Phinia Stock Earnings Reports

PHINIA reported a solid start to 2026 with diversified, resilient performance across its Fuel Systems and Aftermarket segments. Q1 net sales were $878M, up 10.3% YoY (3.6% ex-FX and SEM), adjusted EBITDA was $115M (13.1% margin) and adjusted EPS was $1.29 (up 37% YoY). Fuel Systems sales were $549M (+12%) with a 9.3% adjusted operating margin; Aftermarket sales were $329M (+7.5%) with a 17% adjusted operating margin. The company exited the quarter with $328M cash, $808M total liquidity, net leverage ~1.4x, and returned $67M to shareholders in the quarter. Since the July 2023 spin-off PHINIA has returned over $600M via buybacks and dividends and has ~ $258M remaining under repurchase authorization. New-business momentum included wins in aerospace & defense (GDi injector for an unmanned aerial drone engine), alternative-fuel and CNG programs (notably in India and with Chinese OEMs), and aftermarket distribution expansion across regions. Management reiterated full-year 2026 guidance: revenue $3.5B–$3.7B (mid-single-digit growth including FX), adjusted EBITDA $485M–$525M (13.7%–14.3% margin) and adjusted free cash flow $200M–$240M. Operational notes: some negative mix and lower flow-through in Fuel Systems tied to program ramp timing (expected to normalize through the year), Q1 had a $12M tariff pass-through benefit and the company expects most IEEPA tariff refunds to flow back to OEM customers (no EBITDA impact). SG&A is expected to be roughly flattish going forward after one-time comp timing; capital allocation remains disciplined, balancing reinvestment, M&A optionality and shareholder returns.