XML 68 R48.htm IDEA: XBRL DOCUMENT
v3.24.3

Segment Information (Tables) | 12 Months Ended
--- | ---
Sep. 30, 2024
Segment Reporting [Abstract] |
Schedule of Financial Information for Reportable Segments | The following table summarizes net sales and adjusted EBITDA by reportable segment for fiscal 2024, 2023 and 2022:
(in millions) |  | Americas |  | EMEA |  | Asia |  | Corporate/Eliminations |  | Consolidated
Fiscal 2024
Net sales |  | $ | 6,763 |  |  | $ | 5,029 |  |  | $ | 2,989 |  |  | $ | (93) |  |  | $ | 14,688 |
Adjusted EBITDA |  | $ | 375 |  |  | $ | 155 |  |  | $ | 439 |  |  | $ | (89) |  |  | $ | 880 |
Fiscal 2023
Net sales |  | $ | 7,220 |  |  | $ | 5,195 |  |  | $ | 3,085 |  |  | $ | (105) |  |  | $ | 15,395 |
Adjusted EBITDA |  | $ | 336 |  |  | $ | 232 |  |  | $ | 464 |  |  | $ | (94) |  |  | $ | 938 |
Fiscal 2022
Net sales |  | $ | 6,557 |  |  | $ | 4,764 |  |  | $ | 2,926 |  |  | $ | (126) |  |  | $ | 14,121 |
Adjusted EBITDA |  | $ | 242 |  |  | $ | 138 |  |  | $ | 383 |  |  | $ | (88) |  |  | $ | 675 |
The following is a reconciliation of Adient's reportable segments' adjusted EBITDA to income before income taxes:
|  | Year Ended September 30,
(in millions) |  | 2024 |  | 2023 |  | 2022
Adjusted EBITDA |  |  |  |  |  |
Americas |  | $ | 375 |  |  | $ | 336 |  |  | $ | 242 |
EMEA |  | 155 |  |  | 232 |  |  | 138 |
Asia |  | 439 |  |  | 464 |  |  | 383 |
Subtotal |  | 969 |  |  | 1,032 |  |  | 763 |
Corporate-related costs (1) |  | (89) |  |  | (94) |  |  | (88) |
Restructuring and impairment costs (2) |  | (168) |  |  | (40) |  |  | (25) |
Purchase accounting amortization (3) |  | (48) |  |  | (52) |  |  | (54) |
Restructuring related activities (4) |  | — |  |  | 2 |  |  | (6) |
Loss on disposal transactions (5) |  | (7) |  |  | (6) |  |  | — |
Depreciation |  | (285) |  |  | (290) |  |  | (298) |
Equity based compensation |  | (31) |  |  | (34) |  |  | (29) |
Other items (6) |  | 2 |  |  | 5 |  |  | (4) |
Earnings before interest and income taxes |  | 343 |  |  | 523 |  |  | 259 |
Net financing charges |  | (189) |  |  | (195) |  |  | (215) |
Other pension income (expense) |  | (21) |  |  | (33) |  |  | 10 |
Income before income taxes |  | $ | 133 |  |  | $ | 295 |  |  | $ | 54 |
Notes: (1) Corporate-related costs not allocated to the segments include executive office, communications, corporate development, legal and corporate finance. (2) Reflects restructuring charges for costs that are probable and reasonably estimable and one-time asset impairments. During fiscal 2024, an impairment charge of $9 million related to Adient’s investment in Adient Aerospace was recorded. During fiscal 2022, an impairment charge of $4 million related to the withdrawal from and sale of its operations in Russia, and a held-for-sale impairment charge of $6 million were recorded in EMEA. Refer to Note 15, “Restructuring and Impairment Costs,” of the notes to the consolidated financial statements for more information. (3) Reflects amortization of intangible assets including those related to partially owned affiliates recorded within equity income. (4) Reflects restructuring-related charges for costs that are recorded as incurred or as earned and other non-recurring impacts that are directly attributable to restructuring activities. Fiscal 2024 and 2023 also each include a non-recurring $10 million gain on the sale of two restructured facilities in Americas. (5) Fiscal 2024 reflects an $8 million loss on sale of 51% of Adient's interest in LFADNT (as described in Note 3, "Acquisitions and Divestitures," of the notes to consolidated financial statements), partially offset by a $1 million gain on sale of a nonconsolidated partially-owned affiliate. Fiscal 2023 reflects $3 million and $3 million of non-cash impairment related to certain of Adient's investments in nonconsolidated partially-owned affiliates in Asia and EMEA, respectively, (6) Fiscal 2024 reflects a $3 million non-recurring gain on a contract related settlement and $1 million of indirect tax recoveries in Brazil, partially offset by $1 million of transaction costs and a $1 million one-time divestiture related impact at an affiliate. Fiscal 2023 reflects $4 million of one-time divestiture gain at an affiliate and $4 million of a gain associated with the retrospective recovery of indirect tax credits in Brazil, partially offset by $3 million of transaction costs. Fiscal 2022 includes $3 million and $7 million of non-cash impairments of certain of Adient's investments in nonconsolidated partially-owned affiliates in Asia and EMEA, respectively, $8 million of transaction costs, a $14 million charge related to a non-recurring contract related settlement, $1 million of accounts receivable allowances resulting from the withdrawal from and sale of operations in Russia, and $2 million of loss on finalization of asset sale in Turkey, partially offset by a gain of $32 million associated with the retrospective recovery of indirect tax credits in Brazil.
