TROY — Horizon Global Corp. (NYSE: HZN), a manufacturer of towing and trailering equipment, reported net income of $2.2 million or 12 cents a share in the first quarter ended March 31, up from $1.5 million or 8 cents a share a year earlier.
Revenue was $146.1 million, up 2.6 percent from $142.4 million a year earlier.
Without the effects of a stronger U.S. dollar, sales increased 5.5 percent compared to the first quarter of 2015.
The company said North American sales were up 5 percent, with strong volume in the retail, e-commerce and automotive original equipment channels, offset by declines in the aftermarket and industrial channels. Operating profit increased to $10.1 million from $5.9 million for the same period in 2015 due to higher sales, continued productivity improvements, and lower input costs.
International sales fell 3.6 percent due to the stronger dollar, but were up 6.9 percent with the effects of the dollar removed, driven by strong growth in the OE channel, both in new and existing programs. Operating profit increased to $2.5 million from $2.3 million for the same period in 2015, as a result of increased volume and productivity initiatives.
“Horizon Global is off to a solid start in the first quarter of 2016, with our businesses performing well in nearly every channel,” said A. Mark Zeffiro, president and CEO. “We are executing on the programs supporting our three key priorities, while remaining focused on the future of the business.”
The company reiterated its 2016 revenue and operating profit guidance, with sales growth of 3 to 5 percent on a constant currency basis and adjusted segment operating profit increasing more than 1 percent.
To listen to a replay of a conference call discussing these results, call (800) 585-8367 in the United States or (404) 537-3406 elsewhere, using the conference identification number 86604267.
More at www.horizonglobal.com.