UPDATE 1Lear overseas strength boosts quarterly profit
(Adds details on revenue, outlook, background)
DETROIT, Jan 31 (Reuters) - Auto parts maker Lear Corp
(LEA.N: Quote, Profile, Research) posted a quarterly profit on Thursday, reversing a
year-earlier loss, supported by strength in its business
outside North America.
Lear reported net income of $27 million, or 34 cents per
share, for the fourth quarter, compared with a net loss of $645
million, or $8.90 per share, a year earlier, when it took
charges for divestitures and debt refinancings.
Excluding restructuring and other special items, Lear said
it earned $1.52 per share. Analysts on average expected it to
report earnings of 70 cents per share, according to Reuters
Estimates.
Sales in its core business, which excludes year-earlier
results from its divested interiors business, rose 5.9 percent
to $3.86 billion in the quarter. Analysts expected $3.7
billion.
Lear, which now focuses on auto seating and electronics,
has been restructuring operations and continues to hold a stake
in the interiors business it divested to a company led by
billionaire investor Wilbur Ross.
Lear expects 2008 sales of about $15 billion, with lower
vehicle production in North America that will hit certain
models harder than others more than offsetting new business and
favorable foreign exchange rates.
The company expects core operating earnings of $660 million
to $700 million in 2008. That figure represents income before
interest, other expense, income taxes, restructuring costs and
other items.
(Reporting by David Bailey; editing by Mark Porter/John
Wallace)
