DUISBURG (dpa-AFX) - Shares of Thyssenkrupp AG (TYEKF.PK) were losing around 3 percent in the morning trading after the German industrial and technology company reported Friday a net loss in its second quarter, compared to last year's profit, despite higher sales. Looking ahead, for fiscal 2017, the company revised its outlook and now sees a net loss, while it lifted adjusted EBIT view.
For the second quarter, net loss attributable to shareholders was 879 million euros or 1.55 euros per share, compared to net income of 61 million euros or 0.11 euros per share in the prior year.
Based on the continuing operations, i.e. excluding Steel Americas, thyssenkrupp generated attributable net income of 55 million euros or 0.10 euro per share, compared to 97 million euros or 0.17 euro per share a year ago.
EBIT from continuing operations declined 8 percent from last year to 313 million euros, while adjusted EBIT was up 22 percent to 412 million euros.
Net sales rose 12 percent to 11 billion euros from 9.85 billion euros last year. Net sales from continuing operations rose 11 percent to 10.62 billion euros.
Order intake climbed 33 percent to 11.99 billion euros, with all businesses reporting double-digit growth rates.
In the capital goods businesses, Components Technology reported a positive trend for car components and heavy truck components in Western Europe and China. At Elevator Technology, sales increased above all in the USA, China and South Korea.
Further, the materials businesses profited mainly from the recovery in prices.
For fiscal 2017, the company now expects adjusted EBIT to increase to 1.8 billion euros, compared to prior outlook of 1.7 billion euros. The previous year's Adjusted EBIT was 1.469 billion euros. The adjusted EBIT of the continuing operations is expected to be 1.7 billion euros.
The reasons for the revise in outlook were the effects of the good operating performance, the sale of CSA, and the latest dislocations on the raw material markets.
Despite positive operating earnings, the company now expects a significant net loss for the year exclusively as a result of the negative earnings impact from the sale of CSA . Previously, the company expected clear year-on-year improvement. The prior year's net income was 261 million euros.
In Germany, Thyssenkrupp shares were trading at 21.64 euros, down 2.83 percent.
Copyright RTT News/dpa-AFX