Aptiv profit tanks 74% on supply chain snags, higher costs

div classBodysc17zpet90 cdBBJodivpReuters – Aptiv Plc posted lower firstquarter profit on Thursday, as surging raw material prices and a shortage of electrical components hindered the auto part suppliers deliveries in the quarter.p

pAptiv, whose primary customers include Stellantis NV, Volkswagen AG and General Motors Co, supplies several key electrical components and software for modern vehicles that are used for everything from infotainment systems to integrated driver safety systems. pdivdivdiv classBodysc17zpet90 cdBBJodiv

pHowever, rising prices of raw materials and a global semiconductor shortage forced several automakers to slash their production cycles and in some cases even produce cars without certain features, thereby impacting Aptivs orders.p

pThe company in its last quarter also warned that inflationary pressures would continue to have an impact on its operations.p

pNet income attributable to ordinary shareholders fell to 73 million, or 27 cents per share, for the three months ended March 31, from 279 million, or 1.03 cents per share, a year earlier. p

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pp Reporting by Nathan Gomes in Bengaluru Editing by Rashmi Aichp

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