SENSATA TECHNOLOGIES REPORTS THIRD QUARTER 2025 FINANCIAL RESULTS
Swindon, United Kingdom – October 28, 2025 - Sensata Technologies (NYSE: ST) today announced financial results for its third quarter ended September 30, 2025.
“Our focused execution against the key pillars of our transformation drove exceptionally strong results in the third quarter, with all key metrics exceeding our expectations. In addition to delivering today, we are laying the foundation to drive long-term shareholder value by continuing to improve financial performance while further strengthening our balance sheet with improved cash generation and disciplined deleveraging," said Stephan von Schuckmann, Chief Executive Officer of Sensata.
Operating Results - Third Quarter
Operating results for the third quarter of 2025 compared to the third quarter of 2024 are summarized below. These results include non-GAAP financial measures, each of which is defined and reconciled to the most directly comparable GAAP measure later in this press release.
Revenue:
•Revenue was $932.0 million, a decrease of $50.9 million, or 5.2%, compared to $982.8 million in the third quarter of 2024, due primarily to previously disclosed divestitures and product lifecycle management actions.
◦On an organic basis, revenue increased $30.4 million, or 3.1%, compared to the third quarter of 2024.
Operating loss / income:
•Operating loss was $122.9 million, or 13.2% of revenue compared to an operating loss of $199.2 million, or 20.3% of revenue, in the third quarter of 2024.
◦The third quarter 2025 operating loss includes approximately $259 million in charges as a result of changes in clean energy policy and emissions regulations. This included a $225.7 million non-cash goodwill impairment charge related to the Dynapower business, and other non-cash charges primarily due to excess capacity related to electrification.
•Adjusted operating income was $179.6 million, or 19.3% of revenue compared to adjusted operating income of $188.4 million, or 19.2% of revenue, in the third quarter of 2024.
◦Tariff pass-through revenue of approximately $12 million was approximately 20 basis points dilutive to adjusted operating income margin in the third quarter of 2025.
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Loss / earnings per share:
•Loss per share was $1.12, including $1.78 attributable to the non-cash charges discussed above, compared to loss per share of $0.17 in the third quarter of 2024.
•Adjusted earnings per share was $0.89, consistent with adjusted earnings per share of $0.89 in the third quarter of 2024.
Net cash provided by operating activities was $159.9 million in the third quarter of 2025, and cash on hand was $791.3 million at September 30, 2025.
Free cash flow was $136.2 million in the third quarter of 2025, representing a free cash flow conversion rate of 105%.
During the third quarter of 2025, Sensata returned approximately $17.5 million to shareholders in quarterly dividends of $0.12 per share paid on August 27, 2025.
Operating Results - Nine Months
Operating results for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024 are summarized below. These results include non-GAAP financial measures, each of which is defined and reconciled to the most directly comparable GAAP measure later in this press release.
Revenue:
•Revenue was $2,786.6 million, a decrease of $238.5 million, or 7.9%, compared to $3,025.1 million in the nine months ended September 30, 2024, due primarily to previously disclosed divestitures and product lifecycle management actions.
◦On an organic basis, revenue decreased $29.5 million, or 1.0%, compared to the nine months ended September 30, 2024.
Operating income:
•Operating income was $137.4 million, or 4.9% of revenue, an increase of $61.9 million, or 81.9%, compared to operating income of $75.5 million, or 2.5% of revenue, in the nine months ended September 30, 2024.
◦Operating income for the nine months ended September 30, 2025 includes approximately $259 million in charges as a result of changes in clean energy policy and emissions regulations. This included a $225.7 million non-cash goodwill impairment charge related to the Dynapower business, and other non-cash charges primarily due to excess capacity related to electrification.
•Adjusted operating income was $525.2 million, or 18.8% of revenue, a decrease of $48.4 million, or 8.4%, compared to adjusted operating income of $573.6 million, or 19.0% of revenue, in the nine months ended September 30, 2024.
◦Tariff pass-through revenue of approximately $26 million was approximately 20 basis points dilutive to adjusted operating income margin in the nine months ended September 30, 2025.
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Loss / earnings per share:
•Loss per share was $0.22, including $1.76 attributable to the non-cash charges discussed above, compared to earnings per share of $0.81 in the nine months ended September 30, 2024.
