NOVI, Mich.—Cooper Standard Holdings Inc., parent company of Cooper Standard Automotive Inc., reported an increase in net income despite declining sales thanks to unfavorable currency exchange rates, the firm said in a May 8 presentation of its financials.
Net income attributable to the firm came in at $21 million compared to $19.7 million in 2014. Sales dropped to about $800.1 million from $837.6 million last year as a result of what it said was a $77 million impact from unfavorable foreign currency exchange rates in addition to price adjustments.
Cooper Standard said sales were $877.1 million without the impact from foreign currency exchange rates, which would have been a 4.7 percent increase compared to 2014.
The firm reported a gain of $11.6 million in net income thanks to becoming the majority shareholder of its Chinese joint venture. On Feb. 27, the firm completed its acquisition of Huayu Automotive System Co.'s share in Huayu-Cooper Standard Sealing Systems Co., Ltd. (Shenya), making Cooper Standard the 95 percent equity owner, with 5 percent retained by the Shanghai Zhaotun Collective Assets Managing Co.
The firm disclosed earlier that it invested $60 million to purchase Huayu Automotive Systems' stake.
Cooper Standard reported adjusted EBITDA of $80.8 million, a slight improvement from $80.6 million in 2014.
“One of the foundational pillars of our strategy is the establishment of world class operations,” CEO Jeffrey Edwards said on conference call discussing the results. “We believe the continuing implementation of the Cooper Standard operating system throughout each of our factories will enable us to reach our longer term goals to achieve adjusted EBITDA margins in the mid-teens within the next few years.”