VAN BUREN TOWNSHIP, Mich.,
Feb. 26, 2015 /PRNewswire/ --
- Fourth-quarter
performance contributes to solid year-over-year gains
- Full-year sales up 18
percent to $7.51 billion
($2.04 billion in fourth
quarter)
- Adjusted EBITDA up 16
percent to $678 million ($200 million in fourth quarter) led by record
electronics performance
- 2014 net loss
attributable to Visteon of $295
million (includes a $343
million loss on discontinued operations associated with sale
of former interiors business)
- Strong cash
performance
- Positive full-year
cash from operations of $284
million
- Total cash of
$836 million and total debt of
$981 million
- Record electronics
new business wins of $1.3
billion
- Company completed key
strategic actions in 2014
- Signed agreement to sell 70 percent interest in Halla
Visteon Climate Control
- Acquired Johnson Controls electronics
business
- Sold majority of non-core interiors business
- Acquired thermal and emissions product line of
Cooper Standard
- Transferred one-third of U.S. pension liability through
annuity contract
- Announced $500 million
accelerated share repurchase program
Visteon Corporation (NYSE: VC) today announced full-year 2014
results, reporting a net loss attributable to Visteon of
$295 million, or $6.25 per diluted share, including a $343 million loss on discontinued operations.
Full-year sales were $7.51 billion,
an increase of $1.138 billion or 18
percent compared with 2013. Adjusted EBITDA, a non-GAAP financial
measure as defined below, was $678
million for the year, an increase of $96 million or 16 percent compared with 2013.
Adjusted free cash flow, a non-GAAP financial measure as defined
below, was a positive $111 million
for the full year 2014.
![Visteon Corporation Logo. Visteon Corporation Logo.](http://photos.prnewswire.com/prnvar/20001201/DEF008LOGO)
In 2014, customers awarded Visteon a record $1.3 billion in electronics new business wins.
Combined electronics and climate new business wins totaled
$1.8 billion in annual revenue,
including 1.1 billion of incremental new wins and $700 million of rewin business. Visteon projects
the electronics order book and restructuring savings associated
with the consolidation of the Johnson Controls electronics
operations will generate a projected 40 percent growth in EBITDA by
2018, with new major platform awards supporting more robust growth
through the end of the decade.
"We delivered a strong finish to an excellent year highlighted
by several key achievements, including announcing the sale of our
Halla Visteon Climate Control business, acquiring the electronics
business of Johnson Controls, and completing the majority of our
divestiture of the non-core interiors business," said Timothy D. Leuliette, president and CEO. "With
our singular focus on the vehicle cockpit electronics ecosystem;
outstanding technology; and a balanced footprint across
Asia, Europe and the Americas; Visteon is winning
significant new business and is well-positioned to continue
delivering value for our customers and shareholders."
Fourth Quarter in Review
Sales of $2.04 billion for the
fourth quarter of 2014 increased $348
million from $1.69 billion for
the same quarter a year earlier. Hyundai-Kia accounted for
approximately 34 percent of Visteon's fourth-quarter sales, with
Ford Motor Company representing 23 percent, and Renault-Nissan
accounting for 6 percent. On a regional basis, Asia accounted for 49 percent of total product
sales for the fourth quarter of 2014, while Europe represented 28 percent. North America and South America represented 21 percent and 2
percent, respectively.
Climate sales were $1.28 billion
for the fourth quarter of 2014, $16
million higher than the same quarter last year. Higher
vehicle production volumes, primarily in Asia and Europe, and net new business increased climate
sales by $64 million.
Electronics sales were $744
million for the fourth quarter, $348
million higher than the fourth quarter of 2013. The increase
is primarily attributable to the acquisition of the global
automotive electronics business of Johnson Controls Inc., effective
July 1, 2014, and the acquisition of
a controlling interest in Yanfeng Visteon Automotive Electronics
Co., Ltd. (YFVE) effective Nov. 7,
2013.
Gross margin for the fourth quarter was $233 million, compared with $190 million a year earlier. Selling, general and
administrative (SG&A) expenses were $105
million for the fourth quarter of 2014, compared with
$89 million a year earlier.
