Borgwarner Inc Financials
This page shows Borgwarner Inc (BWA) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 19 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Financial Health Signals
Based on FY2025 annual data. Scores normalized against common benchmarks. How we calculate these scores
Borgwarner Inc has an operating margin of 3.7%, meaning the company retains $4 of operating profit per $100 of revenue. This below-average margin results in a low score of 19/100, suggesting thin profitability after operating expenses. This is down from 3.9% the prior year.
Borgwarner Inc's revenue grew a modest 1.6% year-over-year to $14.3B. This slow but positive growth earns a score of 33/100.
Borgwarner Inc carries a low D/E ratio of 0.72, meaning only $0.72 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 85/100, indicating a strong balance sheet with room for future borrowing.
Borgwarner Inc's current ratio of 2.07 indicates adequate short-term liquidity, earning a score of 63/100. The company can meet its near-term obligations, though with limited headroom.
Borgwarner Inc has a free cash flow margin of 8.2%, earning a moderate score of 41/100. The company generates positive cash flow after capital investments, but with room for improvement.
Borgwarner Inc generates a 5.1% ROE, indicating limited profit relative to shareholders' investment. This results in a returns score of 20/100. This is down from 6.1% the prior year.
Borgwarner Inc scores 3.04, well above the 2.99 safe threshold. This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Borgwarner Inc passes 6 of 9 financial strength tests. 3 of 4 profitability signals pass, 2 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.
For every $1 of reported earnings, Borgwarner Inc generates $5.95 in operating cash flow ($1.6B OCF vs $277.0M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Borgwarner Inc earns $5.4 in operating income for every $1 of interest expense ($536.0M vs $99.0M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Borgwarner Inc generated $14.3B in revenue in fiscal year 2025. This represents an increase of 1.6% from the prior year.
Borgwarner Inc's EBITDA was $1.3B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 3.0% from the prior year.
Borgwarner Inc generated $1.2B in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 65.8% from the prior year.
Borgwarner Inc reported $277.0M in net income in fiscal year 2025. This represents a decrease of 18.0% from the prior year.
Borgwarner Inc earned $1.28 per diluted share (EPS) in fiscal year 2025. This represents a decrease of 14.7% from the prior year.
Borgwarner Inc held $2.3B in cash against $3.9B in long-term debt as of fiscal year 2025.
Borgwarner Inc paid $0.56 per share in dividends in fiscal year 2025. This represents an increase of 27.3% from the prior year.
Borgwarner Inc had 207M shares outstanding in fiscal year 2025. This represents a decrease of 5.3% from the prior year.
Borgwarner Inc's gross margin was 18.7% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 0.1 percentage points from the prior year.
Borgwarner Inc's operating margin was 3.7% in fiscal year 2025, reflecting core business profitability. This is down 0.1 percentage points from the prior year.
Borgwarner Inc's net profit margin was 1.9% in fiscal year 2025, showing the share of revenue converted to profit. This is down 0.5 percentage points from the prior year.
Borgwarner Inc's ROE was 5.1% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 1.0 percentage points from the prior year.
Borgwarner Inc invested $710.0M in research and development in fiscal year 2025. This represents a decrease of 3.5% from the prior year.
Borgwarner Inc spent $508.0M on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding. This represents an increase of 26.4% from the prior year.
Borgwarner Inc invested $469.0M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 30.1% from the prior year.
BWA Income Statement
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $3.6B-0.5% | $3.6B-1.3% | $3.6B+3.5% | $3.5B+2.2% | $3.4B-0.3% | $3.4B-4.3% | $3.6B+0.2% | $3.6B |
| Cost of Revenue | $2.8B-2.9% | $2.9B-2.4% | $3.0B+4.2% | $2.9B+4.4% | $2.8B-2.0% | $2.8B-3.6% | $2.9B-1.1% | $3.0B |
