Driven by Growth with China OEMs, Technology Leadership & Strategic Expansion
AUBURN HILLS, Mich., Aug. 13, 2025 -- Nexteer Automotive (HK 1316) today announced its first-half 2025 results, highlighting above-market revenue growth, strategic customer wins and strategic expansion of its global footprint and technology portfolio. Revenue for the period was $2.2 billion, up 7% compared with the first half of 2024. Nexteer continued growth momentum with China domestic OEMs (COEMs), with approximately US$0.6 billion, or 39%, of bookings generated by our COEMs' business. Total bookings for 1H 2025 were US$1.5 billion.
"Nexteer continues to outperform the market by delivering innovation, securing strategic programs and investing in operational excellence, even amid ongoing volatility in global vehicle production," said Robin Milavec, President, Chief Technology Officer (CTO), Chief Strategy Officer (CSO), and Executive Board Director, Nexteer Automotive. "We remain confident in our ability to sustain momentum and deliver long-term value for our customers and stakeholders."
First Half 2025 Financial Results
In the first half of 2025, Nexteer delivered strong financial performance with revenue of US$2.2 billion, representing a 7% year-over-year increase, outpacing the market by 450 basis points. Adjusted EBITDA for the first six months of 2025 was US$230.4 million, an increase of US$33.1 million or 16.8% compared to the same period in 2024. The improved profitability was driven by higher volumes, enhanced efficiency and performance. Free cash flow improved to $36.7 million in the first half of 2025, compared with an outflow of $6.6 million in the same period last year. This improvement was driven by higher earnings and reduced capital expenditure, partially offset by increased working capital investment.
Program Launch & Bookings Highlights
The company launched 31 new customer programs, including its first dual-pinion electric power steering (DPEPS) program in China and first modular column-assist electric power steering (mCEPS) launch in Europe. Of these, 23 were new or conquest programs and 21 supported fully electric vehicle platforms – further demonstrating alignment with mobility megatrends and Nexteer's ability to tailor scalable solutions for EV and ICE applications.
Nexteer secured $1.5 billion in new customer program bookings during the first half. Of those, 74% represented new or conquest business and 39% were tied to fully electric vehicle platforms. EPS programs accounted for 69% of bookings, complemented by additional growth in driveline and rear-wheel steering. Bookings with China domestic OEMs totaled $599 million, reinforcing Nexteer's strong position in China with local OEMS.
Technical Leadership Through New Product Launches
Nexteer introduced several advanced technologies that further expand its motion control portfolio:
- MotionIQ™ Software: Engineered on proven algorithms deployed in over 115 million vehicles worldwide, MotionIQ™ streamlines by-wire chassis control, development and vehicle health-monitoring workflows into a single suite, helping OEMs get to market faster while enhancing quality and cost efficiencies.
- Brake-by-Wire System: Nexteer debuted its first electro-mechanical braking (EMB) system, a modular, software-driven solution designed to enhance safety, control and energy efficiency.
- Rear-Wheel Steering: Nexteer's new system improves low-speed handling and high-speed control for longer-wheelbase vehicles. Production contracts are secured with leading OEMs in China and Europe, Middle East, Africa and South America (EMEASA).
- High-Output CEPS: Supports larger vehicles by delivering up to 110 Nm of steering assist, expanding platform flexibility and cost efficiency for OEMs.
- Driveline innovation: Nexteer launched new technologies including the Face Spline Axle, 8-Ball Joint and Premium Double Offset Joint – each designed to improve NVH, reduce weight and enhance durability in electric and mixed-propulsion vehicles.
Footprint Expansion for Continued Growth
Nexteer also advanced several global footprint initiatives to support growing customer demand and operational efficiency:
- Opened a new manufacturing and testing facility in Changshu, China, in January. The facility supports Nexteer's leadership position in China and aligns with the country's New Quality Productive Forces initiative focused on high-end, intelligent manufacturing.
- Broke ground on a new smart manufacturing facility in Liuzhou, China, to expand production capacity and strengthen support for domestic and global OEMs.
- Continued transformation of the Saginaw, Michigan, site, including plant consolidation, real estate optimization and modernization of operations to reduce costs and support future growth.
"Our strong first-half performance reflects Nexteer's unwavering focus on delivering value through innovation, customer-driven solutions and operational excellence," said Milavec. "Our new program launches, footprint investments, and technology advancements position Nexteer to meet evolving customer needs while strengthening our competitive edge across global markets."
For more information, visit www.nexteer.com.
FORWARD-LOOKING STATEMENTS
Any forward-looking statements and opinions contained within this press release are based on current plans, estimates and projections, and therefore involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements and opinions. Nexteer Automotive and its directors and employees assume (a) no obligation to correct or update the forward-looking statements or opinions contained in this press release; and (b) no liability in the event that any of the forward-looking statements or opinions do not materialize or turn out to be incorrect.
ABOUT NEXTEER AUTOMOTIVE
Nexteer Automotive (HK 1316) is a global leading motion control technology company accelerating mobility to be safe, green and exciting. Our innovative portfolio supports by-wire chassis control, including electric and hydraulic power steering systems, steer-by-wire and rear-wheel steering systems, steering columns and intermediate shafts, driveline systems, software solutions and brake-by-wire. The company solves motion control challenges across all megatrends – including electrification, software/connectivity, ADAS/automated driving and shared mobility – for global and domestic OEMs around the world including BMW, Ford, GM, RNM, Stellantis, Toyota and VW, as well as automakers in India and China including BYD, Xiaomi, ChangAn, Li Auto, Chery, Great Wall, Geely, Xpeng and others. www.nexteer.com
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