Year-over-year results for gross margin and SG&A were both
impacted by the Johnson Controls electronics business acquisition
and the YFVE consolidation.
Adjusted EBITDA for the fourth quarter of 2013 was $200 million, compared with $164 million in the same period a year
earlier. Electronics adjusted EBITDA and corporate expenses
were better than internal projections used to set guidance,
partially offsetting performance and currency issues within the
climate product group.
For the fourth quarter of 2014, Visteon reported a net loss
attributable to Visteon of $138
million, or $3.12 per diluted
share. Adjusted net income, which excludes the loss on the
interiors transaction, restructuring and other transaction costs,
was $74 million for the quarter, or
$1.67 per diluted share.
Cash and Debt Balances
As of Dec. 31, 2014, Visteon had
global cash balances totaling $836
million, including restricted cash of $9 million and cash held for sale of $5 million. Total debt was $981 million.
For full year 2014, Visteon generated $284 million of cash from operations, including
discontinued operations. Capital expenditures of $340 million in 2014 were $71 million higher than in 2013, primarily
related to growth in the climate segment and the Johnson Controls
electronics business acquisition. For 2014, adjusted free cash
flow, including discontinued operations, was a positive
$111 million.
For the fourth quarter of 2014, Visteon generated $104 million of cash from operations, including
discontinued operations, compared with $133
million in the same period a year earlier. Capital
expenditures in the fourth quarter of 2014 were $131 million, up from $105
million in the fourth quarter of 2013. Adjusted free cash
flow, including discontinued operations, was $47 million in the fourth quarter of 2014,
compared with $136 million in the
fourth quarter of 2013. (Note: 2013 free cash flow included
dividends of $162 million and
$182 million for the quarter and
year, respectively, related to the former Yanfeng Visteon
Automotive Trim Systems Co. Ltd. (YFV) venture.)
HVCC Transaction
During the fourth quarter, Visteon announced it reached an
agreement to sell its approximately 70 percent ownership interest
in Halla Visteon Climate Control Corp. (HVCC) to an affiliate of
Hahn & Company and Hankook Tire Co. Ltd. for approximately
$3.6 billion. The transaction
represents an enterprise value for HVCC of approximately 10.1 times
EBITDA for the 12 months ended Sept. 30,
2014. The sale is subject to regulatory reviews, shareholder
approval and other conditions, and is expected to be completed in
the first half of 2015.
Full-Year 2015 Outlook
Visteon projects Electronics and Other Product Group 2015 sales
in the range of $3.2 to $3.4 billion.
Adjusted EBITDA for the Electronics Product Group and Corporate
Segment is projected in the range of $225
million to $255 million. Adjusted free cash flow, as defined
below, for the Electronics and Corporate Segment is projected in
the range of $20 million to $60
million.
About Visteon
Visteon Corporation is a global
automotive supplier that designs, engineers and manufactures
innovative products for nearly every vehicle manufacturer
worldwide. Visteon delivers value for its customers and
shareholders through two technology-focused businesses: vehicle
cockpit electronics and thermal energy management. Visteon
currently owns 70 percent of Halla Visteon Climate Control Corp.,
one of only two global full-line automotive thermal management
suppliers. With corporate offices in Van
Buren Township, Mich. (U.S.); Shanghai, China; and Chelmsford, UK; Visteon has approximately
25,500 employees at facilities in 26 countries. Visteon had sales
of $7.5 billion in 2014. Learn more
at www.visteon.com.
Follow Visteon:
www.twitter.com/visteon
www.youtube.com/visteon
http://blog.visteon.com
www.google.com/+visteon
www.linkedin.com/company/visteon
https://www.facebook.com/VisteonCorporation
Conference Call and Presentation
Today, Thursday, Feb. 26, at
9 a.m. EST, the company will host a
conference call for the investment community to discuss the
quarterly and full-year results and other related items. The
conference call is available to the general public via a live audio
webcast. The dial-in numbers to participate in the call are:
U.S./Canada: 855-855-4109
Outside U.S./Canada:
706-643-3752
(Call approximately 10 minutes before the start of the
conference.)
