Revenue growth recovered to 7.0% in 2026Q2, yet structural constraints persist as gross margins remain compressed at 6.6%.
| Sales/Revenue | 14.94B | 14.54B | 14.69B | 15.39B | 14.12B | 13.68B | 12.67B | 16.53B | 17.44B | 16.21B | 16.84B | 20.07B | 22.04B |
| Revenue Growth % | 3.85% | -1.04% | -4.59% | 9.02% | 3.22% | 7.97% | -23.33% | -5.24% | 7.56% | -3.71% | -16.11% | -8.94% | - |
| Cost of Goods Sold | 13.98B | 13.57B | 13.76B | 14.36B | 13.31B | 12.85B | 12.08B | 15.72B | 16.53B | 14.8B | 15.23B | 18.22B | 20.09B |
| COGS % of Revenue | - | 93.39% | 93.68% | 93.29% | 94.29% | 93.96% | 95.33% | 95.15% | 94.78% | 91.32% | 90.44% | 90.77% | 91.14% |
| Gross Profit | 963M | 961M | 928M | 1.03B | 807M | 826M | 592M | 801M | 911M | 1.41B | 1.61B | 1.85B | 1.95B |
| Gross Margin % | 6.45% | 6.61% | 6.32% | 6.71% | 5.71% | 6.04% | 4.67% | 4.85% | 5.22% | 8.68% | 9.56% | 9.23% | 8.86% |
| Gross Profit Growth % | - | 3.56% | -10.16% | 28.01% | -2.3% | 39.53% | -26.09% | -12.07% | -35.3% | -12.49% | -13.12% | -5.17% | - |
| Operating Expenses | 521M | 522M | 507M | 554M | 598M | 537M | 572M | 671M | 694M | 691M | 1.22B | 1.13B | 1.31B |
| OpEx % of Revenue | - | 3.59% | 3.45% | 3.6% | 4.23% | 3.93% | 4.51% | 4.06% | 3.98% | 4.26% | 7.26% | 5.63% | 5.93% |
| Selling, General & Admin | 521M | 522M | 507M | 554M | 598M | 537M | 572M | 671M | 694M | 691M | 1.22B | 1.13B | 1.31B |
| SG&A % of Revenue | - | 3.59% | 3.45% | 3.6% | 4.23% | 3.93% | 4.51% | 4.06% | 3.98% | 4.26% | 7.26% | 5.63% | 5.93% |
| Research & Development | 387M | 387M | 372M | 362M | 322M | 316M | 370M | 454M | 513M | 488M | 460M | 599M | 667M |
| R&D % of Revenue | - | 2.66% | 2.53% | 2.35% | 2.28% | 2.31% | 2.92% | 2.75% | 2.94% | 3.01% | 2.73% | 2.98% | 3.03% |
| Other Operating Expenses | -1000K | -387M | -372M | -362M | -322M | -316M | -370M | -45M | 0 | 0 | 0 | 0 | 0 |
| Operating Income | 442M | 439M | 421M | 479M | 209M | 289M | 42M | 345M | -1.06B | 1.1B | 369M | 904M | 617M |
| Operating Margin % | 2.96% | 3.02% | 2.87% | 3.11% | 1.48% | 2.11% | 0.33% | 2.09% | -6.1% | 6.8% | 2.19% | 4.5% | 2.8% |
| Operating Income Growth % | - | 4.28% | -12.11% | 129.19% | -27.68% | 588.1% | -87.83% | 132.46% | -196.46% | 198.65% | -59.18% | 46.52% | - |
| EBITDA | 688M | 764M | 753M | 819M | 559M | 619M | 374M | 663M | -616M | 1.46B | 713M | 1.25B | 1.05B |
| EBITDA Margin % | 4.61% | 5.26% | 5.13% | 5.32% | 3.96% | 4.52% | 2.95% | 4.01% | -3.53% | 9.01% | 4.23% | 6.23% | 4.78% |
| EBITDA Growth % | -7.15% | 1.46% | -8.06% | 46.51% | -9.69% | 65.51% | -43.59% | 207.63% | -142.19% | 104.77% | -43.01% | 18.69% | - |
| D&A (Non-Cash Add-back) | 246M | 325M | 332M | 340M | 350M | 330M | 332M | 318M | 447M | 358M | 344M | 347M | 437M |
| EBIT | 444M | 113M | 324M | 488M | 253M | 1.7B | -1M | 169M | -979M | 1.19B | 397M | 955M | 684M |
| Net Interest Income | -150M | -181M | -181M | -181M | -179M | -251M | -224M | -187M | -139M | -168M | -19M | -26M | -20M |
| Interest Income | 11M | 24M | 10M | 22M | 9M | 7M | 11M | 11M | 5M | 4M | 2M | 1M | 2M |
| Interest Expense | 161M | 205M | 191M | 203M | 188M | 258M | 235M | 198M | 144M | 172M | 21M | 27M | 22M |
| Other Income/Expense | -195M | -527M | -288M | -184M | -155M | 1.15B | -463M | -128M | -887M | 344M | -10M | 238M | 25M |
| Pretax Income | 247M | -88M | 133M | 295M | 54M | 1.44B | -429M | 2M | -1.12B | 1.06B | 390M | 959M | 670M |
| Pretax Margin % | 1.65% | -0.61% | 0.91% | 1.92% | 0.38% | 10.52% | -3.39% | 0.01% | -6.43% | 6.54% | 2.32% | 4.78% | 3.04% |
| Income Tax | 107M | 103M | 32M | 0 | 94M | 249M | 57M | 410M | 480M | 99M | 1.84B | 418M | 296M |
| Effective Tax Rate % | 43.32% | -117.05% | 24.06% | 0% | 174.07% | 17.3% | -13.29% | 20500% | -42.82% | 9.33% | 471.54% | 43.59% | 44.18% |
| Net Income | 59M | -281M | 18M | 205M | -120M | 1.11B | -486M | -408M | -1.69B | 877M | -1.53B | 475M | 307M |
| Net Margin % | 0.4% | -1.93% | 0.12% | 1.33% | -0.85% | 8.1% | -3.84% | -2.47% | -9.66% | 5.41% | -9.1% | 2.37% | 1.39% |
| Net Income Growth % | 122.1% | -1661.11% | -91.22% | 270.83% | -110.83% | 327.98% | -19.12% | 75.79% | -292.13% | 157.21% | -422.74% | 54.72% | - |
| Net Income (Continuing) | 123M | -191M | 101M | 295M | -40M | 1.19B | -486M | -408M | -1.6B | 962M | -1.46B | 526M | 374M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 375M | 392M | 400M | 375M | 347M | 582M | 365M | 392M | 372M | 341M | 165M | 172M | 186M |
