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REFINITIV STREETEVENTS
       EDITED TRANSCRIPT
       ST.N - Q4 2020 Sensata Technologies Holding PLC Earnings Call

       EVENT DATE/TIME: FEBRUARY 02, 2021 / 1:00PM GMT

       OVERVIEW:
       Co. reported 4Q20 revenue of $906.5m, adjusted net income of $134.7m and
       adjusted EPS of $0.85. Expects 2021 revenue to be $3.425-3.575b and adjusted
       EPS to be $3.06-3.42. Expects 1Q21 revenue to be $875-915m and adjusted EPS
       to be $0.67-0.77.

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©2021 Refinitiv. All rights reserved. Republication or redistribution of Refinitiv content, including by framing or similar means, is prohibited without the prior written
consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.

FEBRUARY 02, 2021 / 1:00PM, ST.N - Q4 2020 Sensata Technologies Holding PLC Earnings Call

CORPORATE PARTICIPANTS
Jacob A. Sayer Sensata Technologies Holding plc - VP of Finance & CFO of Performance Sensing Gbu
Jeffrey J. Cote Sensata Technologies Holding plc - President, CEO & Director
Paul S. Vasington Sensata Technologies Holding plc - Executive VP & CFO

CONFERENCE CALL PARTICIPANTS
Amit Jawaharlaz Daryanani Evercore ISI Institutional Equities, Research Division - Senior MD & Fundamental Research Analyst
Bharat Daryani JPMorgan Chase & Co, Research Division - Analyst
Brian Arthur Johnson Barclays Bank PLC, Research Division - MD & Senior Equity Analyst
Christopher D. Glynn Oppenheimer & Co. Inc., Research Division - MD and Senior Analyst
Craig Matthew Hettenbach Morgan Stanley, Research Division - VP
David Lee Kelley Jefferies LLC, Research Division - Equity Analyst
David Neil Williams Loop Capital Markets LLC, Research Division - VP
James Dickey Suva Citigroup Inc., Research Division - MD & Research Analyst
Joseph Daniel Meares Truist Securities, Inc., Research Division - Associate
Joseph Robert Spak RBC Capital Markets, Research Division - Autos and Leisure Analyst
Luke L. Junk Robert W. Baird & Co. Incorporated, Research Division - Senior Research Associate
Mark Trevor Delaney Goldman Sachs Group, Inc., Research Division - Equity Analyst
Matthew John Sheerin Stifel, Nicolaus & Company, Incorporated, Research Division - MD & Senior Equity Research Analyst
Michael R. Filatov Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst
Nikolay Todorov Longbow Research LLC - Analyst
Robert G. Jamieson Cowen and Company, LLC, Research Division - Associate
Rod Avraham Lache Wolfe Research, LLC - MD & Senior Analyst
Scott Reed Davis Melius Research LLC - Founding partner, Chairman, CEO & Research Analyst of Multi- Industry Research
Steven Bryant Fox Fox Advisors LLC - Founder & CEO
Wamsi Mohan BofA Merrill Lynch, Research Division - Director

PRESENTATION
Operator
Good day, and welcome to the Sensata Technologies Fourth Quarter 2020 Earnings Call. (Operator Instructions) Please note that this event is being
recorded. I'd now like to turn the conference over to Mr. Jacob Sayer, Vice President of Finance. Please go ahead.

Jacob A. Sayer - Sensata Technologies Holding plc - VP of Finance & CFO of Performance Sensing Gbu
Thank you, Jason, and good morning, everybody. I'd like to welcome you to Sensata's Fourth Quarter 2020 Earnings Conference Call. Joining me
on today's call are Jeff Cote, Sensata's CEO and President; and Paul Vasington, Sensata's Chief Financial Officer.

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FEBRUARY 02, 2021 / 1:00PM, ST.N - Q4 2020 Sensata Technologies Holding PLC Earnings Call

In addition to the financial results press release we issued earlier today, we will be referencing a slide presentation during today's conference call.
The PDF of this presentation can be downloaded from Sensata's Investor Relations website. We will post a replay of today's webcast shortly after
the conclusion of today's call.

As we begin, I would like to reference Sensata's safe harbor statement on Slide 2. During this conference call, we will make forward-looking
statements regarding future events or the financial performance of the company that involve certain risks and uncertainties. The company's actual
results may differ materially from the projections described in such statements. Factors that might cause such differences include, but are not
limited to, those discussed in our forms 10-Q and 10-K as well as other subsequent filings with the SEC.

On Slides 3 and 4, we show Sensata's GAAP results for the fourth quarter and full year 2020. We encourage you to review our GAAP financial
statements, in addition to today's presentation.

Most of the subsequent information that we will discuss during today's call will relate to non-GAAP financial measures. Reconciliations of our GAAP
to non-GAAP financial measures are included in our earnings release and in our presentation materials. The company provides details of its operating
segments on Slides 13 and 14 of the presentation, which are the primary measures management uses to evaluate the business.

Jeff will begin today's call with key highlights of our business during the fourth quarter and full year 2020. He'll then provide an update on recent
progress in our key Electrification and Smart & Connected megatrend growth areas. Paul will cover our detailed financials for the fourth quarter of
2020, including organic and market outgrowth by business unit, our segment reporting, corporate expenses and balance sheet progress in the
quarter and provide financial guidance for the first quarter and full year 2021. We'll then take your questions after our prepared remarks.

