VAN BUREN TOWNSHIP, Mich. – Visteon Corp. has announced third quarter 2011 results, reporting net income of $41 million, or 79 cents per diluted share, on product sales of $2.04 billion, compared with a net loss of $140 million on product sales of $1.70 billion for the third quarter of 2010.  
 
“In each of our four product lines and in every region where we operate, our third-quarter sales were higher than a year ago,” said Donald Stebbins, Visteon’s chairman, CEO and president. “In addition, our year-over-year profitability continues to strengthen as we generate solid new business wins in both developed and emerging markets.”
 
Visteon said it won a substantial amount of new business during the first nine months of 2011, with nearly half to be manufactured in Asia. These new business wins are expected to generate annual sales of approximately $865 million in future years, a significant increase when compared with full-year 2010 new business wins of $606 million.
 
During the third quarter of 2011, Visteon recognized $43 million of equity in the net income of non-consolidated affiliates, compared with $35 million in 2010, for an increase of 23 percent. Yanfeng Visteon Automotive Trim Systems Co. Ltd. (YFV) and related affiliate interests contributed $40 million in equity income, an increase of $8 million compared with a year earlier. YFV, a 50-percent Visteon owned entity, recorded total sales for the third-quarter 2011 of $740 million, compared with $713 million a year earlier for a 4 percent increase.  
 
For the third quarter of 2011, Visteon reported net income of $41 million, or 79 cents per diluted share. This compares with a net loss of $140 million in the same period in 2010. For the first nine months, Visteon reported net income of $106 million, or $2.04 per diluted share, compared with a net loss of $108 million during the first nine months of 2010.
 
Visteon said higher sales for the first nine months reflected increased production volumes and favorable currency, partially offset by the impact of divestitures and closures and pricing.
 
Duckyang Transaction
On Oct. 31, 2011, the company sold a portion of its ownership interests in Duckyang Industries Co. Ltd. and the company’s voting interests were reduced to a non-controlling level. Duckyang will be deconsolidated from the company’s financial statements effective Oct. 31, 2011, and the company will commence equity method accounting. Duckyang reported sales of $514 million for the nine months ended Sept. 30, 2011, and had cash balances of $57 million, total assets of $187 million and total liabilities of $129 million as of Sept. 30, 2011.
 
Visteon expects full-year 2011 sales to be in the range of $8 billion to $8.2 billion and adjusted EBITDA in the range of $660 million to $680 million. Free cash flow is expected to be a use of approximately $150 million.
 
“We are reaffirming our sales and EBITDA guidance for the year,” said Stebbins. “As we look forward, we believe global vehicle production will continue its upward momentum and we’re confident in our ability to keep winning profitable new business based on our competitive cost structure, our innovative technologies developed by our world-class engineers, and our strong presence in the growth markets of the world. Auto manufacturers are showing they value our ability to bring differentiating technology to vehicles and to support them in all regions.”