Visteon Q1 2016 sales down YoY

Visteon Corporation (NYSE: VC) first-quarter sales of USD802 million, a decrease of USD14 million compared with the same quarter last year. The decrease is primarily related to the sale of the Germany interiors facility during the fourth quarter of 2015 and unfavorable currency, partially offset by higher production volumes and new business.

Electronics Product Group sales totaled USD793 million, an increase of USD12 million from the first quarter of 2015. On a regional basis, Asia accounted for 38 percent of sales, Europe 32 percent, North America 29 percent, and South America 1 percent.

Visteon gross margin for the first quarter of 2016 was USD121 million, compared with USD112 million a year earlier. Selling, general and administrative expenses were USD56 million for the first quarter, compared with USD58 million for the first quarter of 2015. The USD9 million increase in gross margin reflected higher sales volume and new business impacts, partially offset by the impact of unfavorable currency.

Adjusted EBITDA for the Electronics Product Group was USD94 million for the first quarter of 2016, compared with USD84 million for the same quarter last year. The improvement was primarily driven by increased production volumes and new business, partially offset by unfavorable currency. Beginning in 2016, costs associated with the company´s corporate headquarters and other administrative support functions have been included with the Electronics Product Group for all comparative periods. Adjusted EBITDA for the Other operations was a loss of USD5 million, compared with a loss of USD6 million for the first quarter last year.

For the first quarter of 2016, the company reported net income attributable to Visteon of USD19 million, or earnings per share of USD0.49 per diluted share. First-quarter net income included a loss of USD13 million from discontinued operations, net of tax and USD15 million of restructuring, transformation, integration and related costs. Adjusted net income, which excludes these costs, was USD47 million, or USD1.22 per diluted share.

Visteon is a global company that designs, engineers and manufactures innovative cockpit electronics products and connected car solutions for most of the world´s major vehicle manufacturers. The company provides instrument clusters, head-up displays, information displays, infotainment, audio systems, and telematics solutions; its brands include Lightscape®, OpenAir® and SmartCoreâ„¢. Headquartered in Van Buren Township, Michigan, Visteon has nearly 11,000 employees at more than 40 facilities in 18 countries. Visteon had sales of USD3.25 billion in 2015.