Toronto, Ontario — This week, VinFast gets approval to list on Nasdaq; Axalta reports its Q2 2023 results and auto parts manufacturer Martinrea doubles its adjusted net earnings compared to Q2 2022.
Go for VinFast
Vietnamese electric vehicle manufacturer VinFast will soon trade on the Nasdaq, following the approval of its merger into a special purchase acquisition company (SPAC) was approved last week.
Shareholders of Black Spade Acquisition, a Hong-Kong-based blank-check company, approved the merger with VinFast last Thursday, and the automaker anticipates its listing will go live “on or around Aug. 15.”
The merger values VinFast, which brought its first cars to Canada last spring, at approximately $23 billion.
VinFast will be listed under the ticker symbol VFS.
Pricing efforts and paint financials
Second quarter net sales increased 4.8 percent year-over-year. Volumes decreased by 3.7 percent as market demand in mobility coatings and refinish was more than offset by temporary operational delays in North America, the company wrote in its accompanying press release.
Net sales in the refinish segment were reported at US$520.7 million, up six percent from Q2 2022. This was driven by, “price mix improvement of 10 percent, supported by new and carry-over pricing efforts,” wrote Axalta.
Mobility Coatings net sales increased 15.5 percent to US$437.9 million, led predominantly by strong volumes and modest improvement in price mix, said the coatings giant.
Light Vehicle net sales increased 16.7 percent year-over-year to US$330.2 million, led by volume growth of 14.9 percent–consistent with global light vehicle build rates. Commercial Vehicle net sales increased 12.0 percent year-over-year to US$107.7 million, led by volume growth of 6.7 percent and price-mix improvement of 3.6 percent.
Despite notable stabilization in June, warehouse management and slower shipping activities in the quarter resulted in an estimated negative two-to-three percent year-over-year net sales impact and drove an elevated quarter-end sales backlog, most notably in Refinish, said Axalta.
Click here for more information on Axalta’s Q2 2023 results.
Mega quarter for Martinrea
Ontario-based auto parts supplier Martinrea delivered record revenues and adjusted earnings for Q2 2023, the company announced last week.
The company marked $1.36 billion in sales for Q2 2023, up from $1.1 billion in Q2 2022.
Adjusted net earnings were almost double that of Q2 2022 at 62 cents per share in Q2 2023.
Company CEO Pat D’Eramo credited the “strong” results to continued improvement in the auto sector.
The company also noted that new business partnerships with automakers General Motors, Daimler, Volvo and “others”, will represent $150 million in annualized sales “at mature volumes.”
D’Eramo also said the company is “making progress on [its] commercial activity, working to offset inflationary costs and volume instability [it] continues to face.”
Martinrea maintains its 2023 outlook, which anticipates annual total sales between $4.8 and $5 billion.
