TOKYO -- Supplier giant Denso Corp. posted strong revenues and even stronger profits in the six months to Sept. 30, on higher volumes and a richer sales mix.
The strong showing contrasts sharply with weaker-than-expected results at rivals Delphi Corp. and Visteon Corp.
Net income jumped 25.5 percent from the year-earlier period to 66.42 billion yen, or $598.1 million at current exchange rates. Revenues rose 10.5 percent to $12.20 billion. Operating profits rose 17.1 percent to $966.4 million.
Sales of higher value-added components such as active cruise control and pre-crash safety systems helped margins to improve.
Sales to customers in the Americas accounted for 21.9 percent of all revenues, down from 23.1 percent a year earlier, reflecting the impact of a weaker dollar. Operating profits in the Americas fell 14.2 percent to $137.3 million, again due in part to the dollar's weakness.
A weaker dollar means Denso books fewer yen in revenues and profits for every dollar in sales.
Total sales for the Americas came to $2.65 billion, up 3.5 percent. Without the effect of the exchange rate, those sales would have increased 10.7 percent, Denso said.
Europe-based customers accounted for 13.3 percent of revenues, up from 12.6 percent, as sales of common-rail diesel systems and car air conditioners grew. But Denso posted an operating loss there due to start-up costs at factories in the Czech Republic.
Japan-based customers accounted for 55.2 percent of revenues for Denso, a member of the Toyota Group. That was little changed from a year earlier.