What caused PHIN's earnings to rebound in Q4?

PHINIA Inc.'s earnings rebound in Q4 2024 can be attributed to several key factors:

1. **Strategic Business Expansions**: PHINIA has been expanding into new growth markets, including the aerospace and defense sectors, which have contributed to its revenue growth. The company's aftermarket segment has also seen significant growth, particularly in Europe and South America.
2. **New Business Wins**: PHINIA has secured several significant business wins, such as a post-combustion injector system for aerospace, a contract extension with a medium-duty engine manufacturer, and an agreement with a South American light vehicle GDi program. These new contracts have likely boosted sales and contributed to the company's revenue.
3. **Increased Dividend and Share Repurchase Authorization**: PHINIA's board declared a quarterly dividend increase and authorized a significant increase in the share repurchase program. While these actions may not directly impact short-term earnings, they reflect the company's confidence in its financial stability and potential for future growth, which could positively influence investor sentiment and potentially attract more investors.
4. **Resilience in Aftermarket Sales**: Despite a decline in Fuel Systems sales, PHINIA's Aftermarket segment showed strong performance, which helped offset the overall sales decline. The company's focus on aftermarket sales and the introduction of over 3,600 new SKUs suggest a strategic shift towards higher-margin products.

In conclusion, PHINIA's earnings rebound in Q4 2024 can be attributed to strategic business expansions, new business wins, increased dividend and share repurchase authorization, and resilience in aftermarket sales. These factors combined have likely contributed to the company's financial performance during the quarter.