Second Quarter
2018 Results
August 8, 2018
2
Forward-looking statementsThis presentation, as well as other statements made by Delphi Technologies PLC (the “Company”), contains
forward-looking statements that reflect, when made, the Company’s current views with respect to current
events, certain investments and acquisitions and financial performance. Such forward-looking statements
are subject to many risks, uncertainties and factors relating to the Company’s operations and business
environment, which may cause the actual results of the Company to be materially different from any future
results.
All statements that address future operating, financial or business performance or the Company’s strategies
or expectations are forward-looking statements. Factors that could cause actual results to differ materially
from these forward-looking statements are discussed under the captions “Risk Factors” and “Management’s
Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s filings with the
Securities and Exchange Commission. New risks and uncertainties arise from time to time, and it is
impossible for us to predict these events or how they may affect the Company. It should be remembered
that the price of the ordinary shares and any income from them can go down as well as up.
The Company disclaims any intention or obligation to update or revise any forward-looking statements,
whether as a result of new information, future events and/or otherwise, except as may be required by law.
3
1. At constant foreign exchange rates, and excludes impact of certain aftermarket revenue retained by former parent
2. Adjusted for restructuring and other special items; see appendix for detail and reconciliation to US GAAP
3. Versus prior year pro-forma results; see appendix for detail and reconciliation to US GAAP
Solid execution, with strong bookings performance
Q2 2018 highlights
Revenue
$1.2 b(+1.1% YoY1)
Operating income2
$156 m(12.7%, up 10bps YoY3)
Earnings per share2
$1.29
$2.3 b of lifetime bookings
across ICE and Electronics
Full year 2018 outlook
narrowed
Robust growth in
Power Electronics and
Commercial Vehicle
Operating cash flow
$164 m $100m share repurchase
authorization
4
Market update
Balanced portfolio for all propulsion systems
Accelerated demand for electrification
Recent industry topics
Uncertainty in global trade, tariffs and Brexit
WLTP in Europe
Continued regulatory driven demand for advanced propulsion solutions
ElectrificationSoftware and controlsInternal combustion
GDi continues to displace diesel and PFi for passenger car
Higher pressure systems for commercial vehicles
Passenger car diesel mix in Europe
Higher commodity prices
5
Bookings update
Booked program lifetime valueAdjusted bookings1 ($ billions)
1. Bookings represent lifetime gross program revenues awarded, based upon expected volumes and pricing adjusted for FX
2. Bookings for Powertrain Segment (OEM) only
Balancing strong demand with disciplined commercial strategy to drive long-term value
$4.7
$6.1$6.7 $7.1
2014 2015 2016 2017 2018 H1
2
2$5.3
Q2
$2.3
Q1
$3.0
2
2
15%CAGR
Remain on track for another year
of record bookings in 2018
Key technologies
Power Electronics
Commercial Vehicle Diesel
Gasoline Direct Injection
Electronics & Software
6
Accelerating momentum in key technologies
Commercial vehicle diesel systemsGasoline fuel systemsPower Electronics
$4.5bH1 2018 lifetime
bookings
6bH1 2018 lifetime
bookings
>$5 b1
lifetime bookings
through H1 2018
>$9 b1,2
lifetime bookings
through H1 2018
~$3 b1,2
lifetime bookings
through 2014
>$5 b1
lifetime bookings
through H1 2018
~$1 b1
lifetime bookings
through 2014
~$1.5 b1
lifetime bookings
through 2014
Investments aligned with long-term growth opportunities
1. Bookings represent lifetime gross program revenues awarded since 2011, based upon expected volumes and pricing adjusted for FX
2. Bookings for GDi only
FinancialReview
8
Q2 2018 vs Q2 2017
Financial highlights$ millions Q2 2018Q2 2017
(pro forma3)
Q2 2017
(reported)
Revenue
Adjusted growth %1
$1,232
1.1%
$1,166
-
$1,187
-
Operating income2
Operating margin %2
$156
12.7%
$147
12.6%
$164
13.8%
Earnings per share2 $1.29 - -
Operating cash flow $164 - -
1. At constant foreign exchange rates, and excludes impact of certain aftermarket revenue retained by former parent
2. Adjusted for restructuring and other special items; see appendix for detail and reconciliation to US GAAP
3. See appendix for reconciliation
1.1% year-on-year adjusted revenue growth