The conference call and live audio webcast, the financial
results news release, related presentation materials and other
supplemental information will be accessible through Visteon's
website at www.visteon.com.
A replay of the conference call will be available through the
company's website or by dialing 855-859-2056 (toll-free from the
U.S. and Canada) or 404-537-3406
(international). The conference ID for the phone replay is
21376213. The phone replay will be available for one week following
the conference call.
Forward-looking Information
This press release contains "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of
1995. Forward-looking statements are not guarantees of future
results and conditions but rather are subject to various factors,
risks and uncertainties that could cause our actual results to
differ materially from those expressed in these forward-looking
statements, including, but not limited to: (1) conditions within
the automotive industry, including (i) the automotive vehicle
production volumes and schedules of our customers, (ii) the
financial condition of our customers and the effects of any
restructuring or reorganization plans that may be undertaken by our
customers or suppliers, including work stoppages, and (iii)
possible disruptions in the supply of commodities to us or our
customers due to financial distress, work stoppages, natural
disasters or civil unrest; (2) our ability to satisfy future
capital and liquidity requirements; including our ability to access
the credit and capital markets at the times and in the amounts
needed and on terms acceptable to us; our ability to comply with
financial and other covenants in our credit agreements; and the
continuation of acceptable supplier payment terms; (3) our ability
to satisfy pension and other post-employment benefit obligations;
(4) our ability to access funds generated by foreign subsidiaries
and joint ventures on a timely and cost-effective basis; (5) our
ability to execute on our transformational plans and cost-reduction
initiatives in the amounts and on the timing contemplated; (6)
general economic conditions, including changes in interest rates,
currency exchange rates and fuel prices; (7) the timing and
expenses related to internal restructurings, employee reductions,
acquisitions or dispositions and the effect of pension and other
post-employment benefit obligations; (8) increases in raw material
and energy costs and our ability to offset or recover these costs,
increases in our warranty, product liability and recall costs or
the outcome of legal or regulatory proceedings to which we are or
may become a party; and (9) those factors identified in our filings
with the SEC (including our Annual Report on Form 10-K for the
fiscal year ended Dec. 31, 2014).
Caution should be taken not to place undue reliance on our
forward-looking statements, which represent our view only as of the
date of this release, and which we assume no obligation to update.
The financial results presented herein are preliminary and
unaudited; final financial results will be included in the
company's Annual Report on Form 10-K for the fiscal year ended
Dec. 31, 2014. New business wins and
rewins do not represent firm orders or firm commitments from
customers, but are based on various assumptions, including the
timing and duration of product launches, vehicle production levels,
customer price reductions and currency exchange rates.
Use of Non-GAAP Financial Information
This press release contains information about Visteon's
financial results which is not presented in accordance with
accounting principles generally accepted in the United States ("GAAP"). Such non-GAAP
financial measures are reconciled to their closest GAAP financial
measures at the end of this press release. The provision of these
comparable GAAP financial measures for 2015 is not intended to
indicate that Visteon is explicitly or implicitly providing
projections on those GAAP financial measures, and actual results
for such measures are likely to vary from those presented. The
reconciliations include all information reasonably available to the
company at the date of this press release and the adjustments that
management can reasonably predict.
