v3.26.1
REPORTABLE SEGMENTS AND RELATED INFORMATION (Tables)
6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Schedule of Segment Revenues and Significant Expenses
The following tables show segment revenues and significant expenses for the Company’s reportable segments:
Three Months Ended June 30, 2026
Fuel SystemsAftermarketInter-segment EliminationsConsolidated
(in millions)
Net sales to external customers$584 $356 $— $940 
Inter-segment eliminations$26 $— $(26)$— 
Net Sales$610 $356 $(26)$940 
Less:
Cost of sales499 252 
Selling, general and administrative expenses (excluding Net R&D costs shown separately below)1
21 39 
Net R&D costs30 3 
Other segment items2
(4)1 
Segment AOI$64 $61 
Three Months Ended June 30, 2025
Fuel SystemsAftermarketInter-segment EliminationsConsolidated
(in millions)
Net sales to external customers$556 $334 $— $890 
Inter-segment eliminations$36 $— $(36)$— 
Net Sales$592 $334 $(36)$890 
Less:
Cost of sales487 242 
Selling, general and administrative expenses (excluding Net R&D costs shown separately below)1
17 32 
Net R&D costs27 3 
Other segment items2
(1)— 
Segment AOI$62 $57 
Six Months Ended June 30, 2026
Fuel SystemsAftermarketInter-segment EliminationsConsolidated
(in millions)
Net sales to external customers$1,133 $685 $— $1,818 
Inter-segment eliminations$59 $— $(59)$— 
Net Sales$1,192 $685 $(59)$1,818 
Less:
Cost of sales986 487 
Selling, general and administrative expenses (excluding Net R&D costs shown separately below)1
41 73 
Net R&D costs56 6 
Other segment items2
(6)2 
Segment AOI$115 $117 
Six Months Ended June 30, 2025
Fuel SystemsAftermarketInter-segment EliminationsConsolidated
(in millions)
Net sales to external customers$1,046 $640 $— $1,686 
Inter-segment eliminations$75 $— $(75)$— 
Net Sales$1,121 $640 $(75)$1,686 
Less:
Cost of sales931 461 
Selling, general and administrative expenses (excluding Net R&D costs shown separately below)1
32 63 
Net R&D costs52 6 
Other segment items2
(2)2 
Segment AOI$108 $108 
____________
1 Excludes acquisition-related intangibles amortization.

2 Other segment items include inter-segment fees and other income.
Segment information as of June 30, 2026 and December 31, 2025 and for the three and six months ended June 30, 2026 and 2025 is presented in the tables below:
Assets
(in millions)June 30, 2026December 31, 2025
Fuel Systems$2,044 $2,088 
Aftermarket1,381 1,351 
Total3,425 3,439 
Corporate1
417 378 
Consolidated$3,842 $3,817 
_______________
1 Corporate assets include cash and cash equivalents, investments and long-term receivables, and deferred income taxes.
Depreciation and amortizationThree Months Ended June 30,Six Months Ended June 30,
(in millions)2026202520262025
Fuel Systems$34 $32 $68 $62 
Aftermarket6 7 12 13 
Total40 39 80 75 
Corporate1 — 1 1 
Consolidated$41 $39 $81 $76 
Long-lived asset expenditures1
Six Months Ended June 30,
(in millions)20262025
Fuel Systems$48 $62 
Aftermarket4 5 
Total52 67 
Corporate2 2 
Consolidated$54 $69 
_______________
1 Long-lived asset expenditures include capital expenditures and tooling outlays.
Schedule of Segment Adjusted Operating Income
The following table shows a reconciliation of Segment AOI to Earnings before income taxes for the Company’s reportable segments:
Three Months Ended June 30,Six Months Ended June 30,
(in millions)2026202520262025
Fuel Systems$64 $62 $115 $108 
Aftermarket61 57 117 108 
Segment AOI125 119 232 216 
Corporate, including stock-based compensation28 25 52 49 
Amortization of acquisition-related intangibles8 7 16 14 
Separation-related (benefits) costs(1)(6)1 (10)
Merger and acquisition expense2 2 3 5 
Restructuring expense8 2 11 7 
Equity in affiliates’ earnings, net of tax(4)(4)(9)(8)
Interest income(2)(4)(4)(8)
Interest expense21 21 41 40 
Other postretirement (income) expense, net(2)1 (3)2 
Earnings before income taxes$67 $75 $124 $125