Magna International Inc. (TSX: MG; NYSE: MGA) today reported financial results for the first quarter ended March 31, 2019. Please click HERE for full first quarter Financial Statements and MD&A.
Don Walker, Magna’s Chief Executive Officer
“We have revised our Outlook for 2019 to reflect lower vehicle production globally. In addition, we are seeing margin pressure in our Power & Vision segment related to higher program engineering and other costs for certain new ADAS programs and at a Getrag joint-venture in China due to lower than previously anticipated sales. Despite these matters, we remain confident in our ability to outpace production in our markets, generate strong free cash flow, and create value for our shareholders.” – Don Walker, Magna’s Chief Executive Officer
Vince Galifi, Magna’s Chief Financial Officer
“Despite the lower production environment and some challenges we are facing in certain businesses, free cash flow generation was strong in the first quarter. We expect to generate between $1.8 and $2 billion of free cash flow this year, an increase from 2018.” – Vince Galifi, Magna’s Chief Financial Officer
SALE OF FLUID PRESSURE & CONTROLS BUSINESS
During the first quarter of 2019, we completed the sale of our Fluid Pressure & Controls business to Hanon Systems for total consideration of $1.23 billion. We reported a gain of $516 million on the transaction and received proceeds, net of transaction costs and income taxes, of $1.1 billion.
Please click here to view the full press release.
SOURCE: Magna
