Auto parts company Magna International raises dividend, tops estimates

Auto parts company Magna International raises dividend, tops estimates
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AURORA, Ont. — Magna International Inc. raised its dividend as it reported a fourth-quarter profit attributable to the company of US$440 million.

The auto parts maker says it will now pay a quarterly dividend of 40 cents per share, up from 36.5 cents per share.

The increased payment to shareholders came as Magna says its latest profit amounted to US$1.43 per diluted share compared with a profit US$456 million or US$1.37 per diluted share a year ago when it had more shares outstanding.

Sales for the company, which keeps its books in U.S. dollars, totalled nearly $9.4 billion, down from $10.1 billion in the fourth quarter of 2018.

On an adjusted basis, Magna says it earned $1.41 per diluted share in its most recent quarter, down from an adjusted profit of $1.63 per diluted share in the same quarter a year earlier.

Analysts on average had expected an adjusted profit of $1.33 per share, according to financial markets data firm Refinitiv.

This report by The Canadian Press was first published Feb. 21, 2020.

Companies in this story: (TSX:MG)

The Canadian Press

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