VAN BUREN TOWNSHIP, Mich.,
Feb. 28, 2013 /PRNewswire/
--
- Fourth-quarter performance adds to a solid year
- Full-year sales of $6.86
billion ($1.82 billion in
fourth quarter)
- Adjusted EBITDA of $628
million ($196 million in
fourth quarter)
- 2012 net income attributable to Visteon of $100 million ($39
million in fourth quarter)
- Strong cash performance
- Positive full-year cash from operations of $239 million; full-year positive free cash
flow
- Total cash of $845 million
and total debt of $569
million
- Consolidation of Visteon's climate business with Halla
Climate Control largely complete
- Company repurchased $50
million in common shares under its $300 million repurchase program and redeemed for
cash $50 million of its outstanding
Senior Notes
Visteon Corporation (NYSE: VC) today announced full-year 2012
results, reporting net income attributable to Visteon of
$100 million, or $1.88 per diluted share, an increase of
$20 million compared with 2011. The
results benefited from a very strong fourth quarter, the strongest
of 2012.
(Logo:
http://photos.prnewswire.com/prnh/20001201/DEF008LOGO )
Visteon reported full-year sales of $6.86
billion, a decrease of $675
million compared with 2011. Sales were lower due to the
October 2011 deconsolidation of
Duckyang Industry Co. Ltd. and unfavorable currency. Full-year
adjusted EBITDA, a non-GAAP financial measure as defined below, was
$628 million, a decrease of
$57 million compared with 2011. Free
cash flow, a non-GAAP financial measure as defined below, was a
positive $10 million for the full
year 2012.
Visteon reported new business wins of $1.2 billion for 2012, including $750 million of incremental new wins and
$450 million of rewin business.
Visteon has an expected backlog of approximately $800 million of consolidated net new business for
the period 2013-2015.
For the fourth quarter of 2012, Visteon reported net income
attributable to Visteon of $39
million, or 74 cents per
diluted share, on sales of $1.82
billion. For the fourth quarter of 2011, Visteon's net loss
attributable to Visteon was $26
million, on sales of $1.73
billion. Adjusted EBITDA for the fourth quarter of 2012 was
$196 million, compared with
$154 million in the same period a
year earlier.
"We delivered a strong finish to a solid year that was
highlighted by operational improvements, an impressive level of new
business wins, and completion of the majority of the Halla-Visteon
climate consolidation that has long been desired by our customers,"
said Tim Leuliette, president and
CEO. "Visteon is a stronger company than a year ago – with a
global, low-cost manufacturing footprint; a solid cash position, a
conservative debt profile; and a strong business backlog. We
continue to drive down administrative costs, improve our
operational structure and execute all facets of our strategy to
maximize value for customers and shareholders."
Full-Year 2013 Outlook
Visteon projects 2013 sales ranging from $7.3 billion to $7.5 billion, adjusted EBITDA in
the range of $620 million to $660
million, and adjusted free cash flow, as defined below, of
$100 million to $150 million.
Other Developments
Visteon announced Jan. 14 that its
board of directors increased the company's current $100 million share repurchase program by an
additional $200 million during the
next two years. This action creates a total of $250 million available with which to repurchase
shares, as the company has already repurchased $50 million worth of its common shares since the
initial share repurchase program was authorized in August 2012. This creates a total share
repurchase program of $300
million.
On Jan. 31, Visteon and its
longtime Korean affiliate Halla Climate Control Corp. (HCC)
announced they completed the contribution of the majority of
Visteon's automotive climate business to HCC. The transaction was
divided into two phases, with the second phase on track to be
completed in the first half of 2013. The total purchase price,
before certain adjustments, is unchanged from the $410 million announced by the companies on
Jan. 11, subject to certain
adjustments.
On Jan. 29, Visteon completed the
sale of its equity interest in a China-based lighting joint venture, Visteon
TYC Corporation, for $17 million.
On Dec. 14, 2012, Visteon redeemed
for cash $50 million of its
outstanding 6.75 percent Senior Notes due 2019, at a redemption
price of 103 percent of the principal amount of the notes, plus
accrued and unpaid interest to the redemption rate.
