Magna International Inc reports higher sales on U.S. demand

Magna on Thursday reported a 7 per cent drop in quarterly sales, hurt by a stronger dollar.

Canadian auto parts maker Magna International Inc reported better-than-expected quarterly sales, helped by demand in the usa.

Magna also raised its full-year operating margin forecast on Thursday. The organization sold much of its vehicle interiors business, typically a lower-margin business, to Spain\’s Grupo Antolin in April.

U.S. auto sales rose in the first three months of the year, helped by low gasoline prices and simpler availability of credit.

Magna\’s quarterly sales, however, were hurt by a strong dollar as the company gets up to 50 % of its total revenue from outside North America.

The dollar has surged 19 per cent against a gift basket of major currencies previously 12 months, making sales denominated in other currencies less valuable in dollar terms.