Double-digit growth in key technologies including Power Electronics and commercial vehicle
Primarily offset by softer China sales and lower Aftermarket revenues consistent with commercial strategy
10bps year-on-year adjusted operating margin expansion
Stringent cost control and benefits from prior restructuring
FX tailwinds
Partially offset by unfavorable product mix
Operating cash flow on track with full year outlook
9
Q2 2018 revenue growth
1. At constant foreign exchange rates, and excludes impact of certain aftermarket revenue retained by former parent
2. GoM = growth over market
3. See appendix for reconciliation
Revenue$ millions
Regional growthAdjusted1 year-on-year growth
Growth in key areas of the portfolio offset by lower revenues in China
(3)% GoM2
4% Adj
5% GoM2
2% Adj
(4)% Adj
(12)% GoM2
6% Adj
(2)% GoM2
1.1%1
$1,166
$1,232$31
$52
$(17)
N. America
S. America
Europe
China
3
10
Q2 2018 operating income growth
Operating income1
Financial highlights$ millions
1. Adjusted for restructuring and other special items; see appendix for detail and reconciliation to US GAAP
2. See appendix for reconciliation
Year-on-year growth driven by continued improvements in operating performance and FX
+10 bps
12.6%12.7%
$147
$14
$9 $3
$156
$(17)
Performance driven by:
Healthy incremental margin performance driven by disciplined cost control
Partially offset by price downs (1.4%), unfavorable mix and higher commodity prices
FX tailwinds primarily due to:
Q2 2018 EUR/USD rate of 1.19 vs 1.10 in Q2 2017
2
11
Powertrain segment highlights
Revenue Operating income2
Financial highlights$ millions $ millions
1. At constant foreign exchange rates
2. Adjusted for restructuring and other special items; see appendix for detail and reconciliation to US GAAP
3. See appendix for reconciliation
Strong revenue growth in key areas offset by lower light duty diesel and China sales
12.3%12.5%
0%1 (20) bpsRevenue:
Strong year-on-year revenue growth in
>45% growth for Power Electronics
>20% growth for Commercial Vehicle
Passenger car diesel decline of ~15%
GDi decline of ~10% due to lower sales in China
Operating margin:
20 bps year-on-year decline driven by:
Unfavorable mix
Partially offset by operational performance and
FX tailwinds
$1,035 $1,086
Q2 2017 (pro forma ) Q2 20183
$129 $134
Q2 2017 (pro forma ) Q2 20183
12
$18
$22
Q2 2017 (pro forma ) Q2 2018
Aftermarket segment results
Revenue Operating income2
Financial highlights$ millions $ millions
1. At constant foreign exchange rates, and excludes impact of certain aftermarket revenue retained by former parent
2. Adjusted for restructuring and other special items; see appendix for detail and reconciliation to US GAAP
3. See appendix for reconciliation
Continued margin expansion, consistent with focused strategy
8.5%
10.2%
(1.0)%1 +170 bpsRevenue:
1% year-on-year adjusted decline
Consistent with strategy to focus on higher
margin products and channels
Lower OES channel offset growth in IAM
channel
Operating margin:
170 bps year-on-year margin expansion driven by commercial strategy and operating performance
Remain on track to deliver full year margin expansion
$212 $215
Q2 2017 (pro forma ) Q2 20183 3
13
Updated 2018 outlook
1. At constant foreign exchange rates, and excludes impact of certain aftermarket revenue retained by former parent
2. Adjusted for restructuring and other special items; see appendix for detail and reconciliation to US GAAP
3. Adjusted for restructuring and other special items
4. See appendix for reconciliation
$ millions2018 outlook
except per share amounts 2017 Pro forma4 Updated Prior outlook
Revenue $4,773 $5,000 - $5,100 $5,000 - $5,200
Adjusted growth1 8.5% 2% - 4% 2% - 6%
Operating income2 $569
Operating income margin 11.9% 12.1% - 12.3% 12.3% - 12.5%
Earnings per share3 $4.65 - $4.85 $4.65 - $4.95
Operating cash flow $440 - $480 $440 - $480
Other outlook metrics
Restructuring charges $80-$85m(prior $95-$100m)
One-time separation costs $90-$95m(prior $75-$80m)
Capital expenditures $290-$310m(prior $280-$300m)
EUR/USD $1.18 (prior $1.20)
Adjusted tax rate 16-17% unchanged
Narrowed revenue and EPS ranges, operating cash flow unchanged
Q&A
Appendix
16
Non-GAAP reconciliation: Net income to Adj. op. income
($ millions)
1. Prior to December 4, 2017 separation costs include one-time expenses related to the separation from the Company’s former parent. For periods subsequent to December 4, 2017, these costs include one-time incremental expenses associated with becoming a stand-alone publicly-
traded company.