Fourth Quarter in Review
Sales of $1.82 billion for the
fourth quarter of 2012 increased $96
million from $1.73 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 27 percent, Renault-Nissan 7
percent and PSA Peugeot-Citroen 4 percent. On a regional basis,
Asia accounted for 46 percent of
total product sales, up slightly from 44 percent for the same
period last year, while Europe
represented 30 percent – down from 35 percent a year earlier.
North America represented 18
percent of total product sales for the fourth quarter of 2012,
compared with 15 percent during the same quarter last year, and
South America accounted for 6
percent, about even with the fourth quarter of 2011.
Gross margin for the fourth quarter of 2012 was $198 million, compared with $144 million a year earlier. The $54 million increase reflected the favorable
impact of customer agreements and increased volume. Selling,
general and administrative (SG&A) expense of $102 million for the fourth quarter of 2012
increased $6 million from a year
earlier, primarily reflecting costs related to pension
settlements.
During the fourth quarter of 2012, Visteon recognized
$43 million of equity in the net
income of non-consolidated affiliates, compared with $38 million in the fourth quarter of 2011.
Visteon's 50 percent-owned affiliate, Yanfeng Visteon Automotive
Trim Systems Co., Ltd. (YFV), and related affiliated interests
contributed $36 million in equity
income.
For the fourth quarter of 2012, the company reported net income
attributable to Visteon of $39
million, or 74 cents per
diluted share, including $35 million
in restructuring costs. This compares with a net loss attributable
to Visteon of $26 million for the
same period of 2011. Adjusted EBITDA for the fourth quarter of 2012
was $196 million, compared with
$154 million for the same period a
year earlier. On a year-over-year basis, increases in adjusted
EBITDA from the impacts of customer agreements, favorable volume,
and equity in the net income of non-consolidated affiliates, were
partially offset by the impact of the sale of the lighting business
in the third quarter of 2012.
Fourth-Quarter Results By Segment
Climate sales increased by $161
million during the fourth quarter of 2012, compared with the
same quarter last year. Higher production volumes and net new
business increased sales by $162
million, primarily attributable to volume increases in
Asia and North America.
Electronics sales increased $11
million during the fourth quarter, compared with the same
period in 2011. Vehicle production volume increases in North America, partially offset by the impact
of weakened economic conditions in Europe that reduced production volumes,
resulted in a $25 million sales
increase. Unfavorable currency, driven by the weakening of the
euro, decreased sales by $10
million.
Interiors sales decreased during the quarter by $89 million, compared with the fourth quarter of
2011. Sales decreased $74 million due
to the deconsolidation of Duckyang. Sales were further decreased by
lower vehicle production volumes, primarily in Europe, of $17
million. Unfavorable currency, primarily related to the
euro, decreased sales by an additional $17
million.
Full-Year 2012 Results
For the full year of 2012, the company reported net income
attributable to Visteon of $100
million, or $1.88 per diluted
share. This compares with net income attributable to Visteon of
$80 million or $1.54 per diluted share for the same period of
2011. Adjusted EBITDA for the full year of 2012 was $628 million, compared with $685 million for the same period a year
earlier.
Cash and Debt Balances
As of Dec. 31, 2012, Visteon had
global cash balances totaling $845
million, including restricted cash of $20 million and total debt of $569 million.
For full year 2012, Visteon generated $239 million of cash from operations. Capital
expenditures of $229 million in 2012
were $29 million lower than in 2011.
For 2012, free cash flow, as defined below, was positive
$10 million, compared with negative
$83 million for 2011.
For the fourth quarter of 2012, Visteon generated $76 million of cash from operations, compared
with $120 million in the same period
a year earlier. Capital expenditures in the fourth quarter of 2012
were $83 million, up from
$73 million in the fourth quarter of
2011. Free cash flow was a use of $7
million in the fourth quarter of 2012, compared with a
contribution of $47 million in the
fourth quarter of 2011.
About Visteon
Visteon is a leading global automotive supplier delivering value
for vehicle manufacturers and shareholders through a family of
businesses including:
- Halla Visteon Climate Control, majority-owned by Visteon and
the world's second-largest global supplier of automotive climate
components and systems.
