Bang & Olufsen meets guidance despite challenges, shares up

Bang & Olufsen A/S

06/07/2022 08:53

** Shares in Bang & Olufsen rise nearly 3% as the company's
full-year results reach the upper end of its revised
expectations  urn:newsml:reuters.com:*:nASM000IBE  urn:newsml:reuters.com:*:nFWN2X21M7
    ** The audio and video equipment maker posted 2021/22
underlying EBIT margin of 1.7% (compared to the forecasted range
of -2% to 2%) and revenue of DKK 2.95 billion (vs forecast DKK
2.85-2.95 billion)
    ** Nordnet analyst Per Hansen says B&O has made it to the
finish line despite the challenges in form of rising costs for
freight, microchips and the Chinese COVID-19 lockdown
    ** He notes the company's 2022/23 outlook for EBIT margin
before items of -2% to 3% is better than feared, and, although
it's hard to predict, the company may see an easing on the chip
and transport costs front in the current year
    ** Hansen notes, however, B&O "faces another challenge
called weakened buying appetite, high inflation, rising interest
rates and the risk of a European recession"

 (Reporting by Agata Rybska)
 ((agata.rybska@thomsonreuters.com))