Johnson Controls Inc. (JCI - Free Report) announced its plan to launch the dual battery model at the 2013 North American International Auto Show (NAIAS) in Detroit. The dual battery model runs on both traditional lead-acid battery and lithium-ion battery. The company believes that this micro hybrid technology will enhance the fuel efficiency of the vehicles.
The dual battery model will feature 12-volt lead-acid battery and 48-volt lithium-ion battery. The 48-volt battery will be used for high power loads like electric air-conditioner and active chassis technologies. The 12-volt battery will likely power the vehicle starter, interior and exterior lights, and entertainment systems.
Start-stop battery saves fuel by 5% to 12% in new vehicles by stopping the engine in traffic. Johnson Controls believes that this new technology will be more fuel efficient compared to the start-stop battery while maintaining vehicle performance.
Johnson Controls will also showcase its interior innovations at the 2013 NAIAS. This will improve the luxury experience of the drivers and passengers. The company will also launch its new Inspiration Seat at the show, which will transform the typical three-seat rear space into two lounge seats with plush armrests and a highly contented console.
Johnson Controls posted a 16.1% fall in earnings to 52 cents per share in the first quarter of fiscal 2013 ended Dec 31, 2012 from 62 cents in the same quarter of prior fiscal year as global demand for its products has weakened. However, profits surpassed the Zacks Consensus Estimate by a penny. Net income declined 16.5% to $354.0 million from $424.0 million in the first quarter of fiscal 2012.
Revenues in the quarter were flat at $10.4 billion, but exceeded the Zacks Consensus Estimate of $10.2 billion. Revenues remain unchanged as the benefit from strong business backlog was offset by weak demand across the globe, especially in Europe.
Johnson Controls is a supplier of automotive interiors, batteries, and other control equipment. Currently, it retains a Zacks Rank #3 (Hold).
Commercial Vehicle Group Inc. (CVGI - Free Report) , Oshkosh Corporation (OSK - Free Report) and Allison Transmission Holdings, Inc. (ALSN - Free Report) are performing well in the same industry, where Johnson Controls operates. Commercial Vehicle Group and Oshkosh Corporation are Zacks Rank #1 (Strong Buy) stocks and Allison Transmission is a Zacks Rank #2 (Buy) stock.