Aptiv third-quarter net income down 25% despite revenue hike of 20% in North America
Aptiv PLC reported third quarter 2018 net income from continuing operations of US$ 222 million, 25.2% down from earnings of US$ 297 in the same period of 2017.
Total quarterly revenue was of US$ 3.5 billion, up 11%. Revenue increased 20% in North America, 9% in Asia and 4% in Europe, partially offset by a decline of 3% in South America.
For the nine months ended September 30, 2018, the company reported revenue of US$ 10.8 billion, an increase of 14% from the prior year period. Revenue increased 14% in North America, 10% in Asia, 7% in Europe and 8% in South America.
Net income in the first nine months totaled US$ 820 million, up 0.7% from the previous year.
“Aptiv delivered 11% organic revenue growth, strong sales conversion and higher earnings per share in the third quarter,” said Kevin Clark, president and chief executive officer. “Our portfolio of leading technologies aligned to the safe, green and connected mega trends is driving sustained above market growth despite softening global vehicle production and foreign exchange volatility.”
Aptiv PLC manufactures vehicle components for global automakers. The company produces connector wires, safety restraint systems, pin headers, and underwater towed arrays for automobile and commercial vehicles.
The manufacturer emerged from the split of Tier 1 automotive supplier Delphi into two independent companies. Aptiv has 42 manufacturing plants in 22 cities and 12 states in Mexico, as well as a technical center.
The Mexico Technical Center (MTC), located in Ciudad Juarez, is the company’s largest research and development site worldwide.