Kongsberg Automotive is reportedly eyeing divestment of some business areas as it comes under pressure on dividend and results from a group of shareholders.
Reuters reported that Chief Executive Hans Peter Havdal told a presentation to investors that the company is seeking to "optimise" its product offering and that it is asking for patience.
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The report said the current plan for the company includes divesting its 'light duty cables' business unit in 2016, and to phase out 'head- and armrests products'.
The company's product line also includes seat heaters, gear shifts and fluid transfer systems used in trucks, cars and "off-highway" vehicles such as dump trucks.
The company's latest financial results disappointed some investors. Kongsberg Automotive's revenues for the third quarter of 2015 was up 2.6% to EUR234.5m (US$267.68m) compared with EUR228.6m in the third quarter of 2014. However, EBITDA was down 3.41% to EUR22.7m from EUR23.5m. Its EBIT declined 12.88% to EUR11.5m from EUR13.2m in the same period in 2014. Its loss before taxes narrowed to $5.5m compared to a profit of $10.7m. The company's loss for the period was EUR3.7m compared to a profit of EUR7.1m.
