Car parts maker ArvinMeritor saw profit for its latest quarter surge 71% on increased sales and a gain from the sale of its stake in a ride-control products venture.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
But wire service reports said the company indicated that profit for its current quarter will fail to match Wall Street estimates.
The latest results included a gain of 23 cents a share on the sale of its 75% interest in the AP Amortiguadores SA joint venture and a charge of 8 cents a share from a deal with the Environmental Protection Agency to clean up a former Rockwell facility sold in 1985. Excluding those items, earnings were 44 cents a share.
Analysts surveyed by Thomson First Call reportedly had projected second-quarter earnings, excluding items, of 42 cents a share.
Sales in the latest quarter rose to $US2.25 billion from $2 billion and, for its fiscal third quarter, ArvinMeritor expects earnings of 70 cents to 75 cents a share on sales of $2.3 billion.
The projection is below the 88 cents a share on sales of $2.36 billion predicted by analysts.
A year ago, ArvinMeritor earned $47 million, or 69 cents a share, on sales of $2.11 billion in the third quarter. The results included a $5 million pretax restructuring charge.
ArvinMeritor had sales of $7.79 billion for the year ended Sept. 30.
