Thyssenkrupp, the German engineering group shaken by activist investors, cut its earnings forecast on Tuesday, citing cost overruns at plant engineering and ship building projects.

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The guidance for adjusted operating profit in the 2017/2018 fiscal year was now for around 1.8 billion euros ($2.11 billion), at the lower end of the previously forecast range of 1.8 to 2 billion euros.

"The main negative factors were higher expected total costs, particularly for a marine project in Turkey, a cement plant in Saudi Arabia and a biofuel power plant in Australia," it said in a statement.

Group free cash flow before mergers and acquisitions for the full year would be negative, where it had previously seen a positive figure.

Still, the outlook for group net income was for a significant improvement from the previous year`s 271 million euros, it added.

($1 = 0.8548 euros)

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)