Now I'd like to turn the call over to Sensata's CEO and President, Jeff Cote.

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Thank you, Jacob, and welcome to the call, everyone. I'd like to start with some summary thoughts on our performance, as outlined on Slide 5.

The rebound from commercial lockdowns and quarantines instituted by governments around the world in response to COVID-19 earlier this year
continued in the fourth quarter. Our response to that rebound enabled our revenue to grow 15% in the quarter sequentially to $906.5 million,
consistent with the updated revenue guidance that we provided on January 8 and significantly higher than what we had anticipated during our
third quarter earnings call. This growth is a testament to our leading positions and our strength and flexibility of our manufacturing model. I'm
proud that we were able to capitalize quickly on improving markets and support our customers as they return to higher levels of production during
the quarter. I'd like to recognize the agility and hard work of our entire team in achieving these strong results.

Looking at our performance year-over-year, we continued to deliver strong market outgrowth. For the fourth quarter of 2020, we produced 990
basis points of outgrowth in our heavy vehicle & off-road business and 970 basis points of outgrowth in our automotive business. Continuing the
trend we saw in the third quarter, inventory in the supply chain and in our customers' finished goods has continued to come down, a trend most
pronounced in automotive. This sets us up very nicely for revenue growth in 2021.

For full year 2020, we delivered market outgrowth above our target ranges for both heavy vehicle & off-road and automotive. We are confident
that we will sustain our outgrowth for 2021 in the range of 600 to 800 basis points for heavy vehicle & off-road and 400 to 600 basis points for
automotive, consistent with our long-term goals and supported by our new business wins.

Sensata today is in a strong financial position. We generated a record $240 million in free cash flow in the fourth quarter, a conversion rate of 178%
of adjusted net income. And $453 million for the year, a conversion rate of 130%. And we are taking several steps to further enhance our financial
position and flexibility. We continue to benefit from incremental savings from the restructuring program announced last summer. These actions
generated savings of $12 million in the fourth quarter, and we are expected to generate -- and they are expected to generate annualized savings
of $60 million to $65 million starting in 2021. While market uncertainties and supply chain risks remain, our business and customer visibility has
improved significantly, and we have reinstated full year 2021 financial guidance today.

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Later this quarter, we intend to redeem our $750 million 6.25% note due in 2026, which will lower our overall cost of capital. During the fourth
quarter, we closed more than $145 million in new business wins, bringing us to more than $465 million in new business wins for the year. This is
higher than our 5-year average of $440 million and solidifies our ability to continue to deliver market outgrowth in the coming years. We believe
our success in closing a higher level of new business wins in 2020 despite the disruptions caused by the pandemic clearly demonstrates the efficient
critical nature of Sensata's products.

Finally, as I will discuss in more detail momentarily, we continue to invest in our megatrend growth initiatives that achieved a meaningful milestone
in Electrification by acquiring Lithium Balance. This brings Lithium Balance's battery management capabilities in-house, expanding important
e-mobility system offerings in heavy vehicle and industrial applications, and enlarging our position within the evolving energy management
solutions space.

In Smart & Connected, we began installing sensors of vehicle area network (inaudible) on our first fleet customers' equipment, and collecting
revenue on a recurring subscription basis. We are pleased that this business is gaining significant momentum, with quoting activity growing
dramatically with future fleet customers.

Moving to Slide 6. Sensata takes a holistic view of Electrification and its impact on the markets we serve. We have expanded our capabilities in the
e-mobility space beyond components to deliver hardware and software systems. The acquisition of GIGAVAC positions Sensata as a leading provider
of high-voltage protection on EVs and charging infrastructure. We are broadening our focus beyond automotive to e-mobility applications in heavy
vehicle and charging infrastructure as well as into broader industrial and grid applications. This is because we see a great deal of customer need,
which Sensata is uniquely positioned to address.

During the fourth quarter, we closed another $40 million in Electrification new business wins, bringing our annual total to $180 million, including
4 of our top 5 NBOs in 2020. We are increasing our capabilities in charging infrastructure and smart grid applications, including our recent acquisition
of Lithium Balance.

Moving to Slide 7. We are expanding the Electrification solutions we provide for critical applications across all the end markets we serve, but
especially in automotive. And it aligns well with the fast-growing interest in production of electric vehicles around the world. Today, the rapid
introduction of new energy -- new electric vehicles to the market provides a tailwind to Sensata revenue growth. Our content BEVs represents a
20% uplift in content value as compared to internal combustion engine vehicles. This content uplift is derived from a broad array of Sensata sensors
and other components that we designed into battery electric vehicles. Some of these are carryover from internal combustion vehicles, such as
great pressure and tire pressure sensors, while others are unique to EVs, such as contactors and electric motor position sensors. We have broadened
and deepened our portfolio to support this expanding market segment. In 2020, our EV-related revenue represented approximately 5% of our
automotive end market as compared to EVs representing approximately 3% of vehicles manufactured globally. So we feel confident we can grow
along with the accelerated growth of EVs.

To date, we have closed new Electrification business with many of the largest and most innovative automotive OEMs around the globe whose
logos are shown on this slide. We are proud to have existing business or design wins on future EVs with nearly every automotive OEM with an
announced EV launch. Helping these OEMs launch the next-generation of EVs represents a significant growth vector for Sensata as electric vehicles
increase in number and become a larger percentage of the total vehicle fleet worldwide.

