Adient reports third quarter financial results; reaffirms earnings and FCF outlook for FY26
Rhea-AI Summary
Adient (NYSE: ADNT) reported third quarter 2026 results, with Q3 GAAP net income of $25 million and diluted EPS of $0.32. Adjusted diluted EPS was $0.48, and Q3 adjusted EBITDA was $225 million, essentially flat versus Q3 FY2025 despite approximately $32 million of temporary headwinds related to the Middle East conflict and customer/supplier inefficiencies. The company reaffirmed its earnings and free cash flow outlook for FY26.
As of June 30, 2026, Adient reported gross debt of about $2.4 billion, net debt of about $1.5 billion, and cash and cash equivalents of $924 million. Strong free cash flow generation supported $30 million of share repurchases in Q3, bringing year-to-date repurchases through June 30, 2026 to $55 million. Management will discuss the results on an investor conference call on August 5, 2026, at 8:30 a.m. Eastern.
Positive
- Q3 GAAP net income $25M and diluted EPS $0.32
- Q3 adjusted diluted EPS $0.48
- Q3 adjusted EBITDA $225M, essentially flat vs. Q3 FY2025
- Temporary headwinds of ~$32M absorbed while maintaining flat adjusted EBITDA
- Cash and cash equivalents $924M at June 30, 2026
- Share repurchases $30M in Q3; $55M year-to-date through June 30, 2026
Negative
- Q3 adjusted EBITDA essentially flat versus Q3 FY2025
- Temporary headwinds of approximately $32M from Middle East conflict and operational inefficiencies
Market Reaction – ADNT
Following this news, ADNT has declined 2.10%, reflecting a moderate negative market reaction. Our momentum scanner has triggered 4 alerts so far, indicating moderate trading interest and price volatility. The stock is currently trading at $20.71.
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Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jul 14 | Earnings scheduling | Neutral | +0.3% | Conference call scheduled to discuss third quarter fiscal 2026 financial results |
| May 06 | Q2 earnings results | Positive | +8.0% | Quarterly results included modestly raised FY26 guidance and a 7.98% positive reaction |
| Apr 07 | Earnings scheduling | Neutral | -0.7% | Conference call scheduled to discuss second quarter fiscal 2026 results |
| Feb 04 | Q1 earnings results | Positive | +15.2% | Results included raised FY2026 guidance and a 15.19% positive reaction |
| Jan 13 | Earnings scheduling | Neutral | +3.2% | Conference call scheduled to discuss first quarter fiscal 2026 results |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Adient’s reported earnings releases produced positive 24-hour reactions in Q1 and Q2, while earnings-scheduling notices had smaller mixed reactions.
Key Terms
gaap financial
eps diluted financial
adj.-ebitda financial
free cash flow financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
- Q3 GAAP net income and EPS diluted of
$25M $0.32 $0.48 - Q3 Adj.-EBITDA of
$225M ~ of temporary headwinds, stemming from the$32M Middle East conflict and customer/supplier driven inefficiencies - Gross debt and net debt totaled
~ and$2.4B ~ , respectively, at June 30, 2026; cash and cash equivalents of$1.5B $924M - Strong free cash flow generation during the quarter enabled
$30M $55M
For complete details and to see reconciliations of non-GAAP measures to their most directly comparable GAAP measures, visit the events section of the Adient investor website at https://investors.adient.com/events-and-presentations/events to download the full press release and earnings presentation.
Investor analyst conference call:
Adient's president and chief executive officer, Jerome Dorlack, and executive vice president and chief financial officer, Mark Oswald, will host a conference call today at 8:30 a.m. Eastern to discuss the results. To participate by telephone, please dial 888-790-3145 (
About Adient:
Adient (NYSE: ADNT) is a global leader in automotive seating. With more than 65,000 employees in 29 countries, Adient operates ~200 manufacturing/assembly plants worldwide. We produce and deliver automotive seating for all major OEMs. From complete seating systems to individual components, our expertise spans every step of the automotive seat-making process. We take our products from research and design to engineering and manufacturing — and into millions of vehicles every year. For more information, please visit www.adient.com.
