Tenneco's moneymaking strategy this year has been to think small. And it's paid off. The auto parts maker reported third-quarter net income of $10 million, way up from the quarterly net loss of $8 billion it logged last year. The company's third-quarter revenue surged 23% over last year, to $1.5 billion, and it's on track to benefit from a new partnership with Nissan.
Tenneco struck a deal with Nissan in November to supply parts for Nissan's new line of compact cars including the Micra and March. The partnership is part of Tenneco's plan to capitalize on the growing market for light cars in Japan and in emerging markets.
Tenneco also wants to ramp up its production of car parts that help control emissions, like tailpipes, mufflers and catalytic converters. That should help companies like Nissan that sell cars in countries with stringent emissions standards meet regulations.