As part of our holistic approach to electrification, Sensata seeks to be a partner of choice for heavy vehicle and industrial OEMs transitioning to
electrified solutions as well. We recently acquired Lithium Balance after a 2-year collaboration that began when we acquired a minority stake in
this company. Over that time, we have jointly one business with new electric truck and bus designs with several OEMs that bring over $250 of
content per vehicle to Sensata. Battery management solutions in heavy vehicle and industrial applications will represent an incremental $500
million of serviceable market for Sensata by 2030. In addition to battery management systems for heavy vehicle and industrial applications, Lithium
Balance also provides battery energy storage solutions under the Xolta brand that will establish Sensata's total in this very fast-growing space,
which is estimated to exceed $6 billion in addressable market by 2030.

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On Slide 9, I want to provide an update on the meaningful milestones we achieved in our Smart & Connected megatrend initiative. During the
quarter, we began to roll out our first Smart & Connected installation with a top 25 North American fleet manager, demonstrating our ability to
move from selling hardware to providing data insight on a monthly recurring subscription model. Several additional fleet trials are also moving
toward commercialization this year. We've gained significant momentum with more than $140 million in total contract value having been quoted,
representing more than $45 million of potential annual contract value with 5 fleet managers.

Our expanding offering now includes the deployment of full stack solutions that help unlock value for fleets, including functionalities such as a
vehicle area network, cloud-based data analytics and insight delivery, web portals, mobile apps and integration with third-party telematics service
providers. We're pleased by the increased in interest and continue to believe that our Smart & Connected fleet management initiative opened $6
billion in addressable market for Sensata by 2030. Reaching and then expanding commercialization with this exciting solution demonstrates its
power to dramatically improve safety and reduce cost across commercial truck fleets.

In addition, in the new equipment space, we expect to close incremental new business with several leading heavy vehicle OEMs this year, building
upon close to $100 million in new business wins closed to date for Smart & Connected solutions. As we capture more of this $1 billion addressable
market in the OEM space, we are confident that our new business wins will convert into revenue as OEM productions -- production commences.

In closing, I'm pleased with the progress against the megatrend initiatives, and this progress supports our increased investment in this area as we
pursue these large fast-growing market trends. We intend to continue our efforts to expand Sensata solutions for these areas organically and
through third-party collaboration and through acquisition as appropriate. As I've said before, we see numerous opportunities to utilize our strong
financial position, our engineering capabilities, supply chain and customer relationships to meaningfully enlarge our addressable markets through
organic efforts as well as bolt-on acquisitions within these megatrends.

I'll now turn the call over to Paul.

Paul S. Vasington - Sensata Technologies Holding plc - Executive VP & CFO
Thank you, Jeff. Key highlights for the fourth quarter as shown on Slide 11, include revenue of $906.5 million, an increase of 7.1% from the fourth
quarter of 2019. Organic revenue increased 5.3%. Changes in foreign currency increased revenue by 1.8%. And sequentially, from the third quarter,
reported revenue increased 15%, reflecting our strong response to the continued rebound in our markets.

You'll recall that on January 8, we updated our revenue guidance for the fourth quarter. Throughout the quarter, we saw continued strengthening,
especially with our global automotive, heavy vehicle and industrial end markets, in addition to a revenue uplift from foreign exchange rate
movements, and those contributed to the higher revenue performance in the quarter than we anticipated in late October.

Adjusted operating income was $195.6 million, an increase of 1.6% compared to the fourth quarter of 2019, primarily due to higher revenues,
savings from cost reduction programs and favorable foreign currency, partially offset by elevated costs resulting from the COVID-19 pandemic,
higher incentive compensation aligned to improve financial performance and higher spend to support megatrend growth initiatives.

During the second quarter, you'll recall that we announced a series of actions to structurally reduce our semi-variable cost by about 10% to achieve
an expected $60 million to $65 million in annual savings. We achieved the targeted $12 million savings from these programs in the fourth quarter
and expect to achieve the full annualized savings starting in 2021. Adjusted net income was $134.7 million, a decrease of 4.9% compared to the
fourth quarter of 2019, largely due to higher interest expense from our new bond issuance during the third quarter of this year. Adjusted EPS was
$0.85 in the fourth quarter, a decrease of 4.5% compared to the prior year quarter.

Now I will discuss our performance by end market in the fourth quarter of 2020, as outlined on Slide 12. Overall, we reported an organic revenue
increase of 5.3% year-on-year against an overall end market decrease of approximately 2.4%, representing market outgrowth of 770 basis points
for Sensata. Our heavy vehicle & off-road business posted an organic revenue increase of 16.2%, representing 990 basis points of outgrowth as
compared to 6.3% end market growth. Our China on-road truck business continued to post better-than-expected growth from accelerated adoption

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of NS VI emissions regulations. For the full year 2020, we delivered 880 basis points of outgrowth in the heavy vehicle & off-road business, higher
than our long-term targeted range of 600 to 800 basis points.