- Visteon Electronics, a leading supplier of audio/infotainment,
driver information, center stack electronics and feature control
modules.
- Visteon Interiors, a global provider of vehicle cockpit
modules, instrument panels, consoles and door trim modules.
- Yanfeng Visteon Automotive Trim Systems Co., Ltd., a successful
non-consolidated China-based
partnership between Visteon and Shanghai Automotive Industry
Corporation's automotive components group, Huayu Automotive
Systems.
Through this family of enterprises, Visteon designs, engineers
and manufactures innovative components and systems for virtually
every vehicle manufacturer worldwide, and these businesses
generated more than $12 billion in
sales in 2011, including unconsolidated operations. With corporate
offices in Van Buren Township,
Mich. (U.S.); Shanghai,
China; and Chelmsford, UK;
Visteon has facilities in 29 countries and employs through its
various businesses, including unconsolidated operations,
approximately 55,000 people. Learn more at www.visteon.com.
Conference Call and Presentation
Today, Thursday, Feb. 28, at
8 a.m. ET, the company will host a
conference call for the investment community to discuss the
quarter's 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: 888-452-7086
Outside U.S./Canada:
706-643-3752
(Call approximately 10 minutes before the start of the
conference.)
The conference call and live audio webcast, along with the
financial results release, presentation material 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
95204331. 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,
2012). 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, 2012. 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 2013 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
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
|
|
|
|
|
|
|
|
Sales
|
$
|
1,823
|
|
|
$
|
1,727
|
|
|
$
|
6,857
|
|
|
$
|
7,532
|
|
Cost of
sales
|
1,625
|
|
|
1,583
|
|
|
6,268
|
|
|
6,914
|
|
Gross
margin
|
198
|
|
|
144
|
|
|
589
|
|
|
618
|
|
Selling,
general and administrative expenses
|
102
|
|
|
96
|
|
|
369
|
|
|
387
|
|
Equity in
net income of non-consolidated affiliates
|
43
|
|
|
38
|
|
|
226
|
|
|
168
|
|
Restructuring expenses
|
35
|
|
|
6
|
|
|
79
|
|
|
24
|
|
Interest
expense, net
|
7
|
|
|
6
|
|
|
35
|
|
|
27
|
|
Other
expense (income), net
|
18
|
|
|
(24)
|
|
|
41
|
|
|
11
|
|
Income
before income taxes
|
79
|
|
|
98
|
|
|
291
|
|
|
337
|
|
Provision
for income taxes
|
19
|
|
|
40
|
|
|
121
|
|
|
127
|
|
Net
income from continuing operations
|
60
|
|
|
58
|
|
|
170
|
|
|
210
|
|
Loss from
discontinued operations, net of tax
|
—
|
|
|
(64)
|
|
|
(3)
|
|
|
(56)
|
|
Net
income (loss)
|
60
|
|
|
(6)
|
|
|
167
|
|
|
154
|
|
Net income
attributable to non-controlling interests
|
21
|
|
|
20
|
|
|
67
|
|
|
74
|
|
Net
income (loss) attributable to Visteon Corporation
|
$
|
39
|
|
|
$
|
(26)
|
|
|
$
|
100
|
|
|
$
|
80
|
|
|
|
|
|
|
|
|
|
Per
