APTV · 8-K · 20260804PR000057
Income Tax Rate Changes
Aptiv PLC · 2026-08-04 · Importance 17 · Surprise 82 · From source text
Second-quarter tax expense increased to $52 million from $16 million in the prior-year quarter, despite continuing-operations income before taxes increasing to $366 million from $294 million. Six-month tax expense fell to $94 million from $342 million because the prior-year period included approximately $300 million of valuation allowances on deferred tax assets. The prior-year valuation allowance reflected OECD Administrative Guidance issued in the first quarter of 2025 and a reduced expected benefit from Aptiv’s Swiss tax incentive.
Key facts
- Tax expense in Q2 2026: $52 million (Q2 2025: $16 million). source
- Q3 2026 U.S. GAAP effective tax rate guidance: approximately 18%; Adjusted effective tax rate guidance: approximately 18%. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| net_income | negative | realized | -1.1% | Tax expense in Q2 2026: $52 million (Q2 2025: $16 million). |
| net_income | unclear | committed | — | Q3 2026 U.S. GAAP effective tax rate guidance: approximately 18%; Adjusted effective tax rate guidance: approximately 18%. |