DUISBURG (dpa-AFX) - ThyssenKrupp AG (TYEKF.PK), a German industrial engineering and steel company, reported that its second quarter net income, after deducting minority interests, was 565 million euros or 0.91 euros per share compared to a loss of 211 million euros or 0.34 euros per share in the previous year.
Adjusted EBIT was 802 million euros, significantly above the prior-year figure of 220 million euros. The increase in earnings was attributable in particular to higher revenues and improved margins at Materials Services and Steel Europe. It more than offset adverse factors from increasing materials, logistics and energy costs and the worsening supply chain problems, which mainly affected the automotive and components-related businesses. Positive effects from the performance and efficiency measures supported this growth.
Quarterly sales increased by 24 percent to 10.6 billion euros from the prior year.
Thyssenkrupp has raised its forecast for the current fiscal year for both sales and earnings.
Annual sales are expected to be significantly up on the prior year, with an increase in the low double-digit percentage range, Previously it expected sales growth to be in the mid-single-digit percentage range. For adjusted EBIT, thyssenkrupp anticipates a significant improvement to at least 2.0 billion euros. Previously, the company expected improvement to between 1.5 billion euros and 1.8 billion euros.
In addition, the company has resumed the forecast of free cash flow before M&A, which had been temporarily suspended in March, primarily to improve transparency amid uncertain parameters; it expects a significant year-on-year improvement to a negative figure in the mid-three-digit million euro rang.
The group continues to expect net income of at least 1.0 billion euros.
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