NASDAQ$GTX

Garrett Motion Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Garrett Motion's first quarter performance in 2024 saw a decrease in net sales but maintained a solid adjusted EBITDA margin.

Garrett Motion reported net sales of $915 million, a decrease of 6% compared to the previous year. The company's adjusted EBITDA was $151 million, with a margin of 16.5%. They also generated $68 million in adjusted free cash flow and repurchased $109 million of common stock.

  • Net sales totaled $915 million, down 6% year-over-year.
  • Net income was $66 million, with a net income margin of 7.2%.
  • Adjusted EBITDA totaled $151 million, with an adjusted EBITDA margin of 16.5%.
  • Adjusted free cash flow was $68 million.

Headline financials

Total Revenue

$915M

Previous: $970M-5.7%
EPS

$0.28

Previous: $0.13+115.4%
Gross Profit Margin

18.8%

Previous: 19.5%-3.6%
Net Income Margin

7.2%

Previous: 8.4%-14.3%
Adjusted EBIT

$121M

No prior period
Adjusted EBIT Margin

13.2%

No prior period
Adjusted EBITDA

$151M

Previous: $168M-10.1%
Adjusted EBITDA Margin

16.5%

No prior period
Interest Expense

$31M

No prior period
Operating Cash Flow

$84M

No prior period
Capital Expenditures

-$32M

Previous: -$8M-300.0%
Free Cash Flow

$34M

Previous: $73M-53.4%
Net Income

$66M

Previous: $81M-18.5%
Operating Income

$96M

Previous: $125M-23.2%
Gross Profit

$172M

Previous: $189M-9.0%
Cash & Equivalents

$196M

Previous: $291M-32.6%
Total Assets

$2.45B

Previous: $2.79B-12.3%
R&D Expense

$44M

No prior period
Stock-Based Comp

$8M

Previous: $3M+166.7%

Revenue & EPS history

Garrett Motion · Revenue · Quarterly

$915M

Q1 2024-5.7%vs Q1 2023
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Garrett Motion · $839M total across 3 segments · Q2 2021

  • Gasoline
    $442M
  • Diesel
    $321M
  • Aftermarket
    $76M

Forward guidance

Garrett is reiterating its outlook for the full year 2024 for certain GAAP and Non-GAAP financial measures.

Tailwinds

  • 2024 light vehicle industry production flat to down 1% from 2023
  • 2024 commercial vehicle industry, including both on- and off-highway, up 2% from 2023
  • 2024 average light vehicle battery electric vehicle penetration of 15%
  • 2024 Euro/dollar assumption of 1.08 EUR to 1.00 USD
  • R&D investment ~4.5% of sales in 2024, with approximately 60% on zero emission technologies

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

+0.5%

Avg return

Earnings day

+0.7%

Avg return

5 days after

-3.0%

Avg return

30 days after

41%

15 / 37 earnings

Positive

+24.9%

Q1 2026

Best reaction

-17.1%

Q2 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+24.9%+27.6%+59.8%
Q4 2025-6.5%-1.6%-17.6%
Q3 2025+19.3%+39.3%+28.5%
Q2 2025+1.4%+2.7%+3.1%
Q1 2025+10.6%+22.1%+15.0%
Q4 2024+5.2%+6.3%-3.6%
Q3 2024-6.8%-3.3%+4.1%
Q2 2024-3.9%-2.4%-8.6%
Q1 2024-0.2%-2.9%-8.5%
Q4 2023+13.6%+11.5%+13.5%
Q3 2023-0.4%-1.0%+4.0%
Q2 2023+8.1%+6.0%+7.4%
Q1 2023-0.2%+1.0%-0.4%
Q4 2022-1.4%-0.9%-16.2%
Q3 2022+14.6%+13.7%+21.9%
Q2 2022+0.3%+2.4%+10.5%
Q1 2022+1.7%+4.0%-9.1%
Q4 2021-0.4%-2.2%-1.3%
Q3 2021+0.3%+7.0%+11.3%
Q2 2021-9.1%+1.4%-2.0%
Q1 2021+9.3%+19.0%+71.2%
Q4 2020+4.1%+1.4%-21.2%
Q3 2020+10.7%+12.5%+25.9%
Q2 2020-17.1%-19.2%-53.5%
Q1 2020-16.2%-23.0%-1.8%
Q4 2019-3.5%-5.1%-53.8%
Q3 2019+1.5%-3.3%+10.9%
Q2 2019-4.9%-13.2%-34.0%
Q2 2018-4.9%-13.2%-34.0%
Q1 2018-4.2%-5.5%-17.5%
Q1 2019-0.8%-1.0%-14.5%
Q2 2017-3.4%-8.4%-12.0%
Q1 2017-3.4%-8.4%-12.0%
Q4 2018-2.8%+0.3%-9.8%
Q3 2017-5.5%-12.2%-21.9%
Q3 2018-5.5%-12.2%-21.9%
Q4 2017-5.5%-12.2%-21.9%

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