By Sean Gagnier, Crain News Service
LAKE FOREST, Ill. (Oct. 31, 2013) — Automotive aftermarket supplier Tenneco Inc. said its third-quarter profit declined from the previous year, citing restructuring charges as a cause of the dip.
The supplier of ride control components and emission control systems—including Clevite Elastomers—said it posted adjusted net income of $12 million, or 19 cents per diluted share this quarter, down from $125 million, or $2.05 per diluted share last year.
The lower profits stemmed from a higher tax rate this year, the company said.
Lake Forest-based Tenneco incurred $59 million in restructuring costs in the quarter, and it is on target to reach its savings target in 2016.
Factoring out restructuring costs, net income rose 19 percent to $62 million during the year-ago quarter.
Third-quarter revenue rose 10 percent to $1.96 billion from the year-earlier period.
Revenue from the clean air division rose 12 percent to $1.33 billion because of increased light-vehicle production in North America, South America and China, the company said.
Revenue from the ride performance division increased 7 percent to $635 million, mostly as a result of strong light-vehicle production in China.
Tenneco ranks No. 36 on Automotive News' list of the top 100 global suppliers, with worldwide sales to auto makers of $6.1 billion in 2012.
This report appeared on the website of Automotive News, a Detroit-based sister publication of Tire Business.