•Adjusted earnings per share was $2.54, a decrease of $0.16, or 5.9%, compared to adjusted earnings per share of $2.70 in the nine months ended September 30, 2024.
Net cash provided by operating activities was $420.0 million. Free cash flow was $338.4 million in the nine months ended September 30, 2025, representing a free cash flow conversion rate of 91%.
During the first nine months of 2025, Sensata returned approximately $173.5 million to shareholders including $52.9 million through its quarterly dividend, and $120.6 million of repurchased shares.
Guidance
For the fourth quarter of 2025, Sensata expects revenue of $890 to $920 million, inclusive of recovery of tariff costs, and adjusted EPS of $0.83 to $0.87.
Q4-2025 Guidance
$ in millions, except EPS
Q4-25 Guidance
Q3-25
Q/Q Change
Revenue
$890 - $920
$932.0
(5%) - (1%)
Adjusted Operating Income
$172 - $179
$179.6
(4%) - 0%
Adj. Operating Margin
19.3% - 19.5%
19.3%
0 bps - 20 bps
Adjusted Net Income
$121 - $127
$129.6
(7%) - (2%)
Adjusted EPS
$0.83 - $0.87
$0.89
(7%) - (2%)
•Revenue includes approximately $12 million related to expected tariff recovery from customers.
•Adjusted Operating Income, Adjusted Net Income, and Adjusted EPS are not expected to be impacted by tariffs, as $12 million of expected tariff revenue would be offset by $12 million in expected related tariff expense.
•Adjusted Operating Margin, excluding the dilutive impact of tariff revenue and related expense, is expected to be in the range of 19.5% - 19.7%.
•Tariff expectations included in guidance reflect trade policies in effect as of October 28, 2025.
Conference Call and Webcast
Sensata will conduct a conference call today at 5:00 p.m. Eastern Time to discuss its third quarter 2025 financial results and its outlook for the fourth quarter of 2025. The dial-in numbers for the call are 1-844-784-1726 or 1-412-380-7411. Callers should reference the "Sensata Technologies Q3 2025 Financial Results Conference Call." A live webcast of the conference call will also be available on the investor relations page of Sensata’s website at http://investors.sensata.com. Additionally, a replay of the call will be available until November 4, 2025. To access the replay, dial 1-877-344-7529 or 1-412-317-0088 and enter confirmation code: 4825109.
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About Sensata Technologies
Sensata Technologies is a global industrial technology company striving to create a safer, cleaner, more efficient and electrified world. Through its broad portfolio of mission-critical sensors, electrical protection components and sensor-rich solutions, Sensata helps its customers address increasingly complex engineering and operating performance requirements. With more than 18,000 employees and global operations in 13 countries, Sensata serves customers in the automotive, heavy vehicle & off-road, industrial, and aerospace markets. Learn more at www.sensata.com and follow Sensata on LinkedIn, Facebook, X and Instagram.
Non-GAAP Financial Measures
We supplement the reporting of our financial information determined in accordance with U.S. generally accepted accounting principles (“GAAP”) with certain non-GAAP financial measures. We use these non-GAAP financial measures internally to make operating and strategic decisions, including the preparation of our annual operating plan, evaluation of our overall business performance, and as a factor in determining compensation for certain employees. We believe presenting non-GAAP financial measures is useful for period-over-period comparisons of underlying business trends and our ongoing business performance. We also believe presenting these non-GAAP measures provides additional transparency into how management evaluates the business.
Non-GAAP financial measures should be considered as supplemental in nature and are not meant to be considered in isolation or as a substitute for the related financial information prepared in accordance with U.S. GAAP. In addition, our non-GAAP financial measures may not be the same as, or comparable to, similar non-GAAP measures presented by other companies.
The non-GAAP financial measures referenced by Sensata in this release include: adjusted net income, adjusted earnings per share (“EPS”), adjusted operating income, adjusted operating margin, free cash flow, organic revenue growth, market outgrowth, adjusted corporate and other expenses, adjusted earnings before interest, taxes, depreciation and amortization ("EBITDA"), net debt, and gross and net leverage ratio. We also refer to changes in certain non-GAAP measures, usually reported either as a percentage or number of basis points, between two periods. Such changes are also considered non-GAAP measures.
