UPDATE 1-Delphi reports higher quarterly profit
DETROIT, July 31 (Reuters) - Auto parts supplier Delphi Automotive Plc on Wednesday posted a higher second-quarter profit due to an acquisition from last fall and stronger demand in Asia. Delphi, which was spun off from General Motors in 1999 and emerged from bankruptcy in 2009, also forecast a weaker-than-expected profit in the current quarter. Net income in the second quarter rose 11 percent to $367 million, or $1.17 a share, from $330 million, or $1.01 a share, in the year-earlier quarter. Excluding one-time items, Delphi earned $1.24 a share, 10 cents more than analysts expected, according to a poll by Thomson Reuters I/B/E/S. Revenue rose 6 percent to $4.24 billion, in line with Wall Street expectations, mostly due to the acquisition of the motorized vehicles division from FCI Group last fall. Adjusting for currency exchange, commodity movements and acquisitions, revenue rose 1 percent. Revenue grew 9 percent in Asia, 4 percent in North America and 13 percent in South America, while declining 7 percent in Europe. Sales rose 19 percent in the company's electrical business and 3 percent in electronics and safety unit, but fell 7 percent each in the powertrain and thermal systems businesses. In May, Delphi reported a 20-percent drop in its first-quarter profit on lower sales in Europe and North America, and increased its cost cutting. It said at the time it was expanding the restructuring program it began in the fourth quarter by $75 million to about $375 million. For the third quarter, Delphi said it expects adjusted earnings of 86 to 94 cents a share and revenue in the range of $3.95 billion to $4.05 billion. Analysts were expecting a profit of $1.05 a share on revenue of $4.05 billion. For the year, it said it now expects earnings in the range of $4.22 to $4.45 a share, up from its previous forecast of $4.15 to $4.41. It expects revenue in the range of $16.3 billion to $16.5 billion, compared with its previous forecast of $16.2 billion to $16.6 billion. Analysts were expecting a full-year profit of $4.37 a share on revenue of $16.39 billion.