Forvia sales beat estimates, profit falls short, in unsettled market – Reuters.com
- Confirms FY guidance
- H1 operating profit at 426 mln euros vs 436 mln euros in consensus
- H1 sales at 11.62 bln euros vs 11.02 bln euros in consensus
- H1 cash flow of 102 mln euros ‘clearly above expectations’ – JPM
- Faurecia rises 7%, Hella up 0.6%
July 25 (Reuters) – Forvia, the European car parts maker born from Faurecia’s (EPED.PA) takeover of German rival Hella (HLE.DE), on Monday fell short of earnings expectations but beat sales estimates in the first half of the year.
“All in all, a good performance in a market unsettled by rising inflation, production stoppages and continued chip shortages affecting overall volumes,” analysts at J.P. Morgan said.
Faurecia sealed its takeover of German automotive lighting group Hella in January.
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The combined entity sells seats, dashboards and fuel systems to carmakers which, after two years of disruptions from the coronavirus pandemic, are facing fresh supply jags due to Chinese lockdowns and Russia’s invasion of Ukraine.
Chief Financial Officer Olivier Durand said Forvia had stopped activities at most of its Russian sites, booking 87 million euros ($89 million) of related one-off costs in the first six months of 2022.
The group …….