--> JCI Flat Pre-Market - very low volume
Reports Q1 (Dec) earnings of $0.69 per share, in-line with the Capital IQ Consensus Estimate consensus of $0.69; revenues rose 4.7% year/year to $10.91 bln vs the $10.76 bln consensus.
Automotive Experience revenues in the fiscal first quarter of 2014 were $5.8 billion, up 10% compared to the 2013 quarter, reflecting higher automotive production in all geographic regions. Automotive industry production in the quarter increased 5% in North America, 2% in Europe and 14% in China. Seating and Interiors sales increased at a double digit rate, while Electronics sales were up 7%. Revenues in China, which are primarily related to Seating and generated through non-consolidated joint ventures, increased 33% to $1.9 billion.
Automotive Experience segment income was $232 million, more than double the $101 million reported in the first quarter of 2013. The increase was primarily led by improvements in the company's Seating business, with segment income of $176 million in the current quarter, compared with $85 million last year. The Automotive Experience improvement was a result of the higher global production levels, benefits from cost reduction initiatives and improved operational performance in the company's metals and mechanisms business.
Co issues in-line guidance for Q2, sees EPS of $0.64-0.66 vs. $0.66 Capital IQ Consensus Estimate.
Co reaffirms guidance for FY14, sees EPS of $3.15-3.30 vs. $3.27 Capital IQ Consensus Estimate; FCF of $1.6 billion and segment margin improvements in all three of its businesses for the full 2014 fiscal year.
"The significant improvement in profitability resulted from our focus on execution and cost discipline. We also benefitted from the higher levels of global automotive production," said Alex Molinaroli, Johnson Controls chairman and chief executive officer. "While Building Efficiency revenues were lower than last year, there are early indications of improving global commercial buildings markets, which should positively impact the business later in the year. The results in the quarter are consistent with the expectations we disclosed at our analyst day in December."