Tenneco Inc.’s share price grew by over 14% after it announced that it has strong quarterly adjusted profits. The emission- and ride-control parts maker had said that it will keep its losses in Europe because of slow auto sales in the region. Tenneco's third-quarter adjusted profit was $52 million (excluding one-time items), or 85 cents per diluted share, compared to $42 million, or 67 cents per diluted share. Thomson Reuters said that its profit, which excludes one-time items of 85 cents, surpassed analyst expectations of 75 cents per diluted share. Tenneco shares closed the day up 14.4% at $30.65. In a statement, Tenneco said that it continues to have a strong customer and platform position but it expects a lower year-over-year revenue decline for Europe, for its new-vehicle business as well as for the aftermarket. Tenneco's revenue in the third quarter was essentially flat, at $1.778 billion from $1.773 billion the previous year. In addition, Tenneco said that it believes that its fourth-quarter auto industry production in North America and China will be stronger compared with last year. However, the decline in Europe is expected to persist.
Teneco’s shares price grew by over 14% as third quarter profits rise
by Andrew Christian, Email, 26 Oct, 2012