VISTEON
CORPORATION AND SUBSIDIARIES
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
(Dollars in
Millions, Except Per Share Data)
|
(Unaudited)
|
|
|
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
December
31
|
|
December
31
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
|
$
|
2,039
|
|
|
$
|
1,691
|
|
|
$
|
7,509
|
|
|
$
|
6,371
|
|
Cost of
sales
|
1,806
|
|
|
1,501
|
|
|
6,711
|
|
|
5,733
|
|
Gross
margin
|
233
|
|
|
190
|
|
|
798
|
|
|
638
|
|
Selling, general and
administrative expenses
|
105
|
|
|
89
|
|
|
377
|
|
|
312
|
|
Restructuring
expenses
|
33
|
|
|
5
|
|
|
56
|
|
|
36
|
|
Interest expense,
net
|
8
|
|
|
11
|
|
|
28
|
|
|
38
|
|
Equity in net income
of affiliates
|
—
|
|
|
79
|
|
|
15
|
|
|
213
|
|
Loss on debt
extinguishment
|
—
|
|
|
2
|
|
|
23
|
|
|
2
|
|
Gain on Yanfeng
transactions
|
—
|
|
|
465
|
|
|
—
|
|
|
465
|
|
Other
expenses
|
28
|
|
|
12
|
|
|
68
|
|
|
26
|
|
Income from
continuing operations before income taxes
|
59
|
|
|
615
|
|
|
261
|
|
|
902
|
|
Provision for income
taxes
|
30
|
|
|
58
|
|
|
124
|
|
|
117
|
|
Net income from
continuing operations
|
29
|
|
|
557
|
|
|
137
|
|
|
785
|
|
Loss from
discontinued operations, net of tax
|
(143)
|
|
|
(12)
|
|
|
(343)
|
|
|
(10)
|
|
Net (loss)
income
|
(114)
|
|
|
545
|
|
|
(206)
|
|
|
775
|
|
Net income
attributable to non-controlling interests
|
24
|
|
|
32
|
|
|
89
|
|
|
85
|
|
Net (loss) income
attributable to Visteon Corporation
|
$
|
(138)
|
|
|
$
|
513
|
|
|
$
|
(295)
|
|
|
$
|
690
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) earnings per
share data:
|
|
|
|
|
|
|
|
|
|
|
|
Basic (loss) earnings
per share
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
$
|
—
|
|
|
$
|
10.84
|
|
|
$
|
0.70
|
|
|
$
|
14.08
|
|
Discontinued operations
|
(3.12)
|
|
|
(0.28)
|
|
|
(7.14)
|
|
|
(0.28)
|
|
Basic (loss) earnings
per share attributable to Visteon Corporation
|
$
|
(3.12)
|
|
|
$
|
10.56
|
|
|
$
|
(6.44)
|
|
|
$
|
13.80
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted (loss)
earnings per share
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
$
|
—
|
|
|
$
|
10.60
|
|
|
$
|
0.68
|
|
|
$
|
13.77
|
|
Discontinued operations
|
(3.12)
|
|
|
(0.28)
|
|
|
(6.93)
|
|
|
(0.27)
|
|
Diluted (loss)
earnings per share attributable to Visteon Corporation
|
$
|
(3.12)
|
|
|
$
|
10.32
|
|
|
$
|
(6.25)
|
|
|
$
|
13.50
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average shares
outstanding (in millions)
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
44.3
|
|
|
48.6
|
|
|
45.8
|
|
|
50.0
|
|
Diluted
|
44.3
|
|
|
49.7
|
|
|
47.2
|
|
|
51.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive (loss)
income:
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive (loss)
income
|
$
|
(344)
|
|
|
$
|
644
|
|
|
$
|
(529)
|
|
|
$
|
849
|
|
Comprehensive (loss)
income attributable to Visteon Corporation
|
$
|
(346)
|
|
|
$
|
607
|
|
|
$
|
(582)
|
|
|
$
|
768
|
|
VISTEON
CORPORATION AND SUBSIDIARIES
|
CONSOLIDATED
BALANCE SHEETS
|
(Dollars in
Millions)
|
(Unaudited)
|
|
|
|
|
|
December
31
|
|
December
31
|
|
2014
|
|
|
2013
|
|
ASSETS
|
|
|
|
|
|
Cash and
equivalents
|
$
|
822
|
|
|
$
|
1,677
|
|
Restricted
cash
|
9
|
|
|
25
|
|
Accounts receivable,
net
|
1,351
|
|
|
