PHINIA (NYSE:PHIN) Posts Earnings Results, Beats Estimates By $0.12 EPS

Key Points

• PHINIA reported Q1 adjusted EPS of $1.29, beating estimates by $0.12, with revenue of $878M (+10.3% YoY) and adjusted EBITDA of $115M (13.1% margin).
• Management reiterated full‑year 2026 guidance of $3.5B–$3.7B revenue, $485M–$525M adjusted EBITDA and $200M–$240M adjusted free cash flow, and cited diversification wins (drone program and alternative‑fuel contracts) supporting longer‑term growth.
• Near‑term risks—program ramp delays and tariff exposure (Q1 included a ~$12M pass‑through; ~<$40M being pursued for refunds)—could pressure margins, but the company maintains a strong liquidity position with $328M cash, ~$808M total liquidity and net leverage ~1.4x, having returned >$600M to shareholders since the spin‑off.

PHINIA (NYSE:PHIN - Get Free Report) released its quarterly earnings results on Thursday. The company reported $1.29 EPS for the quarter, beating analysts' consensus estimates of $1.17 by $0.12, FiscalAI reports. The firm had revenue of $878.00 million during the quarter, compared to analyst estimates of $855.93 million. PHINIA had a net margin of 3.73% and a return on equity of 12.56%. The business's revenue for the quarter was up 10.3% on a year-over-year basis. During the same period in the previous year, the business earned $0.94 EPS.

Here are the key takeaways from PHINIA's conference call:

• PHINIA reported a strong quarter with $878M in net sales (+10.3% YoY), $115M Adjusted EBITDA (13.1% margin), and adjusted diluted EPS of $1.29 (up 37% YoY), indicating solid near-term profitability.
• Management reiterated full‑year 2026 guidance of $3.5B–$3.7B revenue, $485M–$525M Adjusted EBITDA (13.7%–14.3% margin), and $200M–$240M Adjusted Free Cash Flow, signaling confidence in the outlook.
• The company is diversifying and winning new business—notably a commercial/defense drone program using its GDI injector and consecutive alternative‑fuel wins (CNG in India, DI rail for a Chinese luxury SUV)—supporting longer‑term growth opportunities.
• Near‑term operational headwinds include program ramp delays in Fuel Systems (weaker mix in Europe and APAC) and ongoing geopolitical/tariff uncertainty (Q1 included a ~$12M tariff pass‑through and management noted ~<$40M IEEPA tariff exposure being pursued for refunds), which could pressure short‑term margin progression.
• Strong balance‑sheet and shareholder returns — cash of $328M, total liquidity ~$808M, net leverage ~1.4x, and >$600M returned to shareholders since the spin‑off via buybacks and dividends — provide financial flexibility for growth and buybacks.

PHINIA Trading Up 0.0%

PHIN stock traded up $0.00 during trading on Thursday, reaching $72.11. The company had a trading volume of 645,357 shares, compared to its average volume of 404,729. PHINIA has a 52 week low of $39.29 and a 52 week high of $81.11. The company has a market cap of $2.71 billion, a P/E ratio of 22.19 and a beta of 1.36. The business has a 50 day moving average of $70.04 and a 200 day moving average of $64.22. The company has a debt-to-equity ratio of 0.61, a current ratio of 1.86 and a quick ratio of 1.36.

Analysts Set New Price Targets

A number of research analysts have recently commented on PHIN shares. Northland Securities set a $93.00 price target on shares of PHINIA in a research report on Friday, February 13th. Zacks Research lowered shares of PHINIA from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, April 14th. UBS Group reiterated a "neutral" rating and issued a $76.00 target price on shares of PHINIA in a research report on Friday, February 13th. Freedom Capital lowered shares of PHINIA from a "strong-buy" rating to a "hold" rating in a research report on Thursday, February 26th. Finally, Wall Street Zen lowered shares of PHINIA from a "strong-buy" rating to a "buy" rating in a research report on Saturday, April 18th. Three analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to MarketBeat, PHINIA presently has an average rating of "Hold" and an average price target of $68.80.

Insider Transactions at PHINIA

In related news, VP Christopher Gustanski sold 3,812 shares of the stock in a transaction dated Wednesday, March 4th. The shares were sold at an average price of $72.73, for a total value of $277,246.76. Following the completion of the transaction, the vice president directly owned 14,871 shares of the company's stock, valued at $1,081,567.83. This represents a 20.40% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, VP Neil Fryer sold 624 shares of the stock in a transaction dated Wednesday, March 4th. The stock was sold at an average price of $72.75, for a total transaction of $45,396.00. Following the completion of the transaction, the vice president directly owned 18,180 shares of the company's stock, valued at approximately $1,322,595. The trade was a 3.32% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 2.20% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On PHINIA

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Dimensional Fund Advisors LP increased its stake in shares of PHINIA by 2.0% during the fourth quarter. Dimensional Fund Advisors LP now owns 2,301,996 shares of the company's stock valued at $144,314,000 after purchasing an additional 45,214 shares in the last quarter. Goldman Sachs Group Inc. increased its stake in shares of PHINIA by 6.4% during the first quarter. Goldman Sachs Group Inc. now owns 977,177 shares of the company's stock valued at $41,462,000 after purchasing an additional 58,875 shares in the last quarter. Freestone Grove Partners LP increased its position in shares of PHINIA by 1,206.1% during the fourth quarter. Freestone Grove Partners LP now owns 557,097 shares of the company's stock valued at $34,924,000 after acquiring an additional 514,442 shares in the last quarter. ION Fund Management Ltd bought a new stake in shares of PHINIA during the fourth quarter valued at approximately $32,285,000. Finally, Invesco Ltd. raised its holdings in PHINIA by 8.3% in the 4th quarter. Invesco Ltd. now owns 469,567 shares of the company's stock worth $29,437,000 after acquiring an additional 35,835 shares during the last quarter. Institutional investors own 90.94% of the company's stock.

PHINIA Company Profile

PHINIA Inc engages in the development, design, and manufacture of integrated components and systems that optimize performance, increase efficiency, and reduce emissions in combustion and hybrid propulsion for commercial and light vehicles, and industrial applications. The company operates through Fuel Systems and Aftermarket segments. The Fuel Systems segment provides advanced fuel injection systems, including pumps, injectors, fuel rail assemblies, and engine control modules; fuel delivery modules; canisters; sensors; and electronic control modules.

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