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Sales, Earnings Dip at BorgWarner
BorgWarner Inc.'s net profit in the fourth quarter last year slipped 1% year over year to $121 million as revenue declined 3% to $1.7 billion.
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BorgWarner Inc.'s net profit in the fourth quarter last year slipped 1% year over year to $121 million as revenue declined 3% to $1.7 billion.
October-December operating income for the Auburn Hills, Mich.-based maker of turbochargers and other powertrain components dropped 11% from a year earlier to $171 million.
BorgWarner posted record full-year revenue of $7.2 billion compared with $7.1 billion 2011. But net earnings in 2012 dropped 9% to $501 million. The company notes that about half its sales are generated in Europe, where vehicle production plunged 11% last year.
James Verrier, who took over as CEO in January, predicts BorgWarner's sales will revive from a "challenging" fourth quarter and expand 2%-6% in 2013. But the company says costs pressures will cause it to defer unspecified investments.
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