(Reuters) -Canadian auto parts supplier Magna International said on Friday that it plans to implement cost-saving measures to cushion the hit from U.S. President Donald Trump’s sweeping tariffs.<\/p>\n
The cost-cutting plans come after the company missed first-quarter profit estimates due to a 3% decline in global vehicle production, with Magna especially impacted by Tata Motors’ Jaguar halting production of I-Pace and E-Pace.<\/p>\n
Trump’s wavering tariff policies could further roil Magna’s financials, as they have forced U.S. auto companies to rethink part sourcing and production output.<\/p>\n
“We are actively advancing several initiatives, including operational excellence, restructuring, commercial recoveries, and reduced capital and engineering spending to mitigate the impact of tariffs,” said Magna CEO Swamy Kotagiri.<\/p>\n
Further details on the cost cuts could be the key focus for investors on the company’s conference call with analysts later in the day.<\/p>\n
On an adjusted basis, Magna earned 78 cents per share for the quarter through March, compared with analysts’ estimates of 90 cents per share according to data compiled by LSEG.<\/p>\n
Overall quarterly sales fell about 8.2% to $10.07 billion from a year earlier but outperformed estimates of $9.7 billion.<\/p>\n
Its peer Aptiv, however, forecast its second-quarter profit above analysts’ estimates on Thursday, betting on benefits from its previously employed cost-saving measures.<\/p>\n
(Reporting by Nathan Gomes in Bengaluru; Editing by Leroy Leo)<\/p>\n","protected":false},"excerpt":{"rendered":"(Reuters) -Canadian auto parts supplier Magna International said on Friday that it plans to implement cost-saving measures to…\n","protected":false},"author":2,"featured_media":68759,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3090],"tags":[51,1700,34579,6202,34580,16,15],"class_list":{"0":"post-68758","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-business","9":"tag-economy","10":"tag-magna-international","11":"tag-president-donald-trump","12":"tag-profit-estimates","13":"tag-uk","14":"tag-united-kingdom"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114439021292547693","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/68758","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=68758"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/68758\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/68759"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=68758"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=68758"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=68758"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}