in AI driven.

Speaker Change: Seeing that we should look at our business unit performance.

Speaker Change: Infotainment and autonomous driving.

Speaker Change: A multi year period, I think is actually quite good.

Speaker Change: <unk>, which is our focus in that region.

Speaker Change: Just want to think about how it does work.

Oliver: So what this transformation is doing Oliver.

Speaker Change: If you go back a couple of years.

Speaker Change: Italy, driven by smartphone and CDC in infotainment.

Oliver: Regions outside of China, it's causing Oems to shift their focus to extend existing platforms and refreshed and displays.

Speaker Change: While designation.

Speaker Change: I shouldn't say at the time and displace what actually a small portion of.

Oliver: Great all right.

Oliver: And Bob and enable them to offer.

Speaker Change: That traditional became a little more even in 'twenty to 'twenty four.

Oliver: For value added.

Oliver: <unk>.

Speaker Change: And we are still in the process of implementing the infotainment and CDC programs.

Oliver: Experiences inside the vehicles.

Oliver: And as we have also mentioned earlier the investments we've been making in the space.

Speaker Change: And this year displays.

Speaker Change: Since taking the lead.

Oliver: Really.

Oliver: Setting us apart from our competitors in terms of the.

Speaker Change: And we fully expect them to be over can see more of a balancing with.

Oliver: And the scale of our capabilities.

Speaker Change: Especially.

Speaker Change: Net interest.

Oliver: I won't repeat here, but I would like to also.

Speaker Change: And higher performance <unk> systems.

Speaker Change: Coming into the market.

Oliver: Ill say that we should look at our new business win performance over a multiyear period I think is actually quite useful to think about our desert walk.

Speaker Change: And standing with need for high performance compute.

Speaker Change: EDC happened now in China, but we expect it to.

Oliver: If you go back a couple of years 'twenty to 'twenty three.

Speaker Change: Also catch off momentum outside of China machine.

Oliver: Driven by smartphone and CDC in infotainment.

Speaker Change: In terms of.

Speaker Change: Long term.

Oliver: <unk>.

Oliver: Our debt ratio at.

Speaker Change: In April.

Oliver: I shouldn't say at the time.

Speaker Change: This is something in terms of driving.

Oliver: Displace what actually a small portion of our new instruments.

Speaker Change: The sales.

Oliver: That ratio became a little more even in 2024.

Speaker Change: Especially in cockpit electronics, so we feel good about many of the initiatives that we had outlined a skewed water achieved.

Oliver: And we are still in the process of implementing the infotainment and Cdc's programs.

Speaker Change: Achieving.

Speaker Change: 97 targets.

Oliver: Then.

Oliver: This year.

Speaker Change: Includes the prognostic that making that.

Oliver: Please.

Oliver: <unk> is taking the lead.

Speaker Change: Well.

Oliver: Do you expect as we move over to see more of a balance.

Speaker Change: Automakers, especially in Asia.

Speaker Change: Progress on Google or some commercial vehicles as well which is also.

Oliver: Basically that.

Oliver: Interest is growing and higher performance CDC systems.

Speaker Change: <unk> done them in.

Oliver: AI coming into the market.

Speaker Change: At our first half performance about.

Oliver: <unk>.

Oliver: Screening this need for high performance compute, which we clearly see ethanol in China.

Speaker Change: Close to 90% of our.

Speaker Change: <unk> has been in commercial vehicles in particular markets. So that's been encouraging.

Oliver: We expect it to also catch up.

Speaker Change: So that's all right.

Speaker Change: <unk> outside of China.

Speaker Change: One of them.

Speaker Change: And our.

Oliver: Now in terms of.

Speaker Change: Achieving.

Speaker Change: <unk>.

Speaker Change: One component, but one thing I would like to highlight Oliver.

Speaker Change: Long term.

Speaker Change: Impact of this clearly this is helping greatly in terms of driving.

Speaker Change: Understand our destiny.

Speaker Change: Good.

Speaker Change: The sales.

Speaker Change: As BMS and.

Speaker Change: And especially in cockpit electronics, so we feel good about many of the initiatives that we had outlined a skewed toward.

Speaker Change: So.

Speaker Change: New policy all GM in particular oven.

Speaker Change: This market.

Speaker Change: Changes in tuning the phase out of the tax credit.

Speaker Change: Our 2027 targets that.

Speaker Change: That includes the progress that we're making that.

Speaker Change: To maintain that.

Speaker Change: These continued F.

Speaker Change: Art.

Speaker Change: Trust.

Speaker Change: Makers, especially in Asia.

Speaker Change: Tumors so.

Speaker Change: Progress on tubular some commercial vehicles as well as I mentioned is also.

Speaker Change: Mark.

Speaker Change: Prescribed for the notion that is.

Speaker Change: Unnecessarily windows.

Speaker Change: <unk> done them and if you look at our first half performance about.

Speaker Change: You can see how and what.

Speaker Change: It does in the near term.

Speaker Change: And we'll be in a better position to comment on that.

Speaker Change: Close to 20% of our.

Speaker Change: Long term outlook.

Speaker Change: Vince has been in commercial vehicles in two Wheeler markets. So thats very encouraging so that's all very good and it's going to help us.

Speaker Change: This year as we.

Speaker Change: Get more expansion of that part of it.

Speaker Change: Terrific. Thank you for all that detail Sachin, maybe a quick follow up for to Rome with today's capital allocation announcements can you just remind us how you're thinking about targeted net cash in future leverage, particularly with the business outlook improving.

Speaker Change: <unk>.

Speaker Change: Ill.

Speaker Change: Achieving.

Speaker Change: Long term target, but one thing I would like to highlight Oliver.

Speaker Change: To understand our desk payout.

Speaker Change: As BMS.

Speaker Change: And so.

Speaker Change: Yes, no. Thanks.

Speaker Change: New to see all GM in particular oven react to the market.

Speaker Change: But generally we have given a $1 million net cash position as kind of our minimum targets for net cash.

Speaker Change: Market.

Speaker Change: Changes, including the phase out of the tax credit.

Speaker Change: We think that.

Speaker Change: And as you know today, we are awaiting.

Speaker Change: These continue to have interest from consumers so.

Speaker Change: In excess of this so.

Speaker Change: That is not the only reason, but one of the reason why we feel very confident with initiating a dividend we've been.

Mark: No Mark.

Mark: Prescribed to the notion that <unk>.

Mark: It's undergoing omi.

Mark: You can see what it does in the near term.

Speaker Change: Constitutes a constantly generating good EBITDA.

