Thyssenkrupp Reports 4% Drop in Yearly Profit
November 24 2016 - 1:29AM
Dow Jones News
By Christopher Alessi
ESSEN, Germany -- German industrial conglomerate Thyssenkrupp AG
on Thursday reported a 4% decline in net profit for its fiscal year
2016, weighed down by difficult market conditions for the group's
materials businesses.
Net profit for the year ended Sept. 30 was 296 million euros
(about $312 million), compared with EUR309 million during the prior
year, falling short of analysts' forecasts. Analysts had predicted
a net profit of EUR364 million, according to a recent poll
conducted by The Wall Street Journal.
Annual sales fell by 8%, to EUR39.29 billion, while orders
dropped by 9%, to EUR37.42 billion, mainly a result of high import
and price pressure on the materials businesses. Those businesses
include the company's steel operations and its materials services
business, which sells products like stainless steel and alloys.
For fiscal year 2017, Thyssenkrupp said it expects adjusted
earnings before interest and taxes to increase to around EUR1.7
billion, compared with EUR1.5 billion in fiscal 2016. The company
also expects a "clear improvement" in net profit and a "slightly
positive" free cash flow before mergers and acquisitions for fiscal
2017.
Free cash flow before M&A for fiscal 2016 came in at EUR198
million, compared with EUR115 million the year before.
Thyssenkrupp said it would propose an unchanged dividend of
EUR0.15 a share for fiscal 2016.
Write to Christopher Alessi at christopher.alessi@wsj.com
(END) Dow Jones Newswires
November 24, 2016 01:14 ET (06:14 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
Thyssenkrupp (PK) (USOTC:TKAMY)
Historical Stock Chart
From May 2024 to Jun 2024
Thyssenkrupp (PK) (USOTC:TKAMY)
Historical Stock Chart
From Jun 2023 to Jun 2024