Harman Int'l fiscal 2Q profit rises 12 percent

STAMFORD, Conn. (AP) — Speaker and home theater system maker Harman International Industries Inc.'s fiscal second-quarter earnings climbed 12 percent, as growth in China and strong demand in the luxury automotive segment helped sales.

The Stamford, Conn., company said Tuesday it earned $59 million, or 82 cents per share, in the three months that ended Dec. 31. That's up from net income of $53 million, or 74 cents per share, in the previous year's quarter. Adjusted earnings, which exclude restructuring charges, were 83 cents per share.

Revenue climbed 18 percent to $1.13 billion.

Analysts surveyed by FactSet expected, on average, earnings of 79 cents per share.

The company's stock climbed 4.6 percent, or $2.03, to $46.54 in Tuesday afternoon trading, outpacing the New York Stock Exchange's gain of less than 1 percent. Harman shares have climbed steadily from below $35 since about mid December.

Harman said in August that it was reorganizing its automotive and consumer divisions to create two new divisions — lifestyle and infotainment — to help boost its profits and better align the company with consumer lifestyles.

The lifestyle division serves both the home and vehicle audio needs. The infotainment division covers vehicle technologies such as navigation, hands-free, Internet and wireless connectivity and safety systems including camera, infrared, and laser technologies.

Lifestyle and infotainment sales both climbed 20 percent to $369 million and $600 million, respectively.

Selling, general, administrative and other expenses also climbed 5 percent to $210 million.