Tenneco Inc.’s second-quarter profits dipped 3.7 percent to $78 million from the year-earlier period.
Revenue, adjusted for the unfavorable impact of currency exchange rates, increased 3 percent to $2.31 billion.
Tenneco, a supplier of ride-control components and emission-control systems, said the latest results reflect lower commercial truck and off-highway volumes and costs associated with the startup of clean-air plants in the U.S. and Poland.
“I’m especially pleased with our performance given the currency headwinds we faced and continuing weakness in commercial truck and off-highway markets around the world,” Tenneco CEO Gregg Sherrill said in a statement today.
Margins also were offset by a major expansion of a plant in the U.K. to support new light-vehicle and commercial truck programs.
The company said revenue from light-vehicle equipment shipments rose 4 percent during the period on higher volumes worldwide and new platform launches.
Revenue at the supplier’s clean-air division fell 5.2 percent to $1.46 billion in the second quarter, while the company’s ride-performance division reported a 4.4 percent dip in sales to $669 million.
Despite the dip in second-quarter sales for some business lines, Tenneco maintained its prediction of a 5 percent increase in full-year revenue.
“Our focus on execution, regardless of market cycles, has helped us deliver steady margin expansion, and together with our structural growth drivers, puts Tenneco in a unique position for continued profitable growth and enhanced shareholder value,” Sherrill said.