Delphi Doubles Net Income In Q4 2013
In a statement made by Delphi Automotive this week, the supplier announced that they had more than doubled their net income in Q4 2013 to $298 million in comparison to $136 million in Q4 2012.
Though analysts had expected Delphi’s revenue to reach $4.08 billion in the outgoing year, the supplier pulled in $4.18 billion with increases in Asia (14 percent), North America (9 percent) and Europe (7 percent); revenue in South America fell 6 percent.
Automotive News reports that profits rose in Delphi’s electrical/electronic and powertrain systems units for the year, resulting in gains of 38 percent and 20 percent, respectively. Gains were also made in their electronics/safety and thermal systems units, as well.
On the stock market, the supplier earned $1.12 per share excluding one-time items, 8 cents more than analysts expected. However, Delphi said there would be a weaker Q1 2014 coming for their bottom line in the range of $1.04 to $1.08 per share before one-time items on revenue between $4.2 billion and $4.3 billion; analysts were expecting $1.19/share on revenue of $4.36 billion.
For the upcoming year in totality, Delphi hopes to earn $4.70 to $4.95/share before one-time items on revenue between $17.2 billion to $17.6 billion, in opposition to analyst expectations of $4.90/share on revenue of $17.46 billion; the forecast is based on assumption of a 3 percent increase in global vehicle production.
Delphi is doing well since its spin-off from GM and the bankruptcy that allowed new investors to sell off the stuff GM had saddled it with in the spinoff. Lots of product lines were sold off, plants shut down and jobs lost in the process. It might have been easier for all concerned if GM had done all that gradually beginning in the 1970s when GM itself needed to streamline and slim down its operations.
An unexpectedly good story - glad to see it.
it is a shame that this once great division of The General became a shambles of a corporate entity. JT and his paternalistic position are only one failed remnant of the auto giant. unfortunately, politics and greed took down this segment of American production and the useless, sold out UAW leadership (sic) got away with allowing the decimation of Flint Michigan and other Mid West communities. the shame is widespread.
Grumble, grumble, grumble, GM, grumble, grumble, grumble, bailouts, grumble, grumble, grumble, UAW, grumble, grumble, grumble, too big to fail, grumble, grumble, grumble...