1,227
|
|
Inventories,
net
|
537
|
|
|
472
|
|
Other current
assets
|
415
|
|
|
352
|
|
Total current
assets
|
3,134
|
|
|
3,753
|
|
|
|
|
|
|
|
Property and
equipment, net
|
1,440
|
|
|
1,414
|
|
Intangible assets,
net
|
407
|
|
|
447
|
|
Investments in
affiliates
|
165
|
|
|
228
|
|
Other non-current
assets
|
177
|
|
|
185
|
|
Total
assets
|
$
|
5,323
|
|
|
$
|
6,027
|
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
Short-term debt,
including current portion of long-term debt
|
$
|
142
|
|
|
$
|
106
|
|
Accounts
payable
|
1,186
|
|
|
1,207
|
|
Accrued employee
liabilities
|
174
|
|
|
202
|
|
Other current
liabilities
|
330
|
|
|
287
|
|
Total current
liabilities
|
1,832
|
|
|
1,802
|
|
|
|
|
|
|
|
Long-term
debt
|
839
|
|
|
624
|
|
Employee
benefits
|
566
|
|
|
440
|
|
Deferred tax
liabilities
|
120
|
|
|
137
|
|
Other non-current
liabilities
|
145
|
|
|
151
|
|
|
|
|
|
|
|
Stockholders'
equity
|
|
|
|
|
|
Preferred
stock
|
—
|
|
|
—
|
|
Common
stock
|
1
|
|
|
1
|
|
Stock
warrants
|
3
|
|
|
6
|
|
Additional paid-in
capital
|
1,246
|
|
|
1,291
|
|
Retained
earnings
|
661
|
|
|
956
|
|
Accumulated other
comprehensive loss
|
(299)
|
|
|
(12)
|
|
Treasury
stock
|
(747)
|
|
|
(322)
|
|
Total Visteon
Corporation stockholders' equity
|
865
|
|
|
1,920
|
|
Non-controlling
interests
|
956
|
|
|
953
|
|
Total
equity
|
1,821
|
|
|
2,873
|
|
Total liabilities and
equity
|
$
|
5,323
|
|
|
$
|
6,027
|
|
VISTEON
CORPORATION AND SUBSIDIARIES
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS 1
|
(Dollars in
Millions)
|
(Unaudited)
|
|
|
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
December
31
|
|
December
31
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
OPERATING
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss)
income
|
$
|
(114)
|
|
|
$
|
545
|
|
|
$
|
(206)
|
|
|
$
|
775
|
|
Adjustments to
reconcile net (loss) income to net cash provided from operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
Losses on Interiors
divestiture
|
138
|
|
|
—
|
|
|
326
|
|
|
—
|
|
Depreciation and
amortization
|
65
|
|
|
62
|
|
|
270
|
|
|
262
|
|
Equity in net income
of affiliates, net of dividends remitted
|
3
|
|
|
85
|
|
|
10
|
|
|
(26)
|
|
Pension settlement
loss (gain)
|
2
|
|
|
—
|
|
|
(23)
|
|
|
—
|
|
Non-cash stock-based
compensation
|
1
|
|
|
1
|
|
|
8
|
|
|
15
|
|
Loss on debt
extinguishment
|
—
|
|
|
2
|
|
|
23
|
|
|
2
|
|
Gain on asset sales
and business divestitures
|
—
|
|
|
(465)
|
|
|
—
|
|
|
(470)
|
|
Other non-cash
items
|
(3)
|
|
|
1
|
|
|
9
|
|
|
4
|
|
Changes in assets and
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
(126)
|
|
|
(43)
|
|
|
(121)
|
|
|
(21)
|
|
Inventories
|
6
|
|
|
25
|
|
|
(27)
|
|
|
(49)
|
|
Accounts
payable
|
80
|
|
|
70
|
|
|
22
|
|
|
103
|
|
Accrued income
taxes
|
—
|
|
|
2
|
|
|
14
|
|
|
(54)
|
|
Other assets and
other liabilities
|
52
|
|
|
(152)
|
|
|
(21)
|
|
|
(229)
|
|
Net cash provided
from operating activities
|
104
|
|
|
133
|
|
|
284
|
|
|
312
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INVESTING
|
|
|
|
|
|
|
|
|
|
|
|
Capital
expenditures
|
(131)
|
|
|
(105)
|
|
|
(340)
|
|
|
(269)
|
|
Cash payments
associated with Interiors divestiture
|
(147)
|
|
|
—
|
|
|
(147)
|
|
|
—
|
|
Acquisition of
