Magna expects sales to be hurt by sale of fluid pressure and controls business
The Canadian Press
Fluid Power Automotive MagnaMagna signed a deal in September to sell its fluid pressure and controls business to Hanon Systems.
AURORA, Ont. – Magna International Inc. says it expects its sales this year will be weighed down by a stronger U.S. dollar and the sale of its fluid pressure and controls business.
The Ontario-based auto parts maker, which keeps its books in U.S. dollars, says it expects total sales of US$40.2 billion to $42.4 billion for 2019.
The company expects net income for the year to total $2.1 billion to $2.3 billion.
Read More: Magna to sell fluid pressure and controls business
Capital spending for 2019 is forecast to be about $1.7 billion.
Magna signed a deal in September to sell its fluid pressure and controls business to Hanon Systems, a South Korea-based company, for roughly $1.23 billion.
The deal is expected to close in the first quarter of 2019.