Adjusted Operating Income is presented as a supplemental measure of the Company's financial performance which management believes is useful to investors in assessing the Company’s ongoing financial performance that, when reconciled to the corresponding U.S. GAAP measure,
provides improved comparability between periods through the exclusion of certain items that management believes are not indicative of the Company’s core operating performance and which may obscure underlying business results and trends. Our management utilizes Adjusted
Operating Income in its financial decision making process to evaluate performance of the Company and for internal reporting, planning and forecasting purposes. Management also utilizes Adjusted Operating Income as the key performance measure of segment income or loss and for
planning and forecasting purposes to allocate resources to our segments, as management also believes this measure is most reflective of the operational profitability or loss of our operating segments. Adjusted Operating Income is defined as net income before interest expense, other
income (expense), net, income tax expense, equity income (loss), net of tax, restructuring, separation costs and asset impairments. Not all companies use identical calculations of Adjusted Operating Income, therefore this presentation may not be comparable to other similarly titled
measures of other companies. The Company's 2018 guidance was determined using a consistent manner and methodology.
Delphi Technologies Q2 2018 Q2 2017
Net income attributable to Delphi Technologies $86 $48
Net income attributable to noncontrolling interest 4 8
Net income $90 $56
Equity (income) loss, net of tax (3) 1
Income tax expense 20 22
Other (income) expense, net (4) -
Interest expense 19 -
Operating income $122 $79
Restructuring 12 66
Separation costs1 21 15
Asset impairments 1 4
Adjusted operating income $156 $164
17
Non-GAAP reconciliation: Segment Adj. operating income
($ millions)
1. Prior to December 4, 2017 separation costs include one-time expenses related to the separation from the Company’s former parent. For periods subsequent to December 4, 2017, these costs include one-time incremental expenses associated with becoming a stand-alone publicly-
traded company.
Adjusted Operating Income is presented as a supplemental measure of the Company's financial performance which management believes is useful to investors in assessing the Company’s ongoing financial performance that, when reconciled to the corresponding U.S. GAAP measure,
provides improved comparability between periods through the exclusion of certain items that management believes are not indicative of the Company’s core operating performance and which may obscure underlying business results and trends. Our management utilizes Adjusted
Operating Income in its financial decision making process to evaluate performance of the Company and for internal reporting, planning and forecasting purposes. Management also utilizes Adjusted Operating Income as the key performance measure of segment income or loss and for
planning and forecasting purposes to allocate resources to our segments, as management also believes this measure is most reflective of the operational profitability or loss of our operating segments. Adjusted Operating Income is defined as net income before interest expense, other
income (expense), net, income tax expense, equity income (loss), net of tax, restructuring, separation costs and asset impairments. Not all companies use identical calculations of Adjusted Operating Income, therefore this presentation may not be comparable to other similarly titled
measures of other companies. The Company's 2018 guidance was determined using a consistent manner and methodology.
Aftermarket Segment Q2 2018 Q2 2017
Operating income $17 $18
Restructuring 1 2
Separation costs1 4 3
Adjusted operating income $22 $23
Powertrain Segment Q2 2018 Q2 2017
Operating income $105 $61
Restructuring 11 64
Separation costs1 17 12
Asset impairments 1 4
Adjusted operating income $134 $141
18
Non-GAAP reconciliation: Adjusted net income
($ millions, except per share amounts)
1. Prior to December 4, 2017 separation costs include one-time expenses related to the separation from the Company’s former parent. For periods subsequent to December 4, 2017, these costs include one-time incremental expenses associated with becoming a stand-alone publicly-
traded company.
2. Represents the income tax impacts of the adjustments made for restructuring and other special items by calculating the income tax impact of these items using the appropriate tax rate for the jurisdiction where the charges were incurred.
