NEWS

Delphi net income rises in second quarter, revenue falls

Friday, Jul 31, 2015

Auto parts supplier Delphi Automotive Plc said on Thursday that second-quarter net income rose but revenue fell as a stronger dollar hurt overseas results.

Delphi earned $667 million on sales of $3.86 billion in the second quarter. Net income included an after-tax gain of $285 million on the sale of its Thermal Systems business to German supplier Mahle. A year earlier, it posted net income of $406 million.

Revenue fell 5 percent from $4.06 billion a year ago, due largely to unfavorable currency exchange rates, the company said.

Delphi said it had sales growth in the quarter of 8 percent in Asia, 5 percent in North America and 4 percent in Europe, partly offset by a 15 percent decline in South America.

Earlier in the day, the company announced the acquisition of British cable equipment maker HellermannTyton Group Plc for about $1.7 billion to boost its presence in the growing connected-car market.

Delphi also said it had acquired Ottomatika, a U.S. developer of software for automated driving, and made investments in Quanergy, a maker of lidar sensing units, and Tula Technology, a specialist in cylinder deactivation technology.

Delphi shares were up 1.4 percent in premarket trade to $78.40.

 

reuters.com