Our automotive business posted an organic revenue increase of 4.4%. Automotive production remained at a high level during the quarter, creating
broad supply chain challenges, while OEM customers worked down their inventories, which altogether, created a 5.4% negative impact on revenue.
Our automotive business produced market outgrowth of 970 basis points in the fourth quarter, led by continued new product launches in emissions,
electrification and safety-related applications and systems. For the full year 2020, we delivered automotive outgrowth of 690 basis points, once
again higher than our long-term target range of 400 to 600 basis points. Looking ahead, lower inventory levels at our automotive customers,
especially in North America, sets us up well for strong growth in 2021.

Our industrial business increased 7.7% organically, and global industrial end markets returned to growth in the quarter. Strong growth in heating,
ventilation and air conditioning and 5G applications, in addition to supply chain restocking, benefited our industrial business.

Our aerospace business decreased 24.8% organically, reflecting reduced OEM production and much lower air traffic, which has negatively impacted
our aerospace aftermarket business for most of the year. New product launches, primarily in the defense space, partially offset the significant
aerospace market decline this quarter.

Now I'd like to comment on the performance of our 2 business segments in the fourth quarter of 2020, starting with Performance Sensing on Slide
13. Our Performance Sensing business reported revenues of $689 million, an increase of 8.9% compared to the same quarter last year. Excluding
the positive impact from foreign currency of 2%, Performance Sensing organic revenue increased 6.9%. On a sequential basis, Performance Sensing
revenue grew 18.6% in the third quarter as customers maintained a high order rate through the quarter. Sequentially, from the third quarter, our
automotive business reported an increase of 17% and our heavy vehicle & off-road business reported increase of 23%, demonstrating the accelerated
rebound of both of these markets.

Performance Sensing operating income was $185.1 million, an increase of 7.9% as compared to the same quarter last year, with operating margin
of 26.9%. The increase in segment operating income was primarily due to higher revenues, savings from cost reduction actions and favorable
foreign currency, somewhat offset by elevated costs caused by the COVID-19 pandemic. Sequentially, Performance Sensing generated incremental
margin of 31% on a higher revenue, underscoring Sensata's profit potential associated with rebounding end markets.

As shown on Slide 14, Sensing Solutions reported revenues of $217.5 million in the fourth quarter of 2020, an increase of 1.7% as compared to the
same quarter last year. Excluding the positive impact of foreign currency of 1.1%, Sensing Solutions' organic revenue increased 0.6%. On a sequential
basis, Sensing Solutions' revenue grew 4.9% from the third quarter as customers ramped up production through the quarter. Sequentially, from
the third quarter, our industrial business reported an increase of 4%, and our aerospace business reported an increase of 11%. Sensing Solutions'
operating income was $70.7 million, an increase of 2.3% from the same quarter last year, with operating margin of 32.5%. The increase in segment
operating income was primarily due to higher revenues, savings from cost reduction actions and favorable foreign currency, somewhat offset by
elevated costs related to the COVID-19 pandemic. Sequentially, Sensing Solutions generated very strong incremental margins on the higher revenue
and from productivity gains.

On Slide 15, corporate and other costs not included in segment operating income were $69.6 million in the fourth quarter of 2020. Excluding
charges added back to our non-GAAP results, corporate and other costs were $58.5 million, an increase of $12 million from the prior year quarter,
primarily due to higher global incentive compensation costs aligned to our improving financial performance and higher design and business
development spend to support our megatrend growth initiatives, somewhat offset by savings from cost reduction initiatives. Items added back
to our non-GAAP corporate operating expenses include restructuring-related and other costs and financing and other transaction costs.

Megatrend investments were $8.8 million during the fourth quarter, an increase of $1.5 million from the prior year quarter. We currently expect
approximately $50 million to $55 million in megatrend-related spend in 2021 to design and develop differentiated sensor-rich and data insight
solutions, to enter new markets, develop new business models and design new product categories in the fast-growing and transformational
megatrend vectors of Electrification and Smart & Connected solutions.

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Slide 16 shows Sensata's fourth quarter 2020 non-GAAP results. Adjusted operating income was up 1.6% compared to the same quarter last year,
while adjusted operating margin decreased 110 basis points to 21.6%, which is near the top of our peer group and represents an attractive operating
income margin profile. The decrease in both adjusted gross margin and adjusted operating margin largely reflects the elevated cost we have
experienced due to the impact of the COVID-19 pandemic and the related operating and productivity challenges. We acted early during the
pandemic to reduce our cost structure, while continuing to invest in megatrends and are shaping our end markets that we believe will enable us
to deliver long-term sustainable growth. Incentive compensation costs have also increased, aligned to the rise in operating income as our end
markets recovered from a low point in the second quarter of 2020.

Adjusted net income declined 4.9% compared to the same quarter last year. The decrease largely reflects higher interest expenses related to our
bond issuance in the third quarter this year and higher taxes due to jurisdictional profit mix. Finally, adjusted EPS was $0.85, down $0.04 or 4.5%
as compared to the fourth quarter of 2019, as the decrease in adjusted net income was partially offset by the benefit of share repurchases in
intervening periods.

