Tenneco Inc., a supplier of ride-control and emission-control systems, today reported higher-than-expected adjusted net income along with record revenue for any quarter.
The company said it posted adjusted net income of $68 million, or $1.10 per diluted share, down from $70 million, or $1.14 per diluted share, last year.
The lower profits stemmed from a higher tax rate this year, the company said, but the adjusted results still beat analyst expectations by 1 cent per share.
Net income for the second quarter was $63 million, or $1.02 per diluted share, down from $87 million, or $1.42 per diluted share, in the year-earlier period.
Second-quarter revenue was up 8 percent to a record $2.07 billion from the year-earlier period at $1.92 billion.
Revenue from the clean air division rose 10 percent to $1.41 billion because of increased light-vehicle production in North America, South America and China and revenue growth from commercial and light vehicles in Europe, the company said.
A Tenneco spokesman said during a conference call today that the company expects European production to be down slightly the rest of the year.
Revenue from the ride performance division increased 2 percent to $661 million, mostly as a result of strong light-vehicle production in China.
"We delivered another solid quarter with top-line growth in both product divisions driven by stronger global light-vehicle production, higher commercial vehicle revenue in Europe and South America and a solid contribution from our global aftermarket business," Tenneco CEO Gregg Sherrill said in a statement.
Tenneco, of Lake Forest, Ill., ranks No. 36 on Automotive News' list of the top 100 global suppliers with worldwide parts sales to automakers of $6.10 billion in 2012.