Adjusted net income (or loss) is defined as net income (or loss), determined in accordance with U.S. GAAP, excluding certain non-GAAP adjustments which are detailed in the accompanying reconciliation tables. Adjusted EPS is calculated by dividing adjusted net income (or loss) by the number of diluted weighted-average ordinary shares outstanding in the period. We believe that these measures are useful to investors and management in understanding our ongoing operations and in analysis of ongoing operating trends.
Adjusted operating income (or loss) is defined as operating income (or loss), determined in accordance with U.S. GAAP, excluding certain non-GAAP adjustments which are detailed in the accompanying reconciliation tables. Adjusted operating margin is calculated by dividing adjusted operating income (or loss) by net revenue. We believe that these measures are useful to investors and management in understanding our ongoing operations and in analysis of ongoing operating trends.
Free cash flow is defined as net cash provided by operating activities less additions to property, plant and equipment and capitalized software. Free cash flow conversion is defined as Free cash flow divided by Adjusted net income. We believe free cash flow is useful to management and investors as a measure of cash generated by business operations that will be used to repay
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scheduled debt maturities and can be used to, among other things, fund acquisitions, repurchase ordinary shares, or accelerate the repayment of debt obligations.
Organic revenue growth (or decline) is defined as the reported percentage change in net revenue calculated in accordance with U.S. GAAP, excluding the period-over-period impact of foreign exchange rate differences as well as the net impact of material acquisitions and divestitures and product life-cycle management for the 12-month period following the respective transaction date(s). We believe that this measure is useful to investors and management in understanding our ongoing operations and in analysis of ongoing operating trends.
Adjusted EBITDA is defined as net income (or loss), determined in accordance with U.S. GAAP, excluding interest expense, interest income, and provision for (or benefit from) income taxes, depreciation expense, amortization of intangible assets, and the following non-GAAP adjustments, if applicable: (1) restructuring related and other, (2) financing and other transaction costs, and (3) other, net. We believe that this measure is useful to investors and management in understanding our ongoing operations and in analysis of ongoing operating trends.
Gross leverage ratio is defined as gross debt (total debt and finance lease obligations) divided by last twelve months ("LTM") adjusted EBITDA. We believe that gross leverage ratio is a useful measure to management and investors in understanding trends in our overall financial condition.
Net debt is defined as total debt, finance lease, and other financing obligations less cash and cash equivalents. We believe net debt is a useful measure to management and investors in understanding trends in our overall financial condition.
Net leverage ratio is defined as net debt divided by LTM adjusted EBITDA. We believe that the net leverage ratio is a useful measure to management and investors in understanding trends in our overall financial condition.
In discussing trends in our performance, we may refer to certain non-GAAP financial measures or the percentage change of certain non-GAAP financial measures in one period versus another, calculated on a constant currency basis. Constant currency is determined by stating revenues and expenses at prior period foreign currency exchange rates and excludes the impact of foreign currency exchange rates on all hedges and, as applicable, net monetary assets. We believe these measures are useful to investors and management in understanding our ongoing operations and in analysis of ongoing operating trends.
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Safe Harbor Statement
This earnings release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may be identified by terminology such as "may," "will," "could," "should," "expect," "anticipate," "believe," "estimate," "predict," "project," "forecast," "continue," "intend," "plan," "potential," "opportunity," "guidance," and similar terms or phrases. Forward-looking statements involve, among other things, expectations, projections, and assumptions about future financial and operating results, objectives, business and market outlook, megatrends, priorities, growth, shareholder value, capital expenditures, cash flows, demand for products and services, share repurchases, and Sensata’s strategic initiatives, including those relating to acquisitions and dispositions and the impact of such transactions on our strategic and operational plans and financial results. These statements are subject to risks, uncertainties, and other important factors relating to our operations and business environment, and we can give no assurances that these forward-looking statements will prove to be correct.
A wide variety of potential risks, uncertainties, and other factors could materially affect our ability to achieve the results either expressed or implied by these forward-looking statements, including, but not limited to, risks related to instability and changes in the global markets, supplier interruption or non-performance, changes in trade-related tariffs and risks with uncertain trade environments, the acquisition or disposition of businesses, adverse conditions or competition in the industries upon which we are dependent, intellectual property, product liability, warranty, and recall claims, public health crisis, market acceptance of new product introductions and product innovations, labor disruptions or increased labor costs, changes in existing environmental or safety laws, regulations, and programs, and the impact of our recently reported cybersecurity incident or other incidents that may occur in the future.