businesses, net of cash acquired
|
(3)
|
|
|
(10)
|
|
|
(311)
|
|
|
(10)
|
|
Proceeds from asset
sales and business divestitures
|
2
|
|
|
938
|
|
|
66
|
|
|
977
|
|
Other
|
—
|
|
|
—
|
|
|
(8)
|
|
|
—
|
|
Net cash (used by)
provided from investing activities
|
(279)
|
|
|
823
|
|
|
(740)
|
|
|
698
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FINANCING
|
|
|
|
|
|
|
|
|
|
|
|
Short-term debt,
net
|
(3)
|
|
|
(62)
|
|
|
39
|
|
|
(20)
|
|
Proceeds from
issuance of debt, net of issuance costs
|
1
|
|
|
—
|
|
|
619
|
|
|
204
|
|
Repurchase of
long-term notes
|
—
|
|
|
(52)
|
|
|
(419)
|
|
|
(52)
|
|
Principal payments on
debt
|
(2)
|
|
|
(1)
|
|
|
(18)
|
|
|
(6)
|
|
Repurchase of common
stock
|
—
|
|
|
—
|
|
|
(500)
|
|
|
(250)
|
|
Dividends paid to
non-controlling interests
|
(13)
|
|
|
—
|
|
|
(97)
|
|
|
(22)
|
|
Other
|
2
|
|
|
—
|
|
|
17
|
|
|
5
|
|
Net cash used by
financing activities
|
(15)
|
|
|
(115)
|
|
|
(359)
|
|
|
(141)
|
|
Effect of exchange
rate changes on cash and equivalents
|
(18)
|
|
|
(1)
|
|
|
(35)
|
|
|
(17)
|
|
Net (decrease)
increase in cash and equivalents
|
(208)
|
|
|
840
|
|
|
(850)
|
|
|
852
|
|
Cash and equivalents
at beginning of period
|
1,035
|
|
|
837
|
|
|
1,677
|
|
|
825
|
|
Cash and equivalents
at end of period
|
$
|
827
|
|
|
$
|
1,677
|
|
|
$
|
827
|
|
|
$
|
1,677
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 The
Company has combined cash flows from discontinued operations with
cash flows from continuing operations within the operating,
investing and financing categories. As such, cash and equivalents
above include amounts reflected in assets held for sale on the
Consolidated Balance Sheets.
|
VISTEON CORPORATION AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(Unaudited, Dollars in Millions)
Adjusted EBITDA: Adjusted EBITDA is presented as a
supplemental measure of the Company's performance that management
believes is useful to investors because the excluded items may vary
significantly in timing or amounts and/or may obscure trends useful
in evaluating and comparing the Company's operating activities
across reporting periods. The Company defines Adjusted EBITDA as
net income attributable to Visteon, plus net interest expense,
provision for income taxes and depreciation and amortization, as
further adjusted to eliminate the impact of equity in net income of
non-consolidated affiliates, net income attributable to
non-controlling interests, asset impairments, gains or losses on
divestitures, net restructuring expenses and other reimbursable
costs, non-cash stock-based compensation expense, certain employee
charges and benefits, reorganization items, and other non-operating
gains and losses. The Company's definition of Adjusted EBITDA
includes the impacts of discontinued operations for all periods
presented. Because not all companies use identical
calculations, this presentation of Adjusted EBITDA may not be
comparable to similarly titled measures of other companies.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Excluding
|
|
Three Months
Ended
|
|
|
Twelve Months
Ended
|
|
|
Climate
PG
|
|
December
31
|
|
|
December
31
|
|
|
Estimated
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
Full Year 2015
*
|
Adjusted EBITDA (ex.
