Plymouth, Michigan — Adient, the full-service automotive interiors giant, had sales of $1626m in the third quarter of 2020. This is a fall of 61% compared with the same period in 2019.
Adjusted EBITDA was a loss of $122m. In the same period in the previous year, the adjusted EBITDA was $205m.
Shutdowns at car makers around the world hit Adient's business in the quarter. For example, in its Americas reporting segment, sales plunged by 70% between the third quarter of 2019 and 2020, declining to $593m. Adjusted EBITDA in the division went from a profit of $69m to a loss of $83m in Q3 2020.
Adient said it had managed to buy materials at lower price and raise selling prices of some of its products in the quarter, but these gains were offset by a $152m hit to EBITDA through lower production. The company saved $36m through production improvements, and a cut a further $33m from the back-office costs.
This story was repeated in Europe, where production shutdowns reduced sales by 60%. EBITDA of $53m in the third quarter of 2019 was turned into an EBITDA loss of $94m in Q3 2020.
Sales in the company's Asia business sales shrank by 34.7% between Q3 2019 and Q3 2020, falling to $346m. This compares with $530m in the third quarter of 2019.
Adjusted EBIT in the division shrank by 35.4% to $71m in Q3 2020. This compares with $110m in Q3 2019.