As shown on Slide 17, we generated a record $240 million in free cash flow during the first quarter, representing a 178% conversion rate of adjusted
net income, and finished the year with a 16-day reduction in inventory days on hand. This brings free cash flow generation to $453 million for the
full year, representing 130% conversion rate. For 2021, we expect free cash flow conversion to be approximately 85%. Our capital expenditures for
full year 2020 were $107 million, in line with guidance. For full year 2021, we expect capital expenditure to be in the range of $160 million to $170
million, a more normalized level as compared to 2020. Sensata's net debt-to-EBITDA ratio was 3.2x at the end of December, which is within our
target operating range of 2.5 to 3.5x. During the first quarter of 2021, we have the opportunity to call in $750 million of senior notes due in 2026,
which paid 6.25% in annual interest. It is our intention to repay those notes later in the first quarter to reduce our interest expense, and that
assumption is built into the financial guidance we are providing today.

We're providing financial guidance for the first quarter of 2021, as shown on Slide 18. As a result of improving economic conditions and greater
stability in customer order patterns, we expect to generate revenues between $875 million to $915 million for the first quarter of 2021, representing
a reported revenue increase between 13% and 18% compared to the first quarter of 2020. At the midpoint of guidance, we expect that foreign
currency will increase revenues year-over-year by approximately $17 million. Excluding the impact of foreign currency, we expect an organic
revenue increase of 11% to 16% in the first quarter.

You'll recall that we called out approximately $20 million to $25 million of inventory that was built by our customers, largely automotive OEMs, in
the first quarter of 2020. That inventory build now reverses and acts as a headwind year-over-year growth comparisons to the first quarter of 2021.
Our current flow rate is approximately 93% of the revenue guidance midpoint for the first quarter. We continue to monitor leading economic
indicators and third-party forecasts to help form our view of future demand. One headwind affecting our outlook is the expected impact of a global
microchip shortage that the entire auto supply chain is currently experiencing that we expect will add 25 to 50 basis points to our operating costs
in the first quarter. Including this expense, we expect to report adjusted operating income between $166 million and $182 million. At the midpoint,
operating income margin is expected to be 20.2%, excluding the impact of foreign exchange.

On the bottom line, we expect to report adjusted net income between $106 million and $122 million, which would represent an increase of 27%
to 47% compared to the first quarter of 2020. We expect to report adjusted EPS between $0.67 and $0.77, which includes a $0.01 negative impact
from foreign currency at the guidance midpoint.

At the bottom of the slide, we've provided a margin walk for the first quarter of 2020 to the first quarter of 2021. This includes expected impacts
from the semiconductor shortage, increased COVID-related costs, increased incentive compensation for our employees, increased megatrend
investments and the impact of foreign exchange. Sensata's core business is strong, with 400 basis points of margin improvement expected from
operating leverage on higher revenues and net productivity gains, including savings from cost reduction actions. Operating income margin reflects
a very strong 40% incremental profit on the incremental revenue from the same period a year ago.

We are providing financial guidance for the full year 2021 as shown on Slide 19. For the full year 2021, while a degree of market uncertainty remains,
we are planning for a continuation of recent rebounding economic and business conditions. Accordingly, we expect to generate revenues between
$3.425 billion and $3.575 billion for the full year 2021, representing a reported revenue increase between 12% and 17% year-on-year. At the midpoint

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of guidance, we expect that foreign currency will increase revenues year-over-year by approximately $64 million. Excluding the impact of foreign
currency, we expect an organic revenue increase of 10% to 15% in 2021. We expect to report adjusted operating income between $695 million
and $755 million, which includes the expected impact of a global microchip shortage and expected 25 to 50 basis point cost during the first half
of the year. At the midpoint, operating income margin is expected to be 20.9%, excluding the impact of foreign exchange.

On the bottom line, we expect to report adjusted net income between $488 million and $544 million, which would represent an increase of 40%
to 56% compared to 2020. We expect to report adjusted EPS between $3.06 and $3.42, which includes a negligible impact from foreign currency
at the guidance midpoint.

At the bottom of the slide, we provided a margin loss from 2019 to 2021 to show a margin comparison to a pre-pandemic period. While fluctuating
revenue has had the greatest impact on our operating income margins, COVID-related costs, incentive compensation for our employees, megatrend
investments and foreign exchange have also had a meaningful impact on our operating income margin. Sensata's core business remains strong,
and on a like-for-like basis, absent these additional costs, 2021 operating income margin would be higher than 2019 on similar revenue.

On Slide 20, we provide our estimates for OEM production growth for 2021 as compared to 2020. North America automotive production is expected
to rebound sharply this year as the industry seeks to address record low inventory levels at the end of 2020. Global automotive production is
expected to grow 13% on a revenue-weighted basis. Moreover, all of our end markets are expected to grow in 2021. And these assumptions
underpin our outlook for strong revenue and earnings growth in the coming year.

In sum, we thought a delivered an excellent financial finish in 2020 despite an extremely challenging environment throughout the year. We expect
this strong performance to continue into 2021 as demonstrated by the financial guidance we're providing today. Driving this performance is our
continued ability to achieve our growth targets, including a secular long-term market outgrowth target of 400 to 600 basis points for our automotive
business and 600 to 800 basis points for our heavy vehicle business.

Now let me turn the call back over to Jeff for closing comments.

