USA: BorgWarner expects to post higher Q2 earnings
BorgWarner, raising its forecast once again, expects to earn in the second quarter approximately $1.70 per share on an 18% sales increase over the 2001 second quarter. The company says the increase is based on strong demand from its global customer base and new business launches.
The $1.70 per share compares with $0.93 per share reported in the 2001 second quarter, or $1.18 without amortization of goodwill.
"All of our business groups performed well in the second quarter," said John F. Fiedler, Chairman and CEO. "We are benefiting from the growing popularity of mid-sized all-wheel drive crossover vehicles in North America, the demand for fuel efficient cars in Europe and growth with Japanese and Korean customers. With our anticipated new business of $1.1 billion over the next three years, we expect to grow faster than the industry and are not solely dependent on increased vehicle production for improved results. We continue to invest in the research and development that is driving our growth, and also may repurchase our stock under our existing authorization, given current market conditions."
The company reiterated its full-year 2002 guidance of earnings per share expected at $5.50. In 2001, the company reported earnings of $3.23 per share excluding charges, or $4.23 without goodwill.