US: Visteon reports quarterly net profit
Visteon has reported net income of $3m for the first quarter of 2006, up from a net loss of $163m in the first quarter of 2005.
The supplier's operating performance was also an improvement on the fourth quarter of 2005 when Visteon reported a net income of $1.338bn for the fourth quarter, thanks to a $1.8bn one-off gain from the sale of 23 North American facilities on 1 October 2005 to Ford.
Visteon chairman and CEO Michael Johnson said in a statement that the improvement is a sign of progress towards implementing Visteon's three year plan but he added: "We know there is still much work to be done. We have clear plans in place to achieve our objectives, and we are looking for every opportunity to accelerate our three-year plan."
For the first quarter 2006, product sales were $2.8bn and services sales totaled $145m. Sales for the same period a year ago totaled $5.0bn, reflecting the significant contraction in size of the company thanks to the Ford transaction.
Visteon said it is raising its estimate for 2006 full-year for EBIT-R to a range of $120m to $150m.