Aurora, Ontario - Sales at automotive seating maker Magna International increased 22 percent in the fourth quarter and 39 percent for the full year 2010, the automotive supplier said in its 23 Feb end-of-year report.
However, shares in the company, which uses polyurethane in car parts, fell due to a weaker-than-expected Q4 performance and warning of risks in the year ahead.
Q4 sales were $6 598 million, up from $5419 million during the same period in 2009, with net income of $216 million. For the year ended 31 Dec 2010, sales were $24 102 million, up from $17 367 million in 2009, with net income of $973 million.
The Canadian firm attributed this rise in sales to the upturn in the automotive market, particularly in North America and Western Europe, where light vehicle production increased by 39 percent and 12 percent respectively.
"In 2010, Magna benefited from a strong recovery in vehicle production, both in our primary markets, both in our primary markets of North America and Western Europe as well as globally. We are positioned to capitalise on continued growth in global vehicle production in 2011 and beyond."
The company predicted strong growth in light vehicle production in North America for the coming year, although it expected Western Europe production to stay level with that in 2010.
In the report, Magna said it expected consolidated total sales for 2011 to be between $25 600 million and $27 100 million. However it warned of uncertainties in the automotive market that may affect its results. LMH