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Thanks, Paul. I'll wrap up with a few key messages as outlined on Slide 21. Sensata has responded very well to the rapid improvements in many of
the end markets that we serve, which demonstrates the strength, flexibility and reliability of our organizational model, which enabled us to capitalize
on the end market demand recovery. Our ability to respond quickly to shifting demands as well as -- will position us very well as a trusted resource
for our customers. We are delivering attractive end market outgrowth. We remain confident in our ability to continue to deliver this attractive end
market outgrowth into the future based upon our strong levels of new business wins. We continue to deliver solid free cash flow and drove a record
cash generation of $140 million in the fourth quarter, which demonstrates Sensata's resilient financial model and operating discipline.

We continue to invest in our megatrends and other growth initiatives that are opening large and rapidly growing opportunities for Sensata across
all of our end markets. We are making excellent progress, as evidenced by the rollout of our first commercial fleet adoption for Smart & Connected
solutions like the acquisition of Lithium Balance, which expands our electrification offerings, and by the $180 million in new Electrification business
wins in 2020. We continue to believe that the overall market environment may provide interesting opportunities to further strengthen our portfolio
through strategically important value-creating acquisitions. In addition, we are pursuing technology collaborations and partnerships with third
parties to expand our capabilities and accelerate our megatrend growth. We expect to continue to deliver industry-leading margins for our
shareholders, while also investing in growth opportunities and our people.

And finally, I'm excited about Sensata's long-standing mission to help create cleaner, safer and a more connected world, not just for our customers'
products, but also through our own operations. We are incorporating ESG areas into our strategy to help ensure the long-term sustainability and
success of the company for all of its stakeholders. We look forward to reporting more on this topic in the future.

I'd now like to turn the call back to Jacob.

                                                                                                                                                                             8

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FEBRUARY 02, 2021 / 1:00PM, ST.N - Q4 2020 Sensata Technologies Holding PLC Earnings Call

Jacob A. Sayer - Sensata Technologies Holding plc - VP of Finance & CFO of Performance Sensing Gbu
Thank you, Jeff. (Operator Instructions) As we're in different locations today, feel free to direct your question to either Jeff or Paul directly.

Jason, would you please begin the Q&A?

QUESTIONS AND ANSWERS
Operator
(Operator Instructions) Our first question is from Scott Davis from Melius Research.

Scott Reed Davis - Melius Research LLC - Founding partner, Chairman, CEO & Research Analyst of Multi- Industry Research
The megatrend spend, the $50 million to $55 million, should we think about that as kind of the new normal as a long-term run rate? Or is that more
likely to grow with revenues over time? Or is it more of a kind of a couple of years, you got to catch up and then it settles down a little bit? Or just
how do you guys are thinking about that number?

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Yes. It's a great question, Scott. It's going to be success-driven and opportunity-driven. And so given the progress that we experienced in 2020, we
believe that, that activity earned incremental investment. I would tell you that we will monitor it closely. We're not approaching this from a standpoint
of we budgeted that money, and that's how we're going to spend it. We'll monitor our progress very closely quarter-to-quarter against the initiatives
and the objectives that we've set out that allows for that spend. We understand our responsibility to make sure that we're looking after long-term
growth of the company. And so right now, that's what we're planning to spend in 2020, but we'll continue to provide huge amounts of transparency
to that spend and the success that we're able to achieve based upon that spend to our shareholders and adjust accordingly.

Operator
The next question is from Craig Hettenbach from Morgan Stanley.

Craig Matthew Hettenbach - Morgan Stanley, Research Division - VP
Great. Thanks, Jeff, for all the color on the EV front. I guess, just starting there, you mentioned a number of new components specific to EVs, be it
around braking, e-motors. Just curious kind of where do you think you're seeing the most traction in some of these applications? And then I can
see through the breadth of the OEMs you announced that it's broad based, but just any particular region right now where you feel like you're seeing
the best traction for EVs?

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Yes. Craig, so just to set the context, obviously, I think everybody is feeling this, a trend associated with electrification furthered by government
regulation and consumer pull, it's a trend that's accelerating. And we've observed that for several years here and make sure we've invested in it.
The point that we wanted to make very clear in our comments is that a lot of the content we have on combustion vehicles ports over. So it isn't as
though there is a discontinuity and complete loss of all of the opportunities that we see on the combustion side. Half or more of that content

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applies in an EV environment, but we've also invested organically in e-motor positions and others -- position sensors and others. But we've invested
inorganically; GIGAVAC, high-voltage contactors, Lithium Balance with battery management systems.

The trend in terms of EVs I think that we're seeing clearly is more pronounced in Europe and in China. But again, you have to look at the segmentation
of the electric vehicles in China. They're more lower-end vehicles in terms of the penetration. And we don't believe long term that's where the
market will go towards longer range, shorter charge time vehicles, that's the future of electric vehicles in our view and that's the target market that
we're going after. And we're seeing the trend of NBO opportunities pretty globally. The slide that you saw in terms of the number of customers
that we're engaging with is very broad. And we're doing that on purpose because, candidly, we believe that our customers have an opportunity
to really continue to grow here, but the true winners in terms of the market are unknown. So we're casting the net very wide to make sure that
we're serving all of the customers that are making those products.

Operator
The next question is from Wamsi Mohan from Bank of America.

Wamsi Mohan - BofA Merrill Lynch, Research Division - Director
Jeff, the drag from semi shortages on margin, is that a function of higher prices of components that you're alluding to in the first half? Or is there
a function of lower production that you anticipate? And is first half basically a reasonable way to think about this at the moment? Why can't that
sort of last longer?

