AUBURN HILLS, Mich.,
Sept. 18, 2018 /PRNewswire/ --
BorgWarner Inc. (NYSE: BWA) today is hosting its 2018 Investor Day
at its Propulsion Technical Center in Auburn Hills, Michigan. During the
event, company executives will share the company's growth strategy,
vision and extensive product portfolio for combustion, hybrid and
electric vehicle propulsion. As part of this event,
management has provided its 2023 outlook for the company.
2023 Outlook Highlights:
- Compared to industry volume expectations, the company expects
to be overweight in hybrid and electric revenue by 2023.
- Revenue related to combustion, hybrid and electric vehicle
propulsion is expected to grow in excess of industry volume in all
three propulsion system categories.
- The company anticipates 2023 consolidated revenue of
approximately $14.0 billion.
- Operating margin is expected to improve to the low 13% range by
2023.
- 2023 free cash flow is expected to be approximately
$1.0 billion.
- Free cash flow outlook implies an approximate 12% Compound
Annual Growth Rate (CAGR) when compared to 2018 guidance of
$550 million to $575 million.
Updated 2018 Guidance: The company has moderated its 2018
full year organic growth guidance, due to weaker industry volumes
primarily in China, with
additional short-term issues in Europe. Full year net sales
are now expected to be in the range of $10.49 billion to $10.58
billion. This implies organic sales growth of
approximately 4.5% to 5.5% or 450 to 550 basis points over the
company's light vehicle market exposure. 2018 full year
adjusted net earnings are now expected to be within a range of
$4.35 to $4.40 per diluted share. The company
expects third quarter 2018 organic net sales growth of
approximately 3.0% to 3.5%. Third quarter 2018 adjusted net
earnings are now expected to be within a range of $0.98 to $1.00 per
diluted share.
At 11:00 a.m. ET today, the
company will webcast today's presentation and a questions and
answer session with investors at:
http://www.borgwarner.com/en/Investors/default.aspx.
BorgWarner Inc. (NYSE: BWA) is a global product leader in clean
and efficient technology solutions for combustion, hybrid and
electric vehicles. With manufacturing and technical
facilities in 66 locations in 18 countries, the company employs
approximately 29,000 worldwide. For more information, please visit
borgwarner.com.
Statements contained in, or incorporated by reference into this
presentation, future filings by us with the Securities and Exchange
Commission ("SEC"), and oral statements made by, or with the
approval of, our authorized personnel, that relate to our future
performance or future events are forward-looking statements under
the Private Securities Litigation Reform Act of 1995. Such
statements can be identified by use of forward-looking words or
phrases such as "intend," "anticipate," "plan," "estimate,"
"target," "aim," "forecast," "project," "expect," "believe," "we
are optimistic that we can," "current visibility indicates that we
forecast," "contemplation" or "currently envisions" and similar
phrases. Although we believe that the expectations reflected in
these forward-looking statements are reasonable, our expectations
may not prove to be correct. Forward-looking statements are
necessarily estimates reflecting the best judgment of our senior
management and involve a number of risks and uncertainties, some of
which may be beyond our control, which could cause actual results
to differ materially from those suggested by the forward-looking
statements. These risks and uncertainties, among others, include:
our dependence on automotive and truck production, both of which
are highly cyclical; our reliance on major OEM customers;
commodities availability and pricing; supply disruptions;
fluctuations in interest rates and foreign currency exchange rates;
availability of credit; our dependence on key management; our
dependence on information systems; the uncertainty of the global
economic environment; the outcome of existing or any future legal
proceedings, including litigation with respect to various claims;
and future changes in laws and regulations in the countries in
which we operate. All forward-looking statements should be
evaluated with the understanding of their inherent uncertainty. All
subsequent written and oral forward-looking statements concerning
the matters addressed in this presentation and attributable to us
or any person acting on our behalf are qualified by these
cautionary statements. Forward-looking statements are based on
current expectations only and are not guarantees of future
performance, and are subject to certain risks, uncertainties and
assumptions. We may change our intentions, beliefs or expectations
at any time and without notice, based upon any change in our
assumptions or otherwise. Should one or more of these risks or
uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary materially from those
anticipated, estimated or projected. In addition, some factors are
beyond our control. We undertake no obligation to publicly update
or revise any forward-looking statements, whether as a result of
new information, future events or otherwise, except as required by
law.
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SOURCE BorgWarner