UPDATE 1-Harman rides on sales to European luxury cars, raises forecast
Jan 30 (Reuters) - Harman International Industries Inc reported a stronger-than-expected 53 percent jump in quarterly profit and raised its full-year forecast, fueled by strong sales of its infotainment systems to luxury car makers.
Shares of Harman, whose customers include BMW and Volkswagen, were up 5.5 percent before the bell on Thursday.
Harman, known for brands such as JBL and Harman Kardon, said it expects adjusted earnings of about $4.16 per share on revenue of about $5.1 billion for the year ending June.
It had previously forecast adjusted earnings of about $3.85 per share on revenue of about $4.7 billion.
A nascent recovery in Europe's automotive industry, Harman's biggest market, helped the company seal more contracts for its new products in the second quarter.
Volkswagen's Audi and Porsche reported double-digit volume growth in the United States and China in 2013. No. 1 luxury carmaker BMW sold a record number of BMW and Mini cars in China, now its biggest market.
Harman said revenue in the infotainment business jumped 28 percent to $691 million, accounting for about 52 percent of total revenue.
The unit provides integrated navigation, entertainment and communication systems to luxury carmakers.
Harman's net income rose to $72 million, or $1.03 per share, in the second quarter ended Dec. 31, from $47 million, or 68 cents per share, a year earlier.
Excluding items, the company earned $1.09 per share.
Revenue rose 26 percent to $1.33 billion.
Analysts on average had expected earnings of 95 cents per share on revenue of $1.24 billion, according to Thomson Reuters I/B/E/S.
Harman's shares have risen 77 percent since touching a year-low after the company reported weak results a year earlier. They were trading at $92 on Thursday.