Disc. Ops.)
|
$
|
200
|
|
|
$
|
164
|
|
|
$
|
678
|
|
|
$
|
582
|
|
|
$225 -
$255
|
Discontinued
Operations
|
3
|
|
|
|
4
|
|
|
24
|
|
|
18
|
|
|
—
|
Adjusted EBITDA
(incl. Disc. Ops.)
|
$
|
203
|
|
|
$
|
168
|
|
|
$
|
702
|
|
|
$
|
600
|
|
|
$225 -
$255
|
Interest
expense, net
|
8
|
|
|
|
11
|
|
|
28
|
|
|
38
|
|
|
20
|
Provision for income taxes
|
30
|
|
|
|
58
|
|
|
124
|
|
|
117
|
|
|
30
|
Depreciation and amortization
|
65
|
|
|
|
56
|
|
|
261
|
|
|
235
|
|
|
85
|
Restructuring expenses
|
33
|
|
|
|
5
|
|
|
56
|
|
|
36
|
|
|
25
|
Gain on
Yanfeng Transactions
|
—
|
|
|
|
(465)
|
|
|
—
|
|
|
(465)
|
|
|
—
|
Loss on
debt extinguishment
|
—
|
|
|
|
2
|
|
|
23
|
|
|
2
|
|
|
—
|
Non-cash, stock-based compensation expense
|
3
|
|
|
|
3
|
|
|
12
|
|
|
17
|
|
|
10
|
Pension
settlement gain
|
—
|
|
|
|
—
|
|
|
(25)
|
|
|
—
|
|
|
—
|
Other
expenses
|
28
|
|
|
|
12
|
|
|
68
|
|
|
26
|
|
|
55
|
Equity
in net income of non-consolidated affiliates
|
—
|
|
|
|
(79)
|
|
|
(15)
|
|
|
(213)
|
|
|
5
|
Net
income attributable to non-controlling interests
|
24
|
|
|
|
32
|
|
|
89
|
|
|
85
|
|
|
15
|
Other
|
4
|
|
|
|
4
|
|
|
9
|
|
|
4
|
|
|
—
|
Discontinued operations
|
146
|
|
|
|
16
|
|
|
367
|
|
|
28
|
|
|
—
|
Net (loss) income
attributable to Visteon
|
$
|
(138)
|
|
|
$
|
513
|
|
|
$
|
(295)
|
|
|
$
|
690
|
|
|
($20) -
$10
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* In connection with
the anticipated 2015 sale of the Company's outstanding shares in
Halla Visteon Climate Control Corporation ("HVCC"), the Company has
excluded climate product group measures from estimated full year
2015 guidance as the close timing is uncertain due to regulatory
reviews, shareholder approval and other conditions. Additionally,
the other product group Adjusted EBITDA is assumed to be
break-even.
|
Adjusted EBITDA is not a recognized term under U.S. GAAP and
does not purport to be a substitute for net income as an indicator
of operating performance or cash flows from operating activities as
a measure of liquidity. Adjusted EBITDA has limitations as an
analytical tool and is not intended to be a measure of cash flow
available for management's discretionary use, as it does not
consider certain cash requirements such as interest payments, tax
payments and debt service requirements. In addition, the Company
uses Adjusted EBITDA (i) as a factor in incentive compensation
decisions, (ii) to evaluate the effectiveness of the Company's
business strategies, and (iii) because the Company's credit
agreements use similar measures for compliance with certain
covenants.
Free Cash Flow and Adjusted Free Cash Flow: Free cash
flow and Adjusted free cash flow are presented as supplemental
measures of the Company's liquidity that management believes are
useful to investors in analyzing the Company's ability to service
and repay its debt. The Company defines Free cash flow as cash flow
provided from operating activities less capital expenditures. The
Company defines Adjusted free cash flow as cash flow provided from
operating activities less capital expenditures, as further adjusted
for restructuring and transformation-related payments. Free cash
flow and Adjusted free cash flow include amounts associated with
discontinued operations. Because not all companies use identical
calculations, this presentation of Free cash flow and Adjusted free
cash flow may not be comparable to other similarly titled measures
of other companies.
