Canadian supplier Linamar Corp. reported a decline in fourth-quarter sales in its transportation segment as a result of the UAW strike at General Motors last year.
The supplier of transmission gears, all-wheel-drive systems and e-axles said Wednesday that overall sales decreased nearly 7 percent to $1.17 billion (USD) in the fourth quarter. The strike cost the company about $93 million in sales.
The strike lasted from the third quarter into the fourth and impacted several other major suppliers. Linamar previously estimated that the strike was costing the company up to $750,000 in earnings a day.
Linamar, based in Guelph, Ontario, Canada, said its fourth-quarter net earnings fell 60 percent to $36 million.
Normalized earnings before interest, taxes, depreciation and amortization fell 10 percent to $160.6 million.
Free cash flow was approximately $275 million in the fourth quarter.
“A few factors were a challenge this quarter and hurt our results,” CEO Linda Hasenfratz said in a…