-- Linamar (LNR.TO) on Wednesday said it swung to a 17% year-over-year jump in first-quarter net profit on higher sales, topping analysts' estimates.
The auto parts, mobility and agricultural equipment manufacturer said it earned $195.8 million in the period, or $3.28 per share, up from a profit of $167.2 million, or $2.76, in the year-prior quarter. It exceeded FactSet analysts' estimates of $2.81.
Sales rose 16% to $2.94 billion from $2.53 billion, exceeding estimates of $2.80 billion.
The company said new 232 tariffs effective April 2026 will have more impact on the Industrial segment but are not impacting Linamar's overall business outlook to grow sales and earnings this year, and it is "actively working to further mitigate the impacts".
Linamar also declared a dividend of $0.29 per share on payable on or after June 5 to shareholders of record on May 25.
"2026 has started with a bang for us at Linamar with record sales, earnings and new business wins, again proving tariffs don't define competitiveness. Despite a dynamic tariff environment, more than 90% of our revenue is not impacted by the US tariff regime, meaning we can continue to perform and win. Distressed acquisitions also continue to create opportunity for excellent strengthening of our technology at reasonable cost as evidenced by another acquisition announcement in the quarter," said Executive Chair Linda Hasenfratz. "Our outlook is positive for continued growth top and bottom line where challenges are regularly transformed into opportunity and we are firing on all cylinders."
Linamar shares closed up $0.94 to $90.66 on the Toronto Stock Exchange.