Investors and others should carefully consider the foregoing factors and other uncertainties, risks, and potential events including, but not limited to, those described in Item 1A: Risk Factors in our most recent Annual Report on Form 10-K and as may be updated from time to time in Item 1A: Risk Factors in our Quarterly Reports on Form 10-Q or other subsequent filings with the United States Securities and Exchange Commission. All such forward-looking statements speak only as of the date they are made, and we do not undertake any obligation to update these statements other than as required by law.
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SENSATA TECHNOLOGIES HOLDING PLC
Condensed Consolidated Statements of Operations
(In thousands, except per share amounts)
(Unaudited)
For the three months ended September 30,
For the nine months ended September 30,
2025
2024
2025
2024
Net revenue
$
931,978
$
982,830
$
2,786,617
$
3,025,074
Operating costs and expenses:
Cost of revenue
672,602
701,463
1,968,373
2,115,137
Research and development
33,034
42,685
102,432
133,324
Selling, general and administrative
85,763
102,453
259,622
283,772
Amortization of intangible assets
19,601
44,732
61,362
122,332
Goodwill impairment charge
225,700
150,100
225,700
150,100
Restructuring and other charges, net
18,166
140,624
31,758
144,897
Total operating costs and expenses
1,054,866
1,182,057
2,649,247
2,949,562
Operating (loss)/income
(122,888)
(199,227)
137,370
75,512
Interest expense
(37,715)
(38,942)
(113,367)
(118,200)
Interest income
5,313
5,857
14,070
15,397
Other, net
6,863
(12,294)
9,921
(19,741)
(Loss)/income before taxes
(148,427)
(244,606)
47,994
(47,032)
Provision for/(benefit from) income taxes
14,096
(219,572)
79,930
(169,722)
Net (loss)/income
$
(162,523)
$
(25,034)
$
(31,936)
$
122,690
Net (loss)/income per share:
Basic
$
(1.12)
$
(0.17)
$
(0.22)
$
0.81
Diluted
$
(1.12)
$
(0.17)
$
(0.22)
$
0.81
Weighted-average ordinary shares outstanding:
Basic
145,663
150,717
146,790
150,681
Diluted
145,663
150,717
146,790
151,030
7
SENSATA TECHNOLOGIES HOLDING PLC
Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)
September 30, 2025
December 31, 2024
Assets
Current assets:
Cash and cash equivalents
$
791,347
$
593,670
Accounts receivable, net of allowances
724,998
660,180
Inventories
641,367
614,455
Prepaid expenses and other current assets
150,589
158,934
Total current assets
2,308,301
2,027,239
Property, plant and equipment, net
775,748
821,653
Goodwill
3,158,164
3,383,800
Other intangible assets, net
430,137
492,878
Deferred income tax assets
289,428
288,189
Other assets
108,181
129,505
Total assets
$
7,069,959
$
7,143,264
Liabilities and shareholders' equity
Current liabilities:
Current portion of long-term debt and finance lease obligations
$
2,234
$
2,414
Accounts payable
461,021
362,186
Income taxes payable
35,284
29,417
Accrued expenses and other current liabilities
295,872
317,341
Total current liabilities
794,411
711,358
Deferred income tax liabilities
235,716
235,689
Pension and other post-retirement benefit obligations
32,616
27,910
Finance lease obligations, less current portion
19,596
20,984
Long-term debt, net
3,181,373
3,176,098
Other long-term liabilities
87,740
80,782
Total liabilities
4,351,452
4,252,821
Total shareholders' equity
2,718,507
2,890,443
Total liabilities and shareholders' equity
$
7,069,959
$
7,143,264
8
SENSATA TECHNOLOGIES HOLDING PLC
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
For the nine months ended September 30,
2025
2024
Cash flows from operating activities:
Net (loss)/income
$
(31,936)
$
122,690
Adjustments to reconcile net (loss)/income to net cash provided by operating activities:
Depreciation
127,653
100,712
