v3.26.1
Fair Value Of Financial Instruments
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
Fair Value of Financial Instruments FAIR VALUE OF FINANCIAL INSTRUMENTS
Fair Value Measurements on a Recurring Basis
Derivative instruments—All derivative instruments are required to be reported on the balance sheet at fair value unless the transactions qualify and are designated as normal purchases or sales. Changes in fair value are reported currently through earnings unless they meet hedge accounting criteria. Aptiv’s derivative exposures are with counterparties with long-term investment grade credit ratings. Aptiv estimates the fair value of its derivative contracts using an income approach based on valuation techniques to convert future amounts to a single, discounted amount. Estimates of the fair value of foreign currency and commodity derivative instruments are determined using exchange traded prices and rates. Aptiv also considers the risk of non-performance in the estimation of fair value, and includes an adjustment for non-performance risk in the measure of fair value of derivative instruments. The non-performance risk adjustment reflects the credit default spread (“CDS”) applied to the net commodity by counterparty and foreign currency exposures by counterparty. When Aptiv is in a net derivative asset position, the counterparty CDS rates are applied to the net derivative asset position. When Aptiv is in a net derivative liability position, estimates of peer companies’ CDS rates are applied to the net derivative liability position.
In certain instances where market data is not available, Aptiv uses management judgment to develop assumptions that are used to determine fair value. This could include situations of market illiquidity for a particular currency or commodity or where observable market data may be limited. In those situations, Aptiv generally surveys investment banks and/or brokers and utilizes the surveyed prices and rates in estimating fair value.
As of June 30, 2026 and December 31, 2025, Aptiv was in a net derivative asset position from continuing operations of $51 million and $55 million, respectively, and no significant adjustments were recorded for nonperformance risk based on the application of peer companies’ CDS rates, evaluation of our own nonperformance risk and because Aptiv’s exposures were to counterparties with investment grade credit ratings. Refer to Note 13. Derivatives and Hedging Activities for further information regarding derivatives.
Available-for-sale debt securities—Investments in available-for-sale debt securities are reported at fair value with changes in the fair value recorded in other comprehensive income. Changes in the fair value of available-for-sale debt securities impact earnings only when such securities are sold, or an allowance for expected credit losses or impairment is recognized.
As further described in Note 20. Investments in Affiliates, the Company owns an investment in Maxieye, which is classified as an available-for-sale debt security due to the Company’s redemption rights. As of June 30, 2026, the carrying value of this investment was $59 million and is included within other long-term assets in the consolidated balance sheets. The fair value measurement of this investment is based on significant inputs that are not observable in the market, and is therefore classified as a Level 3 measurement. As further described in Note 20. Investments in Affiliates, in October 2025, the Company converted its existing preferred shares in StradVision into common shares (the “Conversion”). Prior to the Conversion, the Company classified its investment in StradVision as an available-for-sale debt security due to the Company’s redemption rights. The fair value measurement of this investment prior to the Conversion was based on significant inputs that were not observable in the market, and was therefore classified as a Level 3 measurement.
Refer to Note 20. Investments in Affiliates for further information regarding these investments.
The below table summarizes the cost, cumulative unrealized gains and losses, which includes the accumulated currency translation adjustments for StradVision prior to the Conversion, as described above, and the estimated fair value of Aptiv’s debt securities from continuing operations held as of June 30, 2026 and December 31, 2025:
Cost basisGross unrealized gainsGross unrealized lossesEstimated fair value
(in millions)
As of June 30, 2026
Available-for-sale debt securities$57 $22 $(19)$60 
Total debt securities$57 $22 $(19)$60 
As of December 31, 2025
Available-for-sale debt securities$57 $20 $(19)$58 
Total debt securities$57 $20 $(19)$58 
The change in fair value of available-for-sale debt securities classified as a Level 3 measurement for the six months ended June 30, 2026 and 2025 are as follows:
Six Months Ended June 30,
20262025
(in millions)
Fair value at beginning of period$58 $161 
Additions— 40 
Measurement adjustments2 10 
Fair value at end of period$60 $211 
There were no impairment charges related to these investments during the three and six months ended June 30, 2026 and 2025.
As of June 30, 2026 and December 31, 2025, Aptiv had the following assets from continuing operations measured at fair value on a recurring basis:
TotalQuoted Prices in Active Markets
Level 1		Significant Other Observable Inputs
Level 2		Significant Unobservable Inputs
Level 3
(in millions)
As of June 30, 2026:
Commodity derivatives$26 $— $26 $— 
Foreign currency derivatives26 — 26 — 
Available-for-sale debt securities60 — — 60 
Total$112 $— $52 $60 
As of December 31, 2025:
Commodity derivatives$31 $— $31 $— 
Foreign currency derivatives25 — 25 — 
Available-for-sale debt securities58 — — 58 
Total$114 $— $56 $58 
As of June 30, 2026 and December 31, 2025, Aptiv had the following liabilities measured at fair value on a recurring basis:
TotalQuoted Prices in Active Markets
Level 1		Significant Other Observable Inputs
Level 2		Significant Unobservable Inputs
Level 3
(in millions)
As of June 30, 2026:
Foreign currency derivatives$1 $— $1 $— 
Total$1 $— $1 $— 
As of December 31, 2025:
Foreign currency derivatives$1 $— $1 $— 
Total$1 $— $1 $— 
Non-derivative financial instruments—Aptiv’s non-derivative financial instruments include cash and cash equivalents, accounts and notes receivable, accounts payable, as well as debt, which consists of its accounts receivable factoring arrangement, finance leases and other debt issued by Aptiv’s non-U.S. subsidiaries, the Revolving Credit Facility, the Term Loan A and all series of outstanding senior and junior notes. The fair value of debt is based on quoted market prices for instruments with public market data or significant other observable inputs for instruments without a quoted public market price (Level 2). As of June 30, 2026 and December 31, 2025, total debt was recorded at $5,354 million and $7,490 million, respectively, and had estimated fair values of $4,493 million and $6,639 million, respectively. For all other financial instruments recorded at June 30, 2026 and December 31, 2025, fair value approximates book value.
Fair Value Measurements on a Nonrecurring Basis
In addition to items that are measured at fair value on a recurring basis, Aptiv also has items in its balance sheet that are measured at fair value on a nonrecurring basis. As these items are not measured at fair value on a recurring basis, they are not included in the tables above. Financial and nonfinancial assets and liabilities that are measured at fair value on a nonrecurring basis include long-lived assets, intangible assets, equity investments without readily determinable fair values and liabilities for exit or disposal activities measured at fair value upon initial recognition. Non-cash long-lived asset impairment charges were not material during the three and six months ended June 30, 2026 and 2025.