| Gross Profit | $731.0M+10.1% | $664.0M+3.8% | $640.0M+0.2% | $639.0M-6.4% | $683.0M+7.4% | $636.0M-7.2% | $685.0M+6.4% | $644.0M |
| R&D Expenses | $157.0M-16.9% | $189.0M+3.8% | $182.0M0.0% | $182.0M+7.1% | $170.0M-10.5% | $190.0M+0.5% | $189.0M+1.1% | $187.0M |
| SG&A Expenses | $331.0M-2.9% | $341.0M+7.6% | $317.0M+0.6% | $315.0M-7.4% | $340.0M0.0% | $340.0M-0.3% | $341.0M+3.6% | $329.0M |
| Operating Income | -$238.0M-196.0% | $248.0M-14.2% | $289.0M+21.9% | $237.0M+175.0% | -$316.0M-217.0% | $270.0M-9.1% | $297.0M+0.7% | $295.0M |
| Interest Expense | $22.0M-12.0% | $25.0M+4.2% | $24.0M-14.3% | $28.0M0.0% | $28.0M+16.7% | $24.0M+41.2% | $17.0M+13.3% | $15.0M |
| Income Tax | $1.0M-98.7% | $75.0M+44.2% | $52.0M-14.8% | $61.0M-9.0% | $67.0M+415.4% | $13.0M+141.9% | -$31.0M-150.0% | $62.0M |
| Net Income | -$262.0M-265.8% | $158.0M-29.5% | $224.0M+42.7% | $157.0M+138.8% | -$405.0M-273.1% | $234.0M-22.8% | $303.0M+47.1% | $206.0M |
| EPS (Diluted) | $-1.20-264.4% | $0.73-29.1% | $1.03+43.1% | $0.72+140.4% | $-1.78-271.2% | $1.04-22.4% | $1.34+48.9% | $0.90 |
BWA Balance Sheet
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $13.8B-5.0% | $14.5B+0.7% | $14.4B+4.1% | $13.8B-1.2% | $14.0B-7.6% | $15.1B+7.3% | $14.1B-0.1% | $14.1B |
| Current Assets | $6.8B-2.6% | $7.0B+3.0% | $6.8B+6.3% | $6.4B-2.2% | $6.5B-4.9% | $6.9B+14.2% | $6.0B+0.8% | $6.0B |
| Cash & Equivalents | $2.3B+195.5% | $782.8M+1.5% | $771.4M-4.5% | $808.1M-61.4% | $2.1B+4.7% | $2.0B+55.3% | $1.3B+24.2% | $1.0B |
| Inventory | $1.2B-1.9% | $1.2B+1.2% | $1.2B+0.9% | $1.2B-3.7% | $1.3B-8.4% | $1.4B+3.3% | $1.3B-0.8% | $1.3B |
| Accounts Receivable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Goodwill | $2.1B-16.4% | $2.5B-0.3% | $2.5B+3.5% | $2.4B+1.1% | $2.4B-22.1% | $3.0B+2.1% | $3.0B-0.4% | $3.0B |
| Total Liabilities | $8.2B-2.3% | $8.3B+0.2% | $8.3B+4.9% | $7.9B-4.2% | $8.3B-5.7% | $8.8B+12.3% | $7.8B-3.2% | $8.1B |
| Current Liabilities | $3.3B-3.6% | $3.4B+1.5% | $3.4B+3.8% | $3.2B-11.4% | $3.6B-1.9% | $3.7B+0.2% | $3.7B-4.1% | $3.9B |
| Long-Term Debt | $3.9B0.0% | $3.9B-0.2% | $3.9B+2.6% | $3.8B+1.1% | $3.8B-10.3% | $4.2B+27.8% | $3.3B-0.4% | $3.3B |
| Total Equity | $5.4B-9.1% | $6.0B+1.1% | $5.9B+3.5% | $5.7B+3.4% | $5.5B-10.1% | $6.2B+1.0% | $6.1B+4.3% | $5.8B |
| Retained Earnings | $6.6B-4.3% | $6.9B+1.8% | $6.7B+3.1% | $6.5B+2.1% | $6.4B-6.3% | $6.8B+3.3% | $6.6B+4.7% | $6.3B |
BWA Cash Flow Statement
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $619.0M+68.2% | $368.0M-36.4% | $579.0M+606.1% | $82.0M-88.0% | $682.0M+91.6% | $356.0M-22.9% | $462.0M+491.5% | -$118.0M |
| Capital Expenditures | $162.0M+45.9% | $111.0M+44.2% | $77.0M-35.3% | $119.0M-26.1% | $161.0M+3.9% | $155.0M-6.1% | $165.0M-13.2% | $190.0M |
| Free Cash Flow | $457.0M+77.8% | $257.0M-48.8% | $502.0M+1456.8% | -$37.0M-107.1% | $521.0M+159.2% | $201.0M-32.3% | $297.0M+196.4% | -$308.0M |
| Investing Cash Flow | -$164.0M-86.4% | -$88.0M-37.5% | -$64.0M+31.9% | -$94.0M+13.8% | -$109.0M+25.9% | -$147.0M-6.5% | -$138.0M+21.1% | -$175.0M |
| Financing Cash Flow | -$52.2M+64.5% | -$147.0M+29.7% | -$209.0M+47.4% | -$397.0M-130.8% | -$172.0M-135.0% | $492.0M+933.9% | -$59.0M+67.8% | -$183.0M |
| Dividends Paid | $35.0M-2.8% | $36.0M+50.0% | $24.0M0.0% | $24.0M0.0% | $24.0M0.0% | $24.0M-4.0% | $25.0M0.0% | $25.0M |
| Share Buybacks | $298.0M+192.2% | $102.0M-5.6% | $108.0M | $0-100.0% | $1.0M-99.7% | $301.0M | $0-100.0% | $100.0M |
BWA Financial Ratios
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 20.5%+2.0pp | 18.5%+0.9pp | 17.6%-0.6pp | 18.2%-1.7pp | 19.9%+1.4pp | 18.4%-0.6pp | 19.0%+1.1pp | 17.9% |
| Operating Margin | -6.7%-13.6pp | 6.9%-1.0pp | 7.9%+1.2pp | 6.7%+15.9pp | -9.2%-17.0pp | 7.8%-0.4pp | 8.2%+0.0pp | 8.2% |
| Net Margin | -7.3%-11.7pp | 4.4%-1.8pp | 6.2%+1.7pp | 4.5%+16.3pp | -11.8%-18.6pp | 6.8%-1.6pp | 8.4%+2.7pp | 5.7% |
| Return on Equity | 3.9%+1.2pp | 2.6%-1.1pp | 3.8%+1.0pp | 2.7%-1.9pp | 4.7%+0.9pp | 3.8%-1.2pp | 5.0%+1.4pp | 3.5% |
| Return on Assets | -1.9%-3.0pp | 1.1%-0.5pp | 1.6%+0.4pp | 1.1%+4.0pp | -2.9%-4.4pp | 1.6%-0.6pp | 2.1%+0.7pp | 1.5% |
| Current Ratio | 2.07+0.0 | 2.05+0.0 | 2.02+0.0 | 1.97+0.2 | 1.79-0.1 | 1.84+0.2 | 1.62+0.1 | 1.54 |
