TRW profit rises 23% in Q1; 2014 revenue forecast raised
DETROIT (Reuters) -- Supplier TRW Automotive Holdings Corp., which counts on Europe for nearly half of its global sales, reported a 23 percent increase in quarterly earnings, driven by a 16 percent rise in China sales. The company also raised its full-year revenue forecast.
TRW, in a statement Tuesday, said it now expects full-year revenue to range between $17.4 billion and $17.7 billion, higher than its earlier forecast of $17.3 billion to $17.6 billion.
Analysts on average were expecting revenue of $17.5 billion, according to Thomson Reuters I/B/E/S.
TRW, whose largest customer is Volkswagen Group, said it expects vehicle production volumes to expand in China.
The suburban Detroit company makes airbags, electronics, braking and steering equipment for cars globally and sells its products to nearly all major automakers including Ford and General Motors.
In 2013, about 41 percent of its total revenue came from Europe.
TRW's profit in the first quarter ended March 28 rose to $199 million, or $1.68 per share, from $162 million, or $1.29 per share, a year earlier.
Revenue rose 5 percent to $4.4 billion.
Excluding items, the company earned $1.81 per share.
Analysts on average had expected earnings of $1.65 per share on revenue of $4.3 billion.
TRW ranks No. 13 on the Automotive News Europe list of the top 100 global suppliers with worldwide sales to automakers of $14.1 billion in 2012.