Kevin P. Clark
President and Chief Executive Officer at Aptiv
Thank you, Chris, and thank you, everyone, for joining us this morning. Beginning on Slide 3. During 2021, we experienced record growth over market and record new business bookings driven by our industry-leading portfolio of advanced technologies aligned to the safe, green and connected megatrends as well as our success keeping our customers running through the ongoing supply chain disruptions. Despite the increased efforts to keep our customers connected, our financial results validate the strength of our competitive position and the resiliency of our business model.
Focusing on the highlights for the full year. New business bookings reached $24 billion and revenues totaled $15.6 billion, representing 15% growth, 15 points over underlying vehicle production. Operating income and earnings per share totaled $1.2 billion and $2.61, respectively, reflecting the benefit of strong revenue growth partially offset by increased operating expenses related to supply chain disruptions and material cost inflation, which Joe will cover in greater detail in a few minutes.
Lastly, we continue to invest in organic growth initiatives and as you know, recently announced an agreement to acquire Wind River, a leading provider of intelligent edge software solutions, representing one more step in accelerating the intelligent transformation of Aptiv and positioning us to enable the software-defined future. This transition -- this transaction uniquely positions Aptiv to provide comprehensive solutions that enable software to be developed faster, deplyed more seamlessly and optimized throughout the vehicle lifecycle.
Setting the supply chain challenges aside, the Aptiv team is executing exceptionally well, continuing to proactively position the company for the future, increasing the efficiency of our underlying cost structure, while investing in high-growth, high-margin advanced technologies that increase the resiliency of our business model, which will lead to a stronger competitive position and increased value for our shareholders.
Turning to Slide 4. As I already mentioned, we remain laser-focused on executing our strategy and further enhancing our industry-leading capabilities. The macro headwinds we faced over the past two years have validated the resiliency of our business model, showcased by the flawless execution of new program launches as well as the record new business bookings and record revenue growth over market. Looking ahead, Aptiv will be even better positioned to capitalize on the safe, green and connected megatrends just as is the path to the software-defined vehicles accelerating.
Our scalable advanced ADAS and in-cabin sensing solutions increased system performance, while lowering cost enabling the democratization of Aptiv's safety features. Our extensive portfolio of both low voltage and high voltage electrification solutions allows us to develop optimized vehicle architectures that significantly reduce vehicle weight and mass and lower overall vehicle cost. And our vehicle connectivity solutions provide our OEMs with the data analytics and insight that allow for continuous enhancements through the vehicle lifecycle and our fleet customers with the vehicle health data to minimize vehicle downtime. Collectively, each of these offerings is a key foundational element for our smart vehicle architecture solution, and 2021 was a proof point for the market relevancy of our industry-leading portfolio of advanced technologies, which gives us the confidence to increase our framework for revenue growth to 8 to 10 points over vehicle production.
As shown on Slide 5, 2021 new business bookings totaled a record $24 billion, a $6 billion increase over the COVID-impacted 2020 amount and a $2 billion increase over the previous record of $22 billion. Our unique portfolio of safe, green and connected technologies combined with our flawless operating execution continues to position Aptiv as a partner of choice for our customers. Advanced Safety and User Experience segment bookings totaled $6 million for the year, including $2.8 billion in active safety awards. Bookings for our Signal and Power Solutions segment reached $18 billion, including a record $3.5 billion of high-voltage electrification awards. The cumulative amount of our new business bookings over the last few years across our portfolio of advanced technologies gives us confidence in our ability to sustain strong above market growth across both of our business segments further validating the resiliency of our business model.
Turning to the highlights for our -- from our Advanced Safety and User Experience segment on Slide 6. Revenues for the fourth quarter declined 1%, 15 points better than the reduction in global vehicle production. For the full year, revenues increased 13%, 13 points over vehicle production, reflecting the benefit of new program launches and increased penetration rates, which resulted in strong growth over market in our active safety product line and continued strong growth in our user experience and connectivity and security product lines, driven by the launch of infotainment programs in Europe and in-cabin sensing programs in both North America and Europe.
As the demand increases for more advanced active safety and user experience features, the need for more advanced software development, integration and compute capabilities is required. And our industry-leading capabilities presents us with additional market share opportunities as evidenced by a new business award from Stellantis for our ADAS satellite architecture solution on the Ram pickup truck, building off of our earlier success launching a similar scalable active safety solution on the Jeep Grand Cherokee and Wagoneer. Several new business awards from Ford for the extension of our ADAS satellite architecture solutions across additional new vehicle platforms. Awards from Volvo for the extension of the first of its kind Android infotainment solution powered by native Google Automotive Services with real-time OTA on the new additional vehicle platforms.
And lastly, further commercial validation of our smart vehicle architecture solution in China. With a new business award from Baidu for the development of a central vehicle controller. This high performance compute platform will launch in 2023 on a vehicle produced by the Geely-Baidu joint venture, Jidu, and will integrate central body functions and control the flow of data in and out of the vehicles.
Moving to Slide 7. Fourth quarter revenues in our Signal and Power Solutions segment declined 6%, 10 points better than the decline in global vehicle production. For the full year, revenues increased 16%, 16 points over vehicle production, reflecting the increased production of high-voltage electrified vehicles, resulting in increased demand for both our low voltage and high voltage architecture solutions from traditional and emerging electric vehicle OEMs, and continued strong demand from engineered components for both automotive and non-automotive applications. We're perfectly positioned to support our customers globally with an industry-leading portfolio of high-voltage distribution, connection and cable management solutions, which is translated into a significant increase in new business awards for high voltage solutions, including an award for Rivian for low voltage content on the electrified R1S and R1T models, an extension of our 2019 award on these vehicles. An award for high voltage vehicle architecture covering several next-generation Stellantis vehicles, an important win as more European platforms migrate to full battery electric vehicles.
