Michigan, US – Second quarter sales at seat maker Adient were up 12% at $3.9bn, up from $3.5bn in the 2022 quarter. Adjusted EBITDA of $215m represented a 35% rise from the $181m reported a year earlier.
The company attributed the improved year-on-year earnings to a modestly improved operating environment, combined with its focused strategy. The improvements included more stab;e customer production schedules and lower freight costs.
However, it said, its expectations for the rest of 2023 are tempered by other risks placing downward pressure on the automotive industry remain, including soft demand in the Chinese market and high steel costs in North America.
This is reflected in the modest sales growth in Asia, where sales rose by 7% to $774m in the quarter, up from $723m the year before. The increase was a little higher in the Americas, where sales were up from $1.60bn to $1.76bn, a rise of 10%. In EMEA, sales growth was even better at 15%, rising from $1.22bn to $1.40bn.
“Adient delivered strong operational, commercial and financial performance in Q2, building on the positive momentum established earlier in the year,” said Doug Del Grosso, Adient’s president and CEO, “Although obstacles exist, the team remains focused on navigating them successfully and delivering our FY23 plan.”