Linamar's sales for the first quarter of 2018 were US$1,893.9m, up $237.9m from $1,656m in Q1 2017.
Sales for the transportation segment increased by $127.3m, or 9.3% in Q1 2018 compared with Q1 2017.
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Sales were impacted by additional sales from launching programmes in North America and Europe; a favourable impact on sales from the changes in foreign exchange rates from Q1 2017; and additional sales from on-highway vehicle customers.
Operating earnings for Q1 2018 were $214.9m versus $192.2m in Q1 2017.
Q1 2018 operating earnings for Transportation were lower by $6.2m, or 4.2% over Q1 2017. The segment's earnings were impacted by production volumes increasing on launching programmes in North America and Europe; additional volumes from on-highway vehicle customers; offset by lower margins experienced on programmes in early stages of launching business; an unfavourable foreign exchange impact from the revaluation of the operating balances on the balance sheet from Q4 2017; and an unfavourable impact on sales and expenses from the changes in foreign exchange rates from Q1 2017.
"We are thrilled with another quarter of record sales growing in double digits and record levels of content per vehicle in every region," said Linamar CEO Linda Hasenfratz. "We are particularly happy to see double digit operating earnings growth as well despite lower markets in North American automotive and unfavourable exchange rate changes. The key to continuing our strong performance is an intense focus on new business wins which we are delivering on in spades in the most opportunistic sourcing environment in the automotive sector we have ever seen."
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