By David Sachs
Thyssenkrupp lowered its sales and net profit targets on falling demand and impairment losses after swinging to a net loss in its fiscal first quarter.
The German industrial company said Wednesday that for the quarter ended December, it posted a net loss of 314 million euros ($336.2 million) compared with a gain of EUR75 million the previous year. The company cited impairment losses of around EUR200 million due to “technical effects.”
Thyssenkrupp said it now expects to post a break-even net profit for this fiscal year compared with a previous forecast in the low-to-mid triple digit millions. It expects sales at the same level as the previous year after initially targeting a slight increase.
First quarter sales fell to EUR8.18 billion from EUR9.02 billion in the first quarter of its fiscal 2023. Revenue trailed Visible Alpha consensus of EUR8.63 billion.
Earnings before interest, taxes, depreciation and amortization fell to EUR238 million from EUR485 million and compared with analysts’ forecast of EUR294.8 million, according to Visible Alpha.
Write to David Sachs at david.sachs@wsj.com
