(Reuters) – Aptiv beat Wall Street expectations for fourth-quarter profit on Wednesday, fueled by an uptick in demand for auto parts and supplies from global automakers as they try to ramp up production.
Aptiv, which counts Toyota Motor, BMW and Detroit Three automakers among its customers, has benefited from increased orders for parts as companies cash in on healthy demand for passenger vehicles.
Additionally, a stronger push for vehicles with more software and autonomous driver aids such as lane-keep assist has helped companies such as Aptiv bag higher orders over the past few years.
The company reported an adjusted profit of $1.40 per share for the quarter ended Dec. 31. Analysts on average had expected a $1.33 per share profit, according to LSEG data.
It reported quarterly revenue of $4.9 billion, up 6% from a year earlier.
“We expect our commercial momentum to continue to accelerate in 2024, driving further long-term growth and margin expansion,” Chief Executive Officer Kevin Clark said in a statement.
The company also forecast an adjusted profit of $5.55 to $6.05 per share, compared with analysts’ consensus of $5.82.
(Reporting by Nathan Gomes and Shivansh Tiwary in Bengaluru; Editing by Maju Samuel)
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