Adjusted Net Income and Adjusted Net Income Per Share, which are non-GAAP measures, are presented as supplemental measures of the Company's financial performance which management believes are useful to investors in assessing the Company’s ongoing financial performance
that, when reconciled to the corresponding U.S. GAAP measure, provide improved comparability between periods through the exclusion of certain items that management believes are not indicative of the Company’s core operating performance and which may obscure underlying
business results and trends. Management utilizes Adjusted Net Income and Adjusted Net Income Per Share in its financial decision making process to evaluate performance of the Company and for internal reporting, planning and forecasting purposes. Adjusted Net Income is defined as
net income attributable to Delphi Technologies before restructuring and other special items, including the tax impact thereon. Adjusted Net Income Per Share is defined as Adjusted Net Income divided by the weighted average number of diluted shares outstanding for the period. Not all
companies use identical calculations of Adjusted Net Income and Adjusted Net Income Per Share, therefore this presentation may not be comparable to other similarly titled measures of other companies. The Company's 2018 guidance was determined using a consistent manner and
methodology.
Delphi Technologies Q2 2018 Q2 2017
Net income attributable to Delphi Technologies $86 $48
Adjusting items:
Restructuring 12 66
Separation costs1 21 15
Asset impairments 1 4
Tax impact of adjusting items2 (5) (13)
Adjusted net income attributable to Delphi Technologies $115 $120
Weighted average number of diluted shares outstanding 89.05 88.61
Diluted net income per share attributable to Delphi Technologies $0.97 $0.54
Adjusted net income per share $1.29 $1.35
19
Pro forma financial schedules($ millions)
1. Results for periods prior to December 4, 2017 prepared on a stand-alone combined basis derived from the former parent’s accounting records and results for periods subsequent to December 4, 2017 are presented on a consolidated basis.
2. Adjustments to present results for the year ended December 31, 2017 on a comparable basis to historical periods, as though the separation did not occur during 2017. Adjustments include: (1) impact of the original equipment services business that remained with the former parent, (2)
incremental costs and inefficiencies associated with being a stand-alone publicly-traded company for periods subsequent to December 4, 2017, and (3) costs associated with the Transition Services Agreement and Contract Manufacturing Services Agreement entered with our former
parent in connection with the separation.
3. Represents results for the year ended December 31, 2017 on a comparable basis to historical periods, as though the separation did not occur during 2017.
4. Adjustments to present results for the year ended December 31, 2017 on a comparable basis to expected future period results. Financial information for periods prior to December 4, 2017 was prepared on a stand-alone combined basis derived from the former parent’s accounting
records and is not necessarily indicative of results that will be achieved as a stand-alone publicly-traded company. Adjustments include: (1) impact of the original equipment services business that remained with the former parent, (2) incremental costs and inefficiencies associated with
being a stand-alone publicly-traded company for periods subsequent to December 4, 2017, and (3) costs associated with the Transition Services Agreement and Contract Manufacturing Services Agreement entered with our former parent in connection with the separation.
Delphi Technologies - Revenue Q1 2017 Q2 2017 Q3 2017 Q4 2017 2017
Revenue Reported1 $1,168 $1,187 $1,205 $1,289 $4,849
Spin-Related Adjustments2 N/A N/A N/A $5 $5
Historical Comparable3 $1,168 $1,187 $1,205 $1,294 $4,854
Pro forma Adjustments4 ($20) ($21) ($20) ($20) ($81)
Revenue Pro forma $1,148 $1,166 $1,185 $1,274 $4,773
Delphi Technologies - Adjusted Operating Income Q1 2017 Q2 2017 Q3 2017 Q4 2017 2017
Adjusted Operating Income1 $162 $164 $147 $164 $637
% to sales 13.9% 13.8% 12.2% 12.7% 13.1%
Spin-Related Adjustments2 N/A N/A N/A $4 $4
Historical Comparable3 $162 $164 $147 $168 $641
% to sales 13.9% 13.8% 12.2% 13.0% 13.2%
Pro forma Adjustments4 ($13) ($17) N/A N/A ($72)
Adjusted Operating Income Pro forma $149 $147 N/A N/A $569
% to sales 13.0% 12.6% N/A N/A 11.9%
20
Pro forma financial schedules($ millions)
1. Results for periods prior to December 4, 2017 prepared on a stand-alone combined basis derived from the former parent’s accounting records and results for periods subsequent to December 4, 2017 are presented on a consolidated basis.
2. Adjustments to present results for the year ended December 31, 2017 on a comparable basis to historical periods, as though the separation did not occur during 2017. Adjustments include: (1) impact of the original equipment services business that remained with the former parent, (2)
incremental costs and inefficiencies associated with being a stand-alone publicly-traded company for periods subsequent to December 4, 2017, and (3) costs associated with the Transition Services Agreement and Contract Manufacturing Services Agreement entered with our former
parent in connection with the separation.
