Magna International Inc. (TSE:MG), North America’s largest auto-parts supplier, advanced to a fresh high even as the company forecast 2014 sales below analysts' expectations.
Magna touched a record high of C$93.91 before trading at C$93.00, up 0.9 percent, at 1:55 p.m. in Toronto.
Revenue in 2014 will amount to $33.8 billion to $35.5 billion, the Aurora, Ontario-based manufacturer said in a statement today. That trailed analysts' expectation of $36.1 billion, according to Bloomberg.
Industrywide production will total 16.7 million light vehicles in North America and 19.1 million in Europe, it said.
Magna said it plans to spend about $1.4 billion on plants and equipment this year, matching the budget for 2013, as it works to improve profitability in Europe.
“Our outlook reflects our commitment to improving operating results in Europe, including through ongoing restructuring, implementing operational improvements and exercising discipline in quoting new business,” Chief Executive Officer Don Walker said in the statement.
Magna also predicted “continued progress in expanding our business in high-growth regions, particularly in Asia.”
Magna, which has 316 plants in 29 countries, said total production sales, which are targeted at $28.6 billion to $29.9 billion this year, will probably increase by $3.6 billion by 2016. North America will represent 45 percent of the growth and Europe for 25 percent.
Reported by Proactive Investors 4 hours ago.
Magna touched a record high of C$93.91 before trading at C$93.00, up 0.9 percent, at 1:55 p.m. in Toronto.
Revenue in 2014 will amount to $33.8 billion to $35.5 billion, the Aurora, Ontario-based manufacturer said in a statement today. That trailed analysts' expectation of $36.1 billion, according to Bloomberg.
Industrywide production will total 16.7 million light vehicles in North America and 19.1 million in Europe, it said.
Magna said it plans to spend about $1.4 billion on plants and equipment this year, matching the budget for 2013, as it works to improve profitability in Europe.
“Our outlook reflects our commitment to improving operating results in Europe, including through ongoing restructuring, implementing operational improvements and exercising discipline in quoting new business,” Chief Executive Officer Don Walker said in the statement.
Magna also predicted “continued progress in expanding our business in high-growth regions, particularly in Asia.”
Magna, which has 316 plants in 29 countries, said total production sales, which are targeted at $28.6 billion to $29.9 billion this year, will probably increase by $3.6 billion by 2016. North America will represent 45 percent of the growth and Europe for 25 percent.
Reported by Proactive Investors 4 hours ago.