May 7 (Reuters) - Auto parts supplier BorgWarner ( BWA )
on Wednesday raised its annual sales outlook, citing expectation
of stronger foreign exchange and tariff-fueled customer
recoveries.
Shares of the company rose about 3% in premarket trade.
U.S. President Donald Trump's vacillating tariff policy has
disrupted companies across sectors, particularly in the
import-heavy auto industry.
Industry peer Magna plans to implement cost-saving
measures to cushion a hit from the tariffs, while Dublin-based
Aptiv's ( APTV ) forecast second-quarter profit above estimates.
BorgWarner ( BWA ) now expects annual net sales to be in the range
of $13.6 billion to $14.2 billion, compared to its prior
expectation of between $13.4 billion and $14.0 billion.
The company said it expects stronger foreign currencies to
lead to an increase in sales of $250 million compared to its
prior forecast.
On an adjusted basis, BorgWarner ( BWA ) earned $1.11 per share in
the first quarter ended March 31, compared with analysts'
estimates of 98 cents per share, according to data compiled by
LSEG.
Overall quarterly sales fell about 2% to $3.5 billion from a
year earlier, but outperformed estimates of $3.4 billion.