Schedule of Reconciliation of Other Significant Reconciling Items from Segments to Consolidated | Additional Segment Information
|  | Year Ended September 30, 2024
|  | Reportable Segments |  | Reconciling Items(1) |  | Consolidated
(in millions) |  | Americas |  | EMEA |  | Asia |  |
Net Sales |  | $ | 6,763 |  |  | $ | 5,029 |  |  | $ | 2,989 |  |  | $ | (93) |  |  | $ | 14,688 |
Equity Income |  | 3 |  |  | 15 |  |  | 73 |  |  | (1) |  |  | 90 |
Total Assets |  | 2,863 |  |  | 2,349 |  |  | 3,185 |  |  | 954 |  |  | 9,351 |
Depreciation |  | 127 |  |  | 112 |  |  | 46 |  |  | — |  |  | 285 |
Amortization |  | 12 |  |  | 2 |  |  | 33 |  |  | — |  |  | 47 |
Capital Expenditures |  | 100 |  |  | 107 |  |  | 59 |  |  | — |  |  | 266 |
(1) Reconciling items include the elimination of intercompany transactions, corporate-related assets and other amounts to reconcile to consolidated totals. Specific reconciling items for equity income represents $1 million of purchase accounting amortization. Corporate-related assets primarily include cash and assets held for sale.
|  | Year Ended September 30, 2023
|  | Reportable Segments |  | Reconciling Items(1) |  | Consolidated
(in millions) |  | Americas |  | EMEA |  | Asia |  |
Net Sales |  | $ | 7,220 |  |  | $ | 5,195 |  |  | $ | 3,085 |  |  | $ | (105) |  |  | $ | 15,395 |
Equity Income |  | 3 |  |  | 16 |  |  | 71 |  |  | (6) |  |  | 84 |
Total Assets |  | 3,122 |  |  | 2,252 |  |  | 2,930 |  |  | 1,120 |  |  | 9,424 |
Depreciation |  | 133 |  |  | 107 |  |  | 50 |  |  | — |  |  | 290 |
Amortization |  | 12 |  |  | 3 |  |  | 35 |  |  | — |  |  | 50 |
Capital Expenditures |  | 114 |  |  | 81 |  |  | 57 |  |  | — |  |  | 252 |
(1) Reconciling items include the elimination of intercompany transactions, corporate-related assets and other amounts to reconcile to consolidated totals. Specific reconciling items for equity income represents $6 million of non-cash impairments of Adient's investments in partially-owned affiliates, $2 million of restructuring related charges, and $2 million of purchase accounting amortization, partially offset by a $4 million gain on sale of certain assets at affiliates in China. Corporate-related assets primarily include cash and assets held for sale.
|  | Year Ended September 30, 2022
|  | Reportable Segments |  | Reconciling Items(1) |  | Consolidated
(in millions) |  | Americas |  | EMEA |  | Asia |  |
Net Sales |  | $ | 6,557 |  |  | 4,764 |  |  | $ | 2,926 |  |  | (126) |  |  | $ | 14,121 |
Equity Income |  | — |  |  | 12 |  |  | 76 |  |  | (13) |  |  | 75 |
Total Assets |  | 3,073 |  |  | 2,166 |  |  | 2,959 |  |  | 960 |  |  | 9,158 |
Depreciation |  | 130 |  |  | 116 |  |  | 52 |  |  | — |  |  | 298 |
Amortization |  | 12 |  |  | 4 |  |  | 36 |  |  | — |  |  | 52 |
Capital Expenditures |  | 104 |  |  | 73 |  |  | 50 |  |  | — |  |  | 227 |
(1) Reconciling items include the elimination of intercompany transactions, corporate-related assets and other amounts to reconcile to consolidated totals. Specific reconciling items for equity income represents $10 million of non-cash impairments of Adient's investments in partially-owned affiliates, $1 million of restructuring related charges, $2 million of purchase accounting amortization, $7 million of a non-recurring customer termination charge at an affiliate in Asia, partially offset by a $7 million non-recurring gain on sale of land use rights at an affiliate in China. Corporate-related assets primarily include cash and deferred income tax assets.
