On August 6, U.S. time, Tenneco announced the second quarter of 2019 financial results, with a turnover of $ 4.5 billion (about 31.7 billion yuan), compared with $ 2.5 billion (about 17.6 billion yuan) last year. 'S turnover increased by 78% year-on-year. In addition, EBIT (earnings before interest, taxes and non-controlling interest) in the second quarter was US $ 141 million (approximately 990 million yuan), compared with US $ 111 million (approximately 780 million yuan) last year. ) 27% increase. Tenneco's turnover and profit increased, mainly due to the acquisition of Federal-Mogul in 2018.
In fact, both Tenneco and Federal-Mogul are well-known American parts suppliers. Among them, Tenneco is one of the world's leading manufacturers in the field of automotive suspension systems and exhaust systems, providing products and services to vehicle manufacturers around the world and the automotive aftermarket parts market, such as GM, Ford, Volkswagen, Dai Muller-Chrysler, Peugeot Citroen, Toyota and Honda are all stable customers of the company. Federal-Mogul was established in Detroit in the United States in 1899 and is also a century-old veteran parts manufacturer. In the 2018 Top 100 Global Auto Parts Suppliers List released by Automotive News in the United States, Tenneco ranked 32nd, while Federal-Mogul ranked 43rd. After the acquisition, Tenneco rose to 26th place on the 2019 Top 100 List.
Dating back to April 2018, Tenneco announced an agreement with Federal-Mogul to acquire the latter for $ 5.4 billion. Unlike other international market mergers and reorganizations, the ultimate goal of Tenneco's acquisition of Federal-Mogul is to achieve the re-separation of the two parties and establish two independent listed companies, a company focusing on after-sales and driving performance technology, and a company A company specializing in automotive power systems. It is reported that the split will be completed as soon as the second half of 2019.
In the environment where automobile downturns affect auto parts suppliers, mergers and acquisitions are a general trend for auto parts companies. Judging from the financial performance, Tenneco clearly has more than enough downstream pressure in the market. For the full-year outlook for 2019, Tenneco expects total revenue of $ 17.6 billion to $ 17.8 billion. The value-added adjusted earnings before interest, tax, depreciation and amortization are 10.4% -10.6%, and adjusted earnings before interest, tax, depreciation, and amortization $ 1.515 billion to $ 165 million.