vc-20230930

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington D.C. 20549

________________

FORM 10-Q

(Mark One)

☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2023

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ____________ to ____________

Commission file number 001-15827

VISTEON CORPORATION

(Exact name of registrant as specified in its charter)


State of	Delaware		38-3519512
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)
One Village Center Drive,	Van Buren Township,	Michigan	48111
(Address of principal executive offices)			(Zip code)

Registrant’s telephone number, including area code: (800)-VISTEON

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, Par Value $.01 Per Share	VC	The NASDAQ Stock Market LLC

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ü No__

Indicate by check mark whether the registrant: has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes ü No __

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer," "accelerated filer,” "smaller reporting company" and “emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer ü Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ü

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. Yes ü No ☐

As of October 19, 2023, the registrant had outstanding 27,811,203 shares of common stock.

Exhibit index located on page number 39.

Visteon Corporation and Subsidiaries

Index


Part I - Financial Information		Page
	Item 1 - Condensed Consolidated Financial Statements	3
	Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited)	3
	Condensed Consolidated Balance Sheets (Unaudited)	4
	Condensed Consolidated Statements of Cash Flows (Unaudited)	5
	Condensed Consolidated Statements of Changes in Equity (Unaudited)	6
	Notes to Condensed Consolidated Financial Statements (Unaudited)	7
	Item 2 - Management's Discussion and Analysis of Financial Condition and Results of Operations	23
	Item 3 - Quantitative and Qualitative Disclosures about Market Risk	35
	Item 4 - Controls and Procedures	35
Part II - Other Information		37
	Item 1 - Legal Proceedings	37
	Item 1A - Risk Factors	37
	Item 2 - Unregistered Sales of Equity Securities and Use of Proceeds	38
	Item 5 - Other Information	38
	Item 6 - Exhibits	38
Exhibit Index		39
Signatures		39

Part I

Financial Information

Item 1.Condensed Consolidated Financial Statements

VISTEON CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(In millions except per share amounts)

(Unaudited)


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Net sales	$	1,014	$	1,026	$	2,964	$	2,692
Cost of sales	(871)		(922)		(2,607)		(2,438)
Gross margin	143		104		357		254
Selling, general and administrative expenses	(52)		(47)		(156)		(134)
Restructuring and impairment	—		(1)		(2)		(12)
Interest expense	(4)		(3)		(13)		(10)
Interest income	3		1		6		3
Equity in net (loss) income of non-consolidated affiliates	(1)		(1)		(8)		3
Other income (expense), net	3		5		(4)		15
Income (loss) before income taxes	92		58		180		119
Provision for income taxes	(21)		(9)		(48)		(24)
Net income (loss)	71		49		132		95
Less: Net (income) loss attributable to non-controlling interests	(5)		(5)		(12)		(5)
Net income (loss) attributable to Visteon Corporation	$	66	$	44	$	120	$	90

Comprehensive income (loss)	$	58	$	15	$	114	$	21
Less: Comprehensive (income) loss attributable to non-controlling interests	(4)		—		(6)		4
Comprehensive income (loss) attributable to Visteon Corporation	$	54	$	15	$	108	$	25




Basic earnings (loss) per share attributable to Visteon Corporation	$	2.35	$	1.57	$	4.26	$	3.20




Diluted earnings (loss) per share attributable to Visteon Corporation	$	2.32	$	1.54	$	4.20	$	3.16

See accompanying notes to the condensed consolidated financial statements.

VISTEON CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(In millions)


	(Unaudited)
	September 30,		December 31,
	2023		2022
ASSETS
Cash and equivalents	$	481	$	520
Restricted cash	4		3
Accounts receivable, net	679		672
Inventories, net	318		348
Other current assets	140		167
Total current assets	1,622		1,710
Property and equipment, net	377		364
Intangible assets, net	83		99
Right-of-use assets	115		124
Investments in non-consolidated affiliates	36		49
Other non-current assets	124		104
Total assets	$	2,357	$	2,450
LIABILITIES AND EQUITY
Short-term debt	$	18	$	13
Accounts payable	595		657
Accrued employee liabilities	86		90
Current lease liability	30		29
Other current liabilities	219		246
Total current liabilities	948		1,035
Long-term debt, net	323		336
Employee benefits	104		115
Non-current lease liability	87		99
Deferred tax liabilities	30		27
Other non-current liabilities	64		64
Stockholders’ equity:
Preferred stock (par value 0.01, 50 million shares authorized, none outstanding as of September 30, 2023 and December 31, 2022)	—		—
Common stock (par value $0.01, 250 million shares authorized, 55 million shares issued, 27.9 and 28.2 million shares outstanding as of September 30, 2023 and December 31, 2022, respectively)	1

SEC Form 10-Q filed by Visteon Corporation