Amortization of debt issuance costs
3,540
4,510
Goodwill impairment charge
225,700
150,100
Loss on sale of business
10,202
110,111
Share-based compensation
18,612
27,393
Loss on debt financing
—
9,235
Amortization of intangible assets
61,362
122,332
Deferred income taxes
(1,017)
(235,943)
Loss on equity investments, net
—
13,164
Other non-cash loss/(gain), net
29,451
(991)
Acquisition-related compensation payments
—
(5,232)
Changes in operating assets and liabilities, net of effects of divestitures
(23,596)
(37,247)
Net cash provided by operating activities
419,971
380,834
Cash flows from investing activities:
Additions to property, plant and equipment and capitalized software
(81,586)
(126,759)
Proceeds from the sale of business, net of cash sold
35,635
138,312
Other
1,589
3,681
Net cash (used in)/provided by investing activities
(44,362)
15,234
Cash flows from financing activities:
Proceeds from exercise of stock options and issuance of ordinary shares
—
4,605
Payment of employee restricted stock tax withholdings
(4,167)
(9,746)
Proceeds from borrowings on debt
—
500,000
Payments on debt
(1,542)
(700,855)
Dividends paid
(52,937)
(54,266)
Payments to repurchase ordinary shares
(120,600)
(47,299)
Purchase of noncontrolling interest in joint venture
—
(79,393)
Payments of debt financing costs
(1,765)
(13,379)
Net cash used in financing activities
(181,011)
(400,333)
Effect of exchange rate changes on cash and cash equivalents
3,079
2,376
Net change in cash and cash equivalents
197,677
(1,889)
Cash and cash equivalents, beginning of year
593,670
508,104
Cash and cash equivalents, end of period
$
791,347
$
506,215
9
Segment Performance (Unaudited)
For the three months ended September 30,
For the nine months ended September 30,
$ in 000s
2025
2024
2025
2024
Performance Sensing
Revenue
$
656,936
$
659,650
$
1,959,577
$
2,096,889
Operating income
$
155,626
$
145,666
$
445,378
$
476,042
% of Performance Sensing revenue
23.7%
22.1%
22.7%
22.7%
Sensing Solutions
Revenue
$
275,042
$
274,386
$
827,040
$
800,296
Operating income
$
85,074
$
80,798
$
249,176
$
232,767
% of Sensing Solutions revenue
30.9%
29.4%
30.1%
29.1%
Other
Revenue
$
—
$
48,794
$
—
$
127,889
Operating income
$
—
$
12,069
$
—
$
28,054
% of Other revenue
0.0%
24.7%
0.0%
21.9%
Revenue by Business, Geography, and End Market (Unaudited)
(percent of total revenue)
For the three months ended September 30,
For the nine months ended September 30,
2025
2024
2025
2024
Performance Sensing
70.5
%
67.1
%
70.3
%
69.3
%
Sensing Solutions
29.5
%
27.9
%
29.7
%
26.5
%
Other
—
%
5.0
%
—
%
4.2
%
Total
100.0
%
100.0
%
100.0
%
100.0
%
(percent of total revenue)
For the three months ended September 30,
For the nine months ended September 30,
2025
2024
2025
2024
Americas
40.9
%
46.7
%
40.7
%
44.5
%
Europe
27.6
%
26.2
%
27.8
%
27.1
%
Asia/Rest of World
31.5
%
27.1
%
31.5
%
28.4
%
Total
100.0
%
100.0
%
100.0
%
100.0
%
(percent of total revenue)
For the three months ended September 30,
For the nine months ended September 30,
2025
2024
2025
2024
Automotive
57.6
%
54.0
%
57.2
%
55.2
%
Heavy vehicle and off-road
17.0
%
17.2
%
17.1
%
18.1
%
Industrial
14.0
%
14.6
%
13.3
%
13.9
%
HVAC (1)
6.0
%
4.1
%
7.1
%
3.9
%
Aerospace
5.4
%
5.1
%
5.3
%
4.7
%
All other
—
%
5.0
%
—
%
4.2
%
Total
100.0
%
100.0
%
100.0
%
100.0
%
(1) Heating, ventilation and air conditioning.
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GAAP to Non-GAAP Reconciliations
The following unaudited tables provide a reconciliation of the difference between each of the non-GAAP financial measures referenced herein and the most directly comparable U.S. GAAP financial measure. Amounts presented in these tables may not appear to recalculate due to the effect of rounding.
