Nexteer Reports Full Year 2020 Financial Results
- Wall Street ends week positively; S&P 500, Dow hit record highs
- Bitcoin (BTC) Drops 3% as Turkey Bans Cryptocurrency Payments Citing Lack of Regulatory Supervision
- Morgan Stanley (MS) Archegos-Related Loss Appears to be $911M
- Dollar at 4-week low on retreating Treasury yields
News and research before you hear about it on CNBC and others. Claim your 1-week free trial to StreetInsider Premium here.
AUBURN HILLS, Mich., March 17, 2021 /PRNewswire/ -- Nexteer Automotive today reported annual results for its fiscal year ended December 31, 2020. The Company's 2020 financial results were significantly impacted by lower OEM vehicle production and temporary operations shutdowns across all regions in the first half of the year as a result of the COVID-19 pandemic. Throughout 2020, Nexteer successfully navigated through an unprecedented and challenging environment and capitalized on recovering OEM demand in the second half of 2020.
Full Year 2020 Financial Results; Strong Performance in Second Half 2020Nexteer reported 2020 revenue of US$3.032 billion which was lower by 15.2% when compared with 2019, while outperforming the market by 1%. Revenue in the second half of 2020 of $1.821 billion increased by 4.5% when compared with the same period last year, and 50.4% when compared with the first half of 2020. Revenue growth in the second half of 2020 outperformed the market by 4% when compared with same period in 2019 and 6% when compared with the first half of 2020.
Profit attributable to equity holders for 2020 was US$116.8 million which was lower by 49.8% compared with 2019, largely reflecting the impact of the sharp decline in revenue experienced in the first half of 2020 as a result of the pandemic. Profit attributable to equity holders in the second half of 2020 of $115.5 million, rose by $14.1 million, or 14.0%, when compared with the same period in 2019, and $114.2 million when compared with the first half of 2020.
For the full year 2020, Nexteer generated US$131.8 million in cash flow from operating activities less cash used for investing activities and the balance sheet remained strong at December 31, 2020.
"In 2020, the COVID-19 pandemic was an unexpected, global challenge to us all, but our organization quickly adapted and navigated through – focusing on employee health and safety and learning new ways to operate and move the business forward despite this adversity," said Guibin Zhao, CEO of Nexteer Automotive. "Nexteer's financial performance in the second half of 2020 reflects our financial resiliency and our global team's ongoing discipline and focus in successfully navigating an unprecedented year of uncertainty and volatility. Going forward, Nexteer remains focused on where the industry is heading through strategic alignment on the industry megatrends – such as Electrification, Software, Autonomy and more."
47 Successful New Customer Program LaunchesIn 2020, Nexteer further diversified across customers, products and markets with 47 customer program launches during the year (compared to 45 launches in 2019). These programs spanned multiple customers, product lines and regions.
Bookings and BacklogIn the second half of 2020, Nexteer strongly ramped up customer program awards and achieved new customer program awards (bookings) of $3.7 billion for the full year – of which 39% represented conquest awards. Nexteer also retained all customer programs as the incumbent supplier for the third consecutive year. Nexteer's Backlog of Booked Business stood at US$24.6 billion at the end of 2020.
Technology Leadership and Portfolio-to-Trend AlignmentNexteer remains focused on strategic alignment with the convergence of key megatrends. Because the Company's product portfolio is well positioned to support Electrification, Software, ADAS – Advanced Safety and Performance and Mobility-as-a-Service, Nexteer plans to capitalize on its in-house technology efficiencies to support OEMs' priorities.
Nexteer continues to leverage its deep technical competencies in developing innovative products and value propositions to drive future growth and customer diversification. The Company expands its core competencies to broaden its product portfolio – for example leveraging its Electric Power Steering (EPS) expertise into Dual-Pinion-Assist EPS (DPEPS) and High-Output Rack-Assist EPS (HO REPS) and leveraging its Columns expertise for Stowable Steering Columns. Nexteer also continues to grow the Company's capabilities in software and extend its expertise in electronics and motors into adjacent markets.
ABOUT NEXTEER Nexteer Automotive (HK 1316), a global leader in intuitive motion control, is a multi-billion dollar global steering and driveline business delivering electric and hydraulic power steering systems, steering columns, driveline systems, as well as advanced driver assistance systems (ADAS) and automated driving enabling technologies for original equipment manufacturers (OEMs). The company has 27 manufacturing plants, four technical and software centers and 13 customer service centers strategically located in North and South America, Europe, Asia and Africa. The company serves more than 60 customers in every major region of the world including BMW, Ford, GM, Stellantis, Toyota and VW, as well as automakers in India and China. www.nexteer.com
Links to Nexteer Media Center
View original content to download multimedia:http://www.prnewswire.com/news-releases/nexteer-reports-full-year-2020-financial-results-301249057.html
SOURCE Nexteer Automotive
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Elbit Systems Awarded a $1.65 Billion Contract for Flight Training Program, as Part of Agreement Between Israeli and Hellenic Ministries of Defense
- Arabic Language Armenian Genocide Source Materials Now Available On Armenian National Institute Website
- Former Andrews McMeel Universal Vice Chairman and Andrews McMeel Publishing CEO Kathleen Andrews Dies