Edition:
United Kingdom

Aptiv CFO Says NAFTA Outcome Has Been Positive For Co


Wednesday, 12 Sep 2018 

Sept 12 (Reuters) - Aptiv PLC ::APTIV CFO SAYS ACTIVE SAFETY BUSINESS IS GOING TO BE $1 BILLION IN REVENUE THIS YEAR; EXPECT ACTIVE SAFETY BUSINESS TO GROW NORTH OF 50 PERCENT THROUGH 2020 - MORGAN STANLEY CONF.APTIV CFO SAYS CO HAS NO DESIRE TO BECOME A MOBILITY ON-DEMAND PROVIDER, TO COMPETE WITH CUSTOMERS; SAYS GOAL IS TO BE THE ARMS PROVIDER TO BE ABLE TO SELL THE SENSOR SUITE, THE SOFTWARE STACK.APTIV CFO SAYS SEES RECURRING REVENUE STREAM AROUND THE SOFTWARE, SUCH AS UPGRADES OR MAINTENANCE.APTIV CFO SAYS CO HAS $5 MILLION EXPOSURE RELATED TO TARIFFS ENACTED SO FAR.APTIV CFO SAYS IF GOVERNMENT FOLLOWS THROUGH ON TARIFFS ON $200 BILLION WORTH OF CHINESE GOODS, COSTS ON AN ANNUAL BASIS FOR APTIV WOULD BE $15 MILLION-$20 MILLION IN TOTAL.APTIV CFO SAYS CAN MANAGE ADDITIONAL COSTS BECAUSE OF THE TARIFFS BY MAKING SOURCING CHANGES IN SUPPLY CHAINS.APTIV CFO SAYS HAD ESTIMATED FINANCIAL IMPACT OF UP TO $15 MILLION OR $20 MILLION A YEAR RELATED TO NAFTA OUTCOMES; SAYS APTIV ROUNDED UP ON THE POSITIVE SIDE OF WHERE NAFTA CAME OUT.APTIV CFO SAYS YOU CAN LOOK AT APTIV BEING A $22 BILLION BUSINESS IN 2025.APTIV CFO SAYS COULD SEE SOME OF APTIV’S CORE PRODUCT LINES BEING INCREASINGLY USED IN THE COMMERCIAL VEHICLE MARKET OVER THE NEXT FEW YEARS.