Operating income and margin, income tax, net income, and earnings per share
($ in thousands, except per share amounts)
For the three months ended September 30, 2025
Operating (Loss)/Income
Operating Margin
Income Taxes
Net (Loss)/Income
EPS
Reported (GAAP)
$
(122,888)
(13.2
%)
$
14,096
$
(162,523)
$
(1.12)
Non-GAAP adjustments:
Restructuring related and other
267,901
28.7
%
(4,025)
263,876
1.81
Financing and other transaction costs
15,022
1.6
%
—
15,022
0.10
Amortization of intangible assets
19,601
2.1
%
—
19,601
0.13
Amortization of debt issuance costs
—
—
%
—
1,181
0.01
Other, net
—
—
%
1,422
(5,441)
(0.04)
Deferred taxes and other tax related
—
—
%
(2,096)
(2,096)
(0.01)
Total adjustments
302,524
32.5
%
(4,699)
292,143
2.01
Adjusted (non-GAAP)
$
179,636
19.3
%
$
18,795
$
129,620
$
0.89
($ in thousands, except per share amounts)
For the three months ended September 30, 2024
Operating (Loss)/Income
Operating Margin
Income Tax
Net (Loss)/Income
EPS
Reported (GAAP)
$
(199,227)
(20.3
%)
$
(219,572)
$
(25,034)
$
(0.17)
Non-GAAP adjustments:
Restructuring related and other
211,919
21.6
%
(1,209)
210,710
1.40
Financing and other transaction costs
132,159
13.4
%
(512)
131,647
0.87
Amortization of intangible assets
43,533
4.4
%
—
43,533
0.29
Amortization of debt issuance costs
—
—
%
—
1,317
0.01
Other, net
—
—
%
(683)
11,611
0.08
Deferred taxes and other tax related
—
—
%
(239,221)
(239,221)
(1.59)
Total adjustments
387,611
39.4
%
(241,625)
159,597
1.06
Adjusted (non-GAAP)
$
188,384
19.2
%
$
22,053
$
134,563
$
0.89
11
($ in thousands, except per share amounts)
For the nine months ended September 30, 2025
Operating Income
Operating Margin
Income Tax
Net (Loss)/Income
EPS
Reported (GAAP)
$
137,370
4.9
%
$
79,930
$
(31,936)
$
(0.22)
Non-GAAP adjustments:
Restructuring related and other
302,470
10.9
%
(3,079)
299,391
2.04
Financing and other transaction costs
24,038
0.9
%
63
24,101
0.16
Amortization of intangible assets
61,362
2.2
%
—
61,362
0.42
Amortization of debt issuance costs
—
—
%
—
3,540
0.02
Other, net
—
—
%
864
(9,057)
(0.06)
Deferred taxes and other tax related
—
—
%
26,163
26,163
0.18
Total adjustments
387,870
13.9
%
24,011
405,500
2.76
Adjusted (non-GAAP)
$
525,240
18.8
%
$
55,919
$
373,564
$
2.54
($ in thousands, except per share amounts)
For the nine months ended September 30, 2024
Operating Income
Operating Margin
Income Tax
Net Income
Diluted EPS
Reported (GAAP)
$75,512
2.5
%
$
(169,722)
$
122,690
$
0.81
Non-GAAP adjustments:
Restructuring related and other
240,640
8.0
%
(2,418)
238,222
1.58
Financing and other transaction costs
139,476
4.6
%
(1,689)
137,787
0.91
Amortization of intangible assets
117,968
3.9
%
—
117,968
0.78
Amortization of debt issuance costs
—
—
%
—
4,510
0.03
Other, net
—
—
%
685
20,426
0.14
Deferred taxes and other tax related
—
—
%
(233,775)
(233,775)
(1.55)
Total adjustments
498,084
16.5
%
(237,197)
285,138
1.89
Adjusted (non-GAAP)
$573,596
19.0
%
$
67,475
$
407,828
$
2.70
12
Non-GAAP adjustments by location in statements of operations
(in thousands)
For the three months ended September 30,
For the nine months ended September 30,
2025
2024
2025
2024
Cost of revenue
$
34,395
$
30,770
$
45,966
$
46,744
Selling, general and administrative
4,662
22,584
23,084
38,375
Amortization of intangible assets
19,601
43,533
61,362
117,968
Goodwill impairment charge
225,700
150,100
225,700
150,100
Restructuring and other charges, net
18,166
140,624
