) has announced the opening of its first manufacturing plant in
Osaka, Japan. The company plans to expand its business in the
country with this facility and its engineering and manufacturing
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TENNECO INC (TEN): Free Stock Analysis Report
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The Osaka plant will manufacture emission control systems for
Kubota, which is one of the leading global manufacturers of engines
and equipment for agricultural and industrial applications. The
plant will also be manufacturing diesel after-treatment systems
including diesel oxidation catalysts and diesel particulate filters
for commercial vehicle applications over the period.
Tenneco, the leading maker of emission control and ride control
systems, currently supports customers in North America, Europe,
Brazil, China, India, South Korea and Japan to comply with the
stringent emissions standards worldwide. Other than the Osaka
plant, the company operates in Japan with technical center in
Yokohama and offices in Nagoya and Hiroshima.
Tenneco plans to improve its capabilities in Japan along with
providing the customers with the leading technologies, outstanding
engineering support and cost-effective solutions. At present, the
company provides emission control and ride control products to
seven Japan-based light vehicle manufacturers.
Tenneco, in the second quarter of 2012, registered a 40% increase
in profit (excluding special items) to $70 million or $1.14 per
share from $50 million or 81 cents in the comparable quarter last
year. The earnings per share also breezed past the Zacks Consensus
Estimate by 17 cents.
Total revenues increased marginally to $1.92 billion, but failed to
meet the Zacks Consensus Estimate of $2.04 billion. The
year-over-year growth was attributable to a rise in production of
light vehicles in North America and China along with higher
commercial vehicle revenues around the world.
Tenneco, which competes with
), maintains a Zacks #3 Rank, which translates into a short-term (1
to 3 months) Hold rating. Currently, we have a long-term Neutral
recommendation on the stock.