May 1, 2018 3:15 PM, EDT

Haldex AB Net Income More Than Doubles in 1Q

Haldex factoryHaldex Group

Haldex AB reported net income doubled in the first quarter as revenue rose 9% amid growing demand for the Scandinavian company’s brake adjusters, disc brakes and actuators.

Net income for the period ended March 31 was the equivalent of $6.7 million, or 15 cents per share, compared with $3.3 million, or 7 cents, in the same quarter of 2017. Sales were $144 million compared with $132 million.

Bengtsson via Haldex

Bengtsson via Haldex

The Landskrona, Sweden-based company reports in krona.

“Haldex’s market is going through a transformation. In the short term, we are facing a shift in technology from drum brakes to disc brakes in North America and a sharp increase in demand for automatic brake adjusters due to a change in Chinese legislation,” Haldex CEO Åke Bengtsson said in a statement released with the earnings report. “Haldex handled both the short-term and long-term changes well at the beginning of 2018.”

Market conditions improved in all of Haldex’s geographic regions during the first quarter, according to the company’s earnings statement, and Haldex grew faster than the market in Europe, Asia and South America. The North American market grew the most with the highest levels of produced trucks and trailers since 2014.