31,758
144,897
Operating income adjustments
302,524
387,611
387,870
498,084
Interest expense
1,181
1,317
3,540
4,510
Other, net
(6,863)
12,294
(9,921)
19,741
Provision for/(benefit from) income taxes
(4,699)
(241,625)
24,011
(237,197)
Net income adjustments
$
292,143
$
159,597
$
405,500
$
285,138
Free cash flow
For the three months ended September 30,
For the nine months ended September 30,
($ in thousands)
2025
2024
% △
2025
2024
% △
Net cash provided by operating activities
$
159,868
$
130,891
22.1
%
$
419,971
$
380,834
10.3
%
Additions to property, plant and equipment and capitalized software
(23,626)
(39,571)
40.3
%
(81,586)
(126,759)
35.6
%
Free cash flow
$
136,242
$
91,320
49.2
%
$
338,385
$
254,075
33.2
%
Adjusted corporate and other expenses
For the three months ended September 30,
For the nine months ended September 30,
(in thousands)
2025
2024
2025
2024
Corporate and other expenses (GAAP)
$
(100,121)
$
(102,304)
$
(238,364)
$
(244,022)
Restructuring related and other
37,772
34,167
66,408
60,525
Financing and other transaction costs
1,285
19,187
2,642
24,594
Total adjustments
39,057
53,354
69,050
85,119
Adjusted corporate and other expenses (non-GAAP)
$
(61,064)
$
(48,950)
$
(169,314)
$
(158,903)
13
Adjusted EBITDA
For the three months ended September 30,
For the nine months ended September 30,
(in thousands)
LTM
2025
2024
2025
2024
Net (loss)/income
$
(26,149)
$
(162,523)
$
(25,034)
$
(31,936)
$
122,690
Interest expense, net
136,107
32,402
33,085
99,297
102,803
Provision for/(benefit from) income taxes
109,338
14,096
(219,572)
79,930
(169,722)
Depreciation expense
194,076
53,353
33,696
127,653
100,712
Amortization of intangible assets
84,774
19,601
44,732
61,362
122,332
EBITDA
498,146
(43,071)
(133,093)
336,306
278,815
Non-GAAP Adjustments
Restructuring related and other
320,968
247,006
211,919
273,999
240,640
Financing and other transaction costs
18,378
15,022
131,913
24,038
138,726
Other, net
(8,162)
(6,863)
12,294
(9,921)
19,741
Adjusted EBITDA
$
829,330
$
212,094
$
223,033
$
624,422
$
677,922
Gross and net debt and leverage
As of
($ in thousands)
September 30, 2025
December 31, 2024
Current portion of long-term debt and finance lease obligations
$
2,234
$
2,414
Finance lease obligations, less current portion
19,596
20,984
Long-term debt, net
3,181,373
3,176,098
Total debt and finance lease obligations
3,203,203
3,199,496
Less: debt premium, net
821
997
Less: deferred financing costs
(19,448)
(24,899)
Total gross debt
3,221,830
3,223,398
Adjusted EBITDA (LTM)
$
829,330
$
882,830
Gross leverage ratio
3.9
3.7
Total gross debt
3,221,830
3,223,398
Less: cash and cash equivalents
791,347
593,670
Net debt
$
2,430,483
$
2,629,728
Adjusted EBITDA (LTM)
$
829,330
$
882,830
Net leverage ratio
2.9
3.0
14
Guidance
For the three months ending December 31, 2025
($ in millions, except per share amounts)
Operating Income
Net Income
EPS
Low
High
Low
High
Low
High
GAAP
$
137.4
$
142.8
$
91.7
$
95.2
$
0.63
$
0.65
Restructuring related and other
16.0
17.0
15.5
16.5
0.11
0.11
Financing and other transaction costs
0.1
0.2
0.1
0.2
0.00
0.00
Amortization of intangible assets
18.5
19.0
18.5
19.0
0.13
0.13
Amortization of debt issuance costs
—
—
1.2
1.4
0.01
0.01
Other, net
—
—
0.5
0.7
0.00
0.00
Deferred taxes and other tax related
—
—
(6.5)
(6.0)
(0.04)
(0.04)
Non-GAAP
$
172.0
$
179.0
$
121.0
$
127.0
$
0.83
$
0.87
Weighted-average diluted shares outstanding (in millions)