| EPS (Diluted) | 0.74 | -3.39 | 0.20 | 2.15 | -1.27 | 11.58 | -5.18 | -4.36 | -18.06 | 9.34 | -16.40 | 4.92 | 3.28 |
| EPS Growth % | 124.23% | -1795% | -90.7% | 269.29% | -110.97% | 323.55% | -18.81% | 75.86% | -293.36% | 156.95% | -433.33% | 50% | - |
| EPS (Basic) | - | -3.39 | 0.20 | 2.17 | -1.27 | 11.76 | -5.18 | -4.36 | -18.06 | 9.38 | -16.40 | 4.92 | 3.28 |
| Diluted Shares Outstanding | 79.3M | 83M | 90.1M | 95.4M | 94.8M | 95.7M | 93.8M | 93.6M | 93.3M | 93.9M | 93.5M | 93.5M | 93.5M |
| Basic Shares Outstanding | 79.3M | 83M | 89.5M | 94.5M | 94.8M | 94.2M | 93.8M | 93.6M | 93.3M | 93.5M | 93.5M | 93.5M | 93.5M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | 5.93% | - | - | - |
Low margin operating leverage
According to the latest quarterly data, Adient's revenue growth has shifted to 7.0% in 2026Q2, marking a notable departure from the negative growth trends observed throughout 2024 and early 2025, suggesting a potential stabilization in global light vehicle production demand for the company's seating platforms.
The recent acceleration in top-line performance appears to be a reversal of the multi-quarter contraction that plagued the company through 2024. Investors should monitor whether this growth is driven by volume recovery in key markets or if it reflects a successful pass-through of inflationary costs to OEMs.
As reported in financial statements, Adient maintains a structurally thin gross margin profile, which peaked at 7.2% in 2025Q2 and currently sits at 6.6%, highlighting the company's limited pricing power and its role as a high-volume, low-margin assembler within the automotive supply chain.
The narrow gross margin suggests that Adient remains highly sensitive to raw material price fluctuations and OEM contract terms. Without a significant shift toward higher-content, value-added seating features, the company may continue to struggle with achieving meaningful margin expansion regardless of revenue growth.
Based on the provided income statement data, Adient's operating margin has fluctuated between 2.3% and 3.4% over the last ten quarters, indicating that the company's fixed-cost structure provides little operating leverage during periods of production volatility or platform transition.
The inability to consistently scale operating income faster than gross profit suggests that the company's assembly footprint is heavily burdened by fixed costs. This lack of operating leverage implies that even minor disruptions in OEM production schedules can disproportionately impact the company's bottom line.
Analysis of the reported figures reveals significant inconsistency in net income, with quarterly results swinging from a $335 million loss in 2025Q2 to a $27 million profit in 2026Q2, largely driven by non-operating items and periodic restructuring charges that obscure underlying operational performance.
The frequent divergence between operating income and net income warrants further investigation into the nature of these non-operating charges. Investors should be cautious of relying on GAAP net income as a proxy for cash-generating ability, given the impact of these recurring, yet irregular, financial adjustments.
While revenue growth has recently turned positive, the persistent sub-7% gross margins and the history of quarterly net losses suggest that Adient's business model remains vulnerable to margin compression, particularly if OEM production schedules soften or if commodity recovery mechanisms fail to offset inflationary pressures.
Short-term improvements in revenue may mask deeper structural issues related to the company's reliance on low-margin assembly contracts. The market's skepticism, reflected in valuation discounts relative to peers, appears to be rooted in the difficulty of achieving consistent profitability in a capital-intensive, cyclical environment.
Quick answers to the most common questions about buying ADNT stock.
For fiscal year 2025, Adient plc (ADNT) reported total revenue of $14.54B. This represents a 34.1% decline compared to $22.04B in 2014.
Adient plc (ADNT) reported a net loss of $281.0M for the fiscal year ending 2025.
Adient plc (ADNT) reported an operating income of $439.0M, resulting in an operating profit margin of 3.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Adient plc (ADNT) generated $961.0M in gross profit for the year, representing a gross profit margin of 6.6%. This demonstrates the company's core pricing power and production efficiency.