BRUSSELS, Feb 27 (Reuters) - Belgium's D'Ieteren forecast a further decline of earnings in 2014 due to a flat car market and only a moderate increase of sales of its windshield repair business.
The owner of car window repair company Belron and Belgium's largest car distributor, said its current pre-tax profit, group share, fell 11.3 percent to 177.6 million euros ($242.7 million), in line with its forecast of a 10-15 percent contraction.
The company said it expected the figure in 2014 to decline slightly compared to 2013.
D'Ieteren benefited from a harsh winter and cold spring in both northern Europe and North America at the start of 2013, which meant more windscreens cracked and needed to be repaired or replaced.
However, car sales division D'Ieteren Auto suffered lower sales because of a 1.5 percent decline of the Belgian car market and a loss of market share for the Volkswagen brands it sells. Dealers also cut their inventories.
Belgium's auto association has forecast a modest 0.8 percent rise in new car registrations to 490,000 this year. D'Ieteren said it banked on a stable market share.
For Belron, D'Ieteren referred to "unfavourable" weather in Europe at the start of this year, meaning a mild winter, and continuing adverse market trends.
The latter include lower discretionary incomes, lower speeds and less vehicle crime.
D'Ieteren held its dividend at 0.80 euros per share and said it was willing to invest in one or more new activities, not necessarily linked the auto sector.
It has surplus funds as the result of the 2011 sale of its 59.6 percent stake in Avis Europe for 412 million euros. ($1 = 0.7317 Euros) (Reporting by Philip Blenkinsop; editing by Robert-Jan Bartunek)