BERLIN (dpa-AFX) - German automotive parts supplier HELLA GmbH & Co. KGaA (HLKHF), called FORVIA HELLA, said it cut its fiscal year 2024 outlook due to lower-than-expected production volumes, customer-related postponements of series launches, and effects from customer and product mix.
The company now expects annual currency and portfolio-adjusted sales to be in the range of around 7.9 billion euros to 8.1 billion euros, compared to the previous estimate of the lower half of the range of about 8.1 billion euros to 8.6 billion euros.
The company now projects an operating income margin for fiscal year 2024 to be between around 5.5% and 6.0%, compared to the previous outlook of the lower half of the range of approximately 6.0% to 7.0%.
The company now anticipates a net cash flow in relation to reported sales for the year to be between around 2.2 and 2.7 percent compared to the earlier estimation of at approximately 3 percent.
FORVIA HELLA said it decided to expand business activities in the American and Asian markets. On the other hand, cost structures are to be further improved overall and the competitiveness program for Europe launched in February of this year is to be accelerated. The company expects positive effects from this as early as 2025.
For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.
Copyright(c) 2024 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2024 AFX News