Cautionary Statement Regarding Forward-Looking Statements:
Adient has made statements in this document that are forward-looking and, therefore, are subject to risks and uncertainties. All statements in this document other than statements of historical fact are statements that are, or could be, deemed "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. In this document, statements regarding Adient's expectations for its deleveraging activities, the timing, benefits and outcomes of those activities, as well as its future financial position, sales, costs, earnings, cash flows, other measures of results of operations, capital expenditures or debt levels and plans, objectives, market position, outlook, targets, guidance or goals are forward-looking statements. Words such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "should," "forecast," "project" or "plan" or terms of similar meaning are also generally intended to identify forward-looking statements. Adient cautions that these statements are subject to numerous important risks, uncertainties, assumptions and other factors, some of which are beyond Adient's control, that could cause Adient's actual results to differ materially from those expressed or implied by such forward-looking statements, including, among others, risks related to: the effects of local and national economic, credit and capital market conditions (including the persistence of high interest rates, vehicle affordability and volatile currency exchange rates) on the global economy, increased competitive pressures in the EMEA and Asia regions from Chinese OEMs, uncertainties in U.S. administrative policy regarding trade agreements, tariffs and other international trade relations, automotive vehicle production levels, mix and schedules, as well as the concentration of exposure to certain automotive manufacturers particularly new entrants in the China market, shifts in market shares among vehicles, vehicle segments or away from vehicles on which Adient has significant content, changes in consumer demand, risks associated with Adient's joint ventures, volatile energy markets, Adient's ability and timing of customer recoveries for increased input costs, the availability of raw materials and component products (including components required by Adient's customers for the manufacture of vehicles), risks associated with warranty and product recall and product liability exposures, geopolitical uncertainties such as the Middle East and Ukraine conflicts and the impact on the regional and global economies and additional pressure on commodities, supply chain and vehicle production, the ability of Adient to effectively launch new business at forecast and profitable levels, the ability of Adient to successfully identify suitable opportunities for organic investment and/or acquisitions and to integrate such investments and/or acquisitions, work stoppages, including due to strikes, supply chain disruptions and similar events, wage inflationary pressures due to labor shortages and new labor negotiations, the ability of Adient to execute its restructuring plans and achieve the desired benefit, the ability of Adient to meet debt service requirements and terms of future financing, the impact of global tax reform legislation, the impact of more aggressive positions taken by tax authorities, potential adjustment of the value of deferred tax assets, global climate change and related emphasis on sustainability matters by various stakeholders, and the ability of Adient to achieve its sustainability-related goals, cancellation of, or changes to, commercial arrangements, and the ability of Adient to identify, recruit and retain key leadership. A detailed discussion of risks related to Adient's business is included in the section entitled "Risk Factors" in Adient's Annual Report on Form 10-K for the fiscal year ended September 30, 2025 filed with the U.S. Securities and Exchange Commission (the "SEC") on November 18, 2025, in Adient's Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2026, and in subsequent reports filed with or furnished to the SEC, available at www.sec.gov. Potential investors and others should consider these factors in evaluating the forward-looking statements and should not place undue reliance on such statements. The forward-looking statements included in this document are made only as of the date of this document, unless otherwise specified, and, except as required by law, Adient assumes no obligation, and disclaims any obligation, to update such statements to reflect events or circumstances occurring after the date of this document.
Use of Non-GAAP Financial Information:
This document also contains non-GAAP financial information because Adient's management believes it may assist investors in evaluating Adient's on-going operations. Adient believes these non-GAAP disclosures provide important supplemental information to management and investors regarding financial and business trends relating to Adient's financial condition and results of operations. Investors should not consider these non-GAAP measures as alternatives to the related GAAP measures. Non-GAAP measures include Adjusted EBIT, Adjusted EBITDA, Adjusted net income, Adjusted effective tax rate, Adjusted earnings per share, Adjusted equity income, Adjusted interest expense, Free cash flow and Net debt. For further detail and reconciliations to their closest GAAP equivalents, please see the appendix. Reconciliations of non-GAAP measures related to FY 2026 guidance have not been provided due to the unreasonable efforts it would take to provide such reconciliations. This document also contains the key performance indicator of business performance, which is defined as the difference in period-over-period Adjusted EBITDA excluding production volume/mix, equity income, foreign exchange and net commodity pricing. Management believes this key performance indicator encompasses the significant drivers of the performance of the business that are within management's ability to influence and may assist investors in evaluating Adient's on-going operations and provide important supplemental information regarding financial and business trends relating to Adient's financial condition and results of operations. Investors should not consider this key performance indicator as an alternative to our GAAP financial results.
ADNT-FN
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SOURCE Adient