Magna International (MGA) lowered its full-year sales outlook on Friday as third-quarter results trailed market expectations, while the Canadian auto parts supplier disclosed plans to resume share buybacks ahead of schedule.

The company now anticipates sales to come in between $42.2 billion and $43.2 billion for 2024, down from its previous projections of $42.5 billion to $44.1 billion. The current consensus on Capital IQ is for revenue of $42.9 billion. Adjusted net income is pegged at $1.45 billion to $1.55 billion versus the prior guidance of $1.5 billion to $1.7 billion.

Magna's New York Stock Exchange-listed shares advanced 7.1% in midday trading.

The updated outlook reflects "reduced vehicle production" in all of Magna's key regions, Chief Financial Officer Patrick McCann said on an earnings conference call, according to a Capital IQ transcript.

Magna now expects light vehicle production to reach 15.4 million units in North America, down from its prior forecast of 15.7 million. It is projecting 16.9 million units and 28.9 million vehicles in Europe and China, respectively, compared with previous expectations of 17.1 million units and 29 million units.

For the September quarter, the company posted adjusted earnings of $1.28 a share, down from $1.46 the year before and missing the Street's view for $1.40. Sales decreased 4% to $10.28 billion, below analysts' $10.39 billion estimate. "We continue to mitigate industry headwinds including lower production volumes in each of our core regions," Chief Executive Swamy Kotagiri said in a statement.

Global light vehicle production declined 4%, including a 6% drop each in North America and China, while Europe moved down 2%. Sales were impacted by divestitures and the end of certain production programs, partially offset by price increases, according to Magna.

Revenue for the body exteriors and structures segment fell to $4.04 billion from $4.35 billion in the prior-year quarter, while power and vision rose to $3.84 billion from $3.75 billion. Seating systems sales slipped to $1.38 billion from $1.53 billion, while complete vehicles decreased to $1.16 billion from $1.19 billion.

The company's board approved a one-year program to purchase up to about 28.5 million of its common shares, or about 10% of its public float. The program, which requires approval from the Toronto stock exchange, is expected to launch on or about Nov. 7.

"We expect to restart meaningful share repurchases this quarter," Kotagiri said on the call. "We believe this capital allocation strategy provides the continued flexibility to both support future growth and further return capital to our shareholders."