Tenneco Inc. ( TEN ) announced that its ride performance and clean air technologies will be deployed in General Motors Company 's ( GM ) 2013 Chevrolet Malibu and Malibu Eco sedan. Tenneco will be supplying the engineering and manufacturing resources for the launch of Malibu in different global markets.
Tenneco is a global supplier of General Motors and supports the auto manufacturer in the production of Chevy in North America, China and Korea. It also helps GM in producing Buick Regal and LaCrosse models in North America and China and Opel Insignia model in Europe.
Tenneco will be supplying both the hot and cold-end emission control systems for the 2.4L Ecotec four-cylinder engine, 2.5L Ecotec four-cylinder engine and the new Ecotec 2.0L turbocharged engine. It will also supply front strut modules, rear shock absorbers and exhaust isolators to GM.
The hot-end exhaust systems for the Malibu are manufactured at Tenneco's Smithville, Tenn. and Seward, Nebr. facilities while converters are supplied from the Litchfield, Mich. plant.
Tenneco produces the cold-end exhaust systems at the Cambridge, Ontario and Seward, Nebr. plants. Ride control components are produced in Hartwell, Ga. and Kettering, Ohio plant and exhaust isolators are manufactured at the Suzhou, China facility. In addition, the company's emission control technical centers in Edenkoben, Germany, Grass Lake, Michigan and Shanghai, China provides engineering and system integration support
Tenneco, a Zacks Rank #2 (Buy) stock, reported an adjusted profit of $40.0 million or 66 cents per share in the fourth quarter 2012, up 25% from $32.0 million or 53 cents in the corresponding quarter a year ago. However, earnings missed the Zacks Consensus Estimate by 2 cents.
Revenues decreased 1.7% to $1.75 billion, missing the Zacks Consensus Estimate of $1.78 billion. Excluding substrate sales and currency impact, revenues increased 1.9% to $1.39 billion. The year-over-year increase in revenues was attributable to a rise in sales volume of light vehicles in North America and China and higher North American aftermarket sales.