Auto parts manufacturer Linamar (TSX:LNR) says its third quarter profit grew compared with last year as it cut capital expenditures by more than 50% and sold farming equipment.
The company reported sales of almost $1.64 billion in the three months ended September 30, down from $1.74 billion in the third quarter of 2019. Net earnings rose to $125.5 million, or $1.92 per diluted share, compared with earnings of $98.2 million, or $1.50 a diluted share a year ago.
The company also doubled its third-quarter dividend to 12 cents per share. Analysts surveyed by Refinitiv had expected the Guelph, Ontario-based company to report revenue of $1.59 billion and net income of $67.2 million, or $1.15 per share.
Linamar's improved earnings come after the company updated its third-quarter guidance in early October, saying that the Covid-19 pandemic had not hurt U.S. vehicle sales or manufacturing in Asia as much as previously expected.
Related Stories
