(Alliance News) - TI Fluid Systems PLC on Thursday said it was "on track" to hit full-year targets although sales fell modestly at the start of 2024.
Shares in TI Fluid, the Oxford, England-based company that designs and manufactures thermal management and fluid handling systems, rose 1.3% to 138.20 pence in London on Thursday.
In a trading update for the first quarter ended March 31, the company said revenue declined 2.6% to EUR847.0 million from EUR869.8 million. At constant currency revenue eased 0.4%.
Growth in the Europe, Middle East & Africa division was offset by declines in Asia Pacific and the Americas, TI Fluid said.
In Asia Pacific, lower revenue in China was partially offset by strength in Japan and India.
In the Americas, the exit of a less profitable product line resulted in a revenue headwind of over 500 basis points. Excluding this, the region grew well, TI said.
Total bookings in the quarter were at a "strong level" of EUR685 million, up 6% from a year prior, while operational efficiency and productivity measures remain on track, the company said.
TI Fluid expressed confidence in the full year outlook for flat to low single-digit constant currency revenue growth. It predicts adjusted earnings before interest and tax margin expansion to above 7.4%.
Adjusted free cash flow conversion of around 30% of adjusted earnings before interest, tax, depreciation and amortisation.
Chief Executive and President Hans Dieltjens called it a "good start to 2024" reflecting a "strong market position."
He highlighted an increase in total bookings "demonstrating the benefits and resilience of our agnostic portfolio."
"While it is early in the year, our first quarter performance underpins our confidence that we are on track to achieve our 2024 outlook," he added.
By Jeremy Cutler, Alliance News reporter
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TI Fluid Systems (TIFS)