PHINIA Inc. engages in the development, design, and manufacture of integrated components and systems that are designed to optimize performance, increase efficiency and reduce emissions in combustion and hybrid propulsion for commercial vehicles and industrial applications (medium-duty and heavy-duty trucks, buses and other off-highway construction, marine, agricultural and industrial applications), light commercial vehicles (vans and trucks) and light passenger vehicles (passenger cars, mini-van...
PHINIA Inc. engages in the development, design, and manufacture of integrated components and systems that are designed to optimize performance, increase efficiency and reduce emissions in combustion and hybrid propulsion for commercial vehicles and industrial applications (medium-duty and heavy-duty trucks, buses and other off-highway construction, marine, agricultural and industrial applications), light commercial vehicles (vans and trucks) and light passenger vehicles (passenger cars, mini-vans, cross-overs and sport-utility vehicles).
The company is a global supplier to most major original equipment manufacturers (OEMs) seeking to meet evolving and increasingly stringent global regulatory requirements and satisfy consumer demands for an enhanced user experience. Additionally, the company offers a wide range of original equipment service (OES) solutions and remanufactured products, as well as an expanded range of products for the independent (non-OEM) aftermarket.
Segments
The company operates through two segments: Fuel Systems and Aftermarket.
Fuel Systems
This segment provides advanced fuel injection systems, fuel delivery modules, canisters, sensors, electronic control modules and associated software. The company’s highly engineered fuel injection systems portfolio includes pumps, injectors, fuel rail assemblies, engine control modules, and complete systems, including software and calibration services, that reduce emissions and improve fuel economy for traditional and hybrid applications.
Aftermarket
This segment sells products to independent aftermarket customers and OES customers. Its product portfolio includes a wide range of products, as well as maintenance, test equipment and vehicle diagnostics solutions. The Aftermarket segment also includes sales of starters and alternators to OEMs.
Geographic Areas
The company has a global presence. During the year ended December 31, 2024, approximately 37% of the company’s net sales were generated in the United States, and 63% were generated outside the United States.
Product Lines and Customers
During the year ended December 31, 2024, approximately 34% of the company’s net sales were for independent aftermarket customers and OES, approximately 27% were for light passenger vehicle applications; approximately 20% were for commercial vehicle and industrial applications; approximately 18% were for light commercial vehicle applications, and 1% for other markets.
The company’s worldwide net sales to General Motors Company during the years ended December 31, 2024, were 17%. Sales to the company’s top five customers represented 40% of sales for the year ended December 31, 2024.
The company’s products are generally sold directly to OEMs, substantially pursuant to negotiated annual contracts, long-term supply agreements or terms and conditions as may be modified by the parties. Deliveries are subject to periodic authorizations based upon OEM production schedules. The company typically ships its products directly from its plants to the OEMs.
Sales and Marketing
The Fuel Systems and Aftermarket segments each have their own sales function. Account managers for each of the company’s businesses are assigned to serve specific customers for one or more of the businesses’ products. Account managers spend the majority of their time in direct contact with customers’ purchasing and engineering employees and are responsible for servicing existing business and for identifying and obtaining new business. Because of their close relationship with customers, account managers are able to identify and meet customers’ needs based upon their knowledge of the company’s product design and manufacturing capabilities. Upon securing a new order, account managers participate in product launch team activities and serve as a key interface with customers. In addition, sales and marketing employees of the company’s reportable segments often work together to explore cross-development opportunities where appropriate.
Seasonality
The company's segments experience seasonal fluctuations to the extent vehicle production slows, such as for OEM shutdowns in summer or winter, and for aftermarket parts depending on primary repair periods (summer for buses) or primary failure periods due to extreme heat or cold.
Research and Development (R&D)
The company’s R&D costs were $112 million for the year ended December 31, 2024.
Intellectual Property
The company holds over 2,500 active pending applications and issued patents worldwide, and numerous pending and registered trademarks worldwide.
Competition
The company’s major competitors are Robert Bosch GmbH, Cummins Inc., Denso Corporation, Dorman Products, Inc., Hitachi Astemo, Ltd., Hyundai KEFICO, Marelli, Valeo, Schaeffler Group, SEG Automotive, Aisan Industry Co., Ltd., Tenneco, ZF Group, SMP Auto Inc., Vitesco Technologies, Kayser, Mahle GmbH, and TI Fluid Systems.
Government Regulations
The company works collaboratively with a number of stakeholder groups, including government agencies, such as the National Highway Traffic Safety Administration, its customers and its suppliers, to proactively engage in federal, state, and international public policy processes.
History
PHINIA Inc., a Delaware corporation, was incorporated in 2023.