Maumee firm’s sales fall; but profits close to 2013 levels
7/25/2014Dana Holding Corp. said Thursday its second-quarter net sales fell 5.5 percent, or by $100 million, compared to last year, but the company managed to generate profits that were on par with 2013.
The Maumee auto parts supplier reported a profit of $84 million on sales of $1.7 billion for the quarter. In last year‘s second quarter, Dana reported an $85 million profit on sales of $1.8 billion, representing a 1.7 percent drop in profits from last year.
The company’s share-repurchase program pushed per-share earnings up 11.3 percent from last year. The company said it earned 49 cents per share this year compared with 44 cents per share last year. Since October, 2012, Dana has put $942 million toward share repurchase and redemptions.
“Despite the challenging economic environment in some of our markets, Dana's second-quarter results came in as we had expected, and we remain on track to deliver our top and bottom-line targets for the fiscal year,” Chief Executive Officer Roger Wood said in a statement.
The company‘s power technology business was the only one of Dana’s four business segments to post year-over-year sales gains, growing from $265 million to $276 million.
The company continues to struggle with weak demand in South America for light and commercial vehicles.
Dana’s off-highway business, which is made up primarily of components for construction equipment, is weak globally. Officials said Thursday they don’t anticipate those issues to resolve in the year’s second half.
Dana’s shares were up a little less than 1 percent Thursday to close at $23.14.