BorgWarner Exceeds Q1 Forecasts and Secures Multiple New Contracts, Driving Stock Price Higher

Deep News05-06 22:20

BorgWarner announced its first-quarter 2026 financial results, with key metrics surpassing market expectations. The company also revealed a series of new business orders covering its portfolio of internal combustion engine and electrified powertrain technologies. The positive news contributed to a rise in the company's stock price during trading.

Financial report data showed that the company's first-quarter GAAP net sales reached $3.533 billion, representing an approximate 1% increase compared to the same period last year and largely aligning with analyst expectations of $3.54 billion. Adjusted earnings per share were $1.24, a roughly 12% increase from the $1.11 reported a year earlier, significantly exceeding the market forecast of $1.17. Adjusted operating profit for the quarter was $372 million, also surpassing the expected $361 million.

Concurrently, BorgWarner announced several new business cooperation agreements aimed at supporting its long-term profitable growth. These include supplying a major European commercial vehicle manufacturer with high-efficiency variable turbine geometry turbochargers and exhaust gas recirculation coolers. Furthermore, the company secured projects related to electric motors, dual-clutch systems, and variable camshaft timing systems for multiple OEMs in China, Japan, and South Korea. Production for these projects is expected to commence progressively between 2026 and 2029.

The company also reaffirmed its full-year 2026 performance guidance, projecting net sales to be in the range of $14.0 billion to $14.3 billion. Adjusted earnings per share are forecasted to be between $5.00 and $5.20.

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