According to the latest data, one of the largest German companies Thyssenkrupp has significantly reduced the profit. So, during this reporting period, the company’s revenues decreased by 261 million euros. The percentage of net profit of the Germans fell 2.6 percent. Operating income decreased even more — by 12 percent.
ThyssenKrupp Steel Europe — a division of the company specializing in metalloproizvoditeli, announced the decline in adjusted operating profit. According to forecasts the reduction will be 36 percent to the end of the year. A significant drop provoked by the instability of the steel market and sharp jumps of the prices for the products. Recall that the steel division of ThyssenKrupp, in total, provides the company with the bottom fifth of the income of the company.
«Constant fluctuations in the commodities market show that we need to continue our transformation into a strong industrial group," commented Henry Hysinger — chief Executive officer of German Corporation.
If we consider the profits of the Corporation in terms of one share of the situation to become clearer. This fiscal year the stock price of ThyssenKrupp amounted to EUR 0.23. Last year, the same indicator amounted to 0.03 euros. In the third quarter, on sales, the company earned 9,997 billion euros. The figure represents a decrease of 5.3 percent in annual terms.
At a press conference in the headquarters of the German Corporation Henry Hysinger said: «Our minimum long-term forecast adjusted EBIT of at least € 2 billion remains».
The company maintained its annual dividend level fifteen cents. While earlier analysts had predicted an increase to eighteen cents per share.
German company ThyssenKrupp is the world’s largest manufacturer of machine tools and alloy steel. In addition, the division of the company manufactures elevators, escalators, components for the automotive industry, plants for the production of cement.
This year, the share index of German companies have risen twenty percent. This happened amid expectations for a strengthening of the European metallurgical market.
The ThyssenKrupp group traces its history back to 1842. Today, it has 500 affiliates in seventy seven countries. In September, the number of company employees has made 156,5 thousand people.
The current 2016−2017 fiscal year, the company gives a quite optimistic forecast. The company’s specialists suggest a significant increase in net income and the increase in adjusted EBIT to EUR 1.7 billion.