And if I could, Jeff, just given the importance of this Electrification trends that you've alluded to, if you could just maybe give us some sense of how
you expect, for Sensata, the split of this to be in maybe a 2-year or 5-year timeframe between the opportunities from a heavy vehicle standpoint
versus autos, that would be great.

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Sure. So on this -- first, on the semi question, it's -- the cost is a combination of pricing and increased logistics costs given the short supply chain.
So everything's expedited freight to make sure that we can keep things open and running for our customers. And again, this is a pretty broad-based
industry trend. I would note that although the semi shortage -- electronic shortage is most acute, the reality is the supply chains across the world,
not just with Sensata, I think we're doing a great job managing through this, but very -- on a very global basis, on a very broad basis, are stretched
thin right now with the increased demand and the challenges associated with capacity, with keeping plants open, with the labor shortages and
COVID-related risk. But I think that we've, as a company, demonstrated really strong resilience there.

On your question associated with Electrification. Our view is that clearly, near term, the penetration of Electrification will be more broad in light
vehicle. But we're not stopping there. We noted in our prepared comments that Lithium Balance brought the opportunity to be able to go after
heavy vehicle and bus applications as well. And our view is that it's more in the bus, I think, will become electrified, but in heavy vehicle, the power
requirements will take a longer period of time to migrate toward EVs. But we're focused on those markets because we think that although behind
light vehicle, it will happen over time, and we want to make sure that we have an offering to be able to serve that.

Operator
The next question is from Mark Delaney from Goldman Sachs.

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Mark Trevor Delaney - Goldman Sachs Group, Inc., Research Division - Equity Analyst
I was hoping we could speak more on Lithium Balance. And I understand it's a company you've known for some time. But maybe talk a little bit
more on their technology and after having worked with them, what led you to want to complete the acquisition? And if you could also maybe
speak to the financial dimensions of Lithium Balance, what kind of revenue and earnings impact, we just expect starting out and perhaps how the
margin profile of Lithium Balance may look longer term, compared to the corporate average?

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Sure. So originally, about 2 years ago, we acquired 25% of this company. We saw the trend toward electrification accelerating. You know that we
had an inorganic -- or excuse me, an organic effort around wireless battery management. So we reached out to them to build out our capability
more broadly on battery management, which obviously has a hardware component but has a pretty significant software component as well. And
so that was the original view of the synergy between the 2 companies. Clearly, given where electrification has gone and the content opportunity
on wired battery management, we pursued the acquisition of the balance of this company. It's a small business, but it has great potential. A market
size of over $500 million by -- in 2030. So it's an exciting opportunity for us in terms of expanding beyond just components into that space. And as
we've highlighted, we had an early strong success in terms of a win with a heavy vehicle customer way beyond just a component, but around
battery management. So we're excited about that.

The margin profile is pretty consistent. We've often talked about the fact that as we go beyond a center component into systems, it may not be at
Sensata margins, but it will be differentiated margin, and it will help growth for the company. And so yet to be determined as that business grows.
It's a small business today. But as that business grows, we're very confident it will have differentiated margins. And when it becomes a bigger
component of the business, we'll be more specific in terms of the margin profile that we're experiencing there. Hopefully, that helps. Thanks, Mark.

Operator
The next question is from Samik Chatterjee from JPMorgan.

Bharat Daryani - JPMorgan Chase & Co, Research Division - Analyst
Yes. This is Bharat on for Samik. So if I could just ask a question on the content gain. You're coming off a year of very strong content gain and
outperformance in 2020. So as we look to 2021, how should we think about the trajectory of that? And in terms of key drivers as we look into 2021,
I think in 2020, we're benefiting from China emission standards and that being a big part of the story. So in terms of drivers, is it going to be more
towards the EV story in 2021? How is that going to change? Any color there would be helpful.

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Sure. So just as a summary, I think we've quoted some of these statistics, but fourth quarter, company-wide, 770 basis points of market outgrowth.
For the full year, 600 basis points. So at or above what we've quoted as being the target ranges. And that's 4 years running now, right? So the thing
that's really important about the outgrowth is that because we're a long-cycle business, we get a lot of visibility to do this. Remember, during 2020,
we called out third quarter that we were going to see a little bit of dip in our outgrowth, and that's exactly what happened.

It tends to be a little lumpy, but we're confident in the long-term growth given the engagement we have with the customers, but most importantly,
the NBO wins that we have and the pipeline of those, which are driving engineering work for ultimate launches. It's very broad-based, right? So
it's no one thing that's creating incredible opportunity in terms of content growth. But as we've talked about it, it's the drive around regulation
globally, it's the drive around consumer preference globally, which drives customer product portfolio road maps that we engage with them on to
make sure that we're helping them, whether it be increased fuel efficiency on a combustion engine or longer-range on an electric vehicle or safer
application in an ag -- piece of ag equipment. There are literally dozens, if not hundreds of drivers but there are some chunky ones, implementation

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of TPMS in different jurisdictions around the world or rollout of exhaust gas recirculation applications. They tend to fan out over time, but there
are dozens of trends that are allowing us to be confident in that trend long term.

Operator
The next question is from Matt Sheerin from Stifel.

