(Reuters) - Delphi Technologies Plc said on Friday Chief Executive Officer Liam Butterworth was stepping down, and the auto parts supplier cut its full-year revenue forecast, sending its shares down 8 percent.
The company, which also trimmed its full-year adjusted operating margin expectation, named automobile industry veteran Hari Nair as interim CEO to replace Butterworth, who assumed the role in December after Delphi was spun off from Delphi Automotive, now known as Aptiv Plc.
Nair’s appointment as the interim chief “points to a transition planned in a hurry,” Evercore ISI analyst Chris McNally wrote in a note.
Nair has been a director at Delphi since the spinoff and has previously worked at Tenneco Inc and General Motors Co.
Delphi said it expects full-year revenue to be flat compared with a year earlier, citing challenging industry conditions. The company earlier forecast a growth of 2 percent to 4 percent.
“Investors had clearly anticipated a cut to 2018-2020 numbers on poor global production and lower diesel penetration, but this is much worse than expected,” McNally said.
The company also cut its full-year adjusted operating margin forecast range to 11.3 percent to 11.5 percent, from 12.1 percent to 12.3 percent earlier.
Delphi’s board has started a comprehensive search to identify a permanent CEO.
The company’s shares were down 7.7 percent at $27.54. The stock is down about 41 percent since listing on the New York Stock Exchange in late November through Thursday’s close.
Reporting by Arunima Banerjee in Bengaluru; Editing by Maju Samuel and Sriraj Kalluvila