thyssenkrupp: expects to post full-year loss

(CercleFinance.com) - Troubled German conglomerate thyssenkrupp said on Tuesday that it now expects to report a loss for its 2018/2019 financial year, which has sent its shares down in Frankfurt.


The company - which is reintegrating its steel business after scrapping a planned steel joint venture with India's Tata - said that it now expects to post a loss for the current financial year due to restructuring expenses, a provision for the conclusion of cartel proceedings and the preparation of the IPO of its elevator business.

thyssenkrupp said it expects full-year adjusted EBIT of between 1.1 billion euros and 1.2 billion euros, while last year this figure reached 1.4 billion euros.

Firs-half 2018/2019 sales increased by 2% to 20.4 billion euros, with adjusted EBIT down year-on-year from 943 million euros to 685 million euros, it said.

The group cited the impact of the economic slowdown, especially in the automotive sector.

Net income for the first-half fell to 59 million euros, from 343 euros in the same period one year ago.

On a brighter note, the elevator technology - which thyssenkrupp plans to float soon - again achieved record orders of 4.1 billion euros.

This helped the shares to reduce their losses this morning, with their fall now limited to just 0.6% at 13 euros.

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