Bang & Olufsen Q1 sales 'under pressure,' shares fall

Bang & Olufsen A/S

05/10/2022 08:33

** Shares of Bang & Olufsen  BO.CO  slide around 3% after
sales of the Danish audio and video equipment maker declined in
Q1, while core earnings turned negative  urn:newsml:reuters.com:*:nTUA2RFXYC
    ** The company's Q1 revenue fell by 8.2% (10% in local
currencies) to DKK 612 mln ($81.88 mln) and EBIT swung to a loss
of DKK 85 mln from a profit of DKK 7 mln a year ago
    ** "Regional lockdowns and the economic climate in China had
a direct impact on our sales, and rising interest rates, the war
in Ukraine and higher inflation affected consumer confidence
across Europe," CEO Kristian Teär says
    ** Nordnet analyst Per Hansen notes B&O's turnover is under
pressure from many fronts, including lockdowns in China and less
demand from their main European markets
    ** It's a bit surprising the company kept its outlook
unchanged, he added 
    ** Bang & Olufsen still sees revenue growth in the range of
-4% to 5% and EBIT margin of -4% to 5%
    ($ = 7.47094 Danish Crowns)
 (Reporting by Louise Breusch Rasmussen)
 ((Louisebreusch.rasmussen@thomsonreuters.com))