share data:
|
|
|
|
|
|
|
|
Basic
earnings (loss) per share
|
|
|
|
|
|
|
|
Continuing
operations
|
$
|
0.74
|
|
|
$
|
0.75
|
|
|
$
|
1.95
|
|
|
$
|
2.65
|
|
Discontinued operations
|
—
|
|
|
(1.26)
|
|
|
(0.06)
|
|
|
(1.09)
|
|
Basic
earnings (loss) per share attributable to
Visteon
Corporation
|
$
|
0.74
|
|
|
$
|
(0.51)
|
|
|
$
|
1.89
|
|
|
$
|
1.56
|
|
|
|
|
|
|
|
|
|
Diluted
earnings (loss) per share
|
|
|
|
|
|
|
|
Continuing
operations
|
$
|
0.74
|
|
|
$
|
0.75
|
|
|
$
|
1.93
|
|
|
$
|
2.62
|
|
Discontinued operations
|
—
|
|
|
(1.26)
|
|
|
(0.05)
|
|
|
(1.08)
|
|
Diluted
earnings (loss) per share attributable to
Visteon
Corporation
|
$
|
0.74
|
|
|
$
|
(0.51)
|
|
|
$
|
1.88
|
|
|
$
|
1.54
|
|
|
|
|
|
|
|
|
|
Average
shares outstanding (in millions)
|
|
|
|
|
|
|
|
Basic
|
52.7
|
|
|
50.7
|
|
|
52.9
|
|
|
51.2
|
|
Diluted
|
53.0
|
|
|
50.7
|
|
|
53.3
|
|
|
52.0
|
|
|
|
|
|
|
|
|
|
Comprehensive income:
|
|
|
|
|
|
|
|
Comprehensive (loss) income
|
$
|
(35)
|
|
|
$
|
(44)
|
|
|
$
|
128
|
|
|
$
|
66
|
|
Comprehensive (loss) income attributable to Visteon
Corporation
|
$
|
(68)
|
|
|
$
|
(69)
|
|
|
$
|
35
|
|
|
$
|
5
|
|
VISTEON
CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Dollars in Millions)
(Unaudited)
|
|
|
December 31
|
|
2012
|
|
2011
|
ASSETS
|
|
|
Cash and
equivalents
|
$
|
825
|
|
|
$
|
723
|
|
Restricted
cash
|
20
|
|
|
23
|
|
Accounts
receivable, net
|
1,162
|
|
|
1,071
|
|
Inventories, net
|
385
|
|
|
381
|
|
Other
current assets
|
271
|
|
|
291
|
|
Total
current assets
|
2,663
|
|
|
2,489
|
|
|
|
|
|
Property
and equipment, net
|
1,326
|
|
|
1,412
|
|
Equity in
net assets of non-consolidated affiliates
|
756
|
|
|
644
|
|
Intangible
assets, net
|
332
|
|
|
353
|
|
Other
non-current assets
|
79
|
|
|
71
|
|
Total
assets
|
$
|
5,156
|
|
|
$
|
4,969
|
|
|
|
|
|
LIABILITIES AND EQUITY
|
|
|
Short-term
debt, including current portion of long-term debt
|
$
|
96
|
|
|
$
|
87
|
|
Accounts
payable
|
1,027
|
|
|
1,010
|
|
Accrued
employee liabilities
|
175
|
|
|
189
|
|
Other
current liabilities
|
254
|
|
|
267
|
|
Total
current liabilities
|
1,552
|
|
|
1,553
|
|
|
|
|
|
Long-term
debt
|
473
|
|
|
512
|
|
Employee
benefits
|
571
|
|
|
495
|
|
Deferred
tax liabilities
|
181
|
|
|
187
|
|
Other
non-current liabilities
|
238
|
|
|
225
|
|
|
|
|
|
Stockholders' equity
|
|
|
|
Preferred stock
|
—
|
|
|
—
|
|
Common stock
|
1
|
|
|
1
|
|
Stock warrants
|
10
|
|
|
13
|
|
Additional paid-in capital
|
1,269
|
|
|
1,165
|
|
Retained earnings
|
266
|
|
|
166
|
|
Accumulated other comprehensive loss
|
(90)
|
|
|
(25)
|
|
Treasury stock
|
(71)
|
|
|
(13)
|
|
Total
Visteon Corporation stockholders' equity
|
1,385
|
|
|
1,307
|
|
Non-controlling interests
|
756
|
|
|
690
|
|
Total
equity
|
2,141
|
|
|
1,997
|
|
Total
liabilities and equity
|
$
|
5,156
|
|
|
$
|
4,969
|
|
VISTEON
CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH
FLOWS
(Dollars in Millions)
(Unaudited)
|
|
|
Three
Months Ended
|
|
Twelve
