DUISBURG (dpa-AFX) - The industrial engineering and steel production company, Thyssenkrupp (TYEKF.PK), on Thursday said in its update that despite persisting Covid-19 related headwinds and other hurdles, it expects a turnaround to profit during the current fiscal.
The Essen-headquartered company said it aims to report a net income of over 1 billion euros for the fiscal scheduled to end in September 2022, compared with a net loss of 25 million reported for the previous fiscal.
It also anticipates that its adjusted earnings before interest and tax (EBIT) will be in the range of 1.5 billion - 1.8 billion euros, against 796 million euros, reported for the 12-month period ended on September 30.
Separately, the German firm projects a rise in its EBIT margin for the medium term. The adjusted EBIT margin for the company is expected to be in the range of 4-6 percent in the medium term.
Thyssenkrupp expects a further progress in performance is likely to result in a significantly positive figure for free cash flow before mergers and acquisitions (M&A), with a clearly defined target to restore the company's ability to consistently pay a dividend.
On segmental basis, in the medium term, the steel maker aims to increase shipment volumes of Steel Europe to around 11 million tons. Adjusted EBITDA per ton is expected to improve to around 100 euros, which is equivalent to an adjusted EBIT margin of six to seven percent.
In a bid to boost its hydrogen business, Thyssenkrupp is currently planning an initial public offering (IPO) for its Uhde Chlorine Engineers and aims to retain a majority interest in the business.
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