CHICAGO -- Auto parts maker Dura Automotive Systems Inc. on Thursday reported lower quarterly earnings due to restructuring charges. The company said it was concerned about raw material costs and a possible slowdown in vehicle production.
"We anticipate the second half of the year will be challenging given the continuation of these elevated material costs and the uncertainty of the North American production volumes in the third quarter of 2004," CEO Larry Denton said in a statement.
Dura, the world's largest independent maker of driver control systems, said second-quarter net income fell to $3.3 million, or 18 cents a share, from $10.8 million, or 58 cents a share, a year earlier.
Excluding restructuring charges, earnings from continuing operations rose to $11.6 million, or 61 cents a share, from $11.3 million, or 61 cents a share.
Three analysts on average had expected earnings of 45 cents a share, with forecasts ranging from 40 cents to 48 cents, according to Reuters Estimates.
Dura of Rochester Hills, Mich., which also makes door modules and seat controls, said second-quarter revenue rose to $658.8 million from $606.4 million.
Dura is 30th on the Automotive News ranking of top suppliers to North American automakers in 2003 with $1.4 billion in North American sales.