Aptiv PLC (NYSE:APTV) shares fell about 3% in premarket trading on Monday after the company reported fourth-quarter results that topped forecasts but highlighted a deceleration in revenue growth amid ongoing challenges in the global auto sector.
The industrial technology group delivered adjusted earnings of $1.86 per share for the quarter, narrowly ahead of the $1.84 consensus estimate. Revenue came in at $5.2 billion, beating expectations of $5.09 billion. While reported sales rose 5% year on year, growth slowed to 3% once currency and commodity effects were stripped out.
Regional performance was mixed. North America posted solid growth of 8%, while South America expanded by 12%. In contrast, revenues in Europe and Asia both slipped 1% during the quarter. Adjusted operating margin narrowed to 11.8%, down from 12.7% a year earlier, reflecting higher commodity costs and adverse foreign exchange movements that together weighed by about $66 million.
“We delivered another year of record revenue, operating income, and earnings per share, demonstrating our agility within a dynamic landscape, our consistency of operational excellence, and the strength of our product portfolio of industry-leading technologies,” said Kevin Clark, chair and chief executive officer.
For the full year 2025, Aptiv reported revenue of $20.4 billion, up 3% from the prior year, or 2% on a constant currency and commodity basis. The company also reiterated plans to separate its Electrical Distribution Systems unit into a standalone business to be called Versigent.
Looking ahead, Aptiv issued guidance for fiscal 2026 that was broadly in line with market expectations, forecasting revenue in the range of $21.12 billion to $21.82 billion and adjusted earnings per share of $8.15 to $8.75.
Cash flow from operations totaled $818 million in the fourth quarter, down from $1.06 billion a year earlier, underscoring the difficulty of sustaining prior efficiency levels in a more challenging operating environment.