Mark: And we'll be in a better position to comment.

Our strong cash flows in the last few quarters and years in fact, and we expect these to continue so that's really a testament to our base.

Mark: Long term outlook.

Mark: Later this year as we've.

Mark: You'll get more insights into that part of it.

Speaker Change: A strong.

Speaker Change: Strong cash flow generation, we have.

Speaker Change: Terrific. Thank you for all that detail Sachin, maybe a quick follow up for Jerome with today's capital allocation announcements can you just remind us how you are thinking about targeted net cash in future leverage, particularly with the business outlook improving.

Speaker Change: 125 million authorized on our $20 million share repurchase authorization and we'll be reactive <unk> base.

Mark: Yes, no. Thanks.

Speaker Change: Each quarter.

Speaker Change: On top of initiating a dividend.

Speaker Change: But generally we have.

Speaker Change: Terrific all very helpful. Thank you.

Speaker Change: 101 million net cash position as kind of our.

Mark Delaney: Alright, Thank you and our next question comes from the line of Mark Delaney with Goldman Sachs. Mark. Please go ahead.

Speaker Change: Minimum target our net cash.

Speaker Change: And as you know today, we are well in excess of it so.

Mark Delaney: Hi, Yes. Good morning. Thank you very much for taking my questions Visteon has talked about the success <unk> had with Toyota and you mentioned at a recent conference that Toyota could account for about 10% of your total revenue in 2028, given how big and important Toyota is a global OEM I am hoping to better understand if you think there's the opportunity to further penetrate that customer.

Speaker Change: That is not the only reason, but one of the reason why we feel very confident with initiating a dividend we've been.

Speaker Change: Obviously constantly generating good EBITDA as well as our strong cash flows in the last few quarters and years in fact, and we expect this to continue so that's really a testament to our base is strong.

Mark Delaney: Or beyond what you've done so far and our success with Toyota could also position visteon to get additional wins with other Japanese auto Oems.

Speaker Change: The strong cash flow generation, we have.

Speaker Change: 125 million authorized on our $20 million share repurchase authorization and we'll be reactivating. These.

Mark Delaney: Yes, Mark Good question, let me take that first so.

Mark Delaney: The progress we have made the Canada.

Mark Delaney: <unk> been on a few of them.

Speaker Change: Quarter.

Speaker Change: On top of initiating a dividend.

Mark Delaney: Sure.

Mark Delaney: I would say big high profile vehicles, such as global can be.

Speaker Change: Terrific very helpful. Thank you.

Mark Delaney: Alright, Thank you and our next question comes from the line of Mark Delaney with Goldman Sachs. Mark. Please go ahead.

Mark Delaney: And also one content on the tundra.

Mark Delaney: North America local China.

Mark Delaney: And our wins have been.

Mark Delaney: Yes, good morning, and thank you very much for taking my questions. Visteon has talked about the success <unk> had with Toyota and you mentioned at a recent conference that Toyota could account for about 10% of your total revenue in 2028, given how big and important Toyota is a global OEM I am hoping to better understand if you think there's the opportunity to further penetrate that customer.

Mark Delaney: Most of them are digital clusters and to a smaller extent displays I should also mention that one disc loose for the <unk> brand as well so.

Mark Delaney: These products that we offer is still relatively a.

Mark Delaney: I would say modest portion of the total opportunity that we see in Canada.

Mark Delaney: Beyond what you've done so far and our success with Toyota corolla position Visteon to get additional wins with other Japanese auto Oems.

Mark Delaney: We believe that.

Mark Delaney: This year okay.

Mark Delaney: Yes.

Mark Delaney: We have done better than them so far.

Mark Delaney: Good question and let me take that first.

Mark Delaney: Last year was a it wasn't a strong year in terms of new business wins.

Mark Delaney: The progress we have made the Toyota.

Mark Delaney: We expect to continue to win business with new investment will forward at this speed.

Mark Delaney: <unk> really been on a few up there.

Mark Delaney: Okay.

Mark Delaney: Really.

Mark Delaney: High profile, such as global can be lengthy.

Mark Delaney: We'll be focused on his institution of the many programs that have been won and the successful launch and introduction of the market.

Mark Delaney: Cruiser I'm also one content on the tundra.

Mark Delaney: North America rollout for China.

Mark Delaney: So far so good.

Mark Delaney: And our wins have been.

Mark Delaney: The relationships.

Mark Delaney: Mostly for digital clusters and to a smaller extent displays I should also mentioned we have one displays for the Lexus brand as well so of the various products that we offer and still relatively.

Mark Delaney: The spending today and I'm looking forward to continuing this relationship and establishing even a stronger bond.

Mark Delaney: Relationship here.

Mark Delaney: Quarters so.

Mark Delaney: Everything is going as we would've liked it to go.

Mark Delaney: I would say modest portion of the total opportunity that we see at a hotel.

Mark Delaney: And nothing more to comment on that in this company.

Mark Delaney: So we believe.

Mark Delaney: I remain very optimistic about the future.

Mark Delaney: This year okay.

Mark Delaney: We've done better than them so far.

Mark Delaney: Thanks for that question. My other question was on EBITDA margins I believe EBITDA margin guidance is now about 13% at the midpoint compared to guidance in the mid 12% range that had been provided back in February.

Mark Delaney: Last year was a it wasn't a strong year in terms of new business wins, and we expect to continue to win business with new investment go forward at this stage.

Mark Delaney: Really what we need to be focused on is okay.

Mark Delaney: You mentioned once you had some one time benefits, but the full year is also tracking stronger. So can you help us better understand the different drivers of the improved EBITDA margin outlook and also how much is coming from some of the M&A that you spoke about thanks, yes.

Mark Delaney: Fusion of the mini programs and the successful launch of introduction to the market.

Mark Delaney: So far so good so we're very happy with the relationships.

Mark Delaney: Starting today and I'm looking forward to continuing this.

Mark Delaney: Yes, absolutely yes.

Mark Delaney: So we've raised EBITDA to get to your points and we're now at $490 million.

Speaker Change: Patients who have been establishing even a stronger.

Speaker Change: And relationships here in the coming quarters.

Mark Delaney: 13% at the midpoint, so an improvement of $25 million.

Speaker Change: So.

Speaker Change: I think everything so far is going as we would.

Mark Delaney: Or about 60 basis points.

Speaker Change: Typical.

Mark Delaney: What we are doing in the guidance for integrating the very strong <unk> performance status.

Speaker Change: Nothing more to comment on that and continue to.

