NEW YORK, September 15, 2016 /PRNewswire/ --
The company will meet today with investors to provide an in-depth strategic business
review.
In advance of its anticipated "day one" trading, Adient incoming Chairman and Chief Executive Officer R. Bruce McDonald and other members of Adient's executive management team will today participate in the company's first annual investor day in New York. The presentations will highlight Adient's key investment tenets and the company's financial expectations for fiscal 2017.
Adient, the global leader in automotive seating and interiors, expects to begin operating as an independent company and trade on the New York Stock Exchange under the symbol "ADNT" on October 31, 2016, when the spin-off from Johnson Controls is completed.
FY2017 Outlook
Adient will provide the following FY2017 guidance at today's analyst day:
- Revenue of $16.8 to $17 billion
- Adjusted EBIT of $1.15 to $1.2 billion
- Depreciation & amortization of $400 million
- Interest expense of $145 million
- Effective tax rate between 10 and 12 percent
- Adjusted net income between $850 and $900 million
- Capital expenditures between $545 and $575 million
- Free cash flow of $250 million
In addition to the 2017 financial expectations, today's presentations will include a discussion of Adient's leading market positions (by product and geographic region), unmatched presence in China's automotive seating market, its innovative products and technologies, and mid-term financial outlook.
"Today's meeting marks our first opportunity to tell the full investment story of our new company, and we believe it is compelling," said incoming McDonald. "The automotive business has consistently been a significant growth engine for Johnson Controls over the past 25 years. Operating as an independent company will enable us to invest in the business to drive profitable growth, ultimately delivering value to our shareholders."
Investment Thesis
- Leading and strengthening market position
- A customer portfolio that is the envy of the industry
- Well diversified revenue base
- Industry leading position in China
- Improving profitability; opportunity for further margin enhancement
- Solid and improving cash flow generation
More information on Adient's investment thesis is available here: Infographic. [https://share.agencyroad.com/message/psa... ]
China and JV Structure
At the analyst day, Adient leaders will detail the company's leadership position in the China automotive seating market, which is expected to continue as a key growth driver. Adient expects to continue leveraging its position to outpace the overall market growth.
Adient has 17 seating joint ventures (JVs) in China operating 60 manufacturing locations in 32 cities. This unique structure combines Adient's technology, products, management systems and processes, with its Chinese partners' market access, local knowledge and relationships. It results in high profitability and strong cash flow generation, with 65-70 percent of annual JV equity income paid as cash dividends in prior years. The structure also provides a strong balance sheet profile that is cash rich and allows for maximum disbursement of earnings after reinvestment.
Innovative Products and Technology
As an independent company, Adient plans to increase investments in innovative products and technology. Participants at today's meeting will see examples of Adient's seating development work to meet the emerging trends around autonomous driving, electrification, slim and lightweight seating, and consumer personalization.
Adient also expects to see opportunities in new adjacent markets outside of the traditional automotive industry, such as in commercial vehicle, passenger train and aircraft seating.
To participate in the meeting via a live webcast at 8.a.m. ET today, visit Johnson Controls' Investor Relations website at http://investors.johnsoncontrols.com.
A recording and copy of the presentation will also be available as an archive at the website [http://investors.johnsoncontrols.com ].
About Adient:
Adient is the global leader in automotive seating. With 75,000 employees operating in 230 manufacturing/assembly plants in 32 countries worldwide, we produce and deliver automotive seating for all vehicle classes and all major OEMs. From complete seating systems to individual components, our expertise spans every step of the automotive seat-making process. Our integrated, in-house skills allow us to take our products from research and design all the way to engineering and manufacturing - and into more than 50 million cars every year.
About Johnson Controls:
Johnson Controls is a global diversified technology and multi industrial leader serving a wide range of customers in more than 150 countries. Our 117,000 employees create intelligent buildings, efficient energy solutions, integrated infrastructure and next generation transportation systems that work seamlessly together to deliver on the promise of smart cities and communities. Our commitment to sustainability dates back to our roots in 1885, with the invention of the first electric room thermostat. We are committed to helping our customers win and creating greater value for all of our stakeholders through strategic focus on our buildings and energy growth platforms. For additional information, please visit http://www.johnsoncontrols.com or follow us @johnsoncontrols on Twitter.
Cautionary Statement Regarding Forward-Looking Statements
(CONTINUA)
Andalucía
