GRAND RAPIDS, Mich. -- Auto parts supplier Tower Automotive Inc. on Friday said it posted a quarterly profit reversing a year-ago loss, helped by stronger revenue and cost-cutting.
The Grand Rapids, Mich., company also said it expects sales and operating earnings for the first quarter and all of 2003 to "remain relatively consistent" with 2002 levels, and it cited the upcoming introduction of several new products, in support of better future results.
"We are confident that the successful launches of these new platforms and their relatively lower capital requirements will result in improved operating results and increasing returns on capital for Tower Automotive in the coming years," said CEO Dug Campbell in a statement.
The company reported fourth-quarter net income of $17.3 million, or 29 cents a share, compared with a loss of $295.7 million, or $6.15 a share, in the same period a year ago.
Excluding restructuring and other one-time items, the company posted a profit of $10.2 million, or 18 cents a share, compared with $6.5 million, or 13 cents a share, a year earlier.
Analysts had expected a profit of 19 cents a share before special items, with estimates ranging from 14 cents to 23 cents, according to Thomson First Call.
Revenue rose 6.7 percent to $681.6 million from $638.9 million.
The most recent quarter included $3.3 million of pretax asset writeoffs at its Seojin unit in South Korea and its Metalsa unit in Mexico. It also included pretax income of $14.3 million from the favorable legal settlement of employee benefit obligations that had been accrued as part of a fourth-quarter 2001 restructuring charge.
For 2002, Tower reported a net loss of $97.6 million, or $1.70 a share, compared with a year-earlier loss of $267.5 million, or $5.87 per diluted share.
Excluding one-time items, it would have earned $56.5 million, or 98 cents a share, compared with $44.3 million, or 95 cents a year earlier.
Analysts estimates for 2003 have ranged from 65 cents to $1.15 a share, with an average forecast of 91 cents, according to a First Call survey.