Visteon Corporation reported second quarter 2012 net income of US$75m, or $1.40 per share, up from $26m, or $0.50 in Q2 2011.
There was a one-off gain of $32m in 2012. Sales fell to $1.69bn from $2.05bn after Duckyang Industry was sold and duel also to unfavourable currency effects.
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“The quarter was in line with our expectations,” said Don Stebbins, chairman, chief executive officer and president. “While we saw some impact from lower vehicle production volumes in Europe and South America related to economic weakness in those regions, as well as from currency fluctuation, our performance was solid.”
Adjusted EBITDA was $151m compared with $203m the previous year.
Visteon has completed the sale of its lighting business to Varroc Group for $72m and agreed to sell its 50% equity stake in the R-TEK interiors joint venture in the UK for about $30m, with the transaction expected to be completed by the end of August.
“Following recent successful transactions to strengthen our business portfolio, we will continue to direct capital investments to our climate and electronics businesses, while focusing on driving the performance of the business and pursuing options for the interiors segment,” Stebbins said.
Hyundai-Kia accounted for approximately 33% of Visteon’s second-quarter product sales, with Ford representing 27%, Renault-Nissan 8% and PSA Peugeot-Citroen 5%. Asia accounted for 43% of total product sales – unchanged from a year earlier – while Europe represented 34% – down from 35% a year earlier. North America represented 17% of total product sales for the second quarter of 2012, compared with 15% during the same quarter last year, and South America accounted for 6%, compared with 7% in the second quarter of 2011.
First half
For the first six months of 2012, the supplier reported net income of $46m, or $0.86 per share versus $65m or $1.25 the previous year. Adjusted EBITDA was $301m compared with $363m.
Visteon has adjusted its sales and earnings guidance for full-year 2012 to reflect the impact of lower vehicle production volumes in Europe, South America and China, and the impact of unfavorable currency. It now expects full-year 2012 product sales in the range of $6.6bn to $6.8bn and adjusted EBITDA in the range of $580m to $620m.