Mark Delaney: We had so far and we had a very good operational run rate in <unk>. So we are keeping that.

Speaker Change: I'm very optimistic about the future.

Speaker Change: Thanks for that touch on my other question was on EBITDA margins I believe EBITDA margin guidance is now about 13% at the midpoint compared to guidance.

Mark Delaney: Going we also are adding obviously the nonrecurring items that we had in each one.

Speaker Change: 12% range that had been provided back in February.

Mark Delaney: Don't give a specific number in my prepared remarks, but we're talking about $10 million in Q2 nonrecurring items on top of the 15 that we had in Q1, so about a $25 million of nonrecurring items. However, some of that was contemplated I would say now our original full year guidance maybe five.

Speaker Change: Jeremy you mentioned <unk> had some one time benefits, but the full year is also tracking stronger. So it can help us better understand the different drivers of the improved EBITDA margin outlook and also how much is coming from some of the M&A that you spoke about.

Speaker Change: Yes, absolutely, yes, so we've raised EBITDA to get to your point and we're now at $419 million or.

Mark Delaney: $10 million.

Mark Delaney: So if you think about H, one and H two.

Speaker Change: 13% at the midpoint, so any promote a $25 million.

Mark Delaney: We have also included the.

Speaker Change: Or about 60 basis points.

Mark Delaney: The small benefit of the acquisition, it's not very material in the scheme of things, we are adding a little bit of exchange and also contemplating a little bit more.

Speaker Change: We are doing in the guidance for integrating the very strong performance stats.

Speaker Change: We had so far and we had a very good operational run rate in <unk> in <unk>. So we are keeping that.

Mark Delaney: Engineering and SG&A largely to account to four specific investments we're doing in AI for example in in.

Speaker Change: Going we also are adding obviously D.

Mark Delaney: In engineering, so if you step back and look at what we call our normalized margins, which are essentially <unk>.

Speaker Change: Nonrecurring items that we had in each one.

Speaker Change: Don't give a specific number in my prepared remarks, but we're talking about $10 million in Q2 up nonrecurring items on top of the 15 that we had in Q1, so about a $25 million of nonrecurring items. However, some of that was contemplated I would say our original full year guidance maybe five.

Mark Delaney: Excluding the nonrecurring items, we're running at 12, 5% in.

Mark Delaney: In the first half of the year and adjusting for volume physical disliking the work in the second half.

Mark Delaney: We'll be running at 12% so that gives you the overall 13%.

Mark Delaney: <unk> the nonrecurring items that we've guided to for 2025.

Speaker Change: $10 million.

Speaker Change: So if you think about H, one and H two.

Mark Delaney: Okay.

Speaker Change: Turkey can you just clarify what the nonrecurring items are.

Speaker Change: We have also included the <unk>.

Speaker Change: Yes, so nonrecurring items are very similar to what we had in Q1 I would say about two thirds of our commercial items for items or costs that we have incurred on specific programs in prior years, when the program didn't really materialize or.

Speaker Change: <unk> benefit of the acquisition, it's not very material in the scheme of things.

Speaker Change: Adding a little bit of exchange and also contemplating a little bit more.

Speaker Change: Engineering and SG&A largely to account to four specific investments we're doing in AI for example.

Speaker Change: Engineering, So if you step back and look at what we call a normalized margins, which are essentially excluding the nonrecurring items, we're running at 12, 5%.

Speaker Change: No.

Speaker Change: As planned so we're negotiating recoveries with customers and these are kind of claims if you want there.

Speaker Change: They are not large.

Speaker Change: Individually, but they add up and we've been quite successful in Q1 and Q2 negotiating these items.

Speaker Change: In the first half of the year and adjusting for volume that will be slightly lower in the second half.

Speaker Change: We'll be running at 12% so that gives you the overall 13%.

Speaker Change: It's quite unusual to have such a large number of claims or a commercial items negotiating negotiated in Q1 and Q2 and therefore, we don't anticipate having much in Q3 and Q4 all of these fronts.

Speaker Change: Including the nonrecurring items that we've guided to for 2000.

Speaker Change: Right.

Speaker Change: Could you just clarify what the nonrecurring items are thanks.

Speaker Change: Thank you.

Speaker Change: Yes, so nonrecurring items are very similar to what we had in Q1.

Mark Delaney: Thanks Mark.

Speaker Change: And our next question comes from the line of Emmanuel Rosner with Wolfe Research Manuel Please go ahead.

Speaker Change: I would say about two thirds of our commercial items for items or costs that we have incurred on specific programs in prior years, when the program didn't really materialize or.

Speaker Change: Thanks, So much just maybe just a quick clarification on your.

Speaker Change: Last point, Joe I'm just so.

Speaker Change: Make sure I understand so you named essentially about $25 worth of one times in the first half, but the guidance on EBITDA.

Speaker Change: Go as planned so we're negotiating recoveries with customers and these are kind of claims if you want.

Speaker Change: They are not large.

Speaker Change: Level raised by the same amount. So what are these mostly like timing where it was unusual that it was all in the first half, but you would have had them in the full year or are those incremental and then basically the one times are most of all.

Speaker Change: Individually, but they add up and we've been quite successful in Q1 and Q2 negotiating these items.

Speaker Change: It's quite unusual to have such a large number of claims or a commercial items negotiating negotiated in Q1 and Q2 and therefore.

Speaker Change: What's driving this improvement in guidance.

Speaker Change: Yes.

Speaker Change: Debates, having much in Q3 and Q4 on these fronts.

Speaker Change: So as I just said there is about $5 million to $10 million that was contemplated already in our guidance. So.

Speaker Change: Thank you.

Mark Delaney: Thank you thanks Mark.

Speaker Change: You cannot really add the 25 on the full year, you can probably 15 to 20.

Speaker Change: And our next question comes from the line of Emmanuel Rosner with Wolfe Research Manuel Please go ahead.

Speaker Change: Orestes essentially Olivia.

Speaker Change: Thanks, So much just maybe just a quick clarification on your.

Speaker Change: Higher volume, partially offset by a.

Speaker Change: Last point, Joe I'm just so.

Speaker Change: A little bit more cost on SG&A and engineering, but nothing material there.

Speaker Change: Make sure I understand so you named essentially about $25 million worth of one times in the first half, but the guidance is based on EBITDA.

Speaker Change: Okay. Thanks for that clarification.

Speaker Change: The second question I was hoping to.

Speaker Change: Double click a little bit on.

Speaker Change: Level raised by the same amount so where are these mostly like timing wherewith unusual that it was all in the first half, but you would have had them in the full year are those incremental and then basically the one times or most of us.

