Phinia posts modest revenue growth and strong earnings in Q3

Phinia reported third-quarter revenue and earnings growth, with net sales rising 0.4% to $912 million for the period ending September 30, 2026. When adjusted for foreign exchange fluctuations, sales remained unchanged year-over-year. Net earnings reached $67 million, or $1.80 per diluted share, while adjusted net earnings hit $68 million, up from $1.59 per adjusted diluted share in the same period last year.

Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by $2 million to $135 million, with the adjusted EBITDA margin expanding by 20 basis points to 14.8%. The company attributed its performance to steady demand in end markets, sustained growth in the aftermarket, and disciplined financial management.

Brady Ericson, President and Chief Executive Officer of Phinia, stated that the results aligned with expectations and reflected the company’s ability to deliver profitable growth despite higher research and development spending and investments in customer relationships. He highlighted the resilience of the business and consistent execution, noting that adjusted free cash flow exceeded $73 million for the quarter. The company returned $76 million to shareholders, 104% of adjusted free cash flow, while maintaining its balanced capital allocation strategy.

Phinia secured multiple new business awards during the quarter, expanding its global footprint. These included:

• A first methanol engine program for alternative fuels and industrial off-highway applications in China.
• A compressed natural gas (CNG) injector program for the Indian light passenger vehicle market.
• A gasoline direct injection (GDI) pump award for a range-extender application in North America.
• A new customer win in North American fuel injector remanufacturing, expanding its diesel customer base.
• Competitive-conquest aftermarket braking business in Spain and increased distribution in Southeast Asia, including steering and suspension products.
• New business in diesel, vehicle electronics, and engine management systems in Saudi Arabia, Portugal, and Spain.

These wins show Phinia’s expanding presence in emerging markets and its ability to adapt to evolving powertrain technologies. The company’s focus on diversification, through product innovation, market expansion, and financial discipline, has driven consistent results.