BorgWarner Reports 2025 Results, Returns $630M to Shareholders, Enters Data Center Market
BorgWarner reported 2025 full-year sales of $14.3 billion, returned approximately $630 million to shareholders, and secured a supply agreement for a turbine generator system for AI-driven data centers.
$630 million
$14.3 billion
$1,208 million
What Happened
BorgWarner reported 2025 revenue of $14.3 billion, adjusted operating margin of 10.7% (up 60 basis points), and adjusted EPS of $4.91 (up 14%). For 2026, the company expects sales of $14.0-14.3 billion and adjusted EPS of $5.00-5.20. It returned $630 million to shareholders via dividends and buybacks.
- Turbine generator system for AI data centers and microgrids (production early 2027, >$300M first-year sales)
- VTG turbocharger award with major European OEM for North American hybrid vehicles (2028)
- Integrated drive module awards with North American and European OEMs for range-extended EVs (2029)
- Battery management system award for BEV/PHEV passenger cars and light commercial vehicles (2029)
- Electric cross differential award with leading Chinese OEM for 48V architectures
$1,208 million2025
up 66% from 2024
Why this matters
BorgWarner's entry into AI data centers with a turbine generator system marks a strategic diversification, while its strong free cash flow and share repurchases signal confidence in its financial health.
Terms in This Story
- Turbine generator system
- A device that uses a turbine to drive a generator to produce electricity, often used for backup or primary power.
- Integrated drive module (iDM)
- A compact unit combining an electric motor, transmission, and electronics for electric vehicle propulsion.
- Variable turbine geometry (VTG) turbocharger
- A turbocharger with adjustable vanes that optimize airflow to improve engine efficiency across a wide RPM range.
- Adjusted operating margin
- A profitability measure that excludes one-time items to show ongoing business performance.
Summarised from the linked release; details can be imperfect — always verify against the original source.