Visteon Corp. posted a 13-percent drop in net income in the second quarter of 2013 to $65 million, or $1.29 a share, compared with $75 million, or $1.40 a share, in the same period in 2012. Despite the lower second-quarter profits, Visteon still managed to beat Wall Street expectations. Visteon chief executive Tim Leuliette said in a statement attributed the profit to stronger operating earnings in all of its regions, including Europe.
Excluding one-time items, the company earned $1.41 a share, beating heavily expectations by analysts surveyed by Thomson Reuters I/B/E/S at $1.06. The supplier posted a nearly 12-percent surge in sales in the second quart of 2013 to $1.89 billion, beating the $1.88 billion analysts had expected. Hyundai -Kia accounted for around a third of sales in the quarter while Ford accounted for 31 percent. By region, Asia accounted for 43 percent of sales; Europe, 31 percent; and North America, 20 percent.
Despite the lower profits in the second quarter, Visteon revised its full-year 2013 forecast upwards, citing improving business conditions. The supplier had forecasted earnings before interest, taxes, depreciation and amortization, excluding special items, for 2013 of between $620 million and $660 million. Visteon upped the figure to between $660 million and $690 million.
The supplier also forecasts to post earnings per share, excluding special items, of between $4.83 and $6.11, for 2013, according to slides posted online by the company. Visteon confirmed its previous revenue forecast of between $7.3 billion and $7.5 billion for 2013. On the other hand, analysts forecast $7.45 billion. The company also revised its forecast for free cash flow upward to between $135 million and $170 million before special items.