Tax errors lead Superior to restate its results

Superior Industries International Inc., a Van Nuys automotive wheel maker, said Friday that it would restate results dating to 2003 because of tax errors. The company also posted a fourth-quarter profit that beat analysts’ estimates.

Deferred tax liabilities were incorrectly accounted for in 2003 through part of 2007, Superior said in a regulatory filing. The cumulative effect over those years will be an estimated $1.4-million increase in net income, the company said.

“A material weakness exists in the company’s internal controls over financial reporting” related to deferred taxes, and other weaknesses might be found, Superior said.

The errors stemmed from differences between the book and tax values of some assets that weren’t reconciled, the company said. Superior last month named Erika H. Turner to succeed Chief Financial Officer Jeffrey Ornstein, who retired last year.

Fourth-quarter net income was $5.76 million, or 22 cents a share, compared with a net loss of $5.37 million, or 20 cents, a year earlier, Superior said in a separate statement.

Earnings topped the 18-cent average estimate of analysts surveyed by Bloomberg. Superior shares gained 69 cents, or 3.6%, to $19.79.

Revenue increased 8% to $229.2 million on sales of larger, more-expensive wheels, Superior said. The average wheel price climbed 7.1%. Superior makes wheels for vehicles including General Motors Corp.’s Chevrolet Corvette.