May 1 (Reuters) – Magna International topped analysts’ estimates for first-quarter sales and profit on Friday, helped by stronger foreign exchange and resilient demand for its auto parts.
Demand for auto parts and advanced driver-aid systems has held up, although the end of certain programs and lower vehicle production weighed on overall sales in the first quarter.
The industry has also had to contend with the trickle-down effects from U.S. President Donald Trump’s tariffs and a choppy electric vehicle market, with many automakers deferring or altering their EV plans entirely.
Magna flagged a hit from higher tariff costs during the first quarter.
For the full year, it marginally lowered its sales forecast to be between $41.5 billion and $43.1 billion, compared with its prior range of $41.9 billion to $43.5 billion.
The company’s overall quarterly sales rose by roughly 3% to $10.4 billion, compared with estimates of $10.25 billion, according to data compiled by LSEG.
On an adjusted basis, it earned a profit of $1.38 per share during the quarter ended March 31, above estimates of $1.01.
(Reporting by Nathan Gomes in Bengaluru; Editing by Shreya Biswas)