Matthew John Sheerin - Stifel, Nicolaus & Company, Incorporated, Research Division - MD & Senior Equity Research Analyst
Jeff, I just wanted to ask concerning your full year guidance, which we certainly appreciate. And as you know, several of your peers have been
reluctant to guide beyond Q1 just because of lack of visibility and a lot of moving parts. So I wanted to ask about your visibility, are you getting a
better sense of order flow from your customers? And does your revenue guide contemplate hiccups in terms of production at your customers?
Any issues beyond the operating costs that you talked about, but in terms of top line being impacted by the chip shortages?

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Yes. So we had pretty good discussions internally regarding full year guidance. You know that in our business, we have really good long-term
visibility of revenue. Certainly, within a quarter, we quote our fill rate 93% higher than we normally are in terms of our fill rate in the quarter. But
even beyond the quarter, we get a pretty good feel. The supply chain shortages have resulted in a situation where we've really doubled down on
the engagement with customers because in some instances, we placed longer-term orders on the supply chain and therefore, we've gone to our
customers and asked for longer-term visibility and commitment from them. So that adds to our confidence.

But overall, we factored in some conservatism on the full year given that things may happen. You'll note -- I think you all know that IHS brought
down some of the full year numbers from a light vehicle standpoint, given supply chain shortages and we're following along and using similar
expectations on that. Clearly, if there's a major disruption, major lockdowns, we'll need to relook at it. But based upon what we're seeing right now,
we feel very confident in the demand situation. And you highlighted it, I think the bigger concern is broader supply chains, both at our customers,
there's some other suppliers and within Sensata, if we're going to focus on what we can control within our own business to make sure that we
deliver for them to the extent there's demand.

Operator
The next question is from Amit Daryanani from Evercore.

Amit Jawaharlaz Daryanani - Evercore ISI Institutional Equities, Research Division - Senior MD & Fundamental Research Analyst
I guess, Jeff, you touched on seeing incrementally better attractive M&A opportunities. So I was hoping you would perhaps just remind us how do
you think about M&A in terms of the focus area, deal sizes? And really how much leverage are we comfortable running with on our balance sheet?

And if you could also just touch on the second topic, the megatrend initiatives. I appreciate the OpEx clarity you folks are providing, but is there a
way to think about how much revenue contribution you would get in calendar '21 from those?

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Sure. Let me try to hit on several of those topics. So let me hit on M&A first, and then I can come back to the megatrend net revenue contribution.
So on the M&A front, we absolutely believe that there will be opportunities and the pipeline is quite full. Our capital allocation process will continue
to be very balanced but -- associated with M&A and buyback, but right now, the focus is on M&A to drive the strategy, which will drive accretive

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growth for the company as we pursue opportunities in these fast-growing market segments that we've identified, Electrification and on Smart &
Connected. And so we'll continue to keep you updated on that, but that is the focus area right now.

In terms of leverage, we're comfortable with the same range of leverage. We've talked about more bolt-on acquisition and we're very comfortable
with the leverage range that we've given. We've done a lot in terms of earnings growth that drives that leverage down, which we're pleased about,
but that's the range that we're quoting right now.

In terms of the megatrend, we'll keep you posted. I mean, we talked about the revenue that's generated today in our automotive business associated
with Electrification or 5% of that revenue when only 3% of the fleet is coming from electrified vehicles. So we're very confident in the tailwind. We'll
experience as that trend occurs, and we'll provide some more transparency in terms of the revenue that's being generated associated with both
the Electrification trend, but also the Smart & Connected trend that they become bigger components of the overall business.

Operator
The next question is from Steven Fox from Fox Advisors.

Steven Bryant Fox - Fox Advisors LLC - Founder & CEO
Jeff, I was just curious, you've talked a lot about electrification. Can you just -- obviously, your ICE programs aren't going away overnight. Can you
sort of talk about your outgrowth prospects there and then how you manage sort of the shift in your business, transferring from an ICE-dominated
business to electrification without it hurting the overall revenues?

Jeffrey J. Cote - Sensata Technologies Holding plc - President, CEO & Director
Yes. So you said it right. The combustion engine's not going away right now. But many companies have made some very bold statements. GM's
announcement that they won't make combustion engines beyond 2035. This trend is accelerating, and we're prepared for it. It's a positive thing
for us. But having said that, you point out a very important point. There is continued content growth on combustion engines because between
now and 2035, there are mandates regarding fuel efficiency and other CO2 emissions and other safety-related requirements that will drive content
-- will continue to drive content. So we're thinking about that in terms of our R&D allocation. We're thinking about that in terms of which opportunities
we pursue.

But we are going to support our customers in terms of their road maps and help them migrate along this curve from combustion engines to
electrified platforms. And again, not just in auto, in HVOR, in industrial applications, we'll do the same thing. And they make up a big portion of the
NBOs that we've won. $180 million of our $465 million relate to Electrification, but the balance relate to other applications, safety and emissions-related
applications. So it's still a meaningful part of the business, and we're going to focus on it, manage through this transition in a very thoughtful way,
along with our customers.

Operator
The next question is from Nik Todorov from Longbow.

Nikolay Todorov - Longbow Research LLC - Analyst
Guys, I think relative to your last quarter, it looks like megatrends investment outlook for 2021 have increased. If that is true, maybe can you talk
what's changing there? Are you maybe seeing acceleration in the Smart & Connected given the quicker turnaround of those programs? And I think,
Jeff, you talked about those quotes.

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