Tenneco Inc. (NYSE: TEN) reported fourth quarter net income of $33 million, or 54-cents per diluted share, compared with net income of $30 million, or 49-cents per diluted share a year ago. On an adjusted basis, net income rose to $40 million, or 66-cents per diluted share, compared with $32 million, or 53-cents per diluted share, a year ago.
EBIT (earnings before interest, taxes and noncontrolling interests) was $84 million versus $88 million in the fourth quarter 2011. Adjusted EBIT was $94 million versus $89 million. The benefit from incremental new light vehicle platforms and higher light vehicle volumes, and effectively controlling operational costs drove the company’s highest-ever fourth quarter adjusted EBIT.
These results include $5 million in fourth quarter expense, representing 6-cents per diluted share, for deferred and long-term compensation indexed to the company’s stock price which rose 25% during the quarter.
“Despite volume weakness late in the year, we recorded our highest-ever annual revenue and continued to deliver year-over-year adjusted EBIT margin improvement in the fourth quarter and the full year,” stated Gregg Sherrill, chairman and CEO, Tenneco. “Our focus on operational excellence drove our earnings improvement as we effectively converted on light vehicle revenues in North America and China, and benefitted from strong execution on the launch of commercial vehicle programs. I’m also pleased with the strong cash generation driven by higher earnings and effective working capital management.”
Adjusted Fourth Quarter 2012 and 2011 Results
|(millions except per share amounts)||Q4 2012||Q4 2011|
|Net income||Net income|
|attributable to||attributable to|
|EBITDA*||EBIT||Tenneco Inc.||Per Share||EBITDA*||EBIT||Tenneco Inc.||Per Share|
|Adjustments (reflects non-GAAP measures):|
|Restructuring and related expenses||3||3||2||0.04||1||1||-||0.01|
|Asset impairment charge||-||7||7||0.11||-||-||-||-|
|Net tax adjustments||-||-||(2||)||(0.03||)||-||-||2||0.03|
|Non-GAAP earnings measures||$||144||$||94||$||40||$||0.66||$||140||$||89||$||32||$||0.53|
|* EBITDA including noncontrolling interests (EBIT before depreciation and amortization)|
In addition to the items set forth above, the tables at the end of this press release reconcile GAAP to non-GAAP results.