Meritor First Quarter Sales Down Slightly, Income Nearly Triples
Meritor, Inc. (NYSE: MTOR), a leading global supplier of drivetrain, mobility, braking and aftermarket solutions for commercial vehicle and industrial markets, has announced that first quarter sales were $879 million, down $21 million, or 2 percent, from the same period last year.
Net income attributable to Meritor on a GAAP basis was $29 million, compared to $11 million a year ago. Earnings per share was $0.29 per diluted share, compared to $0.11 a year ago.
Adjusted income from continuing operations in the first quarter of fiscal year 2015 was $35 million, or $0.35 per adjusted diluted share, compared to $13 million, or $0.13 per adjusted diluted share, a year ago.
The quarterly sales decrease, according to Meritor, “was primarily driven by lower commercial truck production and unfavorable exchange rates in Europe and South America, as well as lower revenue from Meritor’s defense business. This impact was partially offset by higher sales in North America as the Class 8 truck market continued to strengthen.”
Further positioning the company for growth, Meritor announced a long-term contract with PACCAR. This seven-year agreement secures preferred product positioning for rear axles in North America and Australia. In addition, Meritor now has enhanced optional positioning for brakes, drivelines and front axles.
“We are excited to enter into this long-term agreement with PACCAR and further strengthen our relationship in such a significant way,” said Ike Evans, chairman and CEO, Meritor. “The Meritor team is fully committed to delivering industry-leading products to support PACCAR in building great trucks.”
Category: Engines & Drivetrains, General Update
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