Auto Supplier Metaldyne Reports Profit Growth

SOUTHFIELD — The vehicle components supplier Metaldyne Performance Group Inc. (NYSE: MPG) Tuesday reported net income of $28.3 million or 41 cents a share in the third quarter ended Sept. 27, up from $24.6 million or 36 cents a share a year earlier.

Sales were $746.6 million, down from $773 million a year earlier.

For the first nine months of the fiscal yaer, net income was $104.7 million or $1.52 a share, up from $62.6 million or 92 cents a share in the first nine months of the prior fiscal year. Sales were $2.31 billion, up from $1.95 billion a year earlier.

“MPG came together to accelerate profitable growth,” said MPG CEO George Thanopoulos. “We booked record new business awards in the first nine months of 2015, focused on new fuel-efficient engines and transmissions. These awards are scheduled to launch and ramp up over the next five years, in line with our long-term sales target. Our third quarter results continue to reflect our value creation in the near term. We continued our balanced use of cash by reinvesting in the business, increasing our voluntary debt prepayment, and returning capital to our shareholders through the declaration of our third quarter dividend. We are very proud of our accomplishments so far this year and we remain committed to executing our core value creation and growth strategy.”

The company reiterated its 2015 guidance at sales of between $3 billion and $3.15 billion, adjusted earnings before interest, taxes, depreciation and amortization of between $520 million and $560 million, and capital expenditures between $210 million and $220 million. Adjusted EBITDA excludes interest expense, loss on the early repayment of debts, income tax paid, depreciation and amortization, foreign currency translation, losses on fixed assets, debt transaction expenses, stock-based compensation expense, sponsor management fees, capital expenditures, and restructuring costs.

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