High voltage architecture awards with VW for additional ID models on their MEB platform, building off several high-voltage bookings on the MEB platform in 2020. And lastly, an award from a major North American OEM for a wireless charging solution that will launch on several of their vehicle platforms. These new business awards validate our leadership position in optimizing high voltage power distribution for new vehicle architectures that deliver value for our customers. We continue to see an acceleration of powertrain electrification, driven by both more stringent CO2 regulations and the increasing momentum for consumer acceptance. The fact that we have content of more than 50% of the battery electric vehicles launching over the next few years, we're confident that we will continue to experience very strong revenue growth from our high voltage electrification product line.
Turning to Slide 8. As I mentioned, in early January, we announced the agreement to acquire Wind River, a global leader in intelligent edge connected systems. This acquisition reflects our commitment to accelerating Aptiv's software strategy. Together we will be able to provide a comprehensive edge to cloud software solutions, spanning the full intelligent system lifecycle across multiple industries. Our complementary software offerings will create new growth and value creation opportunities for Aptiv and our customers through a cloud-native platform that enables the development, deployment and operation of software across the full vehicle lifecycle. A smart vehicle architecture enables the evolution of vehicle architecture and advanced feature adoption across domains. Wind River's proven solutions for mission-critical applications will play a key role in enabling the software-defined vehicle.
Slide 9 provides an overview of our software strategy. While the tipping point in the automotive industry has transitioned to the software-defined vehicle, consumers are demanding more advanced features for vehicle safety, comfort and convenience. 5G and the cloud are creating opportunities to deliver vehicles that leverage connectivity and lower battery costs are accelerating the penetration of high-voltage electrification, all of which is enabled through a significant increase in the amount of software content in the vehicle, growing from $30 billion today to $90 billion by 2030.
OEMs are beginning to separate software from the underlying hardware both tactically as they transition to smart vehicle architectures, and then, how they're sourcing new programs. Aptiv is enabling OEMs to accelerate their transition to electrified software-defined vehicle by employing a more holistic engineering and development approach to optimize the hardware, the software and the system solution that spans the full vehicle stack. Our industry-leading position in the development of high-performance, cost-optimized automotive-grade hardware and deep software development capabilities deployed across millions of vehicles with multiple OEMs across the globe gives us confidence in our unique competitive position.
The combined expertise and complementary technologies of Aptiv and Wind River further augmented with PT tech's deterministic framework that enhances active safety software applications, are uniquely positioned to assist OEMs in cost effectively accelerating the development and the deployment of the software-defined vehicle. Aptiv's smart vehicle architecture solution optimizes the vehicle infrastructure, while providing the necessary network redundancy and resiliency. Wind River's Studio cloud-native platform allows for the development, deployment operation and servicing the vehicle software stack, shortening development cycles, speeding time to market and enabling full lifecycle management. And an open development environment allows for feature adoption and development from multiple sources, including Aptiv's Active Safety and User Experience software as well as OEM-developed softwares.
In short, our strategy continues to be focused on accelerating a transition to the software-defined vehicle by offering a complete stack from high performance hardware to cloud connectivity that enables value-added services. A software architecture that is open, that's scalable and containerized, easily upgradable in providing OEMs the flexibility to efficiently integrate their own as well as other software and feature development, and that can be continuously certified for safety critical applications and providing full lifecycle management capabilities that enable attractive new business models.
Moving to Slide 10. Some of the advanced technologies we've discussed were on display at this year's CES event in Las Vegas. Outside the pavilion, we showed a number of feature-rich vehicles with Aptiv's vehicle architecture, Active Safety and User Experience content already on board. Inside the pavilion, we featured our fully-functioning smart vehicle architecture and continuous delivery platform. We hosted over 400 customers both in-person and virtually from over 50 companies, including 25 OEMs. This year's CES event provided our customers with the opportunity to validate Aptiv's full system portfolio, generating significant interest in the future-defining products that we continue to develop and deliver to OEMs.
Moving to Slide 11. Before I turn the call over to Joe, I wanted to comment on our outlook for 2022. As we've already discussed, we continue to face headwinds related to supply chain disruptions and material cost inflation. However, as we manage through these day-to-day challenges, we remain laser-focused on executing our strategy to build a more sustainable business and deliver lasting value creation, which has translated into market share gains, accelerated revenue growth and increased underlying profitability driven by the development of advanced technologies that are accelerating the transition to electrified software-defined vehicles. As I mentioned earlier, as a result of the confidence we have in our competitive position, we've increased our outlook for growth over market to 8 to 10 points further validated by recent strong revenue growth in new program awards. And our advanced technologies focused on safe, green and connected megatrends are enabling market share and content gains, which will translate in a margin expansion and earnings growth.
Unfortunately, we expect supply chains to remain tight and disruptions to continue, but begin improving in the back half of this year. And inflationary effects, including rising material cost are likely to be around for some time. But we're managing our cost structure and working to recover the increase in material costs through various pricing, product redesign, sourcing and footprint strategies. Our strategic focus and operating execution as well as the current headwinds are reflected in the full year 2022 guidance that Joe will review with you shortly, which anticipates the continued expansion of our competitive moat, which will leverage into increased new business bookings, accelerated revenue growth and increased margins and cash flow generation.
With that, I'll now turn the call over to Joe to talk through the numbers.
