WABCO Reports Q2 2013 Results; Delivers Record Performance Earnings per Share in Continued Challenging Market; Upgrades Guidance for 2013
(firmenpresse) - BRUSSELS, BELGIUM -- (Marketwired) -- 07/26/13 -- WABCO Holdings Inc. (NYSE: WBC) -
WABCO Holdings Inc. (NYSE: WBC) (), a global technology leader and tier-one supplier to the commercial vehicle industry, today reported Q2 2013 sales of $678.2 million, up 6.8 percent in local currencies from a year ago and up 6.8 percent in U.S. dollars, reflecting an expected sequential industry uptick for the quarter.
"In Q2 2013, WABCO delivered yet another record quarterly performance fueled by our continued ability to outperform a sluggish market. Indeed, WABCO's revenues increased 6.8 percent year on year, helped by growth of 8.1 percent in aftermarket revenues," said Jacques Esculier, WABCO Chairman and Chief Executive Officer.
"In addition, WABCO's Operating System, one of our industry's most advanced management environments, continues to power excellence in execution across our organization, as it generated a productivity gain of $20.7 million in Q2 2013, an all-time quarterly record amount," said Esculier. "It delivered savings of 4.8 percent of gross material costs and 6.2 percent of conversion costs. This robust result further demonstrates WABCO's continued ability to optimize resources and flex capacity to address changes in market demand."
WABCO reported Q2 2013 performance operating income of $91.7 million versus $92.8 million a year ago, and operating income was $86.4 million on a U.S. GAAP basis versus $92.8 million a year ago.
WABCO's performance operating margin for Q2 2013 was 13.5 percent versus 14.6 percent a year ago, and operating margin was 12.7 percent on a U.S. GAAP basis versus 14.6 percent a year ago.
For Q2 2013, WABCO reported performance net income attributable to the company of $82.4 million or $1.30 per diluted share, up from $78.2 million or $1.19 per diluted share a year ago, and Q2 2013 U.S. GAAP net income attributable to the company of $83.2 million or $1.31 per diluted share, up from $75.6 million or $1.15 per diluted share a year ago.
During Q2 2013, WABCO generated $92.1 million in net cash from operating activities, resulting in free cash flow of $78.0 million, excluding payments of $6.5 million for streamlining and separation activities. This resulted in a conversion rate of 95 percent of performance net income attributable to the company.
Since June 2011, WABCO has repurchased 8,519,214 shares for $481.4 million in open market transactions as of June 30, 2013. WABCO is authorized to repurchase up to $318.6 million of additional shares through December 31, 2014.
"In Q2 2013, WABCO continued to outperform the global market, while also delivering a new record amount of productivity gain and a new quarterly record of diluted earnings per share of $1.30 on a performance basis, marking Q2 2013 as yet another consecutive quarter of success on our path to deliver outstanding value for our shareowners," said Esculier.
Recent Highlights
In Q2 2013, WABCO's factory in Miass, Russia, made its first delivery of products as WABCO has now begun locally supplying UralAZ, a major manufacturer of trucks. WABCO's manufacturing site located in Miass is the company's newest factory in its global network of 20 plants in 10 countries spanning 4 continents. UralAZ is part of the GAZ Group, Russia's largest manufacturer of commercial vehicles. WABCO manufactures innovative pneumatic braking components and parts in Miass for Ural trucks in series production in Russia. Headquartered in Moscow, WABCO Russia has 5 sales offices and more than 110 Service Partners across the country.
As reported in Q2 2013, WABCO has entered into an agreement with Agrale, a major original equipment manufacturer based in Brazil and Argentina, to supply innovative hydraulic anti-lock braking (ABS) technology for Agrale's full range of light commercial vehicles that use hydraulic brakes. According to safety legislation in Brazil, from January 2014, all new trucks, buses, trailers and passenger cars must have ABS installed. Light duty vehicles (under 6 tons gross weight) normally use hydraulic braking systems whereas heavier vehicles typically deploy pneumatic systems.
WABCO reported in Q2 2013 that it continues to expand its global remanufacturing capability as the company has recently been granted a license by Chinese authorities to remanufacture air compressors in China for commercial and off-highway vehicles. WABCO is the first and only supplier in China authorized to conduct this type of remanufacturing activity. WABCO Reman Solutions is remanufacturing air compressors locally for China National Heavy Truck Corporation (CNHTC) and for WABCO's customers in the independent aftermarket in China. WABCO expects to expand its remanufacturing scope in China to add other products, subject to government approvals.
On July 10, 2013, the company announced that WABCO in the Netherlands has been recognized with a top award for quality achievement throughout 2012 by PACCAR Inc. It is the second year in a row that WABCO wins this top award. PACCAR recently honored WABCO's manufacturing facility in Meppel, the Netherlands, which supplies vehicle parts and components for DAF trucks in series production at quality levels that equal or exceed PACCAR's requirements.
The Meritor WABCO joint venture in North America reported in Q2 2013 that a study conducted by the University of Michigan Transportation Research Institute (UMTRI) and published by the U.S. National Highway Traffic Safety Administration (NHTSA) verifies the significant benefits of forward collision avoidance and mitigation technology installed on tractor-semitrailers and single unit trucks. WABCO's OnGuard™ Collision Mitigation System was used for the UMTRI study, which validated a potential 24 percent reduction in fatalities with current systems and predicts up to 57 percent fatality reduction with upcoming systems.
As reported in Q2 2013, the Meritor WABCO joint venture in North America has received the 2012 Excellence in Quality Award from Hino Motors Manufacturing U.S.A. The company has been recognized for this prestigious award three times in the past five years. The award honors achievement of a "zero defect rate" per million parts produced during 2012. The company supplies Hino with pneumatic and hydraulic anti-lock braking (ABS) systems for vehicles built in Williamston, West Virginia, U.S.A. and Woodstock, Ontario, Canada. In addition, Meritor WABCO's on-time delivery performance was 100 percent for 2012.
Upgrades Full Year 2013 Guidance
Based on our current estimates of future market conditions, WABCO upgrades its guidance for 2013 to indicate sales growth to now range between 5 and 8 percent in local currencies, up from its previous guidance to range between 3 and 7 percent; performance operating margin to now range from 13.0 to 13.5 percent, up from its previous guidance to range from 12.7 to 13.3 percent; and operating margin on a U.S. GAAP basis to now range from 12.2 to 12.7 percent, up from its previous guidance to range from 12.1 to 12.7 percent.
WABCO's upgraded 2013 guidance results in diluted earnings per share on a performance basis to now range from $4.70 to $5.00, up from its previous guidance to range from $4.45 to $4.85; and diluted earnings per share are estimated to now range from $7.64 to $7.94 on a U.S. GAAP basis, up from its previous guidance to range from $7.41 to $7.81.
As previously disclosed, WABCO expects in 2013 to convert between 80 and 90 percent of its net income attributable to the company into free cash flow, excluding payments associated with streamlining and separation activities.
Conference Call
WABCO Chairman and Chief Executive Officer Jacques Esculier and Chief Financial Officer Ulrich Michel will discuss WABCO's results and outlook on a conference call at 9 a.m. Eastern Time today. It will be webcast at where the press release and financial information will be available under "WABCO Q2 2013 Results".
The call is also accessible by telephone in listen only mode. Dial-in number is +1 408 940 3818 and U.S. toll-free dial-in number is 877 844 0834.
A replay of the call will be available from 12:00 Noon Eastern Time on July 26 until midnight August 1, 2013. Replay dial-in number is +1 404 537 3406 and U.S. toll-free dial-in number is 855 859 2056. Conference ID is 10966773.
About WABCO
WABCO (NYSE: WBC) is a leading global supplier of technologies and control systems for the safety and efficiency of commercial vehicles. Founded nearly 150 years ago, WABCO continues to pioneer breakthrough electronic, mechanical and mechatronic technologies for braking, stability and transmission automation systems supplied to the world's leading commercial truck, bus and trailer manufacturers. With sales of $2.5 billion in 2012, WABCO is headquartered in Brussels, Belgium. For more information, visit
Forward-Looking Statements
This document contains certain "forward-looking statements" as defined by the Private Securities Litigation Reform Act of 1995 that are based on management's good faith expectations and beliefs concerning future developments. Statements preceded by, followed by or that otherwise include the words "believes," "expects," "anticipates," "strategies," "prospects," "intends," "projects," "estimates," "plans," "may increase," "may fluctuate," and similar expressions or future or conditional verbs such as "will," "should," "would," "may" and "could" are generally forward looking in nature and not historical facts. Actual results may differ materially from these expectations as a result of many factors. These factors include, but are not limited to, the actual level of commercial vehicle production in our end markets, adverse developments in the business of our key customers, pricing changes to our supplies or products, and the other risks and uncertainties described in the "Risk Factors" section and the "Information Concerning Forward Looking Statements" section of WABCO's Form 10-K, as well as in the "Management's Discussion and Analysis of Financial Condition and Results of Operations - Information Concerning Forward Looking Statements" section of WABCO's Form 10-Q Quarterly Reports. WABCO does not undertake any obligation to update such forward-looking statements. All market and industry data are based on company estimates.
Non-GAAP Financial Measures
To facilitate the understanding of Q2 2013 results, several tables follow this news release. Sales excluding the effects of foreign exchange, incremental gross and operating margin and EBIT are non-GAAP financial measures. Additionally, operating income, EBIT, net income attributable to the company and net income attributable to the company per diluted share on a "performance basis" are non-GAAP financial measures that exclude separation and streamlining items, the one-time impact from an adjustment to the UK pension plan, and discrete and other one-time tax items, as applicable. Free cash flow presents our net cash provided by operating activities less net cash used for purchases of property, plant, equipment, and computer software. These measures should be considered in addition to, not as a substitute for, GAAP measures. Management believes that presenting these non-GAAP measures is useful to shareholders because it enhances their understanding of how management assesses the operating performance of the company's business. Certain non-GAAP measures may be used, in part, to determine incentive compensation for current employees.
Attachment
Contacts:
WABCO Holdings Inc.
Christian Fife
+1 732 369 7465
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 26.07.2013 - 04:30 Uhr
Sprache: Deutsch
News-ID 1249100
Anzahl Zeichen: 0
contact information:
Contact person:
Town:
BRUSSELS, BELGIUM
Phone:
Kategorie:
Parts and Accessories
Anmerkungen:
Diese Pressemitteilung wurde bisher 188 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"WABCO Reports Q2 2013 Results; Delivers Record Performance Earnings per Share in Continued Challenging Market; Upgrades Guidance for 2013
"
steht unter der journalistisch-redaktionellen Verantwortung von
WABCO Holdings Inc. (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
