AkzoNobel: tough environment prompts cut in 2017 guidance.
(CercleFinance.com) - Dutch paintmaker AkzoNobel has cut its FY earnings guidance on Friday, citing a tougher trading environment.
This warning has led to the company's shares falling 2% to 77.1 euros on Euronext Amsterdam this morning.
In a statement, AkzoNobel said it still expects to deliver 2017 EBIT that is higher than in 2016, although less than the previously communicated increase of 100 million euros.
The group cited current challenges in the paint and coatings markets, which will have a "wider and greater impact" as the year continues.
AkzoNobel also annouced a new management structure for its paints and coatings business, as well as additional measures to ensure that its 2020 financial guidance will be delivered.
"But it's too early to say if 2020 targets can be reached", one trader reacted this morning.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
This warning has led to the company's shares falling 2% to 77.1 euros on Euronext Amsterdam this morning.
In a statement, AkzoNobel said it still expects to deliver 2017 EBIT that is higher than in 2016, although less than the previously communicated increase of 100 million euros.
The group cited current challenges in the paint and coatings markets, which will have a "wider and greater impact" as the year continues.
AkzoNobel also annouced a new management structure for its paints and coatings business, as well as additional measures to ensure that its 2020 financial guidance will be delivered.
"But it's too early to say if 2020 targets can be reached", one trader reacted this morning.
Copyright (c) 2017 CercleFinance.com. All rights reserved.