Months Ended
|
|
December 31
|
|
December 31
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
Operating Activities
|
|
|
|
|
|
|
|
Net income
(loss)
|
$
|
60
|
|
|
$
|
(6)
|
|
|
$
|
167
|
|
|
$
|
154
|
|
Adjustments to reconcile net income (loss) to net
cash
provided
from operating activities:
|
|
|
|
|
|
|
|
Depreciation and amortization
|
63
|
|
|
68
|
|
|
259
|
|
|
316
|
|
Asset impairments
|
5
|
|
|
66
|
|
|
24
|
|
|
66
|
|
Equity in net income of non-consolidated affiliates,
net
of dividends remitted
|
(15)
|
|
|
(34)
|
|
|
(122)
|
|
|
(122)
|
|
Stock-based compensation
|
6
|
|
|
9
|
|
|
25
|
|
|
39
|
|
Other non-cash items
|
4
|
|
|
(2)
|
|
|
7
|
|
|
20
|
|
Changes in
assets and liabilities:
|
|
|
|
|
|
|
|
Accounts receivable
|
20
|
|
|
21
|
|
|
(38)
|
|
|
(110)
|
|
Inventories
|
28
|
|
|
17
|
|
|
(26)
|
|
|
(33)
|
|
Accounts payable
|
(67)
|
|
|
(6)
|
|
|
(26)
|
|
|
(25)
|
|
Other assets and other liabilities
|
(28)
|
|
|
(13)
|
|
|
(31)
|
|
|
(130)
|
|
Net cash
provided from operating activities
|
76
|
|
|
120
|
|
|
239
|
|
|
175
|
|
Investing Activities
|
|
|
|
|
|
|
|
Capital
expenditures
|
(83)
|
|
|
(73)
|
|
|
(229)
|
|
|
(258)
|
|
Joint
venture deconsolidation
|
—
|
|
|
(52)
|
|
|
—
|
|
|
(52)
|
|
Proceeds
from asset sales and business divestitures
|
3
|
|
|
3
|
|
|
191
|
|
|
14
|
|
Other
|
—
|
|
|
(22)
|
|
|
(2)
|
|
|
(35)
|
|
Net cash
used by investing activities
|
(80)
|
|
|
(144)
|
|
|
(40)
|
|
|
(331)
|
|
Financing Activities
|
|
|
|
|
|
|
|
Short-term
debt, net
|
3
|
|
|
6
|
|
|
5
|
|
|
17
|
|
Cash
restriction, net
|
—
|
|
|
(1)
|
|
|
—
|
|
|
51
|
|
Proceeds
from issuance of debt, net of issuance costs
|
19
|
|
|
—
|
|
|
831
|
|
|
503
|
|
Principal
payments on debt
|
—
|
|
|
—
|
|
|
(824)
|
|
|
(513)
|
|
Repurchase
of long-term notes
|
(52)
|
|
|
—
|
|
|
(52)
|
|
|
—
|
|
Repurchase
of common stock
|
(50)
|
|
|
—
|
|
|
(50)
|
|
|
—
|
|
Payment of
Rights Offering fees
|
—
|
|
|
—
|
|
|
—
|
|
|
(33)
|
|
Dividends
paid to non-controlling interests
|
(4)
|
|
|
(2)
|
|
|
(27)
|
|
|
(31)
|
|
Other
|
2
|
|
|
—
|
|
|
2
|
|
|
3
|
|
Net cash
(used by) provided from financing activities
|
(82)
|
|
|
3
|
|
|
(115)
|
|
|
(3)
|
|
Effect
of exchange rate changes on cash and equivalents
|
10
|
|
|
(14)
|
|
|
18
|
|
|
(23)
|
|
Net
(decrease) increase in cash and equivalents
|
(76)
|
|
|
(35)
|
|
|
102
|
|
|
(182)
|
|
Cash
and equivalents at beginning of period
|
901
|
|
|
758
|
|
|
723
|
|
|
905
|
|
Cash
and equivalents at end of period
|
$
|
825
|
|
|
$
|
723
|
|
|
$
|
825
|
|
|
$
|
723
|
|
VISTEON
CORPORATION AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL
MEASURES
(Unaudited, Dollars in Millions)
|
|
In this
press release the Company has provided information regarding
certain non-GAAP financial measures including "Adjusted EBITDA,"
"Free cash flow," and "Adjusted free cash flow." Such non-GAAP
financial measures are reconciled to their closest GAAP financial
measure in the schedules below.
|
|
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
continuing 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 asset impairments, gains or losses on divestitures, net
restructuring expenses and other reimbursable costs, certain
non-recurring employee charges and benefits, reorganization items,
and other non-operating gains and losses. Because not all companies
use identical calculations this presentation of Adjusted EBITDA may
not be comparable to other similarly titled measures of other
companies.
|
|
|
Three
Months Ended
|
|
Twelve
Months Ended
|
|
Estimated
|
|
December 31
|
|
December 31
|
|
Full
Year
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
|
2013
|
Adjusted EBITDA
|
$
|
196
|
|
|
$
|
154
|
|
|
$
|
628
|
|
|
$
|
685
|
|
|
$620 -
$660
|
Interest
expense, net
|
7
|
|
|
6
|
|
|
35
|
|
|
27
|
|
|
40
|
Provision
for income taxes
|
19
|
|
|
40
|
|
|
121
|
|
|
127
|
|
|
120 -
140
|
Depreciation and amortization
|
63
|
|
|
63
|
|
|
258
|
|
|
295
|
|
|
275
|
Restructuring expenses
|
35
|
|
|
6
|
|
|
79
|
|
|
24
|
|
|
75 -
125
|
Other expense (income),
net
|
18
|
|
|
(24)
|
|
|
41
|
|
|
11
|
|
|
25
|
Equity investment gain
|
—
|
|
|
—
|
|
|
(63)
|
|
|
—
|
|
|
—
|
Other non-operating costs,
net
|
15
|
|
|
17
|
|
|
27
|
|
|
30
|
|
|
10
|
Non-cash equity-based compensation
expense *
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
20
|
Discontinued operations
|
—
|
|
|
72
|
|
|
30
|
|
|
91
|
|
|
—
|
Net
income (loss) attributable to Visteon Corporation
|
$
|
39
|
|
|
$
|
(26)
|
|
|
$
|
100
|
|
|
$
|
80
|
|
|
($15) -
$95
|
|
* Adjusted
EBITDA redefined for 2013 to exclude non-cash equity-based
compensation expense.
|
|
Adjusted
EBITDA is not a recognized term under 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) the Company's credit agreements use measures similar to
Adjusted EBITDA to measure compliance with certain
covenants.
|
|
Free
Cash Flow and Adjusted Free Cash Flow: Free cash flow and
adjusted free cash are presented as supplemental measures of the
Company's liquidity that management believes is 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 payments net of customer recoveries, transformation
and reorganization-related payments. Because not all companies use
identical calculations, this presentation of free cash flow and
adjusted free cash may not be comparable to other similarly titled
measures of other companies.
|
|
|
Three
Months Ended
|
|
Twelve
Months Ended
|
|
Estimated
|
|
December 31
|
|
December 31
|
|
Full
Year
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
|
2013
|
Cash
provided from operating activities
|
$
|
76
|
|
|
$
|
120
|
|
|
$
|
239
|
|
|
$
|
175
|
|
|
$175 -
$275
|
Capital
expenditures
|
(83)
|
|
|
(73)
|
|
|
(229)
|
|
|
(258)
|
|
|
(250)
|
Free
cash flow
|
$
|
(7)
|
|
|
$
|
47
|
|
|
$
|
10
|
|
|
$
|
(83)
|
|
|
($75) -
$25
|
Restructuring payments, net
|
3
|
|
|
4
|
|
|
46
|
|
|
18
|
|
|
$125 -
$75
|
Transformation and reorganization-related
payments
|
11
|
|
|
8
|
|
|
46
|
|
|
67
|
|
|
50
|
Adjusted free cash flow
|
$
|
7
|
|
|
$
|
59
|
|
|
$
|
102
|
|
|
$
|
2
|
|
|
$100
- $150
|
|
Free cash
flow and adjusted free cash flow are not recognized terms under
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 and 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 (i) as
factors in incentive compensation decisions, and (ii) for planning
and forecasting future periods.
|
SOURCE Visteon Corporation