Auto parts maker Decoma International has reported a flat first quarter profit but sales rose thanks to an acquisition and higher revenues from its European operations.
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According to Reuters, Decoma said it had a first-quarter profit of $US27.2 million ($C37.3 million), or 27 cents a share, compared with profit of $27.1 million, or 30 cents per share, in the year-before period.
The lower earnings per share during the quarter was due in part to an increase in shares outstanding, the report said.
The results topped analysts’ forecasts for a profit of 25 cents a share, according to Reuters Research.
Sales rose 25% to $702.4 million in the quarter, from $561.1 million last year, partly because of currency conversions. Analysts reportedly had expected, on average, sales of $638 million.
According to Reuters, Decoma said its acquisition of the Federal Mogul lighting operation last year and higher sales at new European facilities also boosted sales.
The company also said it expects the value of Decoma parts in each vehicle manufactured to be between $97 to $100 in North America in 2004. In Europe, it sees content per vehicle at between $52 to $56 and forecast overall sales to range from $2.6 billion to $2.8 billion.
