Delphi Automotive PLC (NYSE:DLPH) Q1 2018 Earnings Conference Call Transcript
May 02, 2018 • 08:30 am ET
Good morning. My name is Sarah, and I'll be your conference facilitator. At this time, I would like to welcome everyone to the Delphi Technologies First Quarter 2018 Earnings Conference Call. During the opening remarks, all participants will be in a listen-only mode. Following the opening remarks, we will conduct a question-and-answer session. As a reminder, this conference call is being recorded and simultaneously webcast.
I would now like to turn the call over to Sherief Bakr, Vice President of Investor Relations. Sherief, please go ahead.
Thank you, Sarah, and good morning, and good afternoon, everyone, and welcome to Delphi Technologies first quarter 2018 earnings call. With me today in London is our Chief Executive Officer, Liam Butterworth; our Chief Financial Officer, Vivid Seghal; as well as our Chief Technology Officer, Mary Gustanski. This call will include a discussion of our first quarter financial results, as disclosed in today's press release, as well as our updated outlook for 2018. In order to follow along with today's presentation, you can find an accompanying set of slides on our Investor Relations website at ir.delphi.com.
Please note that our discussion includes references to non-GAAP financial measures, which are reconciled to their corresponding GAAP measures in the tables within our press release.
Now, before we begin, I'd like to remind you that certain statements made on this call may constitute forward-looking statements. Forward-looking statements can vary materially from actual results, and are subject to a number of risks and uncertainties, including those contained in the Company's Form 10-K, as well as other filings with the SEC. I'd encourage all of you to review these risk factors listed in these documents.
And with that, I'd like to turn the call over to Liam Butterworth.
Thank you, Sherief, and good morning, good afternoon to everyone. Thank you for joining us for today's call.
Before I provide an update on progress we've made during our first full quarter as a public company, I want to share with you some of the highlights for Q1. Vivid will take you through more of the details of our performance, and our updated outlook for 2018. But at a high level, we've had a great start to the year. Excluding the impact of foreign exchange rate movements, which were a significant tailwind in the quarter, our underlying performance is on track, and we continue to see strong momentum in key areas of the portfolio that will drive our long-term growth.
On Slide 3, you can see some of the highlights for the quarter. We delivered 5% revenue growth, which was 6% above market, and an adjusted operating margin of 12.3%. Excluding the commercial settlement that positively impacted our Q1 2017 results, our year-on-year operating margin expanded by 80 basis points on a like-for-like basis.This included strong year-on-year margin expansion from our Aftermarket business, consistent with our strategy and full-year objectives. EPS of $1.30 benefited from a more favourable FX environment, phase-in of spin-related, and underlying business performance. We also ended the quarter