Speaker Change: On the EMS, so I understand the challenging comparison in the second quarter can you maybe talk a little bit about how should we think about cadence.

Speaker Change: In comparison on a go forward basis for rest of the year, but also a little bit longer term as well in the context of some of these new U S regulations that could squeeze EV demand. So that's when you have that.

Speaker Change: What's driving this improvement in guidance.

Speaker Change: Yes.

Speaker Change: As I just said there is about $5 million to $10 million that was contemplated already in our guidance. So.

Speaker Change: That is the I guess potential headwinds for EV volumes, but then you also.

Speaker Change: You cannot really add the 25 on the full year, you can add probably 15% to 20.

Speaker Change: Just still launching a program so.

Speaker Change: How do we think about the overall trajectory of BNS some here.

Speaker Change: The rest is essentially Olivia.

Speaker Change: Yeah Yeah.

Speaker Change: Higher volume, partially offset by.

Speaker Change: Let me think decrementals as such and so yes, so first of all.

Speaker Change: A little bit more cost on SG&A and engineering, but nothing material there.

Speaker Change: I would like to share with you all.

Speaker Change: Yeah.

Speaker Change: Okay. Thanks for the consultation.

Speaker Change: This first half has performed relative to last year with BMS, So last year our both.

Speaker Change: The second question I was hoping to.

Speaker Change: Both our customers in North America, GM to lantus, rather than ramp up mode.

Speaker Change: Doubleclick orbit.

Speaker Change: So I understand the challenging comparison in the second quarter can you maybe talk a little bit about <unk>.

Speaker Change: In battery manufacturing and the supply chain for battery tends to be pretty long, especially when.

Speaker Change: If you think about cadence of.

Speaker Change: Yes comparison on the <unk>.

Speaker Change: And the ramp up phase so.

Speaker Change: Go forward basis for rest of the year, but also a little bit longer term as well in the context of.

Speaker Change: The level of demand that we had from these customers last year investing and reflect the vehicle production last year.

Speaker Change: Some of these new U S regulations that could.

Speaker Change: Queens easy demands that you have that is I guess potential headwinds for EV volumes, but then you also I.

Speaker Change: We are seeing this year with the inventory being built up in <unk>.

Speaker Change: Treated as debt.

Speaker Change: I guess still launching a program so.

Speaker Change: Goodbye.

Speaker Change: Production with BMS step forward.

Speaker Change: How do we think about the overall trajectory of BMS hub here.

Speaker Change: That being what vehicles of what the.

Speaker Change: Yes, let.

Speaker Change: The Oems are building this theater as vehicles.

Speaker Change: Let me take that demand will this as such and so yes. So.

Speaker Change: So one thing I would say is although it's lower on the cost of the.

Speaker Change: Paul.

Speaker Change: I would like to share with you all.

Speaker Change: This first half has performed relative to last year with BMS, So last year our.

Speaker Change: Oh.

Speaker Change: The reason I just mentioned with the buildup of inventory last year.

Speaker Change: Q2 sequentially was higher than Q1.

Speaker Change: Both our customers in North America, GM to Lantus further in ramp up mode.

Speaker Change: And it's very much in line with what we see as the demand that's driven from the sell through of the vehicles.

Speaker Change: In battery manufacturing and supply chain for battery tends to be pretty long, especially when.

Speaker Change: Customers.

Speaker Change: And the ramp up phase so.

Speaker Change: And we.

Speaker Change: We will have to see.

Speaker Change: Level of demand that we had from these customers last year and vessel would reflect.

Speaker Change: And about the go forward business what happens you will have to see how these Oems respond to these credits.

Speaker Change: The vehicle production last year.

Speaker Change: What we are seeing this year, but inventory being built up in a.

Speaker Change: This incentive being taken away by end of September.

Speaker Change: Completed.

Bob: Bob will be more that the manufacturer credits still apply.

Speaker Change: Our demand and production.

Speaker Change: Production of BMS, therefore is reflecting what vehicles.

Speaker Change: The <unk> X and.

Speaker Change: That remains and we do anticipate that.

Speaker Change: Oems are building this year as vehicles.

Speaker Change: Carmakers will continue to improve.

Speaker Change: One thing I would say is although it's lower avocado.

Speaker Change: The ability of the vehicles.

Speaker Change: Those investments that they are making in driving a better affordability.

Speaker Change: The.

Speaker Change: The reason I just mentioned with the buildup of inventory last year Q2 sequentially was higher than Q1.

Speaker Change: With the demand.

Speaker Change: Can you see especially in younger demographic.

Speaker Change: We believe that this will continue to be part of the mix of powertrains that our customers spillover and ultimate consumers have a choice to pick the powertrain that best meets their lifestyle. So.

Speaker Change: And it's very much in line with what we see as the demand that's driven from the sell through of the vehicles.

Speaker Change: At our customers.

Speaker Change: And.

Speaker Change: We will have to see to your point about the.

Speaker Change: I think you may have.

Speaker Change: Our go forward business, what happens we will have to see how these Oems respond to these credits being disincentives being taken over.

Speaker Change: Short term uncertainty, but longer term I think it will stabilize if you look at other parts of the world.

Speaker Change: Europe.

Speaker Change: Of course, China, given the emerging markets.

Speaker Change: By end of September.

Speaker Change: Please note that the manufacturer credits still apply.

Speaker Change: And for Us.

Speaker Change: <unk> is not going the other way incentives.

Speaker Change: 45 X and.

Speaker Change: Short term at some point.

Speaker Change: It remains.

Speaker Change: And we do anticipate that.

Speaker Change: Alright.

Speaker Change: <unk> came in you hit critical mass.

Speaker Change: Carmakers will continue to improve affordability of their vehicles.

Speaker Change: But even here, especially with infrastructure improving.

Speaker Change: Those investments that they are making in driving a better affordability.

Speaker Change: Understanding of.

Speaker Change: The demand that we continue to see especially in younger demographic.

Speaker Change: The lower operating cost of Tvs.

Speaker Change: I do believe that Evs will continue to be part of the mix of powertrains that our customers have been offered and ultimately consumers can have a choice.

Speaker Change: <unk>.

Speaker Change: Little more widespread I think we will see.

Speaker Change: <unk> demand cluttered.

Speaker Change: Can't really quantify at this stage exactly what that's going to be but we'll be in a better position as we go over to make it.

Speaker Change: The powertrain that best meets their lifestyle. So.

Becker: Becker estimate of that.