|
|
|
|
|
|
|
|
|
|
|
|
|
Excluding
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
Climate
PG
|
|
December
31
|
|
December
31
|
|
Estimated
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
|
Full Year 2015
*
|
Cash provided from
operating activities
|
$
|
104
|
|
|
$
|
133
|
|
|
$
|
284
|
|
|
$
|
312
|
|
|
$0 - $40
|
Capital
expenditures
|
(131)
|
|
|
(105)
|
|
|
(340)
|
|
|
(269)
|
|
|
100
|
Free cash
flow
|
$
|
(27)
|
|
|
$
|
28
|
|
|
$
|
(56)
|
|
|
$
|
43
|
|
|
($100) -
($60)
|
Restructuring/transformation-related
payments
|
74
|
|
|
22
|
|
|
167
|
|
|
103
|
|
|
110
|
Yanfeng proceed
taxes
|
—
|
|
|
86
|
|
|
—
|
|
|
86
|
|
|
10
|
Adjusted free cash
flow
|
$
|
47
|
|
|
$
|
136
|
|
|
$
|
111
|
|
|
$
|
232
|
|
|
$20 - $60
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* In connection with
the anticipated 2015 sale of the Company's outstanding shares in
Halla Visteon Climate Control Corporation ("HVCC"), the Company has
excluded climate product group measures from estimated full year
2015 guidance as the close timing is uncertain due to regulatory
reviews, shareholder approval and other conditions. Additionally,
the other product group Adjusted free cash flow is assumed to be
break-even.
|
Free cash flow and Adjusted free cash flow are not recognized
terms under U.S. GAAP and do not purport to be a substitute for
cash flows from operating activities as a measure of liquidity.
Free cash flow and Adjusted free cash flow have limitations as
analytical tools as they do not reflect cash used to service debt
and do not reflect funds available for investment or other
discretionary uses. In addition, the Company uses Free cash flow
and Adjusted free cash flow (i) as factors in incentive
compensation decisions and (ii) for planning and forecasting future
periods.
Adjusted Net Income and Adjusted Earnings Per Share:
Adjusted net income and Adjusted earnings per share are presented
as supplemental measures that management believes are useful to
investors in analyzing the Company's profitability. The
Company defines Adjusted net income as net income attributable to
Visteon plus net restructuring expenses, reorganization items,
discontinued operations and other non-operating gains and losses.
The Company defines Adjusted earnings per share as Adjusted net
income divided by diluted shares. Because not all companies use
identical calculations, this presentation of Adjusted net income
and Adjusted earnings per share may not be comparable to other
similarly titled measures of other companies.
|
Includes
Discontinued Operations
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
December
31
|
|
December
31
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
Diluted (loss)
earnings per share:
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income
attributable to Visteon
|
$
|
(138)
|
|
|
$
|
513
|
|
|
$
|
(295)
|
|
|
$
|
690
|
|
Average shares outstanding, diluted (in millions)
|
44.3
|
|
|
49.7
|
|
|
47.2
|
|
|
51.1
|
|
Diluted (loss)
earnings per share
|
(3.12)
|
|
|
10.32
|
|
|
$
|
(6.25)
|
|
|
$
|
13.50
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted earnings
per share:
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income
attributable to Visteon
|
$
|
(138)
|
|
|
$
|
513
|
|
|
$
|
(295)
|
|
|
$
|
690
|
|
Other
expenses
|
65
|
|
|
(419)
|
|
|
136
|
|
|
(369)
|
|
Discontinued
operations related
|
147
|
|
|
2
|
|
|
357
|
|
|
10
|
|
Adjusted net
income
|
$
|
74
|
|
|
$
|
96
|
|
|
$
|
198
|
|
|
$
|
331
|
|
Average shares outstanding, diluted (in millions)
|
44.3
|
|
|
49.7
|
|
|
47.2
|
|
|
51.1
|
|
Adjusted earnings per
share
|
$
|
1.67
|
|
|
$
|
1.93
|
|
|
$
|
4.19
|
|
|
$
|
6.48
|
|
Adjusted net income and Adjusted earnings per share are not
recognized terms under U.S. GAAP and do not purport to be a
substitute for profitability. Adjusted net income and Adjusted
earnings per share have limitations as analytical tools as they do
not consider certain restructuring and transaction-related payments
and/or expenses. In addition, the Company uses Adjusted net income
and Adjusted earnings per share for planning and forecasting future
periods.
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SOURCE Visteon Corporation