Schedule of Operations by Geographical Areas | Financial information relating to Adient's operations by geographic area is as follows:
Net Sales |  |  |  |  |  |
|  | Year Ended September 30,
(in millions) |  | 2024 |  | 2023 |  | 2022
Americas |  |  |  |  |  |
United States |  | $ | 5,893 |  |  | $ | 6,530 |  |  | $ | 5,876 |
Mexico |  | 2,634 |  |  | 2,661 |  |  | 2,427 |
Other Americas |  | 314 |  |  | 338 |  |  | 377 |
Regional Elimination |  | (2,078) |  |  | (2,309) |  |  | (2,123) |
|  | 6,763 |  |  | 7,220 |  |  | 6,557 |
EMEA |  |  |  |  |  |
Germany |  | 942 |  |  | 1,046 |  |  | 862 |
Poland |  | 939 |  |  | 963 |  |  | 770 |
Czech Republic |  | 756 |  |  | 900 |  |  | 962 |
Other EMEA |  | 3,736 |  |  | 3,714 |  |  | 3,462 |
Regional Elimination |  | (1,344) |  |  | (1,428) |  |  | (1,292) |
|  | 5,029 |  |  | 5,195 |  |  | 4,764 |
Asia |  |  |  |  |  |
China |  | 1,420 |  |  | 1,385 |  |  | 1,374 |
Thailand |  | 496 |  |  | 564 |  |  | 508 |
Korea |  | 488 |  |  | 534 |  |  | 534 |
Japan |  | 344 |  |  | 373 |  |  | 264 |
Other Asia |  | 294 |  |  | 284 |  |  | 270 |
Regional Elimination |  | (53) |  |  | (55) |  |  | (24) |
|  | 2,989 |  |  | 3,085 |  |  | 2,926 |
Inter-segment elimination |  | (93) |  |  | (105) |  |  | (126) |
Total |  | $ | 14,688 |  |  | $ | 15,395 |  |  | $ | 14,121 |
Long-Lived Assets (consisting of net property, plant and equipment) |  |
|  | Year Ended September 30,
(in millions) |  | 2024 |  | 2023
Americas |  |  |  |
United States |  | $ | 420 |  |  | $ | 446 |
Mexico |  | 151 |  |  | 152 |
Other Americas |  | 17 |  |  | 18 |
|  | 588 |  |  | 616 |
EMEA |  |  |  |
Germany |  | 127 |  |  | 127 |
Poland |  | 155 |  |  | 131 |
Czech Republic |  | 35 |  |  | 30 |
Other EMEA |  | 233 |  |  | 228 |
|  | 550 |  |  | 516 |
Asia |  |  |  |
China |  | 115 |  |  | 113 |
Thailand |  | 52 |  |  | 45 |
Korea |  | 23 |  |  | 22 |
Japan |  | 62 |  |  | 51 |
Other Asia |  | 20 |  |  | 19 |
|  | 272 |  | 250
Total |  | $ | 1,410 |  |  | $ | 1,382 |

X
- Definition Tabular disclosure of reconciliation of other items from reportable segments to their consolidated amount. Excludes reconciliation of revenue, profit (loss), and assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-31 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-30 + Details
Name: | us-gaap_ReconciliationOfOtherSignificantReconcilingItemsFromSegmentsToConsolidatedTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of information concerning material long-lived assets (excluding financial instruments, customer relationships with financial institutions, mortgage and other servicing rights, deferred policy acquisition costs, and deferred taxes assets) located in identified geographic areas and/or the amount of revenue from external customers attributed to that country from which revenue is material. An entity may also provide subtotals of geographic information about groups of countries. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 220 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03(1)) -Publisher FASB -URI https://asc.fasb.org/1943274/2147483621/220-10-S99-2 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-41 + Details
Name: | us-gaap_ScheduleOfRevenuesFromExternalCustomersAndLongLivedAssetsByGeographicalAreasTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 25 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-25 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-22 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-30 + Details
Name: | us-gaap_ScheduleOfSegmentReportingInformationBySegmentTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration