Alstom FY profit falls, revenue rises
Alstom SA said Tuesday that its net profit for the fiscal year ended March 31 fell year-on-year, while revenue increased despite containment measures which reduced activities in most production and maintenance facilities toward the end of the year.
The French train maker said net profit fell to 467 million euros ($505.5 million) from EUR681 million the previous fiscal year.
Analysts were expecting a net profit of approximately EUR407 million, according to FactSet.
Earnings before interest and taxes for the period rose to EUR545 million from EUR408 million.
Sales increased to EUR8.20 billion from EUR8.07 billion, above estimates of about EUR8.19 billion from analysts polled by FactSet.
Alstom said the coronavirus had an impact on sales of about EUR100 million, mostly on rolling stock and services due to a reduction in train traffic.
The company said the board of directors decided not to propose a dividend distribution at its shareholders’ meeting on July 8.
Alstom added that the coronavirus will likely dent financial performance in fiscal 2021.
The company confirmed its 2022-23 targets of 9% adjusted EBIT margin and of a conversion from net income to free cash flow above 80%.
Mauro Orru
Source:marketwatch.com