Becker: Turns of assumptions as well in our outlook and guidance, we have assumed that our BMS sales would be.

Speaker Change: I think we've made.

Speaker Change: Yes.

Speaker Change: Short term uncertainty, but longer term I think you can stabilize if you look at other parts of the world.

Becker: For Q3, and Q4 similar to what we've seen in Q2, our assumption set.

Speaker Change: Nope.

Speaker Change: Of course, China, given the emerging markets.

Becker: It was a slight improvement from Q1 I think the good news. These days is that let's say.

Speaker Change: And what is wrong is not.

Speaker Change: But the other way incentives tend to be short term at some point this momentum.

Becker: More of a parity between production and demand.

Becker: So thats very encouraging.

Speaker Change: Fixed scheme and you hit critical mass I do believe we have achieved.

Becker: Okay. Thank you.

Becker: Okay.

Becker: Thanks Emmanuel.

Speaker Change: Even here.

Speaker Change: And our next question comes from the line of Joe Spak with UBS Joe. Please go ahead.

Speaker Change: Especially with infrastructure improving.

Speaker Change: Understanding of.

Joe Spak: Thank you actually I wanted to pick up a little bit there to some on the BMS and EV discussion I mean, if we think of <unk> and about what are you sort of said right.

Speaker Change: Lower operating cost of Evs.

Speaker Change: And can become a little more widespread I think we will see ongoing demand for it cant really quantify at this stage exactly what that's going to be but we'll be in a better position as we go forward to make.

Joe Spak: You know is whatever you're sort of implying for like a <unk> run rate on that business like <unk>.

Speaker Change: Better estimate of that.

Joe Spak: Bottom and we can be stable from there and like how should we think of and annualize that as sort of a go forward rate unless we see some sort of recovery.

Speaker Change: <unk> of assumptions as well in our outlook and guidance, we have assumed that our BMS sales would be.

Joe Spak: And if so like how should we think about how big that number is.

Speaker Change: For Q3, and Q4 similar to what we've seen in Q2, whether such inset.

Joe Spak: And I guess, just given this business didn't really maybe pan out as many thought.

Speaker Change: It was a slight improvement from Q1 I think the good news. These days is that let's say.

Speaker Change: More of a parity between production and demand.

Joe Spak: A few years ago.

Joe Spak: It sounds like maybe youre getting.

So that's very encouraging.

Speaker Change: Some you mentioned youre getting recoveries for prior programs I'm not sure. It relates to this but I guess I'm. Just wondering are you right sizing or restructuring your footprint for that business.

Speaker Change: Okay. Thank you.

Speaker Change: Thanks Emmanuel.

Speaker Change: And our next question comes from the line of Joe Spak with UBS Joe. Please go ahead.

Speaker Change: Let me answer the second part of the question first so in terms of how do we think about go forward.

Speaker Change: Thank you actually I wanted to pick up a little bit there.

Speaker Change: <unk> discussion.

Speaker Change: If we think of <unk> and about what you sort of said right.

Speaker Change: For our electrification business and given the fact that the volumes are not going to be at the level.

Speaker Change: As whatever you're sort of implying for like.

Speaker Change: Originally expected what we are doing is to expand our offering and debt.

Speaker Change: <unk> run rate on that business like.

Speaker Change: Bottom and we can be stable from there and like like how should we think of and annualize that as sort of a go forward rate unless we see some sort of recovery like and if so like how should we think about how big that number is.

Speaker Change: <unk>.

Speaker Change: Vehicle category, who won't.

Speaker Change: Beyond BMS into more color electronics as well.

Speaker Change: And so we expect to have greater content.

Speaker Change: And I guess, just given this business didn't really maybe pan out as.

Speaker Change: On those vehicles. They predict we made just a BMS to add other products to the mix and therefore after a content per vehicle.

Speaker Change: Many thought a.

Speaker Change: A few years ago.

Speaker Change: And it sounds like maybe you are getting.

Speaker Change: So we are well on our way in terms of executing on that strategy.

Speaker Change: Some.

Speaker Change: You mentioned youre getting recoveries for prior programs I'm not sure. It relates to this but I guess I'm. Just wondering are you right sizing or restructuring your footprint for that business, yes, yes.

Speaker Change: Both in Europe, as well as in U S.

Speaker Change: And so that should help us in terms of offsetting some of the.

Speaker Change: The loss of D C and fewer BMS sales as we go forward. However that is a window in time because this has to be launched in terms of our opponents converted into revenue in the meantime, they're still largely dependent on dms. So for that portion for the rest of the year.

Speaker Change: Let me answer the second part of the question first so in terms of how do we think about go forward.

Speaker Change: For our electrification business given the fact that the volumes are not going to be at the level.

Speaker Change: Originally expected what we are doing is to expand our offering and debt.

Speaker Change: We do expect us to mentioned that.

Speaker Change: Vehicle category to beyond BMS into more power electronics as well.

Speaker Change: Q1, Q2 run rate essentially.

Speaker Change: Essentially be at the same levels.

Speaker Change: For the rest of the year now going forward beyond that.

Speaker Change: And so we expect to have greater content on.

Speaker Change: If you think about.

Speaker Change: This level is in terms of the overall share of the.

Speaker Change: On those vehicles, but we may just have BMS to add other products to the mix and therefore.

Speaker Change: Vehicle sales.

Speaker Change: Yes, less than 5% of the customer's sales.

Speaker Change: <unk> per vehicle.

Speaker Change: So we are well on our way in terms of executing on that strategy.

Speaker Change: Individually.

Speaker Change: And if you look at the overall market, we're still tracking it.

Speaker Change: Both in Europe, as well as in U S.

Speaker Change: Additional seven 8%.

Speaker Change: And so that should help us in terms of offsetting some of the.

Speaker Change: A portion of the total sales. So we think that that is probably a reasonable expectation for us so that it should be able to either ordered or slightly improve from these levels. What's interesting is we're seeing really good traction in the more affordable vehicle models that have been launched.

Speaker Change: The last that we see in pure Pms sales as we go forward. However that is a window in time, because those rents have to be launched in terms of power electronics and converted into revenue in the meantime, there's still likely dependent on dms so for that portion.

Speaker Change: And so there are very few.

Speaker Change: For the rest of the year, we do expect us Jerome mentioned.

Speaker Change: <unk>.

Speaker Change: That's available there is a choice for consumers.

Speaker Change: Q1, Q2 run rate Sn.

Speaker Change: To expand there.

Speaker Change: Essentially be at the same levels.

