Cooper Standard income drops despite sales rise

Cooper Standard income drops despite sales rise

Novi, Michigan — Cooper Standard Holdings Inc., parent company of Cooper Standard Automotive, reported a 5-percent increase of sales, despite a slight decline for the fourth quarter.

Sales were reported at $3.24 billion (€2.84 billion), up from $3.09 billion in 2013. For the quarter, sales dropped to $767.9 million from $794.2 million in 2013.

Net income declined slightly for 2014, to $42.8 million from $47.9 million. The firm reported a net loss for the third quarter of $12.8 million, compared to a net loss of $20.8 million in 2013.

“Cooper Standard’s continued to grow year-over-year in 2014, more than 1.5 times the market,” Chairman and CEO Jeffrey Edwards said during a conference call on 24 Feb.

Allen Campbell, executive vice president and chief financial officer, said net income for the year included an $18.9 million after tax cost in conjunction with its debt extinguishment during the second quarter of 2014.

Edwards also highlighted the firm’s improved margins in its sealing business, which accounted for 52 percent of its sales. Fuel and brake accounted for 20 percent of sales, fluid transfer systems accounted for 14 percent of sales, and anti-vibration systems accounted for 8 percent of sales.

The remaining 6 percent of sales came from Cooper Standard’s non-automotive lines and its thermal and emissions business. The latter was divested to Halla Visteon Climate Control Corp. for $46 million in June 2014.