Magna International has reported financial results for the second quarter ended June 30, 2019.
Overall, results came in slightly ahead of expectations in the second quarter of 2019, driven by Magna’s Body Exteriors & Structures, Power & Vision and Complete Vehicles segments. The company said its Seating segment was below expectations mainly due to continued launch costs and inefficiencies at a new facility.
On a consolidated basis, Magna posted sales of $10.13 billion for the second quarter of 2019, a decrease of 1% from the second quarter of 2018, which compares favorably to global light vehicle production that decreased 6%. Excluding the impact of foreign currency translation and divestitures net of acquisitions, sales increased 5%, and by segment: Complete Vehicles, Seating and Power & Vision increased 49%, 3% and 1%, respectively, while Body Exteriors & Structures decreased 4%.
Net income attributable to Magna International Inc. was $452 million for the second quarter of 2019 compared to $626 million in the second quarter of 2018.
Diluted earnings per share decreased to $1.42 in the second quarter of 2019, compared to $1.77 in the comparable period. Adjusted diluted earnings per share decreased 5% to $1.59 compared to $1.67 for the second quarter of 2018.
Six Months Ended June 30, 2019
Magna posted sales of $20.72 billion for the six months ended June 30, 2019, a decrease of 2% from the six months ended June 30, 2018, which compares favorably with global light vehicle production which decreased 5% in the first six months of 2019 compared to the first six months of 2018. Excluding the impact of foreign currency translation and divestitures net of acquisitions, sales increased 4% and by segment: Complete Vehicles increased 36%, Seating increased 3%, Power & Vision was unchanged and Body Exteriors & Structures decreased 4%; in each case compared to the six months ended June 30, 2018.
During the six months ended June 30, 2019, income from operations before income taxes was $1.96 billion, net income attributable to Magna International Inc. was $1.56 billion and diluted earnings per share was $4.83, increases of $293 million, $272 million and $1.23, respectively, each compared to the first six months of 2018.