3. Represents results for the year ended December 31, 2017 on a comparable basis to historical periods, as though the separation did not occur during 2017.
4. Adjustments to present results for the year ended December 31, 2017 on a comparable basis to expected future period results. Financial information for periods prior to December 4, 2017 was prepared on a stand-alone combined basis derived from the former parent’s accounting
records and is not necessarily indicative of results that will be achieved as a stand-alone publicly-traded company. Adjustments include: (1) impact of the original equipment services business that remained with the former parent, (2) incremental costs and inefficiencies associated with
being a stand-alone publicly-traded company for periods subsequent to December 4, 2017, and (3) costs associated with the Transition Services Agreement and Contract Manufacturing Services Agreement entered with our former parent in connection with the separation.
Powertrain Segment - Revenue Q1 2017 Q2 2017 Q3 2017 Q4 2017 2017
Revenue Reported1 $1,023 $1,035 $1,049 $1,115 $4,222
Spin-Related Adjustments2 N/A N/A N/A N/A N/A
Historical Comparable3 $1,023 $1,035 $1,049 $1,115 $4,222
Pro forma Adjustments4 N/A N/A N/A N/A N/A
Revenue Pro forma $1,023 $1,035 $1,049 $1,115 $4,222
Powertrain Segment - Adjusted Operating Income Q1 2017 Q2 2017 Q3 2017 Q4 2017 2017
Adjusted Operating Income1 $150 $141 $128 $143 $562
% to sales 14.7% 13.6% 12.2% 12.8% 13.3%
Spin-Related Adjustments2 N/A N/A N/A $3 $3
Historical Comparable3 $150 $141 $128 $146 $565
% to sales 14.7% 13.6% 12.2% 13.1% 13.4%
Pro forma Adjustments4 ($9) ($12) N/A N/A ($53)
Adjusted Operating Income Pro forma $141 $129 N/A N/A $512
% to sales 13.8% 12.5% N/A N/A 12.1%
21
Pro forma financial schedules($ millions)
1. Results for periods prior to December 4, 2017 prepared on a stand-alone combined basis derived from the former parent’s accounting records and results for periods subsequent to December 4, 2017 are presented on a consolidated basis.
2. Adjustments to present results for the year ended December 31, 2017 on a comparable basis to historical periods, as though the separation did not occur during 2017. Adjustments include: (1) impact of the original equipment services business that remained with the former parent, (2)
incremental costs and inefficiencies associated with being a stand-alone publicly-traded company for periods subsequent to December 4, 2017, and (3) costs associated with the Transition Services Agreement and Contract Manufacturing Services Agreement entered with our former
parent in connection with the separation.
3. Represents results for the year ended December 31, 2017 on a comparable basis to historical periods, as though the separation did not occur during 2017.
4. Adjustments to present results for the year ended December 31, 2017 on a comparable basis to expected future period results. Financial information for periods prior to December 4, 2017 was prepared on a stand-alone combined basis derived from the former parent’s accounting
records and is not necessarily indicative of results that will be achieved as a stand-alone publicly-traded company. Adjustments include: (1) impact of the original equipment services business that remained with the former parent, (2) incremental costs and inefficiencies associated with
being a stand-alone publicly-traded company for periods subsequent to December 4, 2017, and (3) costs associated with the Transition Services Agreement and Contract Manufacturing Services Agreement entered with our former parent in connection with the separation.
Aftermarket Segment - Revenue Q1 2017 Q2 2017 Q3 2017 Q4 2017 2017
Revenue Reported1 $222 $232 $243 $250 $947
Spin-Related Adjustments2 N/A N/A N/A $5 $5
Historical Comparable3 $222 $232 $243 $255 $952
Pro forma Adjustments4 ($20) ($21) ($20) ($20) ($81)
Revenue Pro forma $202 $212 $224 $235 $871
Aftermarket Segment - Adjusted Operating Income Q1 2017 Q2 2017 Q3 2017 Q4 2017 2017
Adjusted Operating Income1 $12 $23 $19 $21 $75
% to sales 5.4% 9.9% 7.8% 8.4% 7.9%
Spin-Related Adjustments2 N/A N/A N/A $1 $1
Historical Comparable3 $12 $23 $19 $22 $76
% to sales 5.4% 9.9% 7.8% 8.6% 8.0%
Pro forma Adjustments4 ($4) ($5) N/A N/A ($19)
Adjusted Operating Income Pro forma $8 $18 N/A N/A $57
% to sales 4.0% 8.5% N/A N/A 6.5%