| Debt-to-Equity | 0.72+0.1 | 0.650.0 | 0.660.0 | 0.66-0.0 | 0.680.0 | 0.68+0.1 | 0.54-0.0 | 0.56 |
| FCF Margin | 12.8%+5.6pp | 7.2%-6.6pp | 13.8%+14.9pp | -1.1%-16.2pp | 15.2%+9.3pp | 5.8%-2.4pp | 8.2%+16.8pp | -8.6% |
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Frequently Asked Questions
What is Borgwarner Inc's annual revenue?
Borgwarner Inc (BWA) reported $14.3B in total revenue for fiscal year 2025. This represents a 1.6% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Borgwarner Inc's revenue growing?
Borgwarner Inc (BWA) revenue grew by 1.6% year-over-year, from $14.1B to $14.3B in fiscal year 2025.
Is Borgwarner Inc profitable?
Yes, Borgwarner Inc (BWA) reported a net income of $277.0M in fiscal year 2025, with a net profit margin of 1.9%.
What is Borgwarner Inc's earnings per share (EPS)?
Borgwarner Inc (BWA) reported diluted earnings per share of $1.28 for fiscal year 2025. This represents a -14.7% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.
What is Borgwarner Inc's EBITDA?
Borgwarner Inc (BWA) had EBITDA of $1.3B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Borgwarner Inc have?
As of fiscal year 2025, Borgwarner Inc (BWA) had $2.3B in cash and equivalents against $3.9B in long-term debt.
What is Borgwarner Inc's gross margin?
Borgwarner Inc (BWA) had a gross margin of 18.7% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Borgwarner Inc's operating margin?
Borgwarner Inc (BWA) had an operating margin of 3.7% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Borgwarner Inc's net profit margin?
Borgwarner Inc (BWA) had a net profit margin of 1.9% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
Does Borgwarner Inc pay dividends?
Yes, Borgwarner Inc (BWA) paid $0.56 per share in dividends during fiscal year 2025.
What is Borgwarner Inc's return on equity (ROE)?
Borgwarner Inc (BWA) has a return on equity of 5.1% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Borgwarner Inc's free cash flow?
Borgwarner Inc (BWA) generated $1.2B in free cash flow during fiscal year 2025. This represents a 65.8% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Borgwarner Inc's operating cash flow?
Borgwarner Inc (BWA) generated $1.6B in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Borgwarner Inc's total assets?
Borgwarner Inc (BWA) had $13.8B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Borgwarner Inc's capital expenditures?
Borgwarner Inc (BWA) invested $469.0M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Borgwarner Inc spend on research and development?
Borgwarner Inc (BWA) invested $710.0M in research and development during fiscal year 2025.
Does Borgwarner Inc buy back shares?
Yes, Borgwarner Inc (BWA) spent $508.0M on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.
How many shares does Borgwarner Inc have outstanding?
Borgwarner Inc (BWA) had 207M shares outstanding as of fiscal year 2025.
What is Borgwarner Inc's current ratio?
Borgwarner Inc (BWA) had a current ratio of 2.07 as of fiscal year 2025, which is generally considered healthy.
What is Borgwarner Inc's debt-to-equity ratio?
Borgwarner Inc (BWA) had a debt-to-equity ratio of 0.72 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Borgwarner Inc's return on assets (ROA)?
Borgwarner Inc (BWA) had a return on assets of 2.0% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Borgwarner Inc's Altman Z-Score?
Borgwarner Inc (BWA) has an Altman Z-Score of 3.04, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios—working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets—to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Borgwarner Inc's Piotroski F-Score?
Borgwarner Inc (BWA) has a Piotroski F-Score of 6 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Borgwarner Inc's earnings high quality?
Borgwarner Inc (BWA) has an earnings quality ratio of 5.95x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Borgwarner Inc cover its interest payments?
Borgwarner Inc (BWA) has an interest coverage ratio of 5.4x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Borgwarner Inc?
Borgwarner Inc (BWA) scores 43 out of 100 on our Financial Profile, indicating moderate overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.