BorgWarner has reported fourth quarter net income of US$125m, almost 11% down on the previous year’s total. However, Q4 net sales were US$2,123m in the quarter, up 6.6% from the previous year.

Full year 2015 net sales were put at US$8,023m, down 3.4% from Full year 2015 net earnings were US$610m compared with US$660m in 2014.

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BorgWarner CEO James Verrier told analysts in a conference call that the figures are better (Q4 sales up 7%) if the purchase of Remy and exchange rates are taken out. “For the full year sales reported $8 billion, that’s down 3% from 2014. But when we exclude Remy and foreign exchange and Wahler, it was up 4.3%,” he said.

The company has reaffirmed its 2016 full year guidance. Net sales growth is expected to be within a range of 13.2% to 18.3% compared with 2015. Excluding the impact of foreign currencies and the Remy acquisition, net sales growth is expected to be within a range of 2.5% to 5.5%. Operating income, as a percentage of net sales, is expected to be above 12%. Excluding the Remy acquisition, operating income, as a percentage of net sales, is expected to be above 13%.

“I’m pleased that we have largely got the restructuring efforts that we put a lot of work into over the last 18 months behind us so we can get that benefit as we go into the year,” Verrier said.

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He also told analysts he was “very, very pleased” with the Remy acquisition. “I think from a strategic perspective this was a really critical transaction for BorgWarner and we’re going to talk more about that through the year,” he said.

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