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REPORTABLE SEGMENTS
 9 Months Ended
Sep. 30, 2024
Segment Reporting [Abstract]  
REPORTABLE SEGMENTS REPORTABLE SEGMENTS
The Company discloses segment information under four reportable segments, consistent with the way operating results are evaluated by management. The segments are further described below. These segments are strategic business groups that are managed separately as each represents a specific grouping of related automotive components and systems. In prior quarters, the Company presented its results under three reportable segments: Air Management, Drivetrain & Battery Systems and ePropulsion.

Effective July 1, 2024, the Company implemented a new business unit and management structure designed to further enhance the execution of the Company’s Charging Forward strategy. The Company now reports its results in the following four reportable segments: Turbos & Thermal Technologies, Drivetrain & Morse Systems, PowerDrive Systems and Battery & Charging Systems.

The reportable segment disclosures have been updated accordingly, which included recasting prior period information for the new reporting structure.

•Turbos & Thermal Technologies. This segment’s products include turbochargers, eBoosters, eTurbos, emissions systems, thermal systems, gasoline ignition technology, smart remote actuators, powertrain sensors, cabin heaters and battery heaters.
•Drivetrain & Morse Systems. This segment’s products include control modules, friction and mechanical clutch products for automatic transmissions, torque-management products and rear-wheel drive (“RWD”) and all-wheel drive (“AWD”) transfer case systems and coupling systems. Additionally, the Drivetrain & Morse Systems products include chain systems and variable camshaft phasing products.
•PowerDrive Systems (formerly ePropulsion). This segment’s products include power electronics such as inverters, onboard chargers, DC/DC converters and combination boxes, rotating electric machines, fully integrated drive modules (consisting of inverter, eMotor and gear reducer), and electronic controls.
•Battery & Charging Systems. This segment’s products include high-performance lithium-ion battery systems for electrified bus-, truck- and off-highway applications and DC (direct current) fast chargers suitable for all types of electric vehicles.
Segment Adjusted Operating Income (Loss) is the measure of segment income or loss used by the Company. Segment Adjusted Operating Income (Loss) is comprised of operating income for the Company’s reportable segments adjusted for restructuring, merger, acquisition and divestiture expense, intangible asset amortization expense, impairment charges and other items not reflective of ongoing operating income or loss. The Company believes Segment Adjusted Operating Income (Loss) is most reflective of the operational profitability or loss of our reportable segments.

The following tables show segment information and Segment Adjusted Operating Income (Loss) for the Company’s reportable segments:

Net Sales by Reportable Segment
Three Months Ended September 30, 2024Nine Months Ended September 30, 2024
(in millions)CustomersInter-segmentNetCustomersInter-segmentNet
Turbos & Thermal Technologies$1,385 $1 $1,386 $4,472 $3 $4,475 
Drivetrain & Morse Systems1,362 3 1,365 4,218 8 4,226 
PowerDrive Systems505 7 512 1,390 22 1,412 
Battery & Charging Systems197 — 197 567 — 567 
Inter-segment eliminations— (11)(11)— (33)(33)
Net sales$3,449 $— $3,449 $10,647 $— $10,647 

Three Months Ended September 30, 2023Nine Months Ended September 30, 2023
(in millions)CustomersInter-segmentNetCustomersInter-segmentNet
Turbos & Thermal Technologies$1,473 $1 $1,474 $4,567 $3 $4,570 
Drivetrain & Morse Systems1,447 2 1,449 4,142 4 4,146 
PowerDrive Systems556 15 571 1,572 52 1,624 
Battery & Charging Systems146 — 146 395 — 395 
Inter-segment eliminations— (18)(18)— (59)(59)
Net sales$3,622 $— $3,622 $10,676 $— $10,676 

Total Assets by Reportable Segment
(in millions)September 30, 2024December 31, 2023
Turbos & Thermal Technologies$4,007 $3,938 
Drivetrain & Morse Systems4,128 4,262 
PowerDrive Systems3,326 3,185 
Battery & Charging Systems1,380 1,335 
Total12,841 12,720 
Corporate2,296 1,733 
Consolidated$15,137 $14,453 
Segment Adjusted Operating Income (Loss)
Three Months Ended September 30,Nine Months Ended September 30,
(in millions)2024202320242023
Turbos & Thermal Technologies$202 $214 $654 $660 
Drivetrain & Morse Systems251 253 770 700 
PowerDrive Systems(19)(20)(130)(74)
Battery & Charging Systems(8)(26)(33)(76)
Segment Adjusted Operating Income426 421 1,261 1,210 
Corporate, including stock-based compensation76 72 196 194 
Restructuring expense (Note 5)21 56 65 68 
Intangible asset amortization expense17 17 51 51 
Accelerated depreciation27 1 35 4 
Commercial contract settlement— — 15 — 
Adjustments associated with Spin-Off related balances3 — 14 — 
Collective bargaining agreement ratification bonus4 — 4 — 
Loss (gain) on sale of businesses6 — 3 (5)
Asset impairment and lease modification— 2 — 11 
Merger and acquisition expense, net(5)2 — 18 
Gain on sale of assets— (7)— (13)
Other non-comparable items7 6 16 3 
Equity in affiliates’ earnings, net of tax(6)(10)(23)(23)
Unrealized and realized (gain) loss on equity and debt securities(2)60 — 129 
Interest expense (income), net4 (19)17 3 
Other postretirement expense4 3 10 8 
Earnings from continuing operations before income taxes and noncontrolling interest$270 $238 $858 $762