(Reuters) – Forvia, the automotive supplier born out of Faurecia’s takeover of German rival Hella, reported lower-than-estimated half-year profit on Monday due to chip shortages, the war in Ukraine and restrictions related to the health crisis in China.
The group, which sealed its takeover of German automotive lighting group Hella in January, reported consolidated operating profit of 426 million euros for the first six months of 2022, or 3.7% of sales.
Analysts polled by Visible Alpha had on average forecast operating profit of 436.1 million euros with a margin of 4.0%.
After two years of disruption due to the coronavirus pandemic, the group is facing new supply problems due to health restrictions in China and Russia’s invasion of Ukraine.
“We are confident that the second half will enable us to improve our first half performance and fully confirm our objectives for the year,” Faurecia Chief Executive Patrick Koller said in a statement.
Forvia posted first-half revenue of €11.62 billion, beating analysts’ estimates of €11.02 billion.
(Report Elena Vardon and Juliette Portala, French version Diana Mandiá)
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