Speaker Change: Vehicle models, and especially in the case of <unk>.

Speaker Change: At least for the rest of the year now going forward beyond that.

Speaker Change: That is the new old for example.

Speaker Change: If you think about.

Speaker Change: This level is in terms of the overall share of the vehicle.

Speaker Change: <unk>.

Speaker Change: Production.

Speaker Change: We think that we will have more options.

Speaker Change: Vehicle sales.

Speaker Change: Yes, less than 5% of the customers sales.

Speaker Change: Consumers will be able to pick from.

Speaker Change: But I do have choices.

Speaker Change: In the region.

Speaker Change: And if you look at the overall market, we are still tracking at a cemetery.

Speaker Change: Range performance of the things that we think that it may be.

Speaker Change: Patient of seven 8%.

Speaker Change: A good time to look at this level is kind of the floor.

Speaker Change: A portion of the total sales. So we think that that is probably a reasonable expectation for us so that it should be able to afford or slightly improve from these levels.

Speaker Change: Okay.

Speaker Change: That's helpful. The second question is.

Speaker Change: You just saw in sort of.

Speaker Change: Your.

Speaker Change: Interesting is seeing really good traction in the more affordable vehicle models that have been launched.

Speaker Change: A broadening of the customer base penetration with new customers that you've historically been.

Speaker Change: Underexposed to I mentioned, Toyota mentioned, some others and I want to marry that thought with.

Speaker Change: Got it.

Speaker Change: A few.

Speaker Change: Available as a choice for consumers so as they expand their.

Speaker Change: The more recent news that it seems like a lot of these players might be making further investments into the U S and does that.

Speaker Change: Vehicle models, and especially in the case of <unk>.

Speaker Change: GM is the new old for example.

Speaker Change: I mean.

Speaker Change: Perhaps make your opportunity with them, even larger or maybe even a little bit more accelerated given that you may already have some footprint here that.

Speaker Change: Into production.

Speaker Change: <unk>.

Speaker Change: We will have more options.

Speaker Change: Consumers will be able to pick from.

Speaker Change: But ot of choice.

Speaker Change: Battery range performance and other things that we think that it may be.

Speaker Change: Existing suppliers.

Speaker Change: Bye now.

Speaker Change: Yes, yes.

Speaker Change: A good thing to look at this level is kind of the floor.

Speaker Change: Overall this trend towards having <unk>.

Speaker Change: Okay.

Speaker Change: More of the supply piece.

Speaker Change: That's helpful. The second question is.

Speaker Change: In the region.

Speaker Change: Just on sort of.

Speaker Change: Building vehicles has been a big.

Speaker Change: Your.

Speaker Change: Broadening of the customer base penetration with new customers that you have historically been.

Speaker Change: A benefit for us.

Speaker Change: Just for the U S. But also in other parts of the world, including Europe.

Speaker Change: Underexposed to I mentioned, Toyota mentioned, some others and I want to marry that thought with.

Speaker Change: Seeing recently for example, the Chinese Oems.

Speaker Change: The more recent news that it seems like a lot of these players might be making further investments into the U S and does that.

Speaker Change: One thing we have suppliers in Europe supply components, we see the same thing in the U S and with this recent news that you are alluding to there definitely is a positive for us as.

Speaker Change: Perhaps make your opportunity with them, even larger or maybe even a little bit more accelerated given that you may already have some footprint here that.

Speaker Change: As well, especially given the investments we've made in vertical integration in many areas that we have mentioned on this volume previously as well.

Speaker Change: This is all very helpful for us in terms of future demand.

Speaker Change: Existing suppliers may.

Speaker Change: May not.

Speaker Change: Thank you.

Speaker Change: Yes, yes.

Speaker Change: Overall this trend towards having.

Joe Spak: Great. Thanks, Joe.

Speaker Change: More of the supply at least in the region that you are building vehicles has been a big.

Speaker Change: And our next question comes from the line of Colin Langan with Wells Fargo. Colin. Please go ahead.

Colin Langan: Oh, great. Thanks for taking my questions.

Speaker Change: And a benefit for us.

Colin Langan: Maybe just to understand the sales guidance versus initial expectations. What are the major puts and takes in terms of the market expectation sounded pretty similar FX I think was a negative 1% or something like that now that flat and then recoveries are unchanged and growth over market is slightly worse. So.

Speaker Change: Just for the U S. But also in other parts of the world, including Europe. So we have seen recently for example, Chinese Oems.

Speaker Change: One thing to get suppliers in Europe supply components, we see the same thing in the U S and with this recent news that you are alluding to it definitely is a positive for us as well, especially given the investments we've made in vertical integration in many areas that we have mentioned on this call and previous.

Colin Langan: The main factors in the change here is better FX and M&A offset a little bit by the growth of our market or is there other things that were missing in terms of the puts and takes.

Speaker Change: Well. This is all very helpful for us in terms of future demand.

Colin Langan: Good morning, calling it so.

Colin Langan: Essentially summarized it pretty well we had a we have a $25 million improvement at the midpoint of the guidance.

Speaker Change: Thank you.

Colin Langan: We've got a favorable currency going into the second half and that will represent versus our previous guidance.

Speaker Change: Great. Thanks, Joe.

Speaker Change: And our next question comes from the line of Colin Langan with Wells Fargo. Colin. Please go ahead.

Colin Langan: About a 1% improvement the acquisition.

Colin Langan: Oh, great. Thanks for taking my questions.

Colin Langan: Early minor in the scheme of thing and.

Colin Langan: Maybe just to understand the sales guidance versus initial expectations. What are the major puts and takes in terms of the market expectation sounded pretty similar FX I think was a negative 1% or something like that now that's flat and then recoveries are unchanged and growth over market is slightly worse.

Colin Langan: All of this is partially offset by a growth of market growth over market being slightly lower mostly on the on the BMS side, we were and we are slightly more conservative than what IHS as.

Colin Langan: Given just fault.

Colin Langan: CLS. So thats, yes. These are essentially kind of the puts and takes.

Colin Langan: The main factors in the change here is better FX and M&A offset a little bit by the growth over market or is there other things that were missing in terms of the puts and takes.

Colin Langan: Got it.

Colin Langan: And then obviously headwinds in China.

Colin Langan: Headwinds from BMO demand.

Speaker Change: Good morning, calling etc.

Speaker Change: Essentially summarized it pretty well we had a we have a $25 million improvement at the midpoint of the guidance.

Speaker Change: But can you frame that the percent of sale is issues are because I think China last year was only 11% of sales. So it feels like it's kind of shrunk to the point that maybe that the impact of declines there mitigating in them.

Speaker Change: We've got favorable currency going into the second half and that will represent versus our previous guidance.

Speaker Change: About a 1% improvement the acquisition.

Colin Langan: BMS is not still a fairly small business.

Colin Langan: Like maybe less than 3% of sales or something like that or any framing of the size of it.

Fairly minor in the scheme of thing and.

Speaker Change: All of this is partially offset by a <unk>.

Colin Langan: These businesses.

Colin Langan: Yes.

Colin Langan: But it's small in the China context for us so.

Speaker Change: Growth of market growth over market being slightly lower mostly on the on the BMS side, we were and we are slightly more conservative than what IHS.

Colin Langan: I'd say for us in China, It has been mainly.

Colin Langan: The domain controller.

Colin Langan: Our main product.

Speaker Change: Given just for Dms.

Colin Langan: And we.

Speaker Change: So yes. These are essentially kind of the puts and takes.

Colin Langan: We have seen also.

Colin Langan: A sort of a bottoming out of the demand and we're expecting going forward here.

Speaker Change: Got it.

Speaker Change: And then obviously headwinds in China.

Colin Langan: Additional launches I mentioned this more powerful system that we are introducing with our largest customer.

Speaker Change: Headwinds from sort of BMS demand.

Speaker Change: But could you frame that as a percent of sale.

Colin Langan: Other launches as well.

Speaker Change: Issues are because I think China last year was only 11% of sales so.

Colin Langan: We have some small benefit.

Colin Langan: In terms of BMS in China. This quarter, there was some vehicles launched by GM.

Speaker Change: It feels like it's kind of shrunk the point that maybe that the impact of declines there is mitigating and then.

Speaker Change: BMS is not still a fairly small business.

Colin Langan: Uses of BMS did well in Q2 and with a placebo dose in the second half of the year. So I would say things are after.

Speaker Change: Maybe less than 3% of sales or something like that or any framing of the size of these businesses.

Speaker Change: Yes.

Speaker Change: But it's small in the China context for us so.

Colin Langan: A few quarters of decline sequentially declining things of events starting from filling the quantum of autos in China. So cautious.

Speaker Change: Say for us in China. It has been mainly the <unk>.

Speaker Change: Domain controller.

Colin Langan: Cautiously optimistic and I think that's the key the the year over year comparisons are tough.

Speaker Change: Our main product.

Speaker Change: And we.

Speaker Change: We have seen also.

Colin Langan: With China, Mpls as well globally.

Speaker Change: A sort of a bottoming out of the demand and we are expecting going forward here.

Colin Langan: But we are assessing said we are seeing the type of both.

Speaker Change: Additional launches I mentioned this more powerful system that we are introducing with our largest customer.

Colin Langan: China is well BMS, a slight improvement in Q2.

Colin Langan: We are planning to be fairly flat on the BMS side going forward, but we do see some minor increases in China for Q3 and Q4.

Speaker Change: Other launches as well.

Speaker Change: Get some small benefit.

Speaker Change: In terms of BMS in China. This quarter there was some vehicles.

Speaker Change: Overall, China is such an <unk>, 9% and BMS mid to high single digit glue.

Speaker Change: By GM.

Colin Langan: Globally, obviously, the business being mostly.

Speaker Change: Users are.

Colin Langan: With our U S customers, which are Gm's Atlantis and Honda as well, we do supply.

Speaker Change: Yes that did well in Q2, and we'll have to see how it does in the second half of the year. So I would say things are after.

Colin Langan: Ultimately through two on that to switch again.

Speaker Change: A few quarters of decline sequential decline and then starting to turn the corner of autos in China. So cautious.

Colin Langan: Alright, thanks for taking my questions.

Colin Langan: Thank you.

Colin Langan: Thanks Scott.

Speaker Change: And our next question comes from the line of Luke Young with Baird. Please go ahead.

Speaker Change: Cautiously optimistic and I think that's the key the the year over year comparisons are pretty tough.

Luke Young: Thanks for taking my question, maybe just one question from me and we've covered a lot already session would just be interested in getting your updated perspective on moving China's speed incrementally and just generally playing some offense in China as the cyclical and mixed headwinds start to bottom out here I guess I'm thinking about both the software.

Speaker Change: With China, and BMS as well globally.

Speaker Change: But we are as <unk> said, we are seeing.

Speaker Change: Both.

Speaker Change: China, and as well BMS, a slight improvement in Q2.

Speaker Change: We are planning to be fairly flat on the BMS side going forward, but we do see some minor increases in China for Q3 and Q4.

Luke Young: I know you've made a lot of investments and modularity, but maybe if we could talk about hardware in parallel as well. Thank you.

Speaker Change: Overall, China is such a <unk>, 9% and BMS mid to high single digit.

Speaker Change: Globally, obviously, the business being mostly.

Luke Young: Yeah, I think both are very good.

Speaker Change: With our U S customers, which are <unk> and Honda as well, we do supply.

Luke Young: Questions.

Speaker Change: I will talk about the progress that we're making especially what we refer to as China speak for <unk>.

Speaker Change: Ultimately through two one debt to us which again.

Luke Young: Couple of examples.

Speaker Change: Got it alright, thanks for taking my questions.

Luke Young: One is the recent displacement that we have the charity that we talked about in the previous quarter.

Speaker Change: Thank you.

Colin Langan: Thanks Colin.

Speaker Change: And our next question comes from the line of Luke junk with Baird. Please go ahead.

Luke Young: Last quarter, we will launch it essentially next Peter right. So.

Luke Junk: Thanks for taking the question maybe just one question from me we've covered a lot already session would just be interested in getting your updated perspective on moving at China speed incrementally and just generally playing some offense in China as the cyclical and mix headwinds start to bottom out here I guess I'm thinking about both the software.

Luke Young: Speed, which I think.

Luke Young: Very few people, even in China, and Kent can match. The second one is we are working on cockpit domain controllers in China that are.

Luke Young: Designed them love them.

Luke Young: <unk> launched under two years Mitch.

Luke Young: Rich.

Can do largely because we have adapted ourselves to operating in China's speed in China, and we have a platform approach is we know that was now.

Luke Junk: I know you've made a lot of investments and modularity, but maybe if we could talk about hardware in parallel as well. Thank you.

Luke Junk: Yes, I think both are very good.

Luke Young: 15 years and continues to get stronger.

Luke Junk: <unk> Luke.

Speaker Change: I will talk about the progress that we're making especially with what we refer to as China speed, but giving you a couple of examples.

Luke Young: Today, they are at a point, especially for cockpit domain controllers. So we can using our platform to about 70% of the customers requirements right out of the gate. So the very first municipally typically averages within two months of lending business, we're able to meet it.

Speaker Change: One is the recent display then that we had the charity that we talked about in the previous quarter.

Speaker Change: We wanted last quarter, we will launch it essentially next year right. So.

Luke Young: With a large number of the requirements. The Great example is the one that we are currently developing with another one of these targeted <unk>.

Speaker Change: Speed, which I think.

Speaker Change: Very few people, even in China, and Kent can match. The second one is we are working on cockpit domain controllers in China that are designed.

Speaker Change: Yes in Japan Mitsubishi.

Speaker Change: One for the very first time and infotainment system business with them.

Speaker Change: By the way I think we will have many additional opportunities on the backs of as we move forward, including CPC opportunities with them. This program just to give you some.

Speaker Change: And launched under two years Mitch.

Speaker Change: Rich.

Speaker Change: You can do largely because we have adapted ourselves to operating in China's speed in China, and we have a platform approach is we know that was now.

Speaker Change: Context, when you bought it in Q1.

Speaker Change: A few years and continues to get stronger.

Speaker Change: Already in this quarter, we are able to show showcased with them was running system.

Speaker Change: Today, we are at a point, especially for cockpit domain controllers that we can using our platform get to about 70% of a customer's requirements right out of the gate.

Speaker Change: On the hardware.

Speaker Change: All of the.

Speaker Change: Design choices that will be in the final design and the software there is functioning and is able to meet quite a bit of their requirements. This is really will be possible to have it.

Speaker Change: And you said, we typically have which is within two months of lending business, they're able to meet.

Speaker Change: Platform approach and it takes.

Speaker Change: A large number of their requirements a great example is the one that we are currently developing with another one of these targeted growth.

Speaker Change: Fair amount of time.

Speaker Change: Yes.

Speaker Change: I would say that in terms of being able to build distinctive scheme very few companies can.

Speaker Change: Yes in Japan Mitsubishi.

Speaker Change: One for the very first time and infotainment system business with them.

Speaker Change: Compared and meet our levels of scheme in.

Speaker Change: By the way I think we will have many additional opportunities on the backs of as we move forward, including DTC opportunities with them. This program just to give you some.

Speaker Change: That's all my station Gopro emerging at the same time.

Speaker Change: No.

Speaker Change: That's really.

Speaker Change: Customer group.

Speaker Change: What was that they made.

Speaker Change: Context, when we bought it in Q1.

Speaker Change: On the strategy.

Speaker Change: Ill.

Speaker Change: To the progress.

Speaker Change: Already in this quarter, we are able to show showcased with them was running system.

Speaker Change: Making a I've mentioned.

Speaker Change: Philippa already some of them but.

Speaker Change: On the hardware.

Speaker Change: Just as a reminder, we have.

Speaker Change: All of the.

Speaker Change: <unk> been talking about Honda on the zucchini.

Speaker Change: Design choices that will be in the final design and the software there is.

Speaker Change: Okay.

Speaker Change: The thing that we're seeing is when you look at Honda they have the tubular side of their business.

Speaker Change: Functioning and is able to meet quite a bit of the requirements. This is really only possible. If you have it.

Speaker Change: So when importantly before leaders right.

Speaker Change: Platform approach and it takes.

Speaker Change: And that made a lot of focus in two wheelers to still have a lot of opportunity to go after on the <unk> side.

Speaker Change: A fair amount of time to put that in place today I would say that in terms of being able to do these things at scale very few companies and.

Speaker Change: And.

Speaker Change: The progress been made with under that we talked about this in the previous quarter.

Speaker Change: Or.

Speaker Change: Compared and meet our levels of scheme and Pep organization corporate emerging at this impact.

Speaker Change: All of these.

Speaker Change: Given the relatively at the same time plenty of runway ahead of us.

Speaker Change: So that's.

Speaker Change: That's really.

Speaker Change: In these cases as well it was not only innovation cost quality that differentiated us, but as well as feedstocks.

Speaker Change: A testament to this.

Speaker Change: Progress that we've made on the strategy.

Speaker Change: With respect to the progress.

Speaker Change: Two market for all of these customers. So I think that's how.

Speaker Change: We're making I have mentioned.

Speaker Change: Could you speak to what we've been able to achieve.

Speaker Change: Toyota already so I won't comment on them, but.

Speaker Change: Great great detail. Thank you I'll leave it there.

Speaker Change: Just as a reminder, we have been talking about Honda and Toyota Suzuki.

Luke Young: Alright, Thank you Luke.

Luke Young: And that does conclude the question and answer portion of today's call I will now turn it back over to Chris Doyle Chris.

Speaker Change: One thing I will say is when you look.

Speaker Change: Honda.

Speaker Change: The tubular side of their business.

Chris Doyle: Thanks, Thanks for participating in today's call I'd like to turn your attention to slide 26, so much we highlight several investor relations activities for the third quarter.

Speaker Change: Also very importantly look forward leaders alright, and we've made a lot of focus on two wheelers to still have a lot of opportunity to go after on the formulary side and.

Chris Doyle: We are interested to learn more please contact investor Relations. This now concludes our earnings half in the second quarter of 2020. Thank you.

Speaker Change: The progress we've made with Hyundai that we've talked about in <unk> zucchini in the previous quarter I think all of these.

Chris Doyle: Thanks, Chris and again as Chris mentioned this concludes Visteon second quarter 2025 results. The earnings call you may now disconnect.

Speaker Change: <unk> is well underway.

Speaker Change: At the same time plenty of runway ahead of us and I think in these cases as well it was not only innovation cost quality that differentiated us, but as well speeds tomorrow.

Speaker Change: Market for all these customers. So I think that's all.

Speaker Change: Really speaks to what we've been able to achieve.

Speaker Change: Great Great details. Thank you I'll leave it there.

Luke Junk: Alright, Thank you Luke.

Speaker Change: And that does conclude the question and answer portion of today's call I will now turn it back over to Chris Doyle Chris.

Speaker Change: Thanks, Thanks for participating in today's call I'd like to quickly point your attention to slide 26, so much we highlight several investor relations activities for the third quarter.

Speaker Change: We're interested to learn more please contact our Investor Relations team. This now concludes our earnings half in the second quarter of 2020. Thank you.

Q2 2025 Visteon Corp Earnings Call

Request a DemoDemo

Visteon

Earnings