APTV · 10-Q · 2026Q2 · Full report

Operating Margin Drivers

Aptiv PLC · 2026-08-04 · Importance 26 · Surprise 24

Adjusted Operating Income for the three months ended June 30, 2026 was affected by $54 million of volume impacts, including contractual price reductions net of price recoveries, together with product mix and operational performance. Six-month adjusted operating income was affected by $87 million of volume impacts and operational performance. Favorable foreign-currency effects, primarily from the Mexican Peso, contributed $35 million in the quarter and $46 million for the first six months. SG&A expense excluding separation costs and other acquisition and portfolio project costs decreased $15 million in the quarter, while warranty costs decreased approximately $20 million year to date.

Key facts

• Selling, general and administrative expense percentage of net sales for the three months ended June 30, 2026: 10.1%. source
• Selling, general and administrative expense percentage of net sales for the six months ended June 30, 2026: 10.5%. source
• Segment Adjusted Operating Income for the three months ended June 30, 2026 was impacted by volume, net of contractual price reductions, of $54 million compared to the three months ended June 30, 2025. source
• Adjusted Operating Income for the six months ended June 30, 2026 was impacted by volume, net of contractual price reductions, of $87 million compared to the six months ended June 30, 2025. source
• Adjusted Operating Income was favorably impacted by foreign currency impacts of $35 million (three months) and $46 million (six months), primarily related to the Mexican Peso. source
• Adjusted Operating Income for the three months ended June 30, 2026 included $15 million of decreased SG&A expense (not including separation costs and other acquisition and portfolio project costs). source
• Approximately $20 million of decreased warranty costs impacted Adjusted Operating Income in the six months ended June 30, 2026. source
• Amortization expense decreased by $1 million in the six months ended June 30, 2026 compared to the prior year period. source