HMC Honda Motor Co Ltd

BorgWarner Inc. (BWA) has started supplying compact plug top ignition coils for Fiat's new 0.9L TwinAir gasoline engine. BorgWarner used advanced ignition technology in its compact and modular ignition coils to accommodate the tight spacing available in modern day’s downsized engines. Alongside, these coils are designed so as to provide more power and better starts.

BorgWarner expects this new technology to be widely accepted and thus to attract several new customers. The new ignition technology produces higher combustion energy and greater ignition voltage resulting in fewer emissions, greater fuel economy and increased performance. At the same time, durability and reliabity are also believed to improve due to the use of synthetic materials and secure component connection technology inside the body of the ignition coil.

BorgWarner is considered a leading manufacturer of powertrain products for the world's major automakers, including Ford Motor Co. (F), Toyota Motor Corp. (TM), Nissan Motor Co. Ltd (NSANY), General Motors Company (GM), Hyundai Motor Co., Daimler AG, Chrysler, Fiat, BMW and Honda Motor Co. Ltd (HMC).

The company has a long-standing experience in the field of turbocharging systems, serving numerous customers in 18 countries worldwide. The company’s engine segment comprising turbochargers, chains, and emission and thermal systems generates more than 70% of its total revenue. 

During the first quarter of 2011, BorgWarner posted a record 59% year-over-year EPS growth mainly driven by increased demand for the company’s advanced powertrain technology. EPS for the quarter was $1.00 compared with 63 cents a year ago. Sales also improved significantly to $1.73 billion during the quarter from $1.29 billion in the corresponding period of 2010.

The company recently acquired Haldex Traction Systems, with an objective to expand its business in the global all-wheel drive market. The company has raised its revenue growth guidance for full year 2011 in the 19% and 23% range from its prior guidance of 16%-20%. However, BorgWarner reiterated its 2011 earnings guidance range of $3.85 to $4.15 as the costs incurred for the acquisition will most likely offset the operating income generated by the business.

 
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