Meritor Inc.’s fiscal second-quarter profit rose 18% on stronger performance in its truck segment.
The truck and auto component maker’s net income rose to $20 million, or 21 cents per share, from $17 million, or 18 cents, a year ago.
Sales slipped 1% to $1.16 billion for the quarter ended March 31, although its commercial truck and aftermarket and trailer segments’ sales rose in North America.
Truck segment earnings before interest, taxes, depreciation and amortization jumped to $49 million, from $9 million a year earlier, while sales were flat at $693 million.
The aftermarket and trailer segment’s EBITDA slipped 3% to $28 million, while sales rose to $263 million, from $257 million.
The quarterly performance was “driven primarily by key business initiatives . . . [including] commercial truck pricing negotiations,” said Chairman and CEO Chip McClure.
“We expect these initiatives to continue to positively impact margins in the coming quarters,” he said in a statement.
Meritor reaffirmed its late March earnings outlook that its full fiscal-year adjusted operating income will be $105 million to $